The Great Recession Drags On

[Today’s edition of Rick’s Picks continues with a new format that replaces the customary daily essay with a question concerning some important issue of the day that readers can discuss and debate until the conversation grows tired. RA]

The Powers That Be would have us believe that the U.S. economy has been recovering for the last several years. In fact, for most Americans The Great Recession of 2007-09 never ended. The term “Great Recession” itself has come to be used mainly by pundits and news anchors who wish to imply that, more than three years after the recession officially ended, its effects are still very much with us. Growth has averaged less than 2% over that time – the feeblest recovery on record – and median household income has actually fallen by $2718, or 5%, in real terms.

This is especially troubling, considering the colossal size of the monetary and fiscal stimulus attempted so far. So feeble have been the results that even economists — as optimistic a bunch of useful idiots as the White House could have on its side — are predicting that second-quarter growth will be even slower than the anemic 1.8% achieved in Q1.

What say you, readers? Here are some questions to consider:

Was the recovery never more than a bunch of statistical lies, doomed from the start? And even if not, can it possibly take hold if payrolls and wages remain stagnant? What if the real estate market suffers a relapse, or – heaven forbid –  the stock market collapses?

Your thoughtful comments are welcome.