Economy Slows with Massive Government Spending and Regulations

Press Release

Parker believes that the economic recovery and the restoration of jobs will not be the result of government spending, but rather private industry being relieved of high taxes and backbreaking government regulations.

The economic recovery was further weakened this spring as growth slowed dramatically to a rate of 2.4%, its worst showing in nearly a year.

Star Parker, Congressional candidate in California's 37th district, continued to remind voters that these results were the direct result of the Obama administration and congressional Democrats that remain focused on everything but jobs and the economy.

"Consumer spending slowed significantly and businesses slowed their stocking of inventory shelves from April through June," Parker remarked. Financial experts supported Parker's claims and have determined that the recession is deeper than originally expected.

Investors immediately reacted with disappointment, employers showed signs of being inclined to slow any hiring plans they may have had, and doubts were raised as to whether consumers will spend enough to invigorate the economy.

Although the report released Friday did show that the economy grew at a 3.7 percent pace for the first three months this year, the economic recovery slowed for the second straight quarter, sending stock futures plummeting.

Also creating concern was the fact that most of the expansion was the result of the federal government's massive $862 billion stimulus package and increased government spending rather than from consumer spending, the consistent lifeblood of economic activity, which actually slowed over the quarter.

On its website, The Economist reported that "The result is likely to shake up the debate at the August Fed meeting and is very likely to increase the calls for new stimulus measures on Capitol Hill."

Parker believes that the economic recovery and the restoration of jobs will not be the result of government spending, but rather private industry being relieved of high taxes and backbreaking government regulations.

"When I get to Washington I will work with private industry generally and small businesses specifically to help reduce the burdens of skyrocketing corporate taxes and overreaching regulations," Parker promised.

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