Thanks to their pro-business approach and the anemic recovery, Republicans would seem to have a clear path to grab the economic mantle heading into the 2012 race for the White House.
However, history actually shows that the U.S. economy, stock prices
and corporate profits have generated stronger growth under Democratic
administrations than Republican ones.
According to McGraw-Hill’s (MHP: 51.48, +0.28, +0.55%)
S&P Capital IQ, the S&P 500 has rallied an average of 12.1% per
year since 1901 when Democrats occupy the White House, compared with
just 5.1% for the GOP.
Likewise, gross domestic product has increased 4.2% each year since
1949 when Democrats run the executive branch, versus 2.6% under