The economy is back to its usual cruising speed, according to the Chicago Feds national activity index.
The index rose to 0.2 in January from a negative 0.58 in December. Anything above zero means that the pace of overall economic activity faster than usual. A composite of 85 economic indicators, the index includes data on employment and income and so is meant to be a broader measure of the economy than gross domestic product.
But after the deepest recession since the 1930s, for economic activity to be merely back to normal isn’t enough. There remains a large gap between where the economy is and where it needs to be for it to be healthy. For that gap to be closed, the activity index will need to push farther above zero, and stay there for some time.
