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Economy, financial sector trouble most Americans

(Agencies)
Updated: 2009-09-14 14:58

US President Barack Obama arrives onstage for a rally for his health insurance reform initiatives at the Target Center in Minneapolis, Minnesota September 12, 2009. Obama is to give a "major" speech on the economy Monday, one year after the collapse of Lehman Brothers sparked a global financial crisis, the White House said. [Agencies]

WASHINGTON: One year after Wall Street teetered on the brink of collapse, seven out of 10 Americans lack confidence that the federal government has taken safeguards to prevent another financial industry meltdown, according to a new Associated Press-GfK poll.

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Even more 80 percent rate the condition of the economy as poor and a majority worry about their own ability to make ends meet. The pessimistic outlook sets the stage for President Barack Obama as he attempts to portray the financial sector as increasingly confident and stable and presses Congress to act on new banking regulations.

The public sentiment also poses a challenge to central elements of Obama's governing agenda. Half of those surveyed said deficit reduction should be a national priority over increased spending on health care, education or alternative energy.

"I know a lot of people who don't have health care and really can't afford it," said Judy Purkey, a 57-year-old grandmother from Morristown, Tennessee, who has raised four grandchildren and is living on disability payments. But she added: "The economy is so bad. You've heard the expression getting blood out of a turnip? Well, that's what's going on."

The president, in a CBS interview that aired Sunday on the TV news magazine "60 Minutes," acknowledged the public's quandary.

"This is a very difficult economic environment. People are feeling anxious," he said. "And I think it is absolutely fair to say that people started feeling some sticker shock."

Still, Obama generally avoided public blame for the recession or the condition of the banking sector.

Only one out of five surveyed said Obama bore responsibility for the recession; 54 percent blamed former President George W. Bush and 19 percent blamed former President Bill Clinton.

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