Obama’s ‘‘Recovery” Remains Anemic

The Obama Administration announced that 171,000 new jobs had been created according to its October jobs report, but that the unemployment rate had ticked up to 7.9%.  Obama quickly claimed that the report showed that his policies were working, that it was not time to turn back and that he deserved four more years.  However, in the real world, Obama’s policies have caused the worst recovery since Hoover and Roosevelt used similar policies to turn a stock market event into the Great Depression.  Nonfarm payrolls remain 4.27 million below their old high.  In a normal recovery, such as the Reagan recovery of the 1980’s, that number would be much higher by this point in a recovery.   The labor force participation rate remains near an all time low, so that the unemployment rate does not look as bad as the real conditions in the economy.  “Obama Jobs Record Failed In Every Way,” Investor’s Business Daily (“IBD”), 11/5/12, p. A1.  Under Obama, 7.8 million people dropped out of the labor force and stopped looking for work.  Without the dropouts, the unemployment rate would be 10.6%.   According to the Bureau of Labor Statistics (“BLS”) since Obama took office nearly one million more workers are working part time because they cannot find full-time employment.  Id.   Nearly 23 million Americans are unemployed, underemployed or have left the work force, despite Obama’s trillion-dollar stimulus and other alleged stimulus programs.

In addition to the low labor force participation rate, only 59% of the adult population is working, which is below where it was when Obama took office, even though the percentage normally rises during a recovery. This low participation rate is a sign that Obama’s deliberate policies of encouraging dependency are working, and that the economy is not working.   People are signing up for social security disability at record levels, partly because of the poor economy and partly because the Obama Administration has lowered the standards for disability and encouraged people, who are coming off of 99 weeks of unemployment insurance, to apply for Federal disability.  Id.  Meanwhile, there has been an explosion in the number of people in poverty.  Id.  The BLS reported that those who are working have seen their real median weekly earnings drop 5% during the four years of the Obama Presidency.  Id.  Moreover, the median income of all households has dropped by 8%, hammering the middle class.  The number of people on food stamps has increased by 15 million to 47 million. “A Dire Four Years of Deficient Leadership,” IBD, 11/5/12, p. A18.  Obama’s policies have produced an anemic recovery with economic growth and job gains slower than in almost every other recovery on record.  Had Obama’s “recovery” merely matched the post-World War II average, eight million more people would be employed and the GDP would be $1.2 trillion higher. Id.

Lou Dobbs commented that in the 23 million unemployed, underemployed and no longer looking, there are now 5 million people unemployed for 6 months or more.  He also said that the average family income has gone down by some $4,900 under Obama and that there was a 1% increase in the African-American unemployment rate from 12.3% to 13.4%.  “The O’Reilly Factor,” Fox News Channel (‘FNC”), 11/2/12.   It seems that Obama’s policies have hurt the very people he claims to be helping.  Hispanic and African-American unemployment is high and going higher.  The jobless rate among black youth approaches 30%.  “A Dire Four Years of Deficient Leadership,” Id.  The price of gasoline has doubled because of Obama’s policies against fossil fuel.  Food and energy prices have gone up and health insurance premiums have gone up by $2,500 instead of down by $2,500, as Obama promised.  In addition, Obama has passed taxes on items that will hurt the middle and lower classes more than the rich.  Obama promised to cut the National debt by 50%, instead he has increased the National debt by 50% from $10.6 trillion when he came into office to over $16 trillion now.  He has put us on a path to potential insolvency.  Id.

Keith Hall, a senior research fellow at the George Mason Mercatus Center and former BLS commissioner, said, “We’re getting some growth, but it is not recovery growth.”  “Hiring Rises In Oct., Led By Low-Wage Retail, Food Service,” IBD, 11/5/12, p. A1.  He also said that monthly gains need to exceed 250,000 to qualify as recovery growth and the economy would have to expand by more than 3%.  Id.  Furthermore the concentration of jobs has been in low-paying retail and food service jobs. Id.

In his speech in Colorado Springs, Colorado, Romney referred to the economy as “stagnate” and that Obama had promised that at this time unemployment would be 5.4%.  However, Romney pointed out that Obama has fallen 9 million jobs short of that promise.  Romney continued by saying that we have almost forgotten what a real recovery looks like.  Romney stated he will limit government rather than limit Americans’ dreams.  While, if the President is reelected, he will promote government and kill jobs.  “American Election Headquarters,” FNC, 11/3/12.

Romney actually has a five point plan to get the economy growing rapidly again.  The plan includes developing our oil, natural gas and clean coal, including on Federal lands, and approving the Keystone Pipeline.  Romney will make the United States North American energy self-sufficient within eight years.  The plan also calls for actually cutting the Federal Government by 5% on day one, not just reducing the rate of growth.  He will issue waivers to every state from Obamacare, so that businesses will not be afraid to hire.  He will review all of Obama’s regulations with the view to ending the ones that hurt jobs.  Romney will support school children and their parents and not the unions.  He will support school choice, so that children can attend the schools that are successful and not be locked into the zip code school system we now have.  Id.  It is time to get a REAL RECOVERY going by electing Mitt Romney on November 6^th.