None other than the panel created to oversee the Federal TARP program is now calling for a mulligan on the so-called “stress tests” that banks were recently subjected to by the Obama administration. The Congressional Oversight Panel is pointing out that unemployment is already much higher than the worst case scenario banks were tested against.
Banks that were stress tested by the government earlier this year should undergo another round of examinations, a government watchdog group said Tuesday, amid signs that the U.S. economy may be deteriorating faster than first expected.
In its latest report to lawmakers, the Congressional Oversight Panel pointed to the unemployment report for the month of May as a sign that the stress tests were not stressful enough.
Even as the pace of job losses slowed during the month, the unemployment rate surged to a 26-year high of 9.4%. Banking regulators that devised the stress tests had said in their most “adverse” case scenario that the jobless rate would hit 8.9% in 2009.
The article points out that the panel’s chair, Elizabeth Warren, is one of the members calling for the do-over. Warren is not exactly what you would call a right-wing reactionary. She is a contributer to the Huffington Post.
Obamanomics is under fire from both the left and the right.
Yet, we still can’t see his long form birth certificate, any college records,etc.
Ah, I long for the days of 5% unemployment under President Bush. Oh, wait! I forgot. Those 5% unemployment figures were an unmitigated disaster caused by Bush’s ‘failed policies’ weren’t they? But it’s okay. The Chosen One is fixing it. He’s got the unemployment rate down to 9.4% and will soon have it in the double digits. Thank God for President Obama. Wait a minute. Somehow that math just doesn’t look right. I wonder why? Maybe the MSM can tell us?