November 29, 2012

Chart of the Day: Our Economy’s Real Problem

Get your news from a source that’s not owned and controlled by oligarchs. Sign up for the free Mother Jones Daily.

Here’s some grim news, courtesy of Brad DeLong. We all know that the economy is operating well below its potential, a problem that congressional Republicans, to their eternal dishonor, are flatly unwilling to allow anyone to deal with. But things are worse than that: the economy’s potential has been going down too. The chart below shows the evolution of the CBO’s estimate of potential GDP between 2007 and now 

Add up both the drop in potential GDP and the fact that we’re operating well below even that, and the American economy is running at about $2.5 trillion under its forecast from only a few years ago. Congressional action probably can’t fix this entirely, but it could sure fix a lot of it. It’s scandalous that we’re wasting our time talking about invented nonsense like Benghazi and the fiscal cliff instead.

DECEMBER IS MAKE OR BREAK

A full one-third of our annual fundraising comes in this month alone. That’s risky, because a strong December means our newsroom is on the beat and reporting at full strength—but a weak one means budget cuts and hard choices ahead.

With only days left until December 31, we've raised about half of our $400,000 goal—but we need a huge surge in reader support to close the remaining gap. Whether you've given before or this is your first time, your contribution right now matters.

Managing an independent, nonprofit newsroom is staggeringly hard. There’s no cushion in our budget—no backup revenue, no corporate safety net. We can’t afford to fall short, and we can’t rely on corporations or deep-pocketed interests to fund the fierce, investigative journalism Mother Jones exists to do. That’s why we need you right now. Please chip in to help close the gap.

DECEMBER IS MAKE OR BREAK

A full one-third of our annual fundraising comes in this month alone. That’s risky, because a strong December means our newsroom is on the beat and reporting at full strength—but a weak one means budget cuts and hard choices ahead.

With only days left until December 31, we've raised about half of our $400,000 goal—but we need a huge surge in reader support to close the remaining gap. Whether you've given before or this is your first time, your contribution right now matters.

Managing an independent, nonprofit newsroom is staggeringly hard. There’s no cushion in our budget—no backup revenue, no corporate safety net. We can’t afford to fall short, and we can’t rely on corporations or deep-pocketed interests to fund the fierce, investigative journalism Mother Jones exists to do. That’s why we need you right now. Please chip in to help close the gap.

We Recommend

Latest

Sign up for our free newsletter

Subscribe to the Mother Jones Daily to have our top stories delivered directly to your inbox.

Get our award-winning magazine

Save big on a full year of investigations, ideas, and insights.

Subscribe

Support our journalism

Help Mother Jones' reporters dig deep with a tax-deductible donation.

Donate