Obama says his policies have pulled America out of the most vicious economic dive since the 1930’s – Really? He thinks that? What America does he live in?

Posted on July 10, 2010


US President Barack Obama said Friday his policies had pulled America out of the most vicious economic dive since the 1930s, setting battle lines for mid-term elections in November. Obama put the Republicans on notice he will vigorously defend his record, despite the fact many Americans do not yet feel the recovery he is touting, while economic data hints that the rebound may be slowing.

“Our first mission was to break the momentum of the deepest and most vicious recession since the Great Depression,” Obama said in the gambling hub of Las Vegas, wrapping up a two-day campaign-style trip.

“We had to stop the freefall and get the economy and jobs growing again.”

Obama used his appearance at the University of Nevada, Las Vegas, to call on Congress to invest five billion dollars more in tax credits for green energy manufacturing firms, part of his plan for an alternative energy revolution. After a brutal year featuring prolonged high unemployment and bitter political battles, Democrats had hoped to be reaping the benefits by now of Obama’s rescue policies. But while the economy is posting solid growth and creating jobs again, the party has seen negligible political gains, with the jobless rate still at 9.5 percent, and confidence in the rebound ebbing. If the economy dictates the course of elections, as usual, Obama and the Democrats could be in for trouble come November when all of the House of Representatives is up for grabs, along with a third of the Senate. So Obama is engaged on a mission to convince voters he understands things are still tough, while insisting the economy is healthier than it seems. He also argues that his policies will secure future growth and that had he not acted, things would have been much worse.

“It took years to dig this hole, and it’s going to take more time than any of us would like to climb out of it.

“The question is number one, are we on the right track, and number two is how do we accelerate that process?”

Obama’s Republican foes are lambasting Obama over slower-than-hoped-for employment growth, the high deficit and debt levels. On Thursday, in midwestern Missouri and Nevada — which are often political bellwether states, Obama also took the sword to his Republican foes.

Republicans “spent nearly a decade driving the economy into the ditch, and are now asking for the car keys back,” he said, in a hard-hitting political speech in Kansas City.

“They can’t have them back. They don’t know how to drive.”

In a refrain sure to be repeated over and over before November, Obama warns Americans want to keep on going “forwards, not backwards.”

Obama may have little more than rhetoric left in his political armory to improve the economy in the short term. There is little appetite for another stimulus package — with the public still divided on the last year’s massive recovery bill as fears mount over the size of government debt. Efforts to boost exports and frame a jobs-rich green energy revolution meanwhile will take years. Democrats also dispute Republican claims that simply slashing taxes will unleash fast growth. Barring a swift economic improvement, it may not matter in November that Obama has passed big-time bills like health care reform, and likely the most sweeping changes to Wall Street regulation since the 1930s.

First-term presidents often get a bloody nose in mid-terms during their first term — at which a third of the Senate and the whole House of Representatives are up for grabs. Democrats are braced for especially heavy losses this time and may even see their control of the House overturned and their Senate majority trimmed. The recession may have started on the Republican watch, but it is getting harder and harder to pin it on ex-president George W. Bush. Obama’s fate may be traced in polling data, as well as latest economic indicators, which have disappointed markets as well as Democratic leaders. In a recent Quinnipiac University poll, 44 percent of those asked approved of Obama’s economic management — compared to 50 percent who disapproved. A Wall Street Journal survey last month showed 33 percent of voters think the economy is the top political issue — well ahead of the BP oil spill in the Gulf of Mexico and other issues including terrorism.

Though the jobless rate fell to 9.5 percent in June, the private sector created only 83,000 jobs in the month. US consumer confidence has also tumbled, the housing market is mostly slumbering and stocks, in which many Americans invest retirement savings, have been reeling for weeks.


Posted in: The Anti News