Jun 22 2016
It has often been suggested that Republicans are better at overseeing the economy than Democrats. However, an analysis of economic performance since World War II under Democratic versus Republican presidents shows that claims that Republicans are better at managing the economy are simply not true. While the reasons are neither fully understood nor completely attributable to policy choices, data show that the economy has performed much better during Democratic administrations. Economic growth, job creation and industrial production have all been stronger.
In fact, a recent paper by economists Alan Blinder and Mark Watson states: “The superiority of economic performance under Democrats rather than Republicans is nearly ubiquitous; it holds almost regardless of how you define success.” Fact-checking groups have investigated similar statements and have found time and time again that they are true. Moreover, past research shows that stock market returns are also higher under Democrats.
Read full article from the Joint Economic Committee Federal government site
Read JEC Princeton Report — dem vs repub on economy from Alan Blinder and Mark Watson, Princeton University
‘The Economy Does Better Under The Democrats’
Since I’m an old Democrat supporting Hillary Clinton, it might surprise you to hear that I agree with Donald Trump’s top line view of the economy.
No, I don’t agree with much that he’s said since he started his 2016 presidential campaign, and recent revelations have rightly drawn opprobrium. But since I’m also an agreeable old southerner, I’ll give credit where credit is due. Donald was absolutely right when he told Wolf Blitzer in 2004: “I’ve been around for a long time and it just seems that the economy does better under the Democrats than the Republicans.”
That’s right. Trump said out loud the same thing that Hillary Clinton has asserted—and top academics and journalists have confirmed. The same thing I’ve been compiling cold, hard government data on since 1980: By crucial metrics like GDP, job creation, business investment and avoiding recessions, the economy does a lot better with Democrats in the White House than with Republicans. Just one eye-opening example: Nine of the last 10 recessions have been under Republicans.
Democratic Presidents Manage the Economy Better Than Republicans
- Politifact truth-o-meter: Stock Market does better under Democratic Presidents than Republican Presidents
- Nine of the last ten recessions have occurred under Republican Presidents.
- Democratic presidents create nearly twice as many jobs per year as Republican Presidents.
- Republican presidents’ deficits are 25% larger than Democrats’ and 63% higher as a percent of GDP.
- GDP grows 44% faster under Democratic Presidents.
- Business investment has grown twice as fast under Democratic Presidents than under Republican Presidents.
- Forbes Guest Post (11/7/16): The Economy Does Better Under The Democrats
Review author’s economic graphs comparing Republican and Democrats on key economic indicators since 1980
Why the Economy Has Grown Faster under Democratic Presidents
For the past 64 years, since Harry Truman was first elected to the White House, Democrat presidents have presided over stronger economies than their GOP counterparts — by almost any measure of economic health.
It’s not just GDP, which Making Sen$e has shown is not always the most reliable of economic indicators. Under Democratic presidents, per capita GDP has been higher; job creation has been stronger; decreases in unemployment have been greater; the S&P 500 stock index has been higher; corporate profits have been bigger; and real wages and labor productivity have increased.
During the past 16 presidential terms, Republican presidents have presided over 41 quarters classified by the National Bureau of Economic Research as recessions. Democrats? Only eight.
If businesses and Wall Street, particularly, prosper under Democratic administrations, why has the GOP traditionally won their support? (Compare the top bundlers for Mitt Romney and Obama for a 2012 refresher.) Ignorance of this Democratic growth trend is one answer, according to the lead author of the provocative new study, just out this week. The “What’s the Matter with Kansas” syndrome — usually applied to blue collar conservatives voting on social values — is another.
