See the following graph for the US GDP % growth for the last 10 years:
I’d say we have a good baseline of what an economy can do under intense government regulation and it’s nothing to write home about – around 1% GDP growth per quarter.
Now bookmark this site and let’s check back in about 6 months.
Economics are driven by many factors but expectations are a big part. If a company is expecting a future of diminished growth then they’ll tighten their belts and react accordingly but if a company is expecting opportunities then they’ll expand and invest in capital.
Companies have been hording cash and investment capital has been sitting on the sidelines for 8 years now as we have struggled through the Obama/Pelosi/Reid years and I expect that potential energy will turn kinetic very quickly.