You'll be in a massive headwind.

The only reference to government in his paper is not even to this stabilizing role. Rather, it is to the asserted headwind represented by the very debt incurred to prevent the global financial crisis of 2008 from triggering a second Great Depression.

In the US, the disruption took the form of yet another fiscal mini drama. With a dysfunctional Congress again letting down the American people, the country is now on the receiving end of a budgetary sequester another self manufactured headwind to economic growth, job creation, and progress on reducing income and wealth inequalities.

Yes, UK growth has been slightly slower, but the British economy has also faced, among other factors, the headwind of sharply falling North Sea oil production during this period, whereas the US benefited from a shale oil boom. Obviously, neither of these long term trends can be fairly attributed to the governments currently in office.

In recent speeches, US Federal Reserve Chairman Ben Bernanke and Vice Chair Janet Yellen have described fiscal policy at the local, state, and federal levels as a powerful headwind slowing the economy s return to full employment. In the year after the recession ended, discretionary spending at the federal, state, and local levels boosted growth at about the same pace as in previous recoveries.

Such an outcome would have three profound implications for the economic outlook First, since consumer demand still accounts for 71 of real GDP, a protracted shortfall in trend consumption represents a major headwind for overall US economic growth. While misguided Washington policymakers would like nothing better than for consumers to return to their old risky ways and start spending again, over extended American households now know better.