Saturday, Nov 28th

Last update12:32:43 AM GMT

You are here News Politics Welcome to the Tea Party's Austerity Recession

Welcome to the Tea Party's Austerity Recession

E-mail Print PDF

Tea Party austerityOn Monday, the House finally passed a deal to raise the debt limit after weeks of wrangling with a cadre of reactionary, Tea Party-endorsed lawmakers. The measure, which will force some serious cuts to public spending, is expected to easily pass in the Senate. When it does, a painful second "dip" into recession becomes far more likely -- all the conditions are there.

Last week, a depressing report on economic growth caught many observers by surprise. The take-away was that gross domestic product (GDP) – the measure of economic activity within our borders – has been growing at a snail's pace in the first half of this year -- far slower than analysts had predicted. Researchers at the Federal Reserve tell us that since 1947, about half of the times we've had six months of growth as weak as we've seen in 2011, the economy sank into recession in the following year.

But many of those slow periods occurred in a different era; today, with Washington obsessed with cutting spending, the chances are certainly greater than 50/50.

We got into this recession when the American people lost not only jobs, but also $14 trillion in wealth during the crash, and pulled back on spending as a result. But we're stuck treading water, two years after the “recovery” officially began, in large part because of the age of austerity – due to cuts forced on us by this misguided and shortsighted view that large deficits are a cause, rather than an effect, of the downturn.


Most Recent Related Stories...

Black Pastors To Trump: Our Meeting Is Not An Endorsement

Black pasters not endorsing TrumpSeveral members of a group of prominent African American ministers scheduled to meet with Donald Trump...

New York Times slams Trump's mocking of reporter as 'outrageous'

Donalt TrumpDonald Trump has added a new item to his growing list of presidential campaign firsts: mocking...

Donald Trump's denial challenged by reporter

Trump knew reporter"Somebody at the financially failing and totally biased New York Times said that, over the years,...

Kentucky Governor Restores Voting Rights To Nonviolent Former Felons

Beshear- Kentucky Gov. Steve Beshear (D) signed an executive order on Tuesday that would automatically restore...
America's # 1 Enemy
Tee Shirt
& Help Support!
TVNL Tee Shirt
Conserve our Planet
& Help Support!
Get your 9/11 & Media
Deception Dollars
& Help Support!
The Loaded Deck
The First & the Best!
The Media & Bush Admin Exposed!