- The median wage in the US is stagnant. If this does not improve, recovery will take longer as there will be no growth in demand for goods and services. "Trickle down" economics, which promotes tax breaks for the wealthy and corporations and which was rightly called "voodoo economics" by none other than Bush Sr. back before he became Reagan's running mate, has not worked in the 30 or so misguided years that it's been promoted by conservative economists.
- The UK, hit by PM Cameron's conservative austerity program that cut social program funding, has experienced ZERO growth over the last 6 months. This should be a cautionary tale for those US conservatives who focus on spending cuts at the expense of job-creation and would damage the social safety net to maintain tax breaks for the wealthiest Americans.
- If the jobless rate doesn't improve and Obama continues to swallow the nonsense that the 2010 electoral losses were related to "too much spending and the deficit", he will lose his base and the 2012 election. The turnout in first-time voters, the young, the poor, and minorities were the difference between the results in 2008 and 2010. Unemployment of African-Americans in cities are double-digit, depression era figures. Hard to get enthusiastic about voting when you don't have a job. The Republicans can run Mickey Mouse in 2012. They would easily win the election because you know that they will be firing up their base - not appealing to alleged "center".
Wednesday, April 27, 2011
Economic Recovery
Some comments about the slow economic recovery:
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