Obama’s failure – by the numbers

Obama’s failure – by the numbers

Rick
Moran

Jeffrey Anderson at IDB has an
excellent piece breaking down President Obama’s failures by the
numbers.

It has now been a little over two
years – and eight full economic quarters – since the end of the recession Obama
inherited. It’s time to ask: How does his record of economic growth in the wake
of a recession stack up against the records of other
presidents?

[…]

According to the NBER, in the 60
years prior to Obama’s tenure, we had 10 recessions. In the two years following
those respective recessions, average real (inflation-adjusted) quarterly GDP
growth was 5%, according to federal government figures. In the two years of
Obama’s “recovery,” average real quarterly GDP growth has been just 2.4%, less
than half of the historical norm coming out of a recession.

What’s the difference (in more
practical terms) between 2.4% and 5% growth over two years? According to Obama’s
own budget, this year’s GDP will be about $15 trillion. (It’s running neck and
neck with the national debt.) A 2.6% shortfall, therefore, equals about $780
billion over two years.

If you divide that evenly among the
U.S. population of 312 million people, that works out to a shortfall of $2,500
per person – or $10,000 for the average family of four. Call it the Obama
penalty.

Some might argue that the anemic
post-recession growth rate under Obama has resulted from his having inherited a
worse recession than most. There’s little doubt that he inherited a particularly
long (18-month) and significant recession. But the historical record suggests
that, pre-Obama, the general rule was: the worse the recession (or depression),
the better the recovery.

In other words, one would have
expected such a severe downturn to be followed by a particularly strong stretch
of economic growth. That, of course, hasn’t
happened.

To really grasp the titanic failure
of Obama’s policies, the growth numbers are most significant:

Average real quarterly GDP growth in
the two years coming out of those recessions was 6.2%. The 2.4% figure under
Obama has been a mere 39% of that – which, come to think of it, roughly matches
Obama’s current approval rating.

And strikingly, among those six prior
long recessions in the postwar era, even the lowest rate of GDP growth in the
two years to follow was 4.7%. That’s almost double the tally under
Obama.

Awesomely bad. And the most
frightening thing about Obama is that he doesn’t know what to do to fix
it.

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