Q&A: Obama says Too much debt could fuel double-dip recession?
Question by Judicator: Obama says Too much debt could fuel double-dip recession?
http://www.reuters.com/article/politicsNews/idUSTRE5AH1RY20091118?feedType=RSS&feedName=politicsNews&utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+Reuters%2FPoliticsNews+%28News+%2F+US+%2F+Politics+News%29&utm_content=Google+Feedfetcher
“Obama: Too much debt could fuel double-dip recession
BEIJING (Reuters) – President Barack Obama gave his sternest warning yet about the need to contain rising U.S. deficits, saying on Wednesday that if government debt were to pile up too much, it could lead to a double-dip recession.
With the U.S. unemployment rate at 10.2 percent, Obama told Fox News his administration faces a delicate balance of trying to boost the economy and spur job creation while putting the economy on a path toward long-term deficit reduction.
His administration was considering ways to accelerate economic growth, with tax measures among the options to give companies incentives to hire, Obama said in the interview with Fox conducted in Beijing during his nine-day trip to Asia.
“It is important though to recognize if we keep on adding to the debt, even in the midst of this recovery, that at some point, people could lose confidence in the U.S. economy in a way that could actually lead to a double-dip recession,” he said.
Fox News, which released a transcript of the interview, showed that comment by Obama on Wednesday morning and said the full discussion would be broadcast later in the day.
JOBS FORUM
Obama is scheduled to hold a forum with U.S. business leaders and financial experts on December 3 to discuss ways to lift the economy.
He said he had not decided yet whether any measures to boost the economy should be deficit neutral, with that being one of the things to be examined at the forum.
“Our first job was to get the economy to recover. And we’re now seeing that,” Obama said.
“We’ve seen economic growth (in the third quarter). We anticipate economic growth next quarter as well. I always said the job growth would lag behind economic growth. The question now is how can we accelerate it.”
In an interview with NBC News, Obama said “there are a whole range of ideas out there” about how to kick-start hiring by businesses starting to invest and show profits again.
“We’ve examined a lot of them but one of the benefits of convening this group is it gives us a chance to talk directly to small businesses, medium-size businesses, the main drivers of employment to find out what exactly is going on.”
Asked whether the jobs forum should have been held sooner, Obama said the focus after he took office in January was “to make sure we didn’t slip into a Great Depression.”
“We’ve gotten that job done,” he told NBC. “Our next job is to make sure that we can accelerate the job growth because I recognize that people are really hurting right now.”
Obama told Fox that one of his messages on his trip was that the United States should look for further export opportunities, especially in fast-growing areas of the world like the Asia-Pacific region.
“If we just boosted our share of exports by 1 percent, that might be 250,000 well-paying jobs in the United States. So export promotion would be an example of something we could do without spending money,” he said.
“There may be some tax provisions that can encourage businesses to hire sooner rather than sitting on the sidelines. So we’re taking a look at those.”
What are your thoughts on the article?
Does Cap and trade and environmental restrictions comprimise his goal on business recovery?
Does the lack of info on stimulus money or the current and continual use of it partly comprimise such as well?
Again, what are your overall thoughts on the article?
Best answer:
Answer by 🙂
he also said we need to rush this stimulus so unemployment wont go over 8% he is a liar point blank period!!!!
Add your own answer in the comments!
Really? Spending money that we dont have can lead to problems? That’s a surprise
What do you expect from an amateur South Chicago ACORN community organizer… Oh, I forgot.. he won the Nobel Prize.. BFD.
This jackass in an economics putz, has no idea what he is doing, is singlehandedly driving the USA locomotive to a massive train wreck, and JUST NOW figures it out…
How’s that HOPE and CHANGE working for you?
Obama”s policies are the cause of our growing debt. I know one way he could fight this growing debt problem right now… cancel his health care plan that is estimated to cost over a trillion dollars over the first ten years. It’s true cost, like all government programs will be many times over a trillion.
There is surely reason to worry about this worst-case scenario, and we should hope that bipartisan talk of this sort will be enough to spur the public — and Congress — to get serious about fiscal responsibility. But stark warnings may be a poor substitute for tangible evidence. As Morgan Stanley’s Richard Berner noted earlier this year, “The problem, ironically, is that the day of reckoning hasn’t come. This has seriously undermined doomsayers’ credibility and, more importantly, it has made the electorate and elected officials complacent about the threat from unsustainable fiscal policies.”
China said look man you can destroy your economy and introduce cap and trade and what ever else you want but pay us first or we will own you by night fall. that is what I think this article says
Obama is a lair. All of his Czars are socialist. Obama only talked to UNION/SEIU companies employee/bosses (that is why he won’t release the white house visitor logs). Bill Gates, Michael Dell, & Warren Buffet were not invited to any of these meetings about how to jump start the economy and small business. Obama said “if we keep adding to the deficit.” excuse me, but what did the stimulus money, bail out of GM & Chrysler, TARP, AIG, Health Care and finally Cap & Trade will do? Not add to the deficit? How do you pay for all these ENTITLEMENTS? from the rich people? people that make over 100K a year? John Dingel (D-MI) stated “Nobody in this country realizes that the Cap & Trade bill is a tax and it’s a great BIG one.” Just read the bill. It makes no sense to have the US reduce its CO2 emissions only by 1% but kill off manufacturing, construction, cattle/pig farmers. Obama can’t add 2+2 and come up with the right answer of 4. We have an idiot for a President that can’t make up his mind on one blanking thing…that is why he voted present while he was in the Senate….what a DA we have for a President.