Gallup CEO Jim Clifton laments this chilling trend: “For the first time in 35 years, American business deaths now outnumber business births.” As he observed in January, “Business startups outpaced business failures by about 100,000 per year until 2008. But in the past six years, that number suddenly reversed, and the net number of US startups versus closures is minus 70,000.”Facts are stubborn things.
Clifton worries gravely that “entrepreneurship is now in decline for the first time since the US government started measuring it . . . Small and medium-sized businesses are dying faster than they’re being born. So is free enterprise. And when free enterprise dies, America dies with it.”
Something else is missing these days: robust economic growth.
“Over the 6 ½ years since the recession ended in the second quarter of 2009, real GDP has grown by a total of 14.5 percent, or at an annual rate of 2.1 percent,” according to Jeffrey Schlagenhauf, a former senior adviser to the congressional Joint Economic Committee.
“Other post-1960 recoveries averaged total growth of 28.4 percent (annual rate of 3.9 percent) over the comparable 26 quarters. The Reagan recovery of the 1980s saw real GDP grow a total of 35 percent, or at an annual rate of 4.7 percent.”
Friday, March 11, 2016
The ugly truth about Obama’s ‘pretty darn great’ economy
The New York Post reports:
