DUDE, HERE’S YOUR RECESSION: At least, if you believe this from Rich Karlgaard:

For example, take the U.S. gross domestic product (GDP). Last week the Commerce Department released a preliminary figure of 1.9% growth for the second quarter. Nominal growth was 3% minus a deflator of 1.1%. Say again, please? The government used a deflator of … 1.1%?

Who believes that? According to Reuters, the Commerce Department’s own figures showed a 4.3% inflation rate during the second quarter. Forgive my ignorance, but why is 1.1% the GDP deflator and not 4.3%? Were the latter figure used, it would show the second quarter retracted 1.2%. If I am missing something in my simple question, please set me straight.

More on that topic here.

UPDATE: Still more here. “You patiently try to explain that imports aren’t included in GDP, and that’s why the numbers came out the way they did. But they’re not going to believe you.”