At Realclearpolicy by Stephen Moore --
After the election of Ronald Reagan in 1981, the U.S. Economy experienced one of its greatest booms in history. The growth rate averaged nearly 4 percent for seven years 1982–89. And the stock market rose from less than 1,000 on the Dow to more than 10,000 over the next two decades. This was a period of wealth and job creation that the nation and middle class had seldom seen before. All the liberal critics wrongly said it could not and would not happen.
Now the question is: Could it happen again in this era of massive government debt, meager growth, and flatlined incomes for the middle class? The answer is “yes.” With the right set of policy fixes, we can see a return to wage gains, higher profits (which means a bull run on stocks), and rapid growth in output.
Since the end of the recession, economic growth has averaged an anemic 2 percent, producing the weakest “recovery” since the Great Depression. Over the past year, growth has slowed to an even more anemic 1.5 percent. This is barely staying out of recession. America can do much better.