Government regulation of business.
Democrats typically enjoy using the full strength of the federal government and enact more exacting laws. This is especially reflected today with their high tax rates going up 2.6 points to 39.6% for individuals. This is reflected primarily down into the general public, as prices are raised to recuperate the losses, and therefore raising the general prices of every-day items. Taxes for businesses is also raised to 28%, 7 points up from Trump's 21%, though it should be worth noting that it is still lower than the Obama era.
It is worth noting that in both Democratic Era's (Obama & Biden, respectively), the taxes have all gone higher than their Republican counterparts. Under George W. Bush, the GDP growth is around the 3% range, topping at ~7% during 2004. Barack Obama's presidency saw to a more stable GDP ranging from -1% to 5% GDP, averaging at around 3%. Donald Trump had a GDP of ~3% with the peak at ~5%, before dropping due to the pandemic. Biden, on the other hand, saw to a extremely slow growth. The GDP itself is overinflated by the returning working people, and still only saw a GDP rise of only ~5.7%, which is factoring in everybody who is returning to work.
The statistical data shows the direct correlation between governmental influences/regulation and the overall market. In cases where governmental overreach is rampant, the growth decreases, assuming that there is little to no major outside reason (example being the pandemic). Essentially, while some regulation (mostly safety precautions and the rights of workers) are needed, it is better to limit the laws that allow businesses to grow, which in turn allows for the economy to flourish.
Learn more about GDP, Democratic & Republican policies, here:
https://brainly.com/question/15682765?referrer=searchResults - GDP/Potential-GDP.
https://brainly.com/question/11687054?referrer=searchResults - Governmental regulation and why it is necessary but should be limited.
