When we heard last week that the recession had ended in June 2009, many Americans laughed aloud – I guess we didn’t get the memo. But, the sad truth is that the recession is over, and what we are experiencing right now is what economic growth looks like under the burdens of Obama-Pelosi-Reid big government.
While recessions are typical, so is robust economic growth following; but Obama’s “Summer of Recovery” has produced pathetic GDP growth of less than 2% with the Unemployment rate still tickling the 10% mark.
The risk-takers who drive economic growth may have been in hiding in 2008 and 2009 due to uncertainty about the future, but with the passage of Obamacare and the looming expiration of the Bush tax cuts, capital is now in hiding (or flight to foreign markets) because of certainty, certainty that the burdens imposed by government have dramatically altered the risk-reward proposition against investing in business expansion in the USA.
Here’s a memo to Obama-Pelosi-Reid: It’s the big government, stupid!