Spring Slowdown: Is the U.S. Economic Recovery Stalling?

During this presidential election cycle, economics and politics are inseparable. The fundamental question voters will have to decide upon when making their choice for President in a few short weeks is whether they believe that the weak recovery we have been experiencing is due to poor economic policies put forth by President Obama or unavoidable circumstance. While polls have consistently shown that voters lay blame for the financial crisis at the feet of President Bush, it is unclear whether they blame President Obama for the weak recovery that followed.

There is not an ability of central banks to take all these risks out or set the seeds for a sustainable recovery Bank of Canada Governor Mark Carney, urging central banks to secure “escape velocity” for their economies, said there is still room for more monetary stimulus around the world if needed. In comments that may shed light on his thinking as he prepares to take over the Bank of England in July, Carney said policy in developed countries isn’t “maxed out” and that central bankers can be flexible in meeting inflation goals.

WASHINGTON — The head of the U.S. Environmental Protection Agency resigned abruptly last week, reportedly to protest the Obama administration’s apparent plans to approve TransCanada’s Keystone XL pipeline in the coming months. The American environmental movement is abuzz following a New York Post report that Lisa Jackson suddenly quit the post because she doesn’t want to be at the helm of the agency when the White House rubber-stamps the controversial project. That could happen as early as March or April, the paper suggested.

OTTAWA • Mark Carney is wasting little time setting the tone for his tenure at the helm of the Bank of England. Recent comments — both here and abroad — by the Bank of Canada governor have been spiced with calls for other policymakers to keep their options open to ensure “escape velocity” for their economies. In other words, Mr. Carney, who will be transplanted to London in July, sees more wiggle room for monetary easing to stop the global economy from tipping back into recession. While much has been achieved, more needs to be done

China's economy entered into recession in December 2011. That's very old news to readers of Political Calculations, a little-read blog that somehow managed to scoop a number of financial institutions and even the New York Times in reporting on the poor health of China's economy back in February 2012.

By Jeremy Robson:This is the fourth time since the credit crunch began that the popular press have been trumpeting 'escape velocity for the U.S. economy'. Here is the FT reporting Larry Summers in April 2010

Most economists still think the U.S. will avoid a double-dip recession, but a long malaise seems likelier. The U.S.