Memo To Obama: It's Government That Is Doing Fine

President Obama's claim Friday that "the private sector is doing fine" sparked a firestorm of attacks from Republicans and prompted a quick retraction, of sorts, from Obama, who later said "it is absolutely clear that the economy is not doing fine."

But what has gone largely unnoticed was Obama's complaint that it's the government that's hurting these days. "Where we're seeing weaknesses in our economy," he said Friday, "have to do with state and local government."

Even when he tried to walk back his comment later that day, Obama said that the private sector is showing "some good momentum" but the bigger problem is state and local government cutbacks.

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