Dating procedure recession

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Note that since October 2012 the Committee has dropped its requirement that peaks or troughs mark turning points in economic activity in most countries of the euro area.The rationale for this definitional change is explained in details in .The Committee wants to make sure that its characterization of Euro-area economic activity (which is its sole objective) is not affected by rising heterogeneity in the Euro-area.Adopting a dating criterion that refers solely to aggregate Euro-area economic activity achieves this objective most transparently.See Data Sources How is the Committee's membership determined?The Chair of the CEPR - Euro Area Business Cycle Dating Committee (EABCDC) is appointed by the President of CEPR and the Scientific Chair of EABCN.A: The Committee wants to ensure that its characterization of Euro-area economic activity (which is its sole objective) is not affected by rising heterogeneity in the Euro-area.Note that since October 2012 the Committee has dropped its requirement that peaks or troughs mark turning points in economic activity in countries of the euro area.

As another example, the Committee did not declare a recession for 2001 or 2003, even though the data at the time appeared to show a decline in economic activity (though not for two quarters).

Why does the Committee not date recessions for individual countries?

Is it possible that the EU area is in a recession while some of the individual countries are not?

Does the Committee date recessions for individual countries in the euro area?

No, the sole objective of the Committee is to date recessions for the euro area as a whole.

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