Sunday, August 2, 2009

Obama on the Economy and the Recession

President Barack Obama warned Saturday it would take "many more months" for the United States to get out of recession even after GDP figures showed the economy shrank only modestly in the second quarter...

"It will take many more months to fully dig ourselves out of a recession -- a recession that we've now learned was even deeper than anyone thought," Obama said in his weekly radio and Internet address...

Obama, echoing his comments from the previous day, said that was proof his $787 billion stimulus package and other economic initiatives had shown dividends.

"In the last few months, the economy has done measurably better than expected," Obama said, referring to the GDP report.

"And many economists suggest that part of this progress is directly attributable to the Recovery Act. This and the other difficult but important steps that we have taken over the last six months have helped put the brakes on this recession."...

"The report yesterday on our economy is an important sign that we're headed in the right direction," he said.

read the CNN article
My thoughts: If the markets add been allowed to adjust and correct themselves, the recession would be over. Nothing was mentioned of the long term harm of massive spending, the Fed, or inflation.

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