Economy and elections
I have a theory as to why did the economy improve over this summer and into the fall, which led to Obama winning the election. I bet a part of this was the money spent on the campaigns. That was 2 billion dollars that went to very targeted places like Ohio. No wonder economy in Ohio is doing quite well. If it weren’t for the election, Sheldon Adelson would not spend 100 million on random stuff over the period, he would sit on the money. This way he spent it to elect Romney improving the economy in battlegound states which led to Obama winning.
Yes it is a bit of a stretch, but it should not be totally dismissed. Apparently the campaigns spent approximately 190 million just in Ohio . That means that GDP of Ohio went up by 0.04 percent just because of the election (the GDP is 477 billion ). That’s not much but it’s not negligible. Also note that it wasn’t spread out over the whole year it was rather concentrated. Further note that state spending is 26 billion , so this is 0.73 percent of what the state spends in a given year. If the state gets say 5 percent of that money in various taxes (just pulling a number out of a hat; a reasonable estimate in my layman opinion based on state budget versus GDP) that would mean approximately 10 million extra tax revenue for the state. Not at all bad.
So, Sheldon Adelson was really rooting for Obama! Sneaky way to do it too.