Five years after the onset of the worst financial collapse in our history, we still have not recovered. President Obama used the fifth anniversary of the financial collapse to remind Americans of the “perfect storm” he inherited, and of the steps he took to save the economy from free fall, rescue the auto industry and save the financial system.
He would understandably like a little credit for the 7.5 million new private sector jobs, the passage of comprehensive health-care reform and the changes in the tax code that left those earning over $450,000 paying a bit more in taxes.
Much was done, but in the end, far too little. The economy has not recovered the jobs that were lost in the Great Recession. The rate of job creation has barely been able to keep up with new entrants into the labor force. Over 20 million people are still in need of full-time work. The top 1 percent has captured virtually all of the rewards of growth coming out of the collapse, while the majority of Americans have been left out of the recovery. Wages for most Americans aren’t keeping up with costs. The big banks are more concentrated and larger than ever. Derivatives remain a largely unregulated weapon of financial mass destruction.