Signs of economic recovery are everywhere. Housing prices have bottomed out; the stock market has rallied; and capital markets are operating normally. Today, economists are debating whether or not the recession is over. When Obama took office, the debate was whether a sharp decline in economic activity would trigger more bank failures in a vicious cycle, culminating in a full scale depression. His policies have restored confidence and that is the most important thing. Others argue that his policies will seriously undermine the long-term growth of the US economy. Our fiscal outlook is so poor that inflation is likely, undermining faith in the dollar as a global reserve asset. Cap and trade legislation will make US industry less globally competitive; his health care proposals will leave us both poorer and less healthy; and the dramatic increase in taxes needed to pay for all this will discourage risk-taking and investing.
Eliot Spitzer0 Itemssingleton
- Former Governor, New York
Allan Meltzer0 Itemssingleton
- Allan H. Meltzer University Professor of Political Economy, Carnegie Mellon University
James K. Galbraith5 Items
More from James K. Galbraith
- Chair of Government/Business Relations, University of Texas at Austin