A Decade of Economy

A lost decade for U.S. economy, workers

Economists, policymakers will be chewing on lessons of the Aughts for years

By Neil Irwin

© 2010 The Washington Post Company

Highlights of the article:

"The past decade was the worst for the U.S. economy in modern times,..."

"..debt-driven expansion that was neither robust nor sustainable."

"Economic output rose at its slowest rate of any decade since the 1930s as well."

"Middle-income households made less in 2008, when adjusted for inflation, than they did in 1999 ..."

"...we let housing bubbles get out of control."

"Total household debt rose 117 percent from 1999 to its peak in early 2008, ..."

"The first decade of the new century was an experiment in what happens when an economy comes to rely heavily on borrowed money."

"...people engaged in excessively risky behavior without realizing the risks associated,"

"...forecasters are now generally expecting the job market to turn around early in 2010 and begin creating jobs."