People believe this stuff because they want to believe the guy they voted for.
They want to believe what the President tells them. That conservatives are cartoon characters like Snidely Whiplash who make evil plans to steal your money. But that's nonsense and you know it.
As you saw during the debate the other night, Obama doesn't appear to have a big grasp on economic details. He spews what he's fed by his poll testing aides.
IBD goes through the President's five main claims on the stump.
The Bush tax cuts did not cause the economic downturn or "added to the deficit."
In fact, once they were fully in effect in 2003, they sparked stronger growth — generating more than 8 million new jobs over the next four years, and GDP growth averaging close to 3%.
Those tax cuts didn't explode the deficit, either, as Obama frequently claims. Deficits steadily declined after 2003, until the recession hit.
Any sentient being knows the mortgage/housing crisis was the start of our economic downturn.
Obama says he stopped the 2nd Great Depression. Nope. He's trying to bring it back, however.
The economy had pretty much hit bottom by the time Obama took office, and long before his policies were in place. The worst declines in monthly GDP and employment, in fact, occurred before he was even sworn in.