Well, new figures for US economic growth are out. And it turns out last quarter was not a good one.
The US economy’s annualized real growth rate for the first quarter of this year? Try a whopping 0.5%. Yes, that’s a ZERO to the left of the decimal point. And yes, that’s the annualized growth rate.
That’s the slowest quarterly annualized real growth rate we’ve seen for the US economy in 2 years.
The US economic real growth rate was so low last quarter, it was nearly 30% less than expected. And it was only expected, based on midpoint projections, to be 0.7% – which is itself abysmally bad. It also marked the third straight year with a p!ss-poor beginning, economic-growth wise.
This follows on the heels of a rather anemic fourth quarter of last year. During that quarter, in real terms the US economy grew at a “massive” 1.4% annualized rate.
It seems a cinch to say that we won’t see 3% real growth this year overall. So far, the current gang of economic idiots screwing things up by-the-numbers in DC Administration has yet to see a single year with US real economic growth at or above an annual rate of 3%. That makes the Obama Administration the first US Presidential Administration in history to fail to deliver even a single year of 3% growth. In fact, if the economic growth rate for this year doesn’t reach 2.67% (kinda doubtful at this point IMO), the Obama Administration will be the fourth-worst Administration in US history, economically speaking.
If current projections hold, the 8 year average for US economic growth under this gaggle of economically naïve tools Administration will be around 1.55% – if they’re lucky. If the economy doesn’t improve dramatically with respect to last quarter during the rest of this year, they won’t even see that.
When the US economy doesn’t grow, well, thinks kinda suck for everyone. For comparison, during the Reagan Administration, the 8 year AVERAGE for real economic growth was 3.5% per year. Gee – ya think maybe that had something to do with why it’s perceived as “good times”, economically speaking?
Predictably, the POTUS doesn’t appear to have a clue why the economy is growing so slowly, and keeps touting “low unemployment”. Well, Mr. President, let me provide you a clue or two – free.
Here’s yer first clue. The unemployment rate is dropping for two reasons. First, it’s dropping because people who want to work are becoming discouraged and ceasing to look for work. And second, your inane policies regarding social welfare programs have removed many consequences for doing so. Here’s one example: you still haven’t reinstated Clintoon’s work requirements for SNAP (AKA food stamps) eligibility since you suspended them in 2009.
When a recovery begins, the economy starts consistently growing again at a strong rate – typically a real annual growth rate of 3% or higher. When that happens, people will start looking for work again – which means the unemployment rate will spike. And the labor participation rate, a much better overall measure of economic health than unemployment, will start to rise consistently.
Right now, we’re still in Carter Administration territory on the latter. And since we haven’t seen a spike in unemployment yet, any claims that we’re “in an economic recovery” today . . . are bullsh!t.
Now, for the second clue. Regarding why the economy isn’t growing – see the title of this article. Have someone explain it to you if you don’t “get it”.
Sheesh. I will be so damn glad to see someone with a freaking clue about the economy running the show in DC. At least Slick Willie seemed to know his butt from a hole in the ground there.