Go to the Globe and Mail homepage

Jump to main navigationJump to main content

Life-and-death decision “I will never rush the solemn decision of sending you into harm’s way. I won’t risk your lives unless it is absolutely necessary.” U.S. President Barack Obama, who is evaluating whether to alter the U.S. strategy in the war in Afghanistan, visits a naval air station in Florida (KEVIN LAMARQUE)
Life-and-death decision “I will never rush the solemn decision of sending you into harm’s way. I won’t risk your lives unless it is absolutely necessary.” U.S. President Barack Obama, who is evaluating whether to alter the U.S. strategy in the war in Afghanistan, visits a naval air station in Florida (KEVIN LAMARQUE)

Obama warns of double-dip slump Add to ...

U.S. President Barack Obama gave his sternest warning yet about the need to contain rising U.S. deficits, saying on Wednesday that if government debt were to pile up too much, it could lead to a double-dip recession.

With the U.S. unemployment rate at 10.2 per cent, Mr. Obama told Fox News his administration faces a delicate balance of trying to boost the economy and spur job creation while putting the economy on a path toward long-term deficit reduction.

More Related to this Story

His administration was considering ways to accelerate economic growth, with tax measures among the options to give companies incentives to hire, Mr. Obama said in the interview with Fox conducted in Beijing during his nine-day trip to Asia.

"It is important though to recognize if we keep on adding to the debt, even in the midst of this recovery, that at some point, people could lose confidence in the U.S. economy in a way that could actually lead to a double-dip recession," he said.

Fox News, which released a transcript of the interview, showed that comment by Mr. Obama on Wednesday morning and said the full discussion would be broadcast later in the day.

Cat:e528746c-3414-401a-b14b-50247e3bdf01Forum:e3bcf17c-2889-45a0-9941-0ad1b683e947

Follow us on Twitter: @GlobeBusiness

In the know

Most popular video »

Highlights

More from The Globe and Mail

Most Popular Stories