As Unemployment Rises, Mortgage Lenders Fold, Economy Returns as Top Focus

WASHINGTON — Democrat presidential nominee Barack Obama ridiculed Republican rival John McCain and his running mate for claiming they would bring about the changes needed to get the country back on the right track at a time of mounting economic problems. Obama’s comments Saturday came as both campaigns scrambled to react to the implications for taxpayers and the economy of a historic government takeover of mortgage giants Fannie Mae and Freddie Mac, which could come as soon as this weekend. On Friday, the government reported that the U.S. jobless rate hit a surprising 6.1 percent in August. The latest economic setbacks only underscored how large a factor the troubled U.S. economy has become in the presidential campaign, mostly eclipsing the Iraq war as voters worry about losing their jobs, homes and health insurance coverage. Speaking to 800 people in a barn at a Terre Haute, Indiana, fairgrounds, Obama said people should not believe the claims by McCain and his vice presidential ... (link)