Back in August of 2008, John McCain claimed that the "fundamentals of our economy are strong".  Based on the response from the Obama campaign and the media, one could be excused for mistakenly thinking that McCain had professed himself to be a worshiper of Satan and a fan of clubbing seals.  In the face of the resulting criticism, McCain backtracked, offering some excuse that he was talking about the resilience and productivity of the American workforce or some such mumbo-jumbo.  The statement was about as well-received as a drunk clown at a birthday party, and it was used again and again by the Obama campaign as supposed evidence of just how out-of-touch McCain and the Republicans were with ordinary Americans in the economic crisis.

At the time he made his remarks, the unemployment rate was around 5.5%, and the most recent numbers showed an economy that was still growing, albeit slowly (2nd quarter GDP growth was 2.8%).  Gas prices were at their peak and inflation seemed a likely prospect, and the government bailouts were underway on a small scale — AIG was getting cash infusions, the Federal Reserve was opening up its emergency cash, and the subprime mortgage meltdown was starting.  Overall, however, the massive bailouts and "stimulus" bills were not yet in place, and it was uncertain whether or not we were moving towards a bump in the road or a washed-out bridge in terms of the national economy.

Fast-forward to March, 2009.  The Obama campaign is now the Obama Administration.  The economy has shrunk for 2 consecutive quarters, with a third quarter of negative growth expected; the unemployment rate has grown to 8.2%; billions in bailout money has increased to trillions; and the most expensive, wasteful, and reprehensible bill in US history — the so-called "stimulus" bill — has passed Congress and been signed into law.  Job losses are mounting, American automakers still are begging for bailout money, and AIG is using taxpayer money to fund lavish bonuses.  In spite of all of this bad news, however, the Obama Administration is making the claim that the fundamentals of the economy are "sound".  They are doing so with a straight face.

In response to the ensuing collective chuckle, White House spokesman Robert Gibbs offered some nonsense about a "definitional difference" between "sound" and "strong".  Of course, it was only about a week ago that Obama's budget director, Peter Orszag, declared that "fundamentally, the economy is weak."  But so much can happen, apparently, in just a few days.

Of course, this begs the question:  if the fundamentals of the economy are, in fact, "sound" (notwithstanding Mr. Orszag's previous comment), then why do we need more government "stimulus" and intervention into nearly every facet of the economy?  I eagerly await the answer.