October 07, 2012

President Romney?

Why a President Romney would have Obama to thank for an economic recovery 

"Romney is widely considered to have won Wednesday night’s presidential debate by attacking Obama’s economic record and promising, if elected, to restore job growth and middle-class incomes. The irony is that, if Romney wins the election and the economy rebounds on his watch, much of the recovery will be due to efforts undertaken during the Obama administration.

Every president faces two painful, immutable truths about the economy: First, he has far less influence over it than voters think. Second, even when his actions make a difference, it is often not felt until after he’s left office."

People seem to underestimate the depth of the current "financial crisis" and the time it takes to recover from From a "financial crisis".  A recessions caused by a "financial crisis" failure of the financial system take longer to recover from. The best news it that we are not in a depression.

First graph show percent unemployment for all recent recessions.  The current one if far deeper and longer than any the other recessions.

Many countries have experienced recessions caused by "financial crisis". Recovery takes a long time.  Relative to other countries that experienced "financial crisis", the U.S. is currently fairing fairly well.  

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