(Gallup Chairman's Blog) Jim Clifton–On The U.S. Economy, let's Stop Kidding Ourselves

Americans aren’t looking for part-time, crappy jobs, and they aren’t looking for more free time to paint or read. They want the respect and dignity of a full-time, good job. The problem is, U.S. adults with full-time jobs as a percentage of the U.S. adult population right now is 42% — the lowest monthly average since Gallup started our Payroll to Population (P2P) metric in March of 2011.

GDP growth continues to fail expectations. Many economists, both left- and right-leaning, predicted U.S. GDP would grow 3% last year. It only grew 1.9%, which was even worse than the 2.8% growth in 2012 — so the pie shrunk. Now we’re seeing predictions of 3% growth this year. Here is the big question: Based on what?

Seriously, what is driving the upbeat predictions this time? A technology boom we haven’t yet heard about? Automobile exports? Fracking? The return of manufacturing jobs? Millions of “shovel-ready” government projects?
Reality check: The three most important indicators to watch in gauging whether or not America will ever recover from the 2008 financial crash are: if business births begin to outnumber business deaths again, the steady growth of full-time jobs as a percent of the population (P2P), and significant GDP growth.

On all three indicators, America is failing this morning.

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Posted in * Economics, Politics, * International News & Commentary, America/U.S.A., Economy