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Does President Obama Deserve The Credit He Gives Himself For Saving The Economy?

President Obama recently told the New York Times he saved the U.S. economy. We don't believe him.

With millennials burdened by college debt, the housing outlook is dim. Meanwhile, auto sales have been driven by subprime debt.

Many of the jobs created by Obama have been low-paying. High-paying manufacturing jobs have escaped the economy.

Record low rates have masked how dismal the U.S. economy really is. Some believe the Fed is protecting the President.

Mr. Obama's true legacy will be one of spurring income inequality and protecting the monied class.

Source: Time

President Obama took the helm in 2009 amid the worst economic crisis in our lifetime. Banks had just received over $400 billion in TARP to save them after wanton speculation and exposures to subprime mortgages, and bad real estate investments. The night he was formally announced as the new president the entire globe erupted with celebration. At the end of his second term Mr. Obama must now be his own cheerleader, proclaiming to the New York Times that he saved the U.S. economy:

To hear President Obama tell it, the U.S. economic recovery under his watch is a resounding success. He saved the banks, he saved the auto industry and he helped revive a moribund housing market.

"I actually compare our economic performance to how, historically, countries that have wrenching financial crises perform. By that measure, we probably managed this better than any large economy on Earth in modern history ... Anybody who says we are not absolutely better off today than we were just seven years ago, they're not leveling with you," said Obama, blaming Republicans in part for the failure of Americans to recognize how much the economy has improved. "They're not telling the truth."

Sure, U.S. GDP has grown steadily since the Financial Crisis of 2008/2009, but so has our debt; debt/GDP increased from 63% at the end of 2007 to 104% at the end of 2015. The rub is that most of the government spending has gone to support Wall Street, hedge funds and big business -- major donors of political campaigns -- at the expense of the labor class.

That wasn't the "hope and change" his supporters had envisioned during Mr. Obama's first campaign. According to the book, Shock Exchange: How Inner-City Kids From Brooklyn Predicted The Great Recession And The Pain Ahead, Mr. Obama's big idea to save the economy -- invest in infrastructure -- was not even his:

On November 23, 2008 the cover of...


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