In response to:

Economy Shrinks Due to Military Cuts

elko-mike Wrote: Jan 30, 2013 1:08 PM
Government IS the economic problem. Liberals grant that weak consumer demand is causing the sluggish growth. Great. What does that tell us? According to the Law of Supply and Demand, the prices of goods and services are too high. OK, but ... ? The total government burden (spending, regulations, & mandates) of all levels of government on the economy is roughly 50% of economic output. Thus, 1/2 of the price of EVERY good we buy or service we use is consumed by the government. In effect government is doubling the price of goods and services. If the price of everything is doubled by government intrusions then we can expect a sluggish economy. It must be that way.
elko-mike Wrote: Jan 30, 2013 1:11 PM
But wait there's more. Adding to the existing burdens are regulations for the environment, banking, and healthcare. Kaching. In addition, as Obamcare kicks in my envelope tells me that government spending must increase to roughly 30% of GDP from its 24% of GDP. Kaching. If the new immigration reform bill passes millions will be added to the social safety net. Kaching.
So 2% GDP growth is NOT the new norm. It is a way point on the way to Greece and then an economic calamity.
A release from the Bureau of Economic Analysis today surprised analysts when the top-line number showed that the economy shrunk in the last quarter of 2013 by a slight 0.1%. While small, it was unexpected. This marks the first time the American economy has shrunk since the end of the 2008 recession.

Real gross domestic product -- the output of goods and services produced by labor and property located in the United States -- decreased at an annual rate of 0.1 percent in the fourth quarter of 2012 (that is, from the third quarter to the...