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These are the personal views of Peter Morici, a professor at the University of Maryland’s Robert H. Smith School of Business and former chief economist at the U.S. International Trade Commission:

Stocks are tumbling, as investors realize President Obama is simply not offering policies that will fix the U.S. and global economies.

Each week more than 450,000 Americans apply for new unemployment benefits, and 17% of adults can’t find a full time job or have quit looking for work altogether.

Since Massachusetts voters sent Democrats a vote of no confidence, President Obama has been doubling down on bigger government and class warfare as the road to prosperity.

Meanwhile, the two biggest problems that block economic recovery go unaddressed-most businesses lack enough customers and access to bank credit to create jobs. Continue reading…

These are the personal views of Peter Morici, a professor at the University of Maryland’s Robert H. Smith School of Business and former chief economist at the U.S. International Trade Commission:

Since Jan. 1, signs that the economic recovery may be faltering have emerged–job losses and new unemployment claims are up again and remain at recession levels; retail sales appear to be flailing; housing prices show signs of falling again; demand for new homes is declining (fewer visits to new-home showrooms and disappointing sales data); and non-residential construction and jobs in that sector continue to fall.

China’s fixed-exchange-rate policy has destabilized the U.S. and Chinese economies, sending tremors around the globe.

In the United States, China’s policy floods markets with products priced at less than their cost of production and throws Americans out of work without creating new jobs in export industries. Falling employment results in poor retail sales and more job losses–what economists call the multiplier effect.

Continue reading…

By Neal Lipschutz

A DOW JONES NEWSWIRES COLUMN

At least for the day, the most powerful man in the U.S. financial industry and for equities markets is 82 years old, a man who ended his leadership of the Federal Reserve more than 20 years ago.

But Paul Volcker is back. Big time. Reportedly on the margins of the Obama administration even in his current role as an adviser, “the tall guy behind me,” in the words today of President Barack Obama, is back on stage figuratively and literally.

As the president announced two major initiatives that would radically change the world of America’s big banks, he was flanked by Treasury Secretary Timothy Geithner and adviser Larry Summers. He also had with him two key Congressional leaders, Rep. Barney Frank (D., Mass.) and Sen. Christopher Dodd (D., Conn.).

Continue reading…

These are the personal views of Peter Morici, a professor at the University of Maryland’s Robert H. Smith School of Business and former chief economist at the U.S. International Trade Commission:

Scott Brown’s Massachusetts victory serves notice that Americans don’t want big government policies championed by liberal Democrats.

It is not a mandate for Republican tax cuts and deregulation. Rather, from health care to the economy, Democrats should stop accusing critics of deceiving the public and ask what voters would embrace.

To cover the uninsured, Americans would support reforms that made Medicaid and similar programs less expensive and lowered health insurance premiums for the middle class.

Real reform would reduce drug and administrative costs to those in other advanced countries, like Germany or Holland, and end waste imposed by malpractice suits those countries don’t endure.

Reform should not impose higher taxes but rather lower costs–the president should apply that yardstick, not budget neutrality.

Regarding unemployment, the $789 billion stimulus package will not deliver the 4 million jobs promised. Fanciful dreams of creating million jobs in green industries are just that–fanciful dreams.

Continue reading…

These are the personal views of Peter Morici, a professor at the University of Maryland’s Robert H. Smith School of Business and former chief economist at the U.S. International Trade Commission:

Whoever is declared the winner, the outcome of the Massachusetts senatorial election is neither a mandate for President Obama’s liberal agenda nor a license for a return to status quo ante of George Bush.

The fact that a conservative put Ted Kennedy’s seat at play is a repudiation of Democrats recent partisan governing style, and an agenda that is simply out of step with the real change Americans want.

From health care to jobs to the banks, it’s time for Democrats to stop accusing critics of deceiving the public and to step back ask what voters will accept. Continue reading…