"I don't think Obama understands basic economics. Not economics that work. He may understand some theory that someone in Princeton sat and dreamed up, but it's not working"

Rick Perry is suggesting that President Obama does not comprehend the useful application of economics. He believes that Obama may comprehend the theoretical elements of economics, however that these theories are not applicable in the real world. Perry is suggesting that Obama's financial policies are ineffective which he must concentrate on more practical solutions. He is likewise indicating that Obama's economic theories are not based upon truth, but rather on the concepts of someone in Princeton. Perry is criticizing Obama's economic policies and recommending that he ought to concentrate on more useful solutions.