Monday, Mar 19th

Last update05:20:13 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...

Kushner’s Company Regularly Filed False Work Permits in New York

Kushner company regularly filed false work records The Kushner Companies, the family business that Jared Kushner ran before joining his father-in-law in the...

Sources Contradict Sessions’ Testimony He Opposed Russia Outreach

Sources contradict Sessions claim he opposed Russian meetingU.S. Attorney General Jeff Sessions’ testimony that he opposed a proposal for President Donald Trump’s 2016...

Andrew McCabe might have one last trick he could use to save his estimated $60,000-a-year pension

McCabe has one trick left to save his $60,000 pension When Attorney General Jeff Sessions fired FBI deputy director Andrew McCabe late Friday night, the 22-year...

Trump escalates attacks against Mueller, McCabe, Comey

Trump escalates attacks on McCabe, Comey and Mueller President Donald Trump escalated his attacks Sunday against the investigation of special counsel Robert Mueller's...
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!