President Obama Makes History With Record-Setting Economic Turn-Around (VIDEO)
Last year we reported that President Obama had earned the title of “Best Economic President In Modern Times.” Based on all the standard economic indicators, including job growth, labor participation, economic expansion and investor confidence, President Obama had already outperformed every president in modern times, including GOP idol Ronald Reagan.
Obama’s record job-creation is unprecedented in U.S. history.
Even then, President Obama’s economy had already smashed existing records in the area of private-sector jobs creation, dragging the country back from the job-gushing economy left to us by former Republican President George W. Bush.
A year later, President Obama continues to shatter previous records for economic performance.
The US has now seen 66 straight months of job creation, the longest streak ever recorded. Over that time period, American businesses have added 13.1 million jobs to the economy. As we approach the holiday season, a time of year when jobs are routinely added to the economy, that record streak is certain to continue.
U.S. household wealth has risen in a historic way.
During the first year of the George W. Bush economic crash more than $13 trillion dollars in household wealth evaporated. Nearly 20 percent of the country’s total wealth was swallowed up, a figure which was five times higher than losses during the first year of the Great Depression.
From a historical perspective, the kind of devastating losses that gripped the United States following the Bush presidency had never been seen before, not even in the late 1920’s and early 1930’s, when the country was in the darkest days of the Great Depression. From the same perspective, no president had ever before been charged with the task of engineering a financial recovery of the magnitude that was needed to stop our country’s financial bleeding, and return the economy to a place of productivity and economic growth.
Seven years after the economic crash of 1929, household wealth remained at 30 percent below pre-depression levels. Yet in spite of the fact that the first year of the GWB recession hit Americans five times harder than the Great Depression, today total household wealth is 30 percent above what it was in 2008.
Under President Obama’s leadership, the housing market has experienced a monumental recovery.
Another record set by former republican president George W. Bush, during the first year of the Great Recession housing prices plummeted faster and farther than they had fallen during the first year of the Great Depression. Today property values, a major component to U.S. household wealth, are back to pre-recession levels and the housing market is flourishing again. 65 percent of U.S. housing markets reported an 8-year sales high in July of 2014. Construction-related jobs are also making a strong comeback, as the housing market continues to stabilize.
Again the quick recovery of the U.S. housing market following the 2008 economic disaster is another of President Obama’s historic achievements. Home foreclosures are now at a 15 year low, whereas in 2008, home foreclosures spiked by a record-setting 81 percent over the previous year, and rose by 225 percent between 2006 and 2008, as George W. Bush was leaving office.
The turn-around in Private Domestic Final Purchases, a major economic indicator, indicates a record-setting return to economic growth.
As the White House reported:
Private domestic final purchases (a combination of the largest and most stable components of GDP) contracted as sharply at the start of the Great Recession as during the start of the Great Depression. But while economic output continued to contract for years into the 1930s, our economy returned to growth in 2009, as both personal consumption and business investment started to grow again.
The republican deficit is disappearing under the leadership of President Obama.
Before we talk about the President’s historic reduction of the U.S. deficit, let’s be clear on whose deficit it actually was.
When democratic president Bill Clinton left office there was a federal surplus of $280 billion dollars, a number which was projected to grow to $5.9 trillion by 2011. Instead, republicans elected George W., who literally wiped out that surplus and then racked up a $6 trillion-dollar deficit over the next 8 years.
This 2011 chart, from the U.S. Department of Treasury, shows how George W. Bush blew through trillions of dollars like Kleenex. Although Republicans have tried to shift blame away from Bush and onto President Obama, the facts speak for themselves.
And then there’s this very telling chart, which compares the average annual deficit increase or decrease for the past 18 presidents from goliards.us.
President Obama presided over the largest four-year drop in the U.S deficit ever recorded. As Addicting Info reported earlier this week, the president continues to erase the deficit mess that Bush left behind. The deficit now stands at 2.8 percent of the GDP, a number that is statistically lower than average.
Here’s another picture of what that looks like, from usnews.com.
All of this spells bad news for Republicans.
Don’t expect to hear Republicans talking about the economic facts this election season. Historically, when voters are happy with the way the economy is going, they cast their vote toward the party in the White House.
*Featured image credit: White House (flickr)