Investor Wilbur Ross recently told CNBC that Donald Trump "represents a more radical new approach to government that the nation's economy desperately needs." He's right. Trump seeks an overthrow of the establishment. He's a disrupter. Just what we need to fix the economy.
The situation is that desperate.
The last 15 years of economic policy, especially the last eight years, represent a relapse that harks back to the 1970s. Now, like then, we have a high-tax, high-spend, high-regulation, Fed-pump-priming, standard-less dollar-manipulation policy mix. In general, it's a government-planning approach in the U.S. and around the world.
We've not experienced high inflation in recent years, but that's not because the Federal Reserve hasn't tried hard enough. Meanwhile, all the quantitative easing, bond buying, and interest-rate fixing did not succeed.
It's been a Keynesian mishmash. Gigantic federal spending and infrastructure building (remember "shovel ready jobs"?). Overtaxed investors, successful earners, and large and small businesses. Overregulated banks, energy, businesses, and health care. None of it worked. Whatever happened to those government-spending multipliers? Never happened.
The economy has barely recovered from the so-called Great Recession, with a 2-percent annual rate of growth since mid-2009. Peak worker wages, business investment, and productivity all occurred around the year 2000.