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Why can’t this economy really get going?

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Historically, economies in recession enjoy a period of accelerated growth afterwards, but the U.S. economy has kept slogging along at low growth, prolonging the pain of the recession. What gives? The reasons for it are varied, but among them are the housing bust, restrained bank lending and public sector layoffs. Higher taxes will reduce GDP growth by 1.5 percent, and Eurozone troubles continue to be a drag on the U.S. economy. But of special interest are two problems – the $1.8 trillion that U.S. companies are holding in cash, and not investing in new products or jobs – and the cost of Obamacare, which is putting an additional $24 billion cost burden on wealthy Americans, many of whom are business owners.