Author: David

Lyndon LaRouche’s concise 2014 policy document entitled, “Four New Laws for the USA Now: Not an Option, an Immediate Necessity!” outlines the basis for mankind to progress forever. No more economic recessions! This video covers LaRouche’s ‘Four Laws’ rooted in Alexander Hamilton’s original guiding economic principles for the USA: Glass-Steagall, National Banking, Federal Credit for improving productivity and a crash program for fusion power. The major political shifts occurring around the world, including the election of Donald Trump in the United States, reflect an international shift away from the broken and rotten system of the trans-Atlantic, towards the exciting new paradigm of economic and scientific progress coming from China and Russia. Lyndon LaRouche’s “Four Law” policy is the means to reverse the economic decline of the Bush and Obama presidencies and join Russia and China to develop an entirely new paradigm of cooperation between nations. Jason Ross of the LaRouchePAC Science Research Team (aka. The Basement) discusses how we can implement LaRouche’s concepts in the United States today.

The U.S. Council on Competitiveness (USCC) and the Gallup Organization have published a economists’ study, entitled “No Recovery: An Analysis of U.S. Long-Term Productivity Decline.” As USA Today aptly headlined its coverage of the report: “Maybe the Obama Recovery Wasn’t a Recovery After All.”

Specifically he USCC study concluded that for the past 15 years, per capita GDP in the American economy has grown at an annualized rate of just 1%, and that it is growing at just half that rate since the 2008 financial crash.

In addition, U.S. multi-factor productivity has grown at a very low 0.4% annualized rate over the past decade. Multi-factor productivity attempts to measure the efficiency with which factories or other productive facilities use additional labor and additional capital investment; it is an approximation of the lift to the economy of invention and technological progress. This measure’s contribution to U.S. productivity growth was at 3.0-3.5% annually during the years from FDR’s to JFK’s presidencies; the 0.4% of the Obama years (and several years of the George W. Bush Administration) is a far cry from that.

The USCC report also finds that “Exports as a share of GDP increased from 11.5% in 2007 to 12.6% in 2015,” even though globally, growth was slowing down. Thus, the global slowdown was not what was dragging the U.S. economy; rather, a lack of real economic demand in the U.S. economy itself is indicated. Demand for private investment has fallen, and business capital investment has fallen, they imply, as a result.

The report quotes Yale economist and author Robert Gordon that “the quality of inventions has fallen.” “Gordon argues that advances [inventions, new technologies–ed.] since 1970 have tended to be channeled into a narrow sphere of human activity having to do with entertainment, communications, and the collection and processing of information,” the report says. “For the rest of what humans care about — food, clothing, shelter, transportation, health, and working conditions both inside and outside the home — progress slowed down after 1970.” Thus, the introduction notes, “There is a pervasive sense that the economy is not working, as documented in Gallup survey data and many anecdotal media accounts.”