Photo: Bloomberg Television
Lakshman Achuthan and his firm ECRI has been taking a lot of heat for maintaining an aggressive recession call.Achuthan has just written another defence, which can be read at Barry Ritholtz’s Big Picture blog.
“Many have questioned why, in the face of improving economic data, ECRI has maintained its recession call,” writes Achuthan. “The straight answer is that the objective economic indicators we monitor, including those we make public, give us no other choice.“
It’s not him. It’s the numbers.
As usual, Achuthan goes through the rationale behind his recession call again, listing all of the major problematic variables.