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President Obama Takes Another 'Economic Victory Lap', Tells Trump "Stop Whining"

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While The 'ever-fearful' Fed continues to hold rates at emergency low levels, President Obama proclaimed once again that "we've recovered quicker" as he took yet another economic victory lap. "I'm proud of our economic track record" he exclaimed, despite Harvard having blown that myth out of the water, before he turned his attention to Trump, talling him to "stop whining."

 

President Obama explained today...

 

  • *OBAMA ON ECONOMIC RECOVERY: FAIR TO SAY WE'VE RECOVERED QUICKER
  • *OBAMA: "I'M PROUD OF OUR ECONOMIC TRACK RECORD"

 

Which is odd, as we detailed previously, Harvward University thinks it's nothing to be proud of at all...

 

A couple of months back we posted 9 charts that, at least in our minds, debunked the myth of the "Obama Recovery" despite suggestions from the administration that any such efforts were just a futile attempt at "peddling fiction" (our original post: "These Are The 9 Zero Hedge Charts Showing "Obama's Recovery" That Angered The Washington Post").

 

Turns out that Harvard likes to dabble in "fiction peddling" as well:

 

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In a recent study entitled "Problems Unsolved and a Nation Divided" (study can be viewed in its entirety at the end of this post), Harvard University points out that, despite claims of an "Obama Recovery," in fact, the U.S. economy has continued to deteriorate in the aftermath of the "great recession." Among other things, Harvard attributes the economic deterioration to a "lack of economic strategy, especially at the federal level" and a "political system was once the envy of many nations" but has now "become our greatest liability." Below are a couple of the key conclusions:

 

America’s economic performance peaked in the late 1990s, and
erosion in crucial economic indicators such as the rate of economic growth, productivity growth, job growth, and investment
began well before the Great Recession.

 

 

 

Workforce participation, the proportion of Americans in the productive workforce, peaked in 1997. With fewer working-age men and women in the workforce,
per-capita income for the U.S. is reduced.

 

 

 

Median real household income has declined since 1999, with incomes stagnating across virtually all income levels.
Despite a welcome jump in 2015, median household income remains below the peak attained in 1999, 17 years ago. Moreover, stagnating income and limited job prospects have disproportionately affected lower-income and lower-skilled Americans, leading inequality to rise.

 

Meanwhile, Harvard points out that "pessimism about the trajectory of U.S. competitiveness deepened in 2016" for the first time in 5 years.

 

Pessimism about the trajectory of U.S. competitiveness deepened in 2016, for the first time since we started surveying alumni in 2011. Fifty percent of the business leaders surveyed expect U.S. competitiveness to decline in the coming three years, while 30% foresee improvement and 20% no change.

 

Harvard argues that one of the primary causes of the sustained economic downturn has been a lack of an economic strategy from the federal government which has instead chosen to rely exclusively on accomodative Fed policies.

 

The U.S. lacks an economic strategy, especially at the federal level. The implicit strategy has been to trust the Federal Reserve to solve our problems through monetary policy.

 

So having been shown up as a liar and a pitchman, Obama added:

 

  • *OBAMA: "I'D ADVISE MR. TRUMP TO STOP WHINING"

 

 

 

Obama: "I would invite Mr. Trump to stop whining and go try to make his case to get votes."

 

— Washington Examiner (@dcexaminer)

 

 

 

Which we presume reflects on the deplortable half of Americans who support Trump (who maybe care about the following 26 incredible facts about the economy that every American should know for the Trump-Clinton debate)…

 

#1 When Barack Obama entered the White House, the U.S. government was 10.6 trillion dollars in debt. Today, the U.S. government is 19.5 trillion dollars in debt, and Obama still has several months to go until the end of his second term. That means that an average of more than 1.1 trillion dollars will be added to the national debt during his presidency. We are stealing a tremendous amount of consumption from the future to make the economy look much, much better than it otherwise would be, and we are systematically destroying the future in the process.

 

#2 As Obama prepares to leave office, the rate at which we are adding to the national debt is actually increasing. During the fiscal year that is just ending, the U.S. government has added another 1.36 trillion dollars to the national debt.

 

#3 It isn’t just the federal government that is on a massive debt binge. Total U.S. corporate debt has nearly doubled since the end of 2007.

 

#4 Default rates on U.S. corporate debt are the highest that they have been since the last financial crisis.

 

#5 Corporate profits have fallen for five quarters in a row, and it is being projected that it will be six in a row once the final numbers for the third quarter come in.

 

#6 During the month of August, commercial bankruptcy filings were up 29 percent compared to the same period a year ago.

 

#7 The rate of new business formation in the United States dropped dramatically during the last recession and has hovered at that new lower level ever since.

 

#8 The Wall Street Journal says that this is the weakest “economic recovery” since 1949.

 

#9 Barack Obama is on track to be the only president in all of U.S. history to never have a single year when the U.S. economy grew by at least 3 percent.

 

#10 In August, the Cass Freight Index dipped to the lowest level that we have seen for that month since 2010. What this means is that the total amount of stuff being shipped around the country by air, by rail and by truck is really dropping, and this is a clear sign that real economic activity is slowing down in a major way.

 

#11 Capital expenditure growth has turned negative, and history has shown that this is almost always followed by a new recession.

 

#12 The percentage of Americans with a full-time job has been sitting at about 48 percent since 2010. You have to go back to 1983 to find a time when full-time employment in this country was so low.

 

#13 The labor force participation rate peaked back in 1997 and has been steadily falling ever since.

 

#14 The “inactivity rate” for men in their prime working years is actually higher today than it was during the last recession.

 

#15 The United States has lost more than five million manufacturing jobs since the year 2000 even though our population has become much larger over that time frame.

 

#16 If you can believe it, the total number of government employees now outnumbers the total number of manufacturing employees in the United States by almost 10 million.

 

#17 One study found that median incomes have fallen in more than 80 percent of the major metropolitan areas in this country since the year 2000.

 

#18 According to the Social Security Administration, 51 percent of all American workers make less than $30,000 a year.

 

#19 The rate of homeownership in the U.S. has fallen every single year while Barack Obama has been in the White House.

 

#20 Approximately one out of every five young adults are currently living with their parents.

 

#21 The auto loan debt bubble recently surpassed the one trillion dollar mark for the first time ever.

 

#22 Auto loan delinquencies are at the highest level that we have seen since the last recession.

 

#23 In 1971, 61 percent of all Americans were considered to be “middle class”, but now middle class Americans have actually become a minority in this nation.

 

#24 One recent survey discovered that 62 percent of all Americans have less than $1,000 in savings.

 

#25 According to the Federal Reserve, 47 percent of all Americans could not even pay an unexpected $400 emergency room bill without borrowing the money from somewhere or selling something.

 

#26 The number of New Yorkers sleeping in homeless shelters just set a brand new record high, and the number of families permanently living in homeless shelters is up a whopping 60 percent over the past five years.

 

...And did not buy stocks...

 

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