And by doing “just about everything in his power to make matters worse,” President Obama has actively courted a double-dip, says University of Maryland economist Peter Morici.At this writing, the stock market has dropped 400 points today.
While the massive $700 billion trade imbalance continues to drag down the U.S. economy, “this time there is no housing boom to offset it,” notes Morici, the former director of the Office of Economics at the U.S. International Trade Commission. Full employment under such conditions, he says, is “the economic equivalent of a perpetual motion machine.”
Morici blames “incompetence in Washington and arrogance on Wall Street” for the dire situation. But too-big-to-fail Wall Street firms would not be nearly as reckless and arrogant if they didn’t think Obama had their backs. So it really comes down to White House incompetence.
But at least Obama and the Mrs. are having a good time.
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