The United States economy still remains sluggish, even with the printing presses turned on 24/7. With President Barack Obama on the cusp of leaving the White House, he’d probably want to have a strong economy to leave behind.
Well, the latest numbers show that isn’t happening. In fact, the national economy is trekking along at a snail’s pace.
According to a new report from the Department of Commerce, the U.S. economy grew just 1.2 percent in the second quarter, which is just a little bit higher than the first quarter’s 0.8 percent.
Ostensibly, this is just another data point to add to the pile of mixed economic signals.
Although the U.S. economy has added more than one million jobs this year and the unemployment rate has dipped to under five percent, job growth has slowed down after two strong years. Wage growth, though on the rise, is still behind pre-recession times. And American consumers are spending in certain months and refraining from doling out cash in other months.
As David Stockman, former Reagan budget director and bestselling author of “The Great Deformation,” writes in his new book, “Trumped! A Nation On The Brink Of Ruin… And How To Bring It Back“:
“In effect, America has undergone a rolling national LBO since the Gipper’s time in office. It is the result of the Washington/Wall Street policy consensus in favor of permanent deficit finance, stock market-centered “trickle-down” stimulus by the Fed and massive borrowing by the household and business sectors of the private economy.
“So the U.S. economy is now stuck in the ditch because it has leveraged itself to the hilt over the past three decades. The vast majority of Americans are no longer living the dream because Wall Street speculators and Washington politicians alike have led them into a debt-fueled fantasy world that is coming to a dead end.
“Indeed, this deformation has been long in the making and reaches back nearly a half-century. To wit, once the Federal Reserve was liberated from the yoke of Bretton Woods and the redeemability of dollars for gold by Nixon’s folly at Camp David in August 1971, financial history broke into an altogether new channel.”
Obama will have the worst economic growth record in U.S. history, even with Janet Yellen fully supporting him.
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