Gloomy Growth

GDP growth remains weak a decade after the start of the Great Recession. It’s not because the recession was caused by a financial meltdown, but because labor force growth is weak due to slowing population growth, educational attainment is plateauing, and corporate spending is feeble. Combined, these negative influences will keep GDP growth at less than 2%/year for the foreseeable future, as opposed to historical GDP growth of over 3.0%/year.