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Some Characteristics of the Decline in Manufacturing Capacity Utilization
In this note, we provide several observations regarding trends in manufacturing capacity utilization rates using data from the Federal Reserve Board and the Census Bureau. The note does not aim to consider all potential explanations for the decline in utilization rates, and indeed we do not find a single root cause of the decline. We do, however, attempt to narrow the scope of potential explanations and contribute contemporary data to the existing commentary.