Yesterday, the Commerce Department’s Bureau of Economic Analysis reported the third revision for first quarter gross domestic product–or, said in another way, the national income of the United States during the first three months of this year. It was a doosey, to say the least! The economy shrank almost three percent in the first quarter of 2014. This was the largest non-recessionary contraction in forty years! The Obama administration blamed it on the weather. Let me tell you what is really going on.
There is a direct relationship between the growth of an economy and government regulation and interference. I’m not talking about unhealthy growth, like in China, where they can export everything and where they build empty cities because they can’t afford growth to slow down–or the population will revolt. I’m talking about good-ole-fashioned economic growth based on ingenuity and entrepreneurship. When the government steps in and says, no you can’t build that power plant, improve your own property, hire anyone for a reasonable wage, or keep more than half the money you earn, the economy naturally contracts. Right now, why would you go build a new plant or start a new business? You don’t know what your taxes, energy costs, or health care costs are going to be. When an individual or corporation feels they can freely develop a new idea or exploit an opportunity, they will do it. If they feel the government will prevent them from making a reasonable return, they will not invest. It’s that simple.
We are simply hearing more dog-ate-my-homework excuses from the Obama administration. How does this affect the average American hard-working family? This is basic bottom-line, checkbook, kitchen table finance kind of stuff. This economic contraction and the slow growth to follow will directly affect Americans’ standard of living. It will directly affect your ability to get a job or keep the one you have. I have a message for all of those feel-good-cause-I-voted-for-Obama people out there. This is your payback, the result of you voting for someone without any economic or leadership experience whatsoever–a lower standard of living. I won’t even go into all of the other criminal scandals and foreign policy debacles. I’ll save those for another column. When your teenager can’t get a summer job due to a higher minimum wage, or you or your spouse get laid off because the business has to cut labor costs due to Obamacare, you can sleep well at night, I guess.
Advertisement – story continues below
I for one am really disturbed by what I’m seeing happen to my country. Six years into the Obama presidency and an anemic recovery from the recession, we have a quarter of down 3% GDP. It is truly unbelievable, and people should be rioting in the streets over this pathetic result. The only way to fix this problem we have in this country is to change our economic leadership. This will only happen by removing the socialists from power. Not only do they want to redistribute wealth, but they want to prevent its creation as well. It’s time to get to work for the November election, folks.
Photo credit: jannemei (Flickr)
Advertisement - story continues below
The views expressed in this opinion article are solely those of their author and are not necessarily either shared or endorsed by the owners of this website.
What do you think? Scroll down to comment below.