This is huge. HUGE.
Wait a second.
I don’t know why the mainstream media isn’t reporting it like this.
Okay, I do know why the mainstream media isn’t reporting it like this.
The news is that Federal Reserve Chairman Ben Bernanke Wednesday handed President some information that is not nice at all! Unemployment, currently at about 8.3 percent, is unlikely to decline any further. Might rise, even.
In testimony before Congress, Bernanke said unemployment will range between 8.2 and 8.5 percent by the end of the year.
The problem for Obama is that since 8.3 percent unemployment is awful, with millions of people suffering, he needs to show that things are getting better in order for everyone to like his candidacy. So far in the past year, it’s looked that way, with unemployment declining and Obama’s approval numbers edging up.
But that could be over.
Obama’s pitch is not that the economy is roaring, but that we’re on the right track and life is slowly getting better and happy days are not here again but they will be soon I promise.
But if unemployment is still around 8.3 percent on Election Day then life is not getting better.
The reason is clear. The economy is projected by Benernake to grow at between 2.2 percent and 2.7 percent, not enough to create much in the way of jobs. That means in the fourth year of his presidency, all Obama will be able to achieve is a middling growth rate, the exact same average rate – I hate to bring this up – as Jimmy Carter.
Fortunately for Obama, the unemployment rate isn’t what it was during the Carter years.
Wait a second, did I read that right? The average unemployment rate under Carter was 7.6 percent. I thought it said 76 percent. Sorry.
The Obama campaign, I assure you, is very concerned about this lastest Bernanke information. They now know that they will probably have to run on two theories: Things could have been worse, and Republicans want to kill poor people.
It’s not an appealing platform.