Because of President Obama’s reckless economic policies — out-of-control spending, a regulatory surge, the threat of a trillion-dollar tax hike, ObamaCare and $5 trillion in new debt — we’re in deep trouble.
The damage can be seen in a little-watched measure known as “potential real GDP” put out by the Congressional Budget Office. It’s what GDP would be if the economy were firing on all cylinders.
According to the CBO, potential GDP annualized in the second quarter was $14.415 trillion. But the Obama economy produced just $13.549 trillion. So we’ve lost $866 billion in output — a decline of about $2,800 in every American’s standard of living. That’s Obamanomics’ real cost.
Obama’s Recovery Is A Sham, And The Numbers Show It
Posted by Jammie on Sep 28, 2012 at 9:38 am
Since GDP changes are exponential, this means that the potential over the next several years has also been reduced. Expanding at 2.5% annually from a larger base is better than expanding 2.5% from a smaller base.