[CARTOON] The Obama Recovery

Via: Western Journalism

Obama's Economy Hits His Voters Hardest

Stephen Moore: Obama's Economy Hits His Voters Hardest
Young people, single women and minorities have fared the worst during the past four years.
By STEPHEN MOORE, Wall Street Journal

For better or worse, a truism of American politics is that voters vote their pocketbooks. Yet according to a new report on median household incomes by Sentier Research, in 2012 millions of American voters apparently cast ballots contrary to their economic self-interest.

Each month the consultants at Sentier analyze the numbers from the Census Bureau's Current Population Survey and estimate the trend in median annual household income adjusted for inflation. On Aug. 21, Sentier released "Household Income on the Fourth Anniversary of the Economic Recovery: June 2009 to June 2013." The finding that grabbed headlines was that real median household income "has fallen by 4.4 percent since the 'economic recovery' began in June 2009." In dollar terms, median household income fell to $52,098 from $54,478, a loss of $2,380.

What was largely overlooked, however, is that those who were most likely to vote for Barack Obama in 2012 were members of demographic groups most likely to have suffered the steepest income declines. Mr. Obama was re-elected with 51% of the vote. Five demographic groups were crucial to his victory: young voters, single women, those with only a high-school diploma or less, blacks and Hispanics. He cleaned up with 60% of the youth vote, 67% of single women, 93% of blacks, 71% of Hispanics, and 64% of those without a high-school diploma, according to exit polls.

According to the Sentier research, households headed by single women, with and without children present, saw their incomes fall by roughly 7%. Those under age 25 experienced an income decline of 9.6%. Black heads of households saw their income tumble by 10.9%, while Hispanic heads-of-households' income fell 4.5%, slightly more than the national average. The incomes of workers with a high-school diploma or less fell by about 8% (-6.9% for those with less than a high-school diploma and -9.3% for those with only a high-school diploma).

Via: Fox News

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[VIDEO] The 5% recovery: Why most are still in recession

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What housing recovery?

Shari Olefson, author of "Foreclosure Nation," and Tanya Marchiol, CEO of Team Investments, discuss the decline in recent housing data and what it indicates about the recovery.

How strong the economic recovery has been since the Great Recession ended in 2009 probably depends on viewpoint.

For those in the top 5 percent, the recovery has been pretty good.

As for the other 95 percent, well ... maybe not so much.

Post-financial crisis wealth disparity has been well-chronicled.

Federal Reserve Gov. Sarah B. Raskin drew widespread attention with this speech in April that showed how poorly the lower income levels have fared during the recovery, particularly because those demographics have their wealth concentrated in housing and are hit far more severely by falling prices.

The unemployed in lower-income groups also take a hit because they have a more difficult time finding jobs that pay at a rate commensurate with the positions they lost.

(Read more: Jobless picture is worse than you think: Gallup)

Finally, history has shown that highly accommodative monetary policy widens income disparity by awarding speculators and penalizing savers. While the S&P 500is up nearly 150 percent since the March 2009 lows, that's most helped those heavily invested in stocks.

Via: CNBC

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Chart of the Week: Slowest Economic Recovery Since the 1960s

Americans could be waiting another five years for a return to normal employment based on the sluggish pace of the U.S. economy. After nearly four years in office, President Obama has overseen the worst recovery since the 1960s.

Via: The Foundry

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THE BIG FAIL: Four Years Of Obama Has Left America Facing A Cruel New Normal Of Chronic Unemployment And A Stagnant Labor Market

OBAMA CAME INTO OFFICE PROMISING A RECOVERY BUT NOW ASKS FOR ANOTHER FOUR YEARS AFTER FAILING TO LOWER THE UNEMPLOYMENT RATE

“Obama, Who Came Into Office Promising To Bolster The Middle Class And Reduce Inequality, Has Presided Over A Turbulent Economy That So Far Has Done Neither.”“Analysts call continuing high levels of joblessness a prime factor in the income and wealth declines that have continued for most Americans even after the recession ended. Obama, who came into office promising to bolster the middle class and reduce inequality, has presided over a turbulent economy that so far has done neither.” (Michael A. Fletcher, “Obama’s Record: Struggling To Bring Back Jobs,” The Washington Post, 10/18/12)

Since Obama Took Office, The Unemployment Rate Has Increased From 7.8 Percent To 7.9 Percent. (Bureau Of Labor Statistics, Accessed 11/2/12)

• Obama’s Advisers Predicted The Stimulus Would Lower Unemployment To 5.4% By Today. (Christina Romer and Jared Bernstein, ” The Job Impact Of The American Recovery And Reinvestment Plan,” 1/9/09)

• James Pethokoukis: “10.6%: Unemployment rate if labor force participation rate was the same as when Obama took office” (James Pethokoukis, Twitter Feed, 11/2/12)

