These graphs appear to indicate that, despite all the ongoing tumult, there has been dramatic calming down of the business cycle since the Great Moderation (the period in the aftermath of the oil crisis, starting from about 1983). Quarter-to-quarter changes in GDP are closer to average, the frequency of recessions has gone down, the severity of recessions has become less, and the volatility in risk premiums have decreased.
(HT: Mark Thoma, Macroblog)
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