Q. Are Labor Laws, ObamaCare and out of control spending preventing a recovery?
A. Yes, just like they're supposed to.
The question and answer implies that we would be in a robust rebound without those three items. A basic understanding of economics and history would answer "No."
The reason is because a basic understanding of economic history tells us that a collapse in an asset bubble is followed by weak and anemic growth as it takes time to wipe out the excess capacity built during the asset bubble. It wouldn't matter if the most pro-growth government was in office, low taxes and low regulation aren't going reduce the excess capacity in the economy. This is why the last recovery under President Bush was the weakest since WWII. The collapse of the Tech Bubble lead to excess capacity in the economy, of which only time is the ultimate cure as excess capacity gets absorbed back into the economy.
As for labor laws, Obama care and "out of control" spending, a better question would be are they inhibiting a recovery? You have to answer each one separately.
Labor laws - They aren't helping but are mostly inconsequential. Current labor problems are nothing compared to the industrial action of the three decades after the war, a time which saw robust growth. Besides, corporate profits as a share of GDP are near all-time levels. Anteing up a few bucks more to workers who have seen their incomes stagnate over the past decade isn't going break corporate America. So the idea that somehow a few scraps at the LRB are going to send this chill throughout the economy is pretty silly.
Obamacare - Almost certainly, given the uncertainty they are causing businesses.
"Out of control spending." - Most of the increase in spending is due to automatic stabilizers in the economy which kick in when the economy slows. As we all learn in Econ 101, GDP=C+I+G+NX. When G goes up, so does GDP. In a recession, there is no evidence (at least not that I'm aware) that when G goes up, there is a crowding out affect which would cause C or I to go down. That may occur when the economy is running full-throttle, but not when there is excess capacity in the economy.
So, anyways, I apologize for being so long-winded answering a thread which is meant to evoke political bromides and shallow answers no longer than three sentences.