Since Obama Took Office, The Nation Has Lost 1,019,000 Construction Jobs And 586,000 Manufacturing Jobs. (Bureau Of Labor Statistics, Accessed 11/2/12)

• In October, Motor Vehicle And Parts Manufacturers Lost 2,100 Jobs. (Bureau Of Labor Statistics, Accessed 11/2/12)

There Are 23 Million Americans That Are Unemployed, Underemployed Or Marginally Attached To The Labor Force. (Bureau Of Labor Statistics, Accessed 11/2/12)

• In October, The Number Of Unemployed Workers Increased By 170,000 To 12.26 Million. (Bureau Of Labor Statistics, Accessed 11/2/12)

There Are 8.3 Million Americans Working Part-Time For Economic Reasons. (Bureau Of Labor Statistics, Accessed 11/2/12)

• 813,000 Discouraged Workers Have Given Up Looking For Work. (Bureau Of Labor Statistics, Accessed 11/2/12)

In October, The Unemployment Rate For 20 To 24 Year Olds Increased To 13.2 Percent From 12.4 Percent. (Bureau Of Labor Statistics, Accessed 11/2/12)

In October, The Hispanic Unemployment Rate Increased From 9.9 To 10.0 Percent.(Bureau Of Labor Statistics, Accessed 11/2/12)

• The African American Unemployment Rate Increased From 13.4 Percent To 14.3 Percent. (Bureau Of Labor Statistics, Accessed 11/2/12)

Via: GOP.com

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STUDY: RECOVERY FOR BURGER-FLIPPERS ONLY

According to new analysis of unemployment data by the National Employment Law Project, while 60 percent of the jobs lost during the 2008-2009 financial crisis were in middle income occupations, the vast majority – 58 percent – of jobs created under President Obama are low-wage. Those jobs include “retail sales, food preparation, home health and customer service.”

“The recovery continues to be skewed toward low-wage jobs, reinforcing the rise in inequality and America’s deficit of good jobs,” said the author of the study, Annette Bernhardt. “While there’s understandably a lot of focus on getting employment back to pre-recession levels, the quality of jobs is rapidly emerging as a second front in the struggling recovery.”

Just half of US adults are currently middle class.

Via: Breitbart

Study: Most Jobs In ‘Economic Recovery’ Are Low Paying

Lower-paying jobs, with median hourly wages from $7.69 to $13.83, made up about 58% of the job growth from the end of the recession in late 2009 through early 2012.

WASHINGTON — Whereas 6 in 10 jobs lost during the Great Recession paid mid-level wages, the majority of jobs created in the recovery — positions such as store clerks, laborers and home healthcare aides — pay much less, according to a new study.

The findings highlight concerns about a shrinking middle class and pose another obstacle to getting the economy back on track, said Annette Bernhardt, policy co-director at the National Employment Law Project, which conducted the study.

"The recovery continues to be skewed toward low-wage jobs, reinforcing the rise in inequality and America's deficit of good jobs," she said. "While there's understandably a lot of focus on getting employment back to pre-recession levels, the quality of jobs is rapidly emerging as a second front in the struggling recovery."

Lower-paying jobs, with median hourly wages from $7.69 to $13.83, accounted for just 21% of the job losses during the recession. But they've made up about 58% of the job growth from the end of the recession in late 2009 through early 2012.

Those jobs have been concentrated in three industries: food services, retail and employment services, such as office clerks and customer service representatives, the study found.

In contrast, mid-wage occupations with median hourly wages from $13.84 to $21.13 — jobs such as construction workers, real estate brokers and data entry clerks — have accounted for just 22% of the new jobs in the recovery after making up 60% of the job losses in the recession.

Higher-wage occupations, with median hourly pay above $21.13, accounted for about 19% of the recession job losses and have made up about 20% of the jobs gained in the recovery, the study said.

The study covered jobs created from the first quarter of 2010 through the first quarter of 2012.

The recession and its aftermath have exacerbated a three-decade trend of growing wage inequality fueled by a shrinking number of mid-wage jobs, the study said.

Since the first quarter of 2001, employment in mid-wage jobs has decreased 7.3%. Meanwhile, lower-wage jobs have grown 8.7% and higher-wage jobs have increased 6.6%.

"The economy has fewer good jobs now than it did at the start of the 21st century," said Bernhardt, the study's coauthor.

She said there was no "single magic bullet" to reverse the trend.

But Washington officials could help improve the situation, Bernhardt added, by extending unemployment benefits, raising the minimum wage and enacting policies to stimulate job growth in highway construction and other infrastructure work, as well as helping prevent layoffs of teachers, police officers and firefighters.

Via: LA Times

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