GDP Revised Downward

The GDP growth for the last quarter has been revised downward from 2.5 to 2 percent. Coming out of recession that number should be 2 to 3 times that. In the clip below Rick Santelli and Steve Liesman analyze the data. When the discussion turns to the philosophical Santelli opines that he would not like to share the pain with "that bunch of knuckle heads down in Washington." Much can be made of the the failure of the Super Committee, about partisanship, about gridlock, about deeply held beliefs ad nauseam but these defects are minor compared to the inability of the executive branch to carry out the most simple tasks. Gridlock is built into our form of government by design. Better gridlock than another stimulus bill.

What depresses would be investors is the waste and incompetence of the executive branch to the point that business feels the safest course is to do nothing until there is some clarity. Sending checks to prisoners and dead people and rewarding campaign donors and special interests does nothing to promote confidence or economic growth. The Democrats are quick to point to the nearly 2 $ trillion in cash on corporate balance sheets but when even a modest investment is such as the Keystone XL pipeline is attempted; it is rebuffed. Seven billion is small potatoes as far as investments go. Apple could do a dozen such projects without having to raise cash. This administration would rather piss away money on Solyndra than to allow productive economic activity. The reason the economy won't recover is because this administration will not allow it. The only debating point is; is this deliberate or just stupidity.