In a major affront to the green energy policies and politics, the 50% decline in the cost of a barrel of oil has done more for the economy than Obama was able to accomplish with 6 years of Socialism and Keynesian economics.
AAA estimates that in auto fuel alone $ 14 Billion was returned to the end users for them to go ahead and spend on other things! The multiplying factor of this real capitalism based stimulus accounted for much of the growth. Add to that the amount returned to the end user through decreased home heating and cooling costs and we are experiencing real capitalistic growth.
The Presidents Socialistic version of stimulus, $857 Billion, barely kept the countries head above water. It is because the government’s version creates money out of thin air, thus immediately lowering the value of the Trillions of dollars in the hands of our citizens. Instead of encouraging spending by the populous, they dig in deeper to try to preserve their dwindling Equity. Compound that by giving much of the money out through Crony Capitalism (Socialism/Communism) deals with major political friends and allies such as Solyndra, or the construction unions where the money disappeared back into the political coffers of the rulers.
Don’t get too comfortable though, the numbers are still basically horrible. We have the lowest labor participation rate in 30 plus years. That can be stated another way, the 50 million or so additional citizens we have added in the past 30 years have been unable to find a job!
The situation will return to recession like conditions as soon as OPEC and the US Producers settle this production dispute. Seems OPEC is ticked that the American Producers have been successful at increasing domestic supply in spite of Obama Administration Green policies that put up obstacles at every turn. This has resulted in a glut of oil on the markets, causing the price to plummet. OPEC will eventually adjust their outputs as soon as the Americans agree to slow down some of their production. The price will eventually get back to somewhere halfway between $50 and $100 a barrel.
At that time energy prices will again rise, slowing growth. It will be even worse if the Politicians take advantage of the temporary lowering of prices to institute further taxation on energy.
Work Hard Have Fun!