October 25th, 2012
11:49 AM ET

The U.S. economy is recovering well

By Fareed Zakaria

The International Monetary Fund’s latest World Economic Outlook makes for gloomy reading. Growth projections have been revised downward almost everywhere, especially in Europe and the big emerging markets such as China. And yet, when looking out over the next four years — the next presidential term — the IMF projects that the United States will be the strongest of the world’s rich economies. U.S. growth is forecast to average 3 percent, much stronger than that of Germany or France (1.2 percent) or even Canada (2.3 percent). Increasingly, the evidence suggests that the United States has come out of the financial crisis of 2008 in better shape than its peers — because of the actions of its government.

Perhaps the most important cause of America’s relative health is the Federal Reserve. Ben Bernanke understood the depths of the problem early and responded energetically and creatively. The clearest vindication of his actions has been that the European Central Bank, after charting the opposite course for three years with disastrous results, has adopted policies similar to the Fed’s — and averted a potential Lehman-like collapse in Europe. (Mitt Romney’s two most prominent academic advisers, Glenn Hubbard and Gregory Mankiw, seem to recognize this, but Romney apparently doesn’t. As recently as August the Republican presidential nominee repeated his criticisms of the Fed and promised to replace Bernanke at its helm.)
Read the full column here.

soundoff (47 Responses)
  1. Mr.Igiri.B.Umeh.

    Why Obama?.

    October 26, 2012 at 9:32 am |
  2. Mr.Igiri.B.Umeh.

    Mitt Romney to challenge Obama..said Mr.Igiri.B.Umeh.

    October 26, 2012 at 9:39 am |
  3. Mr.Igiri.B.Umeh.

    America politicians both Obama and Mitt Romney to whatch Mr.Igiri.B.Umeh.

    October 26, 2012 at 9:42 am |
  4. Mr.Igiri.B.Umeh.

    It is hard for international obervers of US to grasp that grips the country.

    October 26, 2012 at 9:44 am |
  5. Mr.Igiri.B.Umeh.

    That threatens America's ability to solve its domestic problems .

    October 26, 2012 at 9:47 am |
  6. Mr.Igiri.B.Umeh.

    And contribute to international problem solving.

    October 26, 2012 at 9:50 am |
  7. Mr.Igiri.B.Umeh.

    U.S news focus.

    October 27, 2012 at 1:57 pm |
  8. Mr.Igiri.B.Umeh.

    U.S government play the game

    October 27, 2012 at 1:59 pm |
  9. YS Ahn

    Yes, America is getting back onto the right track! All the great American people need is just a little more patience, caution and cool-headed reason for right judgements. Hope and believe they live by conscience and reason based on which they overcame all the barriers and elect the first African-American as President of the greatest country on earth, the United States. Romney may deserve to be a presidential candidate, but he obviously lacks the most important philosophy on which America was founded. The US economic distortion had continued during the eight years of the Republican Bush Administration. It usually takes a long time to cure the distortion and bring the economy back on the right track. It cannot afford to go back to the past under a Republic Administration led by the wealthy insensitive to the hardships the low-income people are experiencing. It cannot afford to start the bad things again. President Obama is an honest, genuine, courageous, intelligent leader devoted to the philosophies and principles the American people have traditionally cherished.

    October 28, 2012 at 1:56 pm |
  10. mmatalucci

    I'm sorry, but you can not create wealth by printing money, and that's all Mr Bernanke has really done.

    January 19, 2013 at 1:20 am |
  11. Mary Akhtar

    mit romney has some nice platform of government but i find him very conservative..

    Please do stop by our blog site

    January 20, 2013 at 2:19 am |
  12. Eddie Fonseca

    One of the greatest American bands in the late sixties and early seventies called Chicago captured the American sprit, and the American way of life where African Americans and Arab Spanish Americans could share thoughts about how to improve our economic situation threw peaceful protests or writing letters to our congress leaders. Now that times have changed we have power as average Americans, to see a better future for kids that depend on better way of life in America. Do we want to have a moron leader like Donald Trump who does not understand world politics, and we lead our nation down a path of economic despair and not a clear future for any American. Our should we have commander and chief who is well educated and fights for the rights of the average American, from having a high pay raises so we can all live the American Dream and better health care for our children and senior citizen's as well. So here is a question America do we want a commander and chief who will defend the rights of the rich people in our great nation, or do we want someone who can fight the average family in America who is struggling to pay their bills and wants to end the struggle of poverty and being second class's citizens in our country for years to come.

    February 3, 2016 at 12:05 am |
  13. drtodp

    Do give the fed so much credit, it is the people, the workers and the dreamers that keep America going.

    July 31, 2016 at 2:14 pm |
  14. drtodp

    DON'T give the fed so much Credit, it is the people, the workers and the dreamers that keep America growing.

    July 31, 2016 at 2:16 pm |
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