Great Moderation
E8742
The Great Moderation was a period from the mid-1980s to the mid-2000s characterized by unusually stable economic growth and low, steady inflation in many advanced economies, especially the United States.
All labels observed (1)
| Label | Occurrences |
|---|---|
| Great Moderation canonical | 5 |
Statements (47)
| Predicate | Object |
|---|---|
| instanceOf |
economic phenomenon
ⓘ
macroeconomic period ⓘ |
| associatedWith |
decline in consumption volatility
ⓘ
decline in employment volatility ⓘ decline in inflation volatility ⓘ decline in investment volatility ⓘ decline in output volatility ⓘ |
| characterizedBy |
low inflation
ⓘ
reduced macroeconomic volatility ⓘ stable economic growth ⓘ steady inflation ⓘ |
| contrastedWith |
Great Inflation
ⓘ
2008 United States housing and financial crisis ⓘ
surface form:
Great Recession
|
| debatedBy | economists ⓘ |
| documentedBy | empirical time-series studies ⓘ |
| especiallyObservedIn |
United States of America
ⓘ
surface form:
United States
|
| hasAlternativeName | period of reduced macroeconomic volatility ⓘ |
| hasEndTime | mid-2000s ⓘ |
| hasGeographicFocus |
United States of America
ⓘ
surface form:
United States
|
| hasKeyFeature |
more predictable inflation
ⓘ
reduced frequency of severe recessions ⓘ smaller business cycle fluctuations ⓘ |
| hasMeasurement |
lower variance of inflation
ⓘ
lower variance of real GDP growth ⓘ |
| hasProposedCause |
financial innovation
ⓘ
globalization ⓘ good luck hypothesis ⓘ improved monetary policy ⓘ inventory management improvements ⓘ structural economic changes ⓘ |
| hasStartTime | mid-1980s ⓘ |
| linkedTo |
Taylor rule–type monetary policy
ⓘ
central bank independence ⓘ inflation targeting policies ⓘ |
| namedBy |
James Stock
ⓘ
Mark Watson ⓘ |
| observedIn |
Australia
ⓘ
Canada ⓘ Eurozone ⓘ
surface form:
Euro area
United Kingdom ⓘ |
| occursIn | advanced economies ⓘ |
| precedes |
2007–2008 financial crisis
ⓘ
2008 United States housing and financial crisis ⓘ
surface form:
Great Recession
|
| questionedAfter | global financial crisis of 2007–2009 ⓘ |
| studiedInField |
macroeconomics
ⓘ
monetary economics ⓘ |
| timePeriodOf | post-World War II U.S. economy ⓘ |
Referenced by (5)
Full triples — surface form annotated when it differs from this entity's canonical label.
subject surface form:
Volcker shock