Over at ABC News, they notice:
An interesting tidbit from Dr. Christina Romer’s testimony before the Joint Economic Committee. Citing economic analysts she says the fiscal stimulus will have its greatest impact on growth in the second and third quarters of 2009. (Editors note – those quarters are now behind us). By mid-2010, according to her testimony submitted to the committee, the “fiscal stimulus will likely be contributing little to growth.” What does that mean? Growth in the economy will be dependent on the private sector. And for those who think the recession is over – the Administration still predicts the unemployment rate won’t dip below 10% until the third quarter of 2010 – that’s next summer.
We’re in deep.
I note that Carol Shea-Porter, a Democratic member of the House from New Hampshire, has come out and acknowledged the obvious, that we’re not getting the economic pick-me-up we were promised: “I know that it has created some jobs but clearly not what we were anticipating, and again, I think that we should have put more money into the infrastructure so that there’d be more projects that people could work on.”
In the second quarter, our economy contracted by 0.7 percent. It contracted by 6.4 percent in the first quarter. We’ll see how the third quarter went; the next batch of numbers from the Bureau of Economic Analysis comes out Oct. 29.
Home foreclosures reportedly increased by 5 percent from July to September, affecting nearly one million homes, a record; retail sales in September dropped 1.5 percent from August; and there’s rough news for parents of college-bound kids, with tuitions reportedly up 6.5 percent for public in-state tuition over last year.
In light of this, Romer and the rest of the White House ought to knock off the happy talk.