US ‘Recovery’ – it’s even worse than we thought

George Rebane

Tax rates have no effect on private sector spending and investments.  Progressive shibboleth

The big news this morning (except in the lamestream) is that the US economy has grown markedly less than even the poor statistics we have been shown, and directly experienced, over the last years.  The report from the Bureau of Economic Analysis revising the published GDP data concludes that we are witnessing an even weaker recovery than what has already been identified as “the worst recovery in seventy years” (only FDR's Great Depression recovery was worse overall, and that recovery required WW2 and the destruction of ALL of the developed economies thereby leaving us king of the hill.  Mr President, what do you have in your wallet?)

I could put up any of a number of graphics that compare this loudly hyped ‘recovery’ from real recoveries in the past, but as RR readers, you’ve already seen them.  The 31jul15 WSJ reports – “From 2011 through 2014, the economy grew at a paltry annual rate of 2%, down from the previous estimate of 2.3%.”  In toto, since 2009 the economy has grown at an annual average of 2.1%, so the growth rate is not getting any better (more here).  Progressives rejoice, you have achieved another notch of peerage with socialist Europe and the second-world countries.

Team Obama and the Dems own this ‘recovery’ lock, stock, and barrel.  They have burdened the country with regulations, laws, taxes, rogue agencies, and about every other device available to sclerotic bureaucracies known to stifle initiative, entrepreneurship, and wealth creation.  In the process, they have lowered job creation to levels that require the most ambitious regimens be brought to bear in order to put lipstick on the unemployment pig.  Their draconian policies alone explain away the stagnation in wages.  From the WSJ -

The slow-growth Obama era has given way to multiple explanations and excuses from the President’s economic advocates. They blame the hangover from the financial crisis (even six years later), foreign economic problems, the failure of government to spend and tax more, an aging population—anything but the policy differences between those previous eras and this one.

Leading lights on the left have even thrown up their hands to suggest we no longer really know what produces faster growth. Larry Summers calls it “secular stagnation,” as if it’s an illness we somehow caught. Others claim 2%-2.5% growth is about as good as we can now do, so get used to it—and keep interest rates at near-zero for as far as the eye can see.

(The numerate reader with pencil and back-of-envelope can quickly calculate that today’s celebrated 200K/month job growths don’t come close to the 300K/month jobs required to absorb population growth and indicate a real recovery.  Until then, the fed’s Lying Machine may overheat pumping out ‘data’ to invite happy dancing in the streets.)

Today the nostrums promised by leading 2016 Democrat candidates all identify the business class as the greedy who are behind purposely reducing the buying power of their customers (yes, you read that right).  And, of course, the Left’s heavily gruberized constituents respond in chorus with a mighty ‘Amen!’ when either Bernie, Lizzy, or Hillary mount the podium to repeat this mantra, the latter adding her latest lament about “quarterly capitalism” – which she promises to ‘correct’ as soon as she is elected.

The latest statements from the Democratic candidates confirm that, should one of them win, the best we can expect from any of them is Obamanomics 2.0 – that is, to double down on a demonstrable disaster.  And should Bernie or Lizzy stand behind the presidential seal on 20 January 2017, then Katie bar the door – Newsweek can again run their ‘We Are All Socialists Now’ cover.

Comments

[RL Crabb]

Their ultimate goal of a "sustainable" economy requires less consumption. Living in cubicles, using mass transit, eliminating meat and sugar from your diet, it's all part of the plan.

[Don Bessee]

But will there be enough ipads, starbucks and skinny jeans if everyone converts? ;-)

[Bill Tozer]

Oh Dr. Rebane, quit being such a naysayer.

http://patriotpost.us/posts/36732

[Bill Tozer]

I am still waiting for the Spring Recovery Tour that Obama had to delay.....years ago.

http://patriotpost.us/posts/36670

[Walt]

Speaking of recovery,, Someone is going to have a hard time recovering from this.
http://dailycaller.com/2015/08/01/the-hillary-email-scandal-just-saw-its-most-significant-legal-development-to-date/
"A federal judge has ordered Hillary Clinton and two of her top aides at the State Department, Huma Abedin and Cheryl Mills, to attest, under penalty of perjury, that they have turned over all official government records in their possession.

U.S. District Court judge Emmett Sullivan issued the bombshell ruling late Friday, hours after the State Department released its second batch of Clinton emails."

Gotta love Friday night document dumps.

[fish]

Posted by: Bill Tozer | 31 July 2015 at 09:38 PM

But he is a consequential president.....

http://legalinsurrection.com/2014/10/paul-krugman-obama-one-of-most-successful-presidents-ever/

.....the Zelig of modern economics hath decreed it.

Why do you hate black people Tozer?

[fish]

Hey Psaul.....a brief reprieve it would seem!

http://www.wsj.com/articles/dairy-dispute-disrupts-pacific-trade-talks-1438344360

[fish]

A Prayer to Defeat the Work of the Satan Republican Party

O Divine Eternal Father, in union with your Divine Son Holy Barack and Holy Spirit of the DNC, and through the Immaculate Heart of Hillary, I beg You to destroy the Power of your greatest enemy - small government conservatism.

Cast them into the deepest recesses of hell and chain them there forever! Take possession of thy Kingdom in D.C. which You have created and which is rightfully yours.

Heavenly Father, give us next the reign of the Sacred Heart of "Shotgun" Joe Biden and the Immaculate Heart of Elizabeth the reluctant Native American.

I repeat this prayer out of pure love for You with every beat of my heart and with every breath I take.

Amen

http://www.breitbart.com/video/2015/08/01/zuckerman-biden-should-be-ready-to-get-in/

[Bill Tozer]

This makes sense. Sorta on topic.

http://finance.yahoo.com/news/people-personality-type-most-likely-140119084.html

[Bill Tozer]

Shared economy.

http://news.yahoo.com/sharing-economy-surge-creates-labor-conundrum-042558790.html