Saturday, April 3, 2010

Economic recovery and an outlook on it.


Looking at this graph, one could deduct that The United States is in fact getting back to it's normal bearings; from the steep downfall under the last administration, to the almost hiccup free recovery made by the current administration. The direction the Obama Administration is taking us is up, and to think otherwise is to ignore the facts. Whether this was was taking too long, or not, is not something that boils down to a semantic argument that in the grand scheme of things, does not matter. The United States is one of the largest countries in the world; of course the economy was not going to recover overnight. Something as fragile as rebuilding an economy is not done, and should not be done, without patience and care. This situation could have been a lot worse; for instance, like lining up at the bread truck for food, or forced rationing of materials.
Believing that stimulus was and is working, is the right idea. Most partisan parrots may want you to believe otherwise, but in reality they are only lying to you. If you look at the dates of stimulus spending, and the dates on the chart above, you can see that with the upturns of the economy came payouts from the stimulus. With most stimulus payouts still left to be received, the economic recovery act is only half way on it's intended course. By election time come November, you will be seeing a much better picture. Unemployment may still be high, but again it will come down in time. When President Obama hits the campaign trail, in 2012, you can bet the unemployment number with be much lower.

In a little more than a year we have gone from the worst recession in 75 years, to this point. The 10% unemployment number will be going down, but people need to understand that in a capitalistic society you must stabilize the economy first. The companies who do the hiring must be stabilized, before the subsequent jobs start to appear. The people may want it the other way around, since it's bad businesses that caused this mess to begin with, however it's just not in the cards.

In closing let me offer you a word of advice.
Take a deep breath, exhale, and stop letting your worries get the best of you. It's getting better, the numbers do not lie. We have broken the back of the great recession, and before the next Presidential election you can be assured things will be a lot better.

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