Friday, June 08, 2012

Obama's Policies have Caused One Of The Slowest Economic Recoveries

By Susan Duclos

Obama and the great justifiers, excusers and explainers on the left, attempt to respond to criticisms over Obama's weak economic recovery by asking "What do you expect, since the recession was the worst since the Great Depression?"

Investors Business Daily provides some context which shows that argument for the bait and switch game it really is:

But the history of economic cycles suggests that the exact opposite should have happened.

"Typically following a recession, the economy rebounds strongly," Richmond Federal Reserve President Jeffrey Lacker noted in the bank's quarterly journal.

Bigger They Fall...
What's more, deeper recessions tend to produce strong recoveries.

"You can't find a single deep recession that has been followed by a moderate recovery," Dean Maki, chief U.S. economist at Barclays Capital, said back in August 2009.

The 1957-58, 1973-74 and 1981-82 recessions were the sharpest post-war slumps until the Great Recession. From those lows, the economy rose 15%, 18.5% and 19.6% over the next 11 quarters, respectively, vs. just 6.8% for the Obama recovery.

The only real difference is the policies enacted at the time of great economic suffering.

Ed Morrissey explains:

The problem isn’t Fed policy, and the problem won’t get solved by Bernanke. The problem is that Barack Obama’s economic and regulatory policies have interfered with the normal recovery process. Those policies introduced massive new costs and ambiguities into the investor environment, including ambiguities about costs. Instead of championing cheap energy and streamlining of regulation — the approach that has led to all of our other robust recoveries — Obama went the opposite direction, using the economic situation to argue for his regulatory adventurism and innovations.

Head over to Hot Air and watch the video where "Bernanke (jokingly) tells Sen. Jim DeMint that a trillion here, a trillion there … and pretty soon you’re talking about real money."

Bottom Line: We literally cannot afford another four years of Barack Obama.





Is it unfair to compare the Obama and Reagan economic recoveries? No

Obamanomics vs. Reaganomics