2. A "Turning Point" in the Economy
Federal Reserve officials and economists have pointed to these large revisions as a potential sign that the U.S. economy may be at a "turning point." When the economy is in a period of rapid change—either accelerating or slowing down—the statistical models used to fill in the missing data for the preliminary reports can be less accurate. The fact that the initial reports were so far off suggests that the models were overestimating job growth in a cooling labor market.
