After Six Years of Obamanomics: Five Things You Need to Know
Guest post by Joe Hoft
After six years of Obamanomics, here are five things you need to know:
1.) Worst Recovery Ever
When Obama’s non recovery is compared to Reagan’s, there’s no contest!
As already noted by the GWP, the Obama economic recovery is dismal when compared to Reagan’s. Ronald Reagan’s economic plan saw GDP surge at a 3.5% clip – 4.9% after the recession. That’s a 32% bump. During the Obama years, thanks to his big government policies, the US economy has stalled. The US economy has grown an anemic 9.6% during the Obama years (excluding the 1st Quarter 2015’s dismal number). With the 1st Quarter of 2015 GDP declining at -0.7% , Obama has the lowest average 1st Quarter GDP growth of any president in history. In addition, using the number of jobs recovered after the recession as the measurement, then Obama’s recovery is the worst recovery ever.
2.) Worst Labor Participation Ever
The labor participation rate since Obama took over has plummeted to rates not seen since the Carter years (see chart above). The Obama regime has set the record for more Americans not working (more than 102 million) than at any time in US history. Obama touts the unemployment rate dipping since his first years in office but all of the decline in the unemployment rate since President Obama entered office has been due to workers leaving the work force, and therefore no longer counted as unemployed, rather than new jobs being created.
3.) Record Debt and Deficits
Currently the US the government has more than $18 trillion in Debt. Obama has nearly doubled the national debt in his 6 years with it somewhere near $9 to $10 trillion when he took office. Per www.whitehouse.gov, the accumulative total for all US Deficits for all presidents combined was $11.6 trillion through the end of 2014. A closer look at the deficits shows that the Obama Administration has accumulated more in deficits in six years than all prior years combined! (Note that the debt and deficits don’t even account for the estimated $205 trillion in unfunded liabilities now owed by the government, much of which has been accumulated during the Obama administration.) How will we ever pay any of this back?
4.) Poverty, Food Stamps and Welfare Programs at Record Highs
Under Obama the poverty rate has stood at greater than 15% for three consecutive years (2010-12), the first time that has happened since the mid-1960’s. A record number of people have been on Medicaid (72 million or 1 out of 4 Americans) and Medicare (more than 47 million Americans) during Obama’s presidency. When Obama entered office in 2009, 31.9 million individuals received food stamp benefits. As of January 2015, 46 million people received food stamps for a 44% increase in food stamp usage since Obama took over and record numbers. Food stamp users had topped 46 million for 38 straight months as of January 2015. (People don’t reach out for food stamps when good paying jobs are plentiful.) Due in part to the increase in food stamps, Welfare spending (not counting social security) reached nearly $1 trillion in 2013.
5.) Assault on the Middle Class
The middle class has struggled since Obama became President. According to Reuters, Federal Reserve survey data show families in the middle fifth of the income scale now earn less and their net worth is lower than when Obama took office. Thanks to Obamanomics the American Middle Class is no longer the world’s richest. In the six years through 2013, that have spanned Obama’s tenure, middle class jobs have been slashed— whether in traditional trades like machining or electrical work, white-collar jobs in human resources, or technical ones like computer operators. Obama’s legacy includes a shrinking middle class.