"If enough people and businesses believe the economy is secretly terrible, they will behave in ways that make it terrible."

The economy IS terrible.  Those that state otherwise are in denial of the facts.  GDP growth at 1.4%!
People working 2 and 3 part time no benefits jobs, food stamps near record highs and labor participation at lows.  This list of dismal economic numbers goes on......enormous deficits as far as the eye can see. 
This is the new Obama economy.