Obama White House Economist Blames Weak Economy on Clinton and Reagan
Top Obama economic adviser Alan Krueger today on CNBC:
I think the American people understand that the problems that the economy is facing built up over a period of decades. It’s going to take some time to address them. but it’s also the case that we’re on a better path now than we had been.
This line echoes what President Obama has been saying, that America’s generational turn toward pro-market policies — deregulation, lower marginal tax rates — led to what is now the Long Recession. Here is Obama late last year in Osawatomie, Kanas:
There is a certain crowd in Washington who, for the last few decades, have said, let’s respond to this economic challenge with the same old tune. “The market will take care of everything,” they tell us. If we just cut more regulations and cut more taxes—especially for the wealthy—our economy will grow stronger. … But here’s the problem: It doesn’t work. It has never worked.
Both Krueger — especially Krueger — and Obama should know better. America’s turn away from statism in the late 1970s, 1980s and 1990s reversed what many in the 1970s thought was an irreversible economic decline. There’s a reason America isn’t Italy or France. By the way, from 1983-2007, the U.S. economy grew by 3.3% a year, adding 46 million jobs.