In response to ComingLiberalCrackup's comment:
Cherry picking numbers again, arent we?
When Ronald Reagan took office America was suffering double-digit inflation, with the CPI (Consumer Price Index) registering at 11.3% in 1979 and 13.5% in 1980 (25% in two years). The Washington establishment at the time argued that this inflation was now endemic to the American economy, and could not be stopped by anyone , at least it couldnât be fixed without a calamitous economic collapse (heard that one before too). However, by the end of 1983 (Reaganâs third full year as President) , inflation rates had fallen to 3.22% which is only slightly higher that the inflation rate at the end of 2011 (Obamaâs third full year as President) which stood at 3.15%. However, Obama was not handed the same hand when it comes to inflation. In fact in the two years leading up to Obamaâs first term, the inflation rates were 2.85% in 2007 and 3.85% in 2008. Again, Ronald Reagan was handed a much worse hand than was Barrack Obama.
Not to mention that all of the above was accompanied by double digit interest rates in the early 80s, with the rate peaking at 14.14% in 1981. The poverty rate started increasing in 1978, eventually climbing by an astounding 33%, from 11.4% to 15.2%, but by the end of his presidency Reagan had managed to stop the upward trend and lowered the poverty level back to 14%.
Reagan and Obama inherited bad economies. Reagan succeeded beyond all expectations...
Obama has failed, by any measure...except among koolaid drinking progressives. Of course, by increasing government welfare programs to unheard of levels, Obama has succeeded ---in making the US economy permanently stagnant, just like European welfare states...
You're tripping over your own argument - double digit interest rates are what led the Reagan recovery. Go back and look at the timeline - Reagan cut taxes in half in 1981. Did that help the economy? Unemployment was at 7.4% the day he cut taxes - it grew as high as 10.8% 14 months later. He raised taxes in October, 1982, with unemployment at 10.4%. Taxes went down then up before the economy began to improve.
The recovery had nothing to do with taxes - it was all driven by cuts to the federal funds rate. The fact that Reagan had a rate nearly 20% was his saving grace - he had tools to help create a recovery. What was the federal funds rate when Obama took office? 0.15%.
You think we would engaged in Quantitative Easing if we had interest rates to cut? No interest rates, a Republican party suddenly fiercely concerned about debts and deficits, a Senate minority that filibusters job bills for recreation - Obama was not dealt a better hand than Reagan.