I think the Obama Administration has written it's own political obituary!
Obama Advisors-"The Fundamentals of the Economy are Sound" ?WASHINGTON (AP) — One of President Barack Obama's economic advisers said Sunday that the economy is fundamentally sound, a striking reversal from the Democrat's campaign rhetoric as his administration now guides the nation's financial health amid dire conditions.
Obama's Democratic allies pleaded for patience for an administration hitting the two-month mark this week, while Republicans said the White House's plans ignore small business and the immediate need to fix what ails the economy.
During the fall campaign, Obama mercilessly mocked his Republican opponent, Sen. John McCain, for declaring, "The fundamentals of our economy are strong." Obama's team painted the veteran senator as out of touch and failing to grasp the challenges facing the country.
On Sunday, economic adviser Christina Romer was asked during an appearance on NBC's Meet the Press if the fundamentals of the economy were sound. "Of course they are sound," she replied.
"The fundamentals are sound in the sense that the American workers are sound, we have a good capital stock, we have good technology," she said. "We know that — that temporarily we're in a mess, right? We've seen huge job loss, we've seen very large falls in GDP. So certainly in the short run we're in a — in a bad situation."
Just a week ago, White House Office of Management and Budget director Peter Orszag declared that "fundamentally, the economy is weak.""If we are keeping focused on all the fundamentally sound aspects of our economy, all the outstanding companies, workers, all the innovation and dynamism in this economy, then we're going to get through this," Obama said, striking a tone that his top aides mimicked.
Despite the new enthusiasm at the White House and on Wall Street, there was little solid evidence to suggest an end was in sight to the severe recession that has already cost 4 million American jobs, driven down home values and sent foreclosures soaring. Meanwhile, Chinese Premier Wen Jiabao said he was concerned about the safety of the estimated $1 trillion his country has invested in U.S. government debt.
Obama sought to downplay the worries.
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How can anyone in the Obama administration claim that the "fundamentals of the economy are strong" ??? Didn't that comment, which flew in the face of economic reality, do John McCain in? Has anything changed since then? No, the economy has gotten WORSE. American capitalism, WORLD capitalism, is in its greatest crisis since the Great Depression. The credit and housing crisis have pulled the rug out from under what was left of consumer demand. Workers are losing jobs (4 million) and wages.
Obama has appointed more Wall Street lobbyists and crooks (Timothy Geithner and Larry Summers) to solve the crises they and Clinton economic bigwig Robert Rubin helped create. (I believe the choice of Geithner and Summers to lead Obama's economic policies has doomed his administration.)
See also:
Summers: "Excess Fear" About Economy Must Be BrokenCapitalism is in a CRISIS, with no end in sight. Obama and the Democrats are now the defenders of a failing economic system! Obama is continuing the Bush bailout of Wall Street, banks and financial institutions that created the crisis while proposing a stimulus package that falls too short and will not solve the crisis. The unemployment rate is skyrocketing to double digits. Yes, Obama inherited a crisis he didn't create, but both Republicans and Democrats (including the Clinton administration) did create it. Both capitalist political parties are part of the problem. The problem is CAPITALISM!
And it looks like the American people's frustration and anger are turning from Bush to Obama:
Obama's Poll Numbers Falling
See Also:
White House Braces for Bailout BacklashRobert Kuttner:
Will Obama's Economic Team Lead Him Off the Cliff?
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