Nominal Growth (= 1.6%) less Inflation (= 3.8%) = Actual Growth of -2.2% = Recession.
That isn't the way it works. Growth is growth.
This is a "slowdown", and a slowdown is not neccessarily a bad thing. Yes, the value of a house in certain US markets has dropped from $120k to $100k, but what if you bought the house 20 years ago at $50k? What is your "loss"? That looks like a $50k ACTUAL gain to me. You can moan and groan that your house lost $20k value on paper, or you can celebrate the REAL $50k gain. The cup is half empty or half full. That is YOUR choice to make. But a warning here-- borrowing trouble is cynical, and cynicism kills.
Economics is not something that you can twist to your own definitions, and the definitions exist for a reason. Do you compare today's 1.6% to last quarter's 3.8%, or to the last recession? You can play all sorts of games with the numbers. But the exact definition of a recession is, and I repeat, six months of negative numbers
. A SOLID 6 months, or two financial quarters.
A gain in that period-- ANY gain-- breaks the downturn and spoils the recession for those who enjoy moaning and groaning.