Commentary Magazine


Contentions

Public Gets an “A” in Economics

As Pete pointed out, a large majority of Americans think the economy is getting worse. They aren’t simply being intransigent in refusing to buy the administration’s assurances that the recovery is in full swing. It turns out they have a pretty good sense of where the economy is headed. This report explains:

The number of U.S. workers filing new claims for jobless benefits unexpectedly rose last week to the highest level in close to six months, the latest evidence the economy’s recovery is faltering.  Thursday’s data came two days after the Federal Reserve spooked investors by downgrading its assessment of the economy. The increase in jobless claims added to worries in the stock market, which has failed to make any gains this year.

The number of new claims for state unemployment insurance rose by 2,000 to 484,000 in the week ended August 7, the second straight increase, the Labor Department said. Economists had expected claims to edge down to 469,000.

“This is not a good number,” said John Brady, an analyst at MF Global in Chicago. “Claims are going the wrong way. That has the market concerned.”

U.S. stocks closed down for a third straight day, pressured by the data and a disappointing revenue forecast from tech bellwether Cisco Systems Inc.

Obama’s happy talk about the recovery flies in the face of both Americans’ personal experience and widely available economic information. (“Data for the United States has been decidedly weak over the past couple of months, with private-sector job growth lagging expectations and the unemployment rate stuck at 9.5 percent. That has fed concerns the economy could be at risk of a renewed recession or face a debilitating bout of deflation as the bleak jobs market pressures incomes and prices.”) As the economy sags and public confidence does as well, the president’s insistence that things are looking up further erodes his credibility.

He keeps saying things that simply aren’t so. The public is no longer willing to extend him the benefit of the doubt and will take its wrath out on the president’s party in less than three months. Perhaps then the administration will acknowledge Obamanomics has failed and try a different approach to restoring growth and job creation.



Join the discussion…

Are you a subscriber? Log in to comment »

Not a subscriber? Join the discussion today, subscribe to Commentary »





Welcome to Commentary Magazine.
We hope you enjoy your visit.
As a visitor to our site, you are allowed 8 free articles this month.
This is your first of 8 free articles.

If you are already a digital subscriber, log in here »

Print subscriber? For free access to the website and iPad, register here »

To subscribe, click here to see our subscription offers »

Please note this is an advertisement skip this ad
Clearly, you have a passion for ideas.
Subscribe today for unlimited digital access to the publication that shapes the minds of the people who shape our world.
Get for just
YOU HAVE READ OF 8 FREE ARTICLES THIS MONTH.
FOR JUST
YOU HAVE READ OF 8 FREE ARTICLES THIS MONTH.
FOR JUST
Welcome to Commentary Magazine.
We hope you enjoy your visit.
As a visitor, you are allowed 8 free articles.
This is your first article.
You have read of 8 free articles this month.
YOU HAVE READ 8 OF 8
FREE ARTICLES THIS MONTH.
for full access to
CommentaryMagazine.com
INCLUDES FULL ACCESS TO:
Digital subscriber?
Print subscriber? Get free access »
Call to subscribe: 1-800-829-6270
You can also subscribe
on your computer at
CommentaryMagazine.com.
LOG IN WITH YOUR
COMMENTARY MAGAZINE ID
Don't have a CommentaryMagazine.com log in?
CREATE A COMMENTARY
LOG IN ID
Enter you email address and password below. A confirmation email will be sent to the email address that you provide.