The United States is an out of control corporatocracy. On this score, things are no different under Barack Obama than under George W. Bush or Bill Clinton. This is why real wages have not increased in 40 years. This is why the male labour participation rate is at post-WWII all-time lows. This is why so many jobs are being outsourced. Yet corporate profits are now again at records despite the 16% U-6 rate of unemployment and record foreclosures.
I am cautiously optimistic about the outcome for 2011....there is little reason to think that this GDP growth will either be long-lasting or particularly advantageous for the middle classes in the United States. I hope I am wrong and that the U.S. turns toward policies which foster long-term economic growth. But, clearly there is a reason Grantham, Gross, Faber and Roach are all saying the same thing.
---Edward Harrison, Naked Capitalism and Credit Writedowns. More at source.