It drives me nuts that after the better part of a decade we are still calling it a “recovery.” It just shows how slow and painful it has been that we have not yet “recovered.” But against that backdrop, Wisconsin is faring pretty well.
As it turns out, Wisconsin’s economic performance in its recovery, “has actually been pretty good compared to the rest of the country,” Koskinen said.
And although the recovery nationwide is the fourth longest recovery since the end of the Second World War, at around 79 months, or six and a half years, the good news is that we’re starting to see the impact of the recovery.
“It’s been a slow decline,” Koskinen explains, “but US unemployment has dropped to about 5 percent.” The average of about 2 percent of real growth has been led by two major factors: recovery of business investments and exports.
What has not been a part of the economic recovery is government spending.
“We’re winding down defense spending, domestic spending in terms of what the government really buys — people, aircraft carriers, highways, buildings, the government is buying less of all of it.” Koskinen speculates that it may be spending in other areas, be it on debt or entitlements.
Notice that last excerpted comment. Yes, our government is spending more than ever, but the portion of it that goes into buying things is on the decline. We are shrinking our military and neglecting our infrastructure. Where is all of the money going? Entitlements, Obamacare, etc.