Yes, We Have No Bananas
Back in 1979, before GDP growth had turned negative, Alfred Kahn, President Carter’s Chief Economist made a professional faux pas. He uttered the “R” word within earshot of the national press. Higher-ups in the White House quickly put the hammer to Dr. Kahn, suggesting that he never use the “R” word again.
To his credit, Alfred Kahn did not back down. He announced that from then on he would refer to the recession as a “banana.” He then began to say things like, “I think we are in for a serious banana.” He was funny, and he was right.
Twenty-one years later, in December 2000, Vice President-Elect Richard Cheney, told Tim Russert on Meet the Press that the US was probably on the “front edge of a recession.” At the time, GDP growth was still positive and most economists felt a recession was highly unlikely.
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