The Economic Perspective: “Logistics to the Rescue”
This is Mary Walden with economist MW welcoming you to the economic perspective. Today’s program looks at logistics to the rescue. Mike, the national economy has now set a record for the longest continuous period of economic growth, at ten years. That’s certainly good news, but it does raise a question – Why? What is behind this happy result? Do economists have any answers?
- One possibility is the economic recovery has been slow – meaning excesses haven’t built up
- Another is logistics, particularly regarding inventory management
- Technology has made it easier to produce closer to what is being sold – just-in-time production
- Important because inventory build-up has historically been one of factors leading to a recession
- Too much inventory – production cut and workers are laid off
- I’m MW
And I’m Mary Walden for the Economic Perspective, an NC State Extension program from the Department of Agricultural and Resource Economics.