The Fed Grades Obama’s Economy October 27, 2015Posted by geoff in News.
[This isn’t really news, it’s just an overdue observation.]
The MSM is constantly telling us that we’re in recovery, and President Obama is constantly bragging about his awesome job creation statistics. But there’s an easy way to tell if the president’s policies have had a positive effect on the economy.
You see, it turns out that the Fed continually grades the economy to see if they should raise their target interest rates. You hear about their grading process all the time in terms of its effect on stock prices, but you never hear about it in terms of it being a de facto grading of President Obama’s economic leadership.
So here’s the deal: if the Fed thinks the economy is strengthening, it raises rates, and if it doesn’t it lowers them. What does that mean for our president? Take a look-see:
Yes, during the president’s nearly 7 years in office, the Fed has had the target rate locked down at its lowest value. During that time it has never felt that economic indicators are strong enough to warrant an increase.
So what does that tell us about President Obama’s “recovery?”
Nothing we didn’t already know, but it’s nice to be reminded that the Fed agrees.