Is the recession over?
Top Obama economic adviser Larry Summers says the downturn has ended; a colleague disagrees. Who's right?
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
You are now subscribed
Your newsletter sign-up was successful
President Obama's top economic advisers are sending mixed signals on whether the recession was over. On Sunday talk shows, Larry Summers, chairman of the National Economic Council, told CNN that "everyone agrees that the recession is over," although questions remain about "how fast we’ll recover." Christina Romer, chairman of the President’s Council of Economic Advisers, said on NBC that the recession clearly isn't over, because "the people on Main Street" are still suffering. Which is it -- has the recovery begun, or is the economy still stuck in a recession? (Watch Larry Summers announce the recession is over)
Romer is right. The recession lives: "President Obama’s belief that America can spend its way out of the recession is being disproved at every turn," says Jed Babbin in Human Events. Outside the White House, people worry that "Obama's spending spree" is making matters worse. Yes, stocks are up, "but mortgage refinancing is still very hard to get," which is one of several factors "pointing to a false recovery which may presage a longer and deeper downturn."
"Obama's assault on economic freedom"
The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.
Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
It's a trick question: "Technically speaking, Larry Summers is probably correct," says Andrew Leonard in Salon. "The National Bureau of Economic Research has yet to declare an 'official' end to the recession," but the economy has started growing again. Still, Christina Romer's answer showed more "political savvy," because, as mid-term elections approach, what matters is 10 percent unemployment.
Obama's economic team is on the same page: The leading members of Obama's economic team agree, says Steve Benen in Washington Monthly, that creating jobs and spurring economic growth are bigger immediate priorities than bringing down the federal debt. "Republicans, obviously, have made clear they prefer to focus on the deficit they created, but I'm heartened to hear the administration argue otherwise."
"Steering clear of economic 'suicide'"
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
-
Film reviews: ‘Send Help’ and ‘Private Life’Feature An office doormat is stranded alone with her awful boss and a frazzled therapist turns amateur murder investigator
-
Movies to watch in Februarythe week recommends Time travelers, multiverse hoppers and an Iraqi parable highlight this month’s offerings during the depths of winter
-
ICE’s facial scanning is the tip of the surveillance icebergIN THE SPOTLIGHT Federal troops are increasingly turning to high-tech tracking tools that push the boundaries of personal privacy
-
The billionaires’ wealth tax: a catastrophe for California?Talking Point Peter Thiel and Larry Page preparing to change state residency
-
Bari Weiss’ ‘60 Minutes’ scandal is about more than one reportIN THE SPOTLIGHT By blocking an approved segment on a controversial prison holding US deportees in El Salvador, the editor-in-chief of CBS News has become the main story
-
Has Zohran Mamdani shown the Democrats how to win again?Today’s Big Question New York City mayoral election touted as victory for left-wing populists but moderate centrist wins elsewhere present more complex path for Democratic Party
-
Millions turn out for anti-Trump ‘No Kings’ ralliesSpeed Read An estimated 7 million people participated, 2 million more than at the first ‘No Kings’ protest in June
-
Ghislaine Maxwell: angling for a Trump pardonTalking Point Convicted sex trafficker's testimony could shed new light on president's links to Jeffrey Epstein
-
The last words and final moments of 40 presidentsThe Explainer Some are eloquent quotes worthy of the holders of the highest office in the nation, and others... aren't
-
The JFK files: the truth at last?In The Spotlight More than 64,000 previously classified documents relating the 1963 assassination of John F. Kennedy have been released by the Trump administration
-
'Seriously, not literally': how should the world take Donald Trump?Today's big question White House rhetoric and reality look likely to become increasingly blurred