As millions gather on the national mall today to witness the inauguration of Barack Obama, many are looking to the new president not only as a role model and the fulfillment of Martin Luther King’s dream for America, but also as a leader capable of saving us from economic disaster.
Yet, it seems that the economy may not be in as bad a shape as some would have us believe.
The Minneapolis Federal Reserve says that things aren’t that bad. In fact, they’ve made up some handy charts to prove it.
The charts place the current economic downturn into historical (post-WWII) perspective and show that currently the recession is mild. Of course, we won’t know the length and severity of the recession until it’s over, but right now signs aren’t pointing to it being the worst economic situation since the Great Depression.
Yet that’s what we’re hearing from officials in the Obama administration. Rahm Emmanuel said so on Meet the Press this weekend.
Even if all of this bluster were accurate and the economy were in a tailspin, there is plenty of reason not to CHANGE as Mr. Obama would have us change. In fact, many are saying that the Great Depression was extended, not curtailed, by FDR’s policies. If Mr. Obama seeks to fashion himself after Mr. Roosevelt, he may extend this recession into a depression no matter how much he “stimulates” the economy.
Hat Tip: Thanks to Bureaucrash Social member Ryan Evans for giving me the heads-up on the Minneapolis Fed charts.