Obama's economic failure
...No wonder the Clinton and Sanders campaigns are acting like Democrats have not been in charge of this mess. But their prescription is more of the same things that have dragged the economy down. More regulation and more taxation. It is a repeat of the failed blue state model.
- The labor force participation rate over that period has slid from 65.7 percent to 62.9 (the lowest reading since March 1978) — down 4.3 percent.
- On Obama’s watch, the percentage of Americans below the poverty line has grown, according to the most recent Census data, from 14.3 percent to 14.8 percent in 2014 — up 3.5 percent.
- Real median household income across that interval sank from $54,925 to $53,657 — down 2.3 percent.
- Food Stamp participants soared in that time frame from 32,889,000 to 45,874,000 — up 39.5 percent.
- Meanwhile, from Obama’s arrival through the fourth quarter of 2015, the percentage of Americans who own homes sagged from 67.3 percent to 63.8 — down 5.2 percent.
- Gallup CEO Jim Clifton laments this chilling trend: “For the first time in 35 years, American business deaths now outnumber business births.” As he observed in January, “Business startups outpaced business failures by about 100,000 per year until 2008. But in the past six years, that number suddenly reversed, and the net number of US startups versus closures is minus 70,000.”
Clifton worries gravely that “entrepreneurship is now in decline for the first time since the US government started measuring it . . . Small and medium-sized businesses are dying faster than they’re being born. So is free enterprise. And when free enterprise dies, America dies with it.”
Something else is missing these days: robust economic growth.
“Over the 6 ½ years since the recession ended in the second quarter of 2009, real GDP has grown by a total of 14.5 percent, or at an annual rate of 2.1 percent,” according to Jeffrey Schlagenhauf, a former senior adviser to the congressional Joint Economic Committee.
“Other post-1960 recoveries averaged total growth of 28.4 percent (annual rate of 3.9 percent) over the comparable 26 quarters. The Reagan recovery of the 1980s saw real GDP grow a total of 35 percent, or at an annual rate of 4.7 percent.”