BernankeFederal Reserve Chairman Ben Bernanke told the Economic Club of Washington that the economy is recovering, even as it confronts “formidable headwinds.”

On November 19, the House Financial Services Committee advanced a bill that calls for the General Accounting Office to conduct a comprehensive audit of the Federal Reserve by the end of 2010.

The Obama administration has recently reduced by 60,000 the number of jobs created or preserved by stimulus funds. The acknowledged overstatement of jobs underscores the problem with all government statistics: There is an inherent bias to report success and no real incentive to report problems.

Thanks to how the Internal Revenue Service implemented President Barack Obama’s tax break last spring, more than 15 million taxpayers may owe the government either $250 or $400 more for their 2009 income tax. The tax break has decreased the amount of tax withheld for 95 percent of working families, but millions will find that they need to pay back the government for not withholding enough.

GM OpelGeneral Motors has received $50 billion in taxpayer assistance, yet even as the company cuts thousands of jobs at U.S. locations, it is considering investing billions of those taxpayer dollars on overseas operations. GM maintains that only through a strong international presence can it remain competitive and profitable, but critics say that the taxpayer money was meant to preserve U.S. jobs.