The White House is now projecting that unemployment will stay around 9% till 2012:
NEW YORK (CNNMoney.com) — The White House said Friday it expects that unemployment will stay at or above 9% until 2012, but at the same time forecast that the economy will grow by at least 4% in 2011 and 2012.
It also revised its long-term deficit estimate under President Obama’s proposed 2011 budget: The administration now believes the 10-year deficit will be $58 billion less than projected in February when the budget blueprint was first released.
Under the revised estimates, Uncle Sam will ring up $8.474 trillion in deficits between 2011 and 2020, down from the $8.532 trillion estimated in February.
In the near-term, the administration expects the 2010 deficit to come in at $1.47 trillion — slightly lower than originally forecast and slightly above last year’s deficit of $1.41 trillion. Meanwhile, the 2011 and 2012 deficits will come in somewhat higher than the White House forecast in February.
“The economy is still weaker than we’d like, and [there is] a medium-term and long-term fiscal situation that requires attention,” outgoing White House Budget Director Peter Orszag said in a call with reporters.
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WillyP // Jul 26, 2010 at 9:32 am
Geez, what a failure this president is… almost as bad as the Dem. Congress.
JeninCT // Jul 26, 2010 at 12:45 pm
“The White House said Friday it expects that unemployment will stay at or above 9% until 2012, but at the same time forecast that the economy will grow by at least 4% in 2011 and 2012.”
In other words, “We don’t know WTF we’re doing.”
Krom // Jul 26, 2010 at 4:30 pm
Yes, clearly President Obama should have turned on the magical jobs spigot by following the Republican recommendation of……. wait, what was the Republican plan again??
Rabiner // Jul 26, 2010 at 10:15 pm
WillyP & JeninCT:
“Geez, what a failure this president is… almost as bad as the Dem. Congress.”
“In other words, “We don’t know WTF we’re doing.””
You mean the President can just snap his fingers and magically jobs will appear? Seriously look at the deepest recessions we’ve had in the past. They all had unemployment levels this high for multiple years.
WillyP // Jul 27, 2010 at 1:50 pm
I don’t care what the “Republican” plan was.
The proper plan was/is/always will be – DO NOT BAIL OUT; CUT TAXES AND SPENDING.
And that’s how you fix an economy that crashes!
Madeline // Jul 27, 2010 at 5:48 pm
DO NOT BAIL OUT; CUT TAXES AND SPENDING.
Yes, that’s exactly how Reagan got us out of the early 80s recession.
Oh, wait, he raised corporate taxes and increased spending.