Hoisington's Hunt believes that the recent tax increase is going to put a significant drag on U.S. GDP at the same time household income has dropped to its lowest point in 20 years. Meanwhile, Hunt notes that since 2000 the U.S. economy has had its second lowest GDP growth rate of any decade since 1790.
As for what the cause of this economic slump is, Hunt points to the excessively high level of government debt. According to Hunt, when government debt exceeds 100% of GDP bad things happen.
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As for what the cause of this economic slump is, Hunt points to the excessively high level of government debt. According to Hunt, when government debt exceeds 100% of GDP bad things happen.
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