Who inherited a worse economy, Obama or Reagan? (unemployment rate, Putin, dollars)

[BigV]

This article makes shows that REAGAN actually inherited a worse economy, yet, I don't remember him whining about it.


Washington Times - RAHN: The experiment

President Reagan inherited an economic situation even worse than the one President Obama has. When Reagan took office, the economy had been in recession for about a year, the unemployment rate was almost identical to today's, but the labor force participation rate was smaller, and inflation was out of control. At the time, the newspapers were filled with stories about the "worst economy since the Great Depression" - which, unlike today, was true, and the economic establishment seemed to be bereft of ideas of what to do.

[Smash255]

Originally Posted by BigV

This article makes shows that REAGAN actually inherited a worse economy, yet, I don't remember him whining about it.


Washington Times - RAHN: The experiment

The problems were a bit different. Reagan took over an economy that was going through large inflation problems, job loss at that time wasn't a big issue. In fact during Carter's last three months in office 550,000 jobs were added. Meanwhile during Bush's last 3 months in office more than 2 million jobs were lost. It wasn't until Reagan's 3rd year in office when the economy started to run around, and in fact it wasn't until late in his 2nd year in office when it hit rock bottom.

[momonkey]

Originally Posted by BigV

This article makes shows that REAGAN actually inherited a worse economy, yet, I don't remember him whining about it.


Washington Times - RAHN: The experiment

I can't remember Reagan ever complaining about the mess he inherited either.


"The dollar was at a post-World War II low at the end of Carter’s presidency. His Keynesian economists thought a weak dollar and inflation would create jobs. That didn’t happen. Inflation and unemployment reached a combined 20.5 percent in Carter’s last year."

The American Spectator : Weak Dollars, Weak Presidents

Liberals always think they can get something for nothing without unintended consequences.

The dollar hit its all time high in 1984 beginning the longest peace-time economic expansion without a recession in US history.

[AnUnidentifiedMale]

No one was talking about a Second Great Depression when Reagan took office. The comparison is weak.

Consider that the Washington Times is a right-wing newspaper. I guess they'd like to rewrite history.

[Frankie117]

Actually the economy took off in 1983, Reagan's second year in office. There were five straight quarters of growth above 7%. The economy did not slow down until 1990, and even then it quickly recovered for another straight year of growth above 4% in 1992.

[Smash255]

Originally Posted by Frankie117

Actually the economy took off in 1983, Reagan's second year in office. There were five straight quarters of growth above 7%. The economy did not slow down until 1990, and even then it quickly recovered for another straight year of growth above 4% in 1992.

83 was Reagan's 3rd year in office....

[AnUnidentifiedMale]

Originally Posted by Frankie117

Actually the economy took off in 1983, Reagan's second year in office.

1983 was Reagan's third year in office. He took office in January 1981.

So, in order for there to be a fair comparison, we should wait until 2011 before making direct comparisons between Reagan and Obama on the American economy.

[momonkey]

Originally Posted by Smash255

The problems were a bit different. Reagan took over an economy that was going through large inflation problems, job loss at that time wasn't a big issue. In fact during Carter's last three months in office 550,000 jobs were added. Meanwhile during Bush's last 3 months in office more than 2 million jobs were lost. It wasn't until Reagan's 3rd year in office when the economy started to run around, and in fact it wasn't until late in his 2nd year in office when it hit rock bottom.

Reagan took over a stagnant economy with 7.5% unemployment. BO came into an economy with 7.6% unemployment. The difference was Reagan had to deal with 11.83% inflation while inflation was practically non-existent when BO took office.

The United States Inflation Rate (http://www.miseryindex.us/irbymonth.asp - broken link)


Reagan definitely had more on his plate.

[Frankie117]

Oops.. It is indeed his third year. Of course, if you want to play semantics there was positive growth late into his second year (1982 +.3%).

Was actually disputing the other posters claim that the economy took off in 1984..

Originally Posted by momonkey

Reagan definitely had more on his plate.

Obama also had to deal with a full blow financial crisis, which I think levels the playing field..

[momonkey]

Originally Posted by AnUnidentifiedMale

No one was talking about a Second Great Depression when Reagan took office. The comparison is weak.

Consider that the Washington Times is a right-wing newspaper. I guess they'd like to rewrite history.

The comparison is weak because the Misery Index Reagan came into was twice what BO inherited from Dubya.