Whether they realize it or not, pessimism about the economy has led a number of Americans to embrace a liberal critique of current plans for deficit reduction:
Disapproval of Mr. Obama's handling of the economy has never been broader — at 57 percent of Americans — a warning sign as he begins to set his sights on re-election in 2012. And a similar percentage disapprove of how Mr. Obama is handling the federal budget deficit, though more disapprove of the way Republicans in Congress are.
Still, for all the talk from Congressional Republicans and Mr. Obama of cutting the deficit as a way to improve the economy, only 29 percent of respondents said it would create more jobs. Twenty-seven percent said it would have no effect on the employment outlook, and 29 percent said it would cost jobs. [Emphasis mine]
This is exactly right. Republicans, some Democrats, and President Obama notwithstanding, deficits aren't hindering job growth or slowing the economy; by and large, we're still working through the aftermath of the Great Recession, and the massive drop-off in business investment, employment, and economic output. Our sudden focus on deficit reduction is a big step in the wrong direction, and -- as 29 percent of Americans correctly understand -- large spending cuts are anathema to future job growth, to the tune of a few hundred thousand jobs.
