Posted on 07/27/2012 8:08:54 AM PDT by whitedog57
The U.S. economy expanded at a slower pace in the second quarter as a softening job market prompted Americans to curb spending. Gross domestic product , the value of all goods and services produced, rose at a 1.5 percent annual rate after a revised 2 percent gain in the prior quarter, according to the U.S. Commerce Department.
Personal consumption expenditures are decelerating, particularly durable goods (note: households tend not to purchase Boeing Dreamliners).
The Obama Administration has embarked on a massive regulatory binge (Obamacare, Dodd-Frank, EPA, etc) which has tied the hands of business and led to the worst recovery from a recession since World War II.
With rampant regulation by the Administration and other market distortions (e.g., HAMP, HARP loan modification programs, disability, food stamps, etc), The Fed is fighting a regulatory tsunami which cannot be overcome.
Throwing gas on the fire, The Thomson Reuters/University of Michigan final index of U.S. consumer sentiment for July fell to 72.3 from 73.2 at the end of last month.
And as Zero Hedge has observed, the Obama Administration is adding $2.33 in debt for every $1.00 of GDP.
The White House just said that the economy is “moving in the right direction.” That is analogous to saying that a car in a NASCAR race going at 20 mph is “moving in the right direction.”
(Excerpt) Read more at confoundedinterest.wordpress.com ...
“Unexpectedly”
Anything that staggers and stumbles along this long is not a recovery. It is not even a recession. It is and has been for a long time, a serious depression. The wounded, bleeding victim that is America may be the last man standing when this assault by the statists finally ends (one hopes it will be signaled by the outcome of the election on November 6, 2012), but only then will the recovery begin.
It should not stop there either.
What happened to “My plan worked!”?
Just to put things in to prospective..
Rush just reported that during the “great depression” GDP grew at 9% (NINE PERCENT!!!!)...
If GDP rose at less than 2% and fedeal spending rose from 20 to 22% of GDP, doesn’t that mean we have negative real GDP growth? Just askin. What a bunch of real rocket surgeons we have running this country. Math is hard.
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