2011 GDP Growth Is Very Weak

The chart above shows the growth of United States Gross Domestic Product (GDP) for 2010 and the first three quarters of 2011 -- and it's not good news for the U.S. economy. It shows that the growth in GDP (which is a good indicator of how strong or weak the economy is) this year has been very weak. The average annual growth for the first three quarters of 2011 was 1.167%.

Normal healthy growth for an economy is usually defined as be more than 3%. An economy that grows less than 2% is an economy in trouble, and even could easily slip back into negative growth. With an anemic growth average of 1.167% for the first three quarters, it is very doubtful that the economy can do well enough in the fourth quarter to get the annual GDP for 2011 up to the 2% mark -- even with an excellent holiday buying season (which is still questionable).

These numbers make it pretty clear why jobs are not being created in anywhere near sufficient numbers. People are not buying, and therefore the demand for goods and services is very low. The solution to this would be to pump more money into the economy by providing more money for average Americans (who will have to spend it since they are struggling to make ends meet). This would sort of "prime the pump" of the economy and create more demand. That would be good for everyone, since it would both increase profits and create jobs (thus increasing demand even more).

But that doesn't fit the Republican ideology -- which demands that money be taken from ordinary Americans (through government cuts in nearly everything) and be given to the rich (through massive new tax cuts and subsidies). They are determined to damage the economy even more, either through ignorance of real economic principles or a desire to defeat President Obama (who they hate) -- or maybe both.

As the chart above shows, the American economy is now in a very fragile state. If we want to improve it anytime soon, we must do what the American people did the last time Republican policies destroyed the economy (the Great Depression) -- vote the Republicans out of power. Considering their willingness to put ideology above reality, it is the only way.