Sunday, November 4, 2012

Election 2012 - There has been no Recovery

(updated October 2013)

I will uncover the reality the media are hiding from us.

The media are biased. They’re telling us that the Obama economic recovery is here, and that, this time, it’s real. They’re hoping that you won’t remember this is about the 20th time they’ve said this. Of course, now that the election is imminent, the media are telling us that it has been real all along, and if they can fool just enough people, for just one week, then they can get Obama re-elected.

Just like the media, the government also has a pro-government bias. We can’t trust the government’s data on inflation or unemployment because those numbers are easy to fudge, and so, they are fudged. For some data, the government no longer considers critical variables, and for other data, it no longer reports some of the data it calculates – you have to dig for it. This is no accident. The goal is to deceive us.

A few honest people must still be in the government though because, if we dig, we can find

the ratio of civilian employment to the total population

Obama Recovery (updated through 10/1/13)

FRED Graph

Clearly, employment has not recovered at all since the official beginning of the recession. Total jobs fell rapidly throughout Obama’s first year, and then stayed down for the rest of his first term, which means that new jobs have just barely kept up with population growth.

Under Obama, none of the lost jobs have been recovered.

There has been no recovery.

There has been only one point since Reagan took office in 1980 where a smaller percentage of the population has been employed, and that was at the bottom of the crash inherited by Reagan.

FRED Graph

Obama and Reagan both inherited a crash, but the difference may not be obvious, so let’s compare the Obama recovery and the Reagan recovery side by side.

Obama Recovery (updated through 10/1/13)

FRED Graph

Reagan Recovery

FRED Graph

Obama and Reagan both inherited a crash, but … under Reagan, the lost jobs immediately started coming back, and all of them came back, and they came back even faster than they had fallen! Then, many more jobs were created at a similar pace!

Whereas, under Obama, several years after the bottom, none of the lost jobs have come back.

What did Reagan do so differently than Obama?

Obama, Keynesians, Progressives, Democrats, Globalists, etc. (let’s just call them Progressives), claim that the only reason the Obama recovery isn’t stronger is because Obama must double down on the same policies. He must spend way more on economic stimulus, borrow way more from the Federal Reserve, hire more government employees, empower unions, raise taxes, regulate business even more, give even more bailouts, and make interest rates even lower.

Reagan did pretty much the opposite of Obama. Reagan’s recovery consisted of normal spending, higher interest rates at first, fewer government employees, less powerful unions, lower taxes, reduced regulation, and no bailouts.

I remember how the Reagan recovery felt like a recovery, but this feels like the stagflation of the Carter era.

Clearly, Obama’s policies are delaying recovery. There was only one other point in history where government policies greatly delayed recovery, and it was the same Progressive policies being pursued by Progressives today.

Progressives today are implementing the same failed policies of Herbert Hoover and FDR, which turned the crash of 1929 into The Great Depression.

The failed economic policies of Progressives are unconstitutional, and thus, Progressives claim they are moving forward, but progressives don’t want to move forward, they want to double down on the failed unconstitutional policies of the past. Progressives are not – progressive – they are conformists.


  1. I don't like when both Congress and Presidential branch are controlled by the same party.
    Would you agree that Republicans will take both Senate and House this time?
    Then Obama is better choice than Romney just because Obama would counter-balance Republican Congress.
    But that does not end here.
    Romney claims that US military spending should stay high. That was quite disappointing to hear and shows that Romney is not getting it.

    1. The Republicans may not take over the Senate.

      It is true that all one party is bad, but if Obama stays in, then Obamacare will not be repealed.

      Also, it is unwise for voters to reward bad behavior, failed policies, etc. I don't want to see anyone get a second term who has so clearly failed.

      We can always throw Romney out after four years.

      Ideally, a majority will wake up and vote for Gary Johnson.