Fed: Other Shoe About to Drop

The only two people in the world who believe the economy is healthy and vibrant are Barack Obama and Joe Biden.

Now, the Federal Reserve Board’s Open Market Committee (FOMC) is getting ready to announce that the economy is sicker than we thought.

Although Fed policymakers still believe the basic trajectory of the economy remains one of moderate expansion, there may be more attention given to heightened dangers of a sharp slowdown. “The FOMC will have to tone down its assessment of the economy in view of recent weak indicators on real growth, real consumption spending and employment,” said Brian Bethune and Nigel Gault, economists at Global Insight.

Last Friday, we got more bad news about the economy, particularly job growth. The economy still is not adding enough new jobs to keep up with population growth. The 9.5 percent unemployment rate remains that low only because so many people have simply given up finding a job.

Yet Barack Obama keeps telling audiences that we’re better off than we think we are.

The fact remains that the economy is getting weaker, not stronger. Consumer confidence is falling, heading toward 12-month lows. A swarm of bureaucrats and an avalanche of tax hikes are about to hit the country on January 1. The Obama agenda includes measures intended to hurt businesses and the American consumer.

Obama is right to say that the economy is on track. What he’s not tell you is that the track he’s put it on is one that ends in tears for most Americans.

On November 2, most Americans will elect to switch trains. A ticket to anywhere is better than Obama’s express to economic hell.