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Unemployment Expected to Remain
High<http://politicalwire.com/archives/2010/11/24/unemployment_expected_to_remain_high.html>New
projections from the Federal Reserve suggest unemployment "is set to remain
higher for longer than previously thought," the Washington
Post<http://www.washingtonpost.com/wp-dyn/content/article/2010/11/23/AR2010112307234.html>
reports.

The unemployment rate, now 9.6%, is expected to fall only to about 9% at the
end of 2011 and about 8% when the next presidential election arrives, in
late 2012.

Ezra Klein<http://voices.washingtonpost.com/ezra-klein/2010/11/wonkbook_the_best_predictor_fo.html>:
"It's not impossible that Obama could win with those numbers, but it's not a
sure thing, either. The most common comparison for Obama is Ronald Reagan.
At this point in the cycle, both presidents had approval ratings in the
low-40s, and both presidents had just suffered large midterm defeats. But
the recession facing Reagan was the product of tight Fed policy meant to
break stagflation When the Fed loosened the reins, the economy roared back
to life. By November of 1984, the jobless rate had fallen from a high of
10.8% down to 7.2%."
--
Eric D. Schwerin
Rosemont Seneca Partners
(202) 333-1880
eschwerin@rosemontseneca.co