- Consumer mood isn’t conducive to recovery - AP/Buffalo News
Consumer confidence has fallen dramatically this month, adding to the evidence that the nation is in no mood to spend its way back to growth and raising fears of a double-dip recession. ...
“We need the consumer to spend, and right now declining confidence is not the prescription for a stronger economy,” said Joel L. Naroff, president of Naroff Economic Advisors. “This was a bad report, no matter how you slice it.”
- Obama trying to restore confidence in economy - AP/Buffalo News
- Stocks in narrow range after weak jobs report - AP/Buffalo News
- House fails to extend jobless aid - AP/Buffalo News
- Consumer Confidence Grows in Euro Zone, Ebbs in U.K. - Wall Street Journal
- Governments Moving to Cut Spending, in Echo of 1930s - David Leonhardt/The New York Times
The world’s rich countries are now conducting a dangerous experiment. They are repeating an economic policy out of the 1930s — starting to cut spending and raise taxes before a recovery is assured — and hoping today’s situation is different enough to assure a different outcome.
In effect, policy makers are betting that the private sector can make up for the withdrawal of stimulus over the next couple of years. If they’re right, they will have made a head start on closing their enormous budget deficits. If they’re wrong, they may set off a vicious new cycle, in which public spending cuts weaken the world economy and beget new private spending cuts.
Speaking of bets:
- Local firm drops bid for casino at Aqueduct - Tom Precious/The Buffalo News