ThinkProgress:Schumer:‘ThePresidentIsIndeedBehavingLikeHerbertHoover’

Astheeconomyspiralsdownwardintowhatmanyeconomistsviewisalreadyarecession,PresidentBushdeliveredaspeechthisweekexpressingconfidence“intheabilityofthemarkets”toturnitaround.

In1930,astheU.Seconomywassinkingintodeeprecession,PresidentHerbertHooversaidthistoCongress:

Economicdepressioncannotbecuredbylegislativeactionorexecutivepronouncement.Economicwoundsmustbehealedbytheactionofthecellsoftheeconomicbody-theproducersandconsumersthemselves.

Inhisspeechthisweek,BushechoedHoover:“ThetemptationofWashingtonistosaythatanythingshortofamassivegovernmentinterventioninthehousingmarketamountstoinaction.Istronglydisagreewiththatsentiment.…Governmentactionsare—havefar-reachingandunintendedconsequences.”

TheunfortunatesimilaritiesinthesestatementsandattitudesledSen.ChuckSchumer(D-NY)toofferthisobservationonFoxNewsthismorning:

ThePresidentisindeedbehavinglikeHerbertHoover.We’reinthemostseriouseconomicproblemwe’vebeenininaverylongtime—muchworsethan2001.ThePresident’shands-offattitudeisreminiscentofHerbertHooverin1929and1930.

Schumeraddedthatthishasbecome“theBushrecession,”whileSen.ChrisDodd(D-CT)notedthatthiswillbethesecondrecessioninthisadministration.

Inaneditorialthismorning,theNewYorkTimesfact-checksBush’seconomicspeech:

Mr.Bushboastedabout52consecutivemonthsofjobgrowthduringhispresidency.Whatmattersisthemagnitudeofgrowth,notticksonacalendar.TheeconomicexpansionunderMr.Bush—whichitissafetoassumeisnowover—producedjobgrowthof4.2percent.Thatistheworstperformanceoverabusinesscyclesincethegovernmentstartedkeepingtrackin1945.[…]

Mr.Bushwaswrongtosaywagesarerising.OnFridaymorning,thedayhespoke,thegovernmentreportedthatwagesfailedtooutpaceinflationinFebruary,forthefifthstraightmonth.Productivitygrowthhasalsoweakenedmarkedlyinthepasttwoyears,aharbingerofaloweroverallstandardoflivingforAmericans.

Bush’s“denialoftheeconomictruth”meansthat“Americansareill-preparedforhardtimes”ahead.

--ThinkProgress;courtesyofFrankLeidermann,ActingEditor