Things improved somewhat and the government took full credit for the improvement. Now taxes keep rising to cover growing government expenses. Unemployment has risen dramatically. Punitive labour and tax laws have eroded the incentive to hire people while generous government welfare and unemployment insurance schemes have eroded the incentive to work. Overall, the incentive to think and produce has been replaced by the incentive to lie, lobby, rule and loot.
Productivity keeps declining as government keeps expanding.
More and more people become dependent on government assistance. Nobody can plan for the future because nobody can predict what government will do next. People who were once responsible, cheerful, honest, and benevolent have become irresponsible, cynical, untrustworthy and even malevolent. Respect for individual liberty and admiration for success have been replaced by power lust, envy and hatred of the successful. Finally, you realize that the government has become a massive agent of destruction.