She and husband Jack offer the following prediction in the latest Business Week:
Which brings us to our final “sure thing”?and this one is alarming. President Obama’s budget, based on the assumption of 4% GDP growth from 2010 through 2013, is simply not realistic. During the leveraged euphoria of the ’80s and ’90s, GDP growth averaged closer to 3%. These days, with deleveraging everywhere, larger deficits, and consumers turning frugal, GDP growth is more likely to be near 2%. The outcome? Not reduced government spending, we’d wager, but higher taxes and more federal debt.
Nice. But the Welches like President Obama?s leadership.
