In the January 25, 2024 Shorelines Opinion Section, Mr. Clay Commons offers examples to show how well our economy is functioning and requests countering information. He explicitly states “…tell me how the economy is so bad.”

To simplify my response, I will start with inflation, and offer the following details:

• We have experienced inflation in 58 of the last 60 years.

• Inflation does not go away. It compounds (not additive) year after year.

• Total inflation during the Trump administration was 7.8 percent, or 1.9 percent per year for four years.

• Total inflation during the Biden administration was 16.9 percent or 5.3 percent a year for three years.

• We experience this recent surge in inflation everyday in the form of higher food, rent, and heating/energy costs.

Mr. Commons has not fully considered sustained levels high inflation. Two consecutive year to year comparisons do not show the true impact of inflation.

I also suggest Mr. Commons compare job production over several years (2023 was 43 percent lower than 2022), look at labor force participation rates in addition to unemployment levels (participation rates have been declining since a peak of 67 percent in 1996 and the 2023 rate of 62.2 percent was below pre-pandemic levels), and investigate the LEI (Leading Economic Indicator) for “good” or “bad” trends in the economy.

The LEI consists of 10 economic measurements (hours worked per week, initial claims for unemployment, new purchase orders, capital goods spending, and five others), and is considered to be a good predictor of recessions. It has been in decline for the past 20 consecutive months. Our economy is bad, and not improving.

Elliot F. Whipple

Westport, MA