The Uninformed Voter

Even with the stock market hitting a new high, I think that there is a reasonable chance that the U.S. economy will experience a slow-down, if not a double-dip recession, this year.  The fourth quarter of last year's GNP growth has been revised up to a still-anemic +0.1% and four significant economic events have occurred since then: 1) as a result of the fiscal cliff, an increase of the tax rate on high-earners to almost 40% and on dividends to 20%, 2) an increase in the payroll tax rate on everyone by 2 percentage points, 3) the real start of the myriad taxes and regulations associated with Obamacare, and 4) the $43 billion reduction in federal spending that came with the recent sequestration.  With the continuing government spending resolution due to occur in Congress at the end of this month, there is still another element of uncertainty facing American companies ... causing them to approach any business expansion with caution

OK, given that an economic slow-down might occur, how will it be viewed by the uninformed voters in the U.S.?  Obviously, the Obama Administration will be beating the demagogic drums and blaming such a slowdown on the sequestration events.  But, as can be seen from above, three tax increases will be taking considerable money out of the economy and giving it to the government (see: Breitbart Story) whereas the sequestration might slightly ease the pressure on the Federal Reserve Bank to fund America's crippling deficits ... which, I think, might even be a plus for our economy.  And, given that this country will still be running close to a trillion dollar fiscal deficit this year and the Federal Reserve Bank will still be printing about $85 billion of monetary stimulus each month (with "quantitative easing"), by all logic an economic slowdown should not occur.  So, if and when it does as I predict, it should be fully the responsibility of the Obama Administration and its hostile business and taxing environment.

But do you think that uninformed voters will understand this logic?  Or will they give the Democrats even more (destructive) economic leverage in the Congressional elections of 2014?