ECONOMICS SECTION

Some interesting research from Floyd Norris, a veteran columnist of the New York Times.

• The article was printed at the end of August and entitled "Car-Sales Indicator Suggests a Recession is Near or Already Here"
• It shows that whenever the rate of sales of new-car dealers has dropped by 2% or more year-on-year the US has been on the brink or actually already in a recession

  Sept. 1970, index was down 2.9% - recession began 9 months earlier

  Apr. 1974, index was down 3.2% - recession began 5 months earlier

  Nov. 1979, index was down 2.6% - recession started 2 months later

  Feb. 1991, index was down 2.6% - recession started 7 months earlier

  May, 2001, index was down 2.6% - recession started 2 months earlier

  June, 2006, index was down 2.4% - recession ???"

• The New York Times Website
• Note, that you need to signup to read the website but here's a good tip to get around this problem -

  Use the site www.bugmenot.com which enables you to simply bypass all this username/password hassle