What Does the Election Mean for the Economy?
Republicans Win House, Democrats Keep Senate – Gridlock? Traditionally, Wall Street and big business have favored gridlock in Washington D.C. The idea is that when Republicans and Democrats are busy fighting each other, they can’t be changing the laws and regulations that businesses already know. Theoretically, any currently successful business already knows how to earn money and make a profit under the current laws, but that may not be the case under new legislation that gets passed. The devil you know, is better than the one you don’t — so to speak. But, is political gridlock good for American business this time? Is partisan fighting a good thing or a bad thing for the U.S. economy right now? Is Gridlock Good for The Economy? With the 2010 U.S. economy in a fragile state, and major changes in the form of ending stimulus funds coming in 2011, the difficult question is whether the Republican takeover of the House of Representatives a bad thing for the economy, or is it good for the economy that Democrats have lost the House. The major concern to look for in 2011 is the end of stimulus spending and other U.S. Government spending to bolster the …