On critiquing Obama’s economic policy and other links

Critiquing Obama’s economic policy

My take:

I would still sum it up this way as I did two weeks before Obama came to office:

The long and short of Krugman’s fuller analysis is that [Obama’s economic plans] will NOT be enough stimulus to provide the economy the boost it needs. Moreover, Krugman asserts that the lesson learned if it comes up short is that government spending does not work. Therefore, Obama will be less likely to receive monies if he tries to add stimulus a second go ’round.

I tend to agree with Krugman’s political calculus here. Obama has one shot. From a political standpoint, he should be opting for massive stimulus and look for that to be cut back to a more palatable level in negotiation. However, he seems to be treading a cautious line, looking for bipartisan support that he may not receive.

I see this scenario as very negative for the U.S. economy. First, you have huge government spending that requires additional borrowing by the U.S. government. But, this spending does not give the economy the needed jump start to pull out of the deflationary spiral.

Read more: https://www.creditwritedowns.com/2009/01/obamas-stimulus-bill-is-a-tough-sell-so-far.html#ixzz0yHg3a9Na

The Usual Fare

  • CultureLab: Nicholas Carr: Surfing our way to stupid
  • On Bigness and Reform » New Deal 2.0
  • Europe Manufacturing Growth Slows as Germany, Italy Ease – Bloomberg
  • FT.com – Blair blames Brown for electoral defeat
  • Tony Blair: my deep misgivings about Gordon Brown – Telegraph
  • Why all smartphones are $199 – CNN Money
  • Australian economy surges 1.2% in second quarter | Business | guardian.co.uk
  • Kathleen Parker – My name is Glenn Beck, and I need help
  • Bank capital: Foundations of jelly | The Economist
  • Emerging-market debt: A run for your money | The Economist
  • European banks: A glow from the east | The Economist
  • Harrisburg Default Hits Muni Market – WSJ.com
  • How to Remember People’s Names (and Deal with Unusual Names)
  • Más Política Monetaria No Convencional II: Expectativas – Nada es Gratis
  • Moody’s varnar för danska banker – DN.se
  • F.D.I.C. Gives a Mixed Report on Banks in 2nd Quarter – NYTimes.com
  • Biden To Cool His Heels In Mexico For A While | The Onion – America’s Finest News Source
  • Money Buys Unhappiness: Scientific American
  • `Zombie’ Hotels Arise in Ireland as Recession Empties Rooms – Bloomberg
  • FT Alphaville » Mike Mayo’s Citi DTAaaaaaaattaaaaack!
  • Housing prices in hottest Canadian markets a concern
  • Home truths for complacent economists | Dean Baker | Comment is free | guardian.co.uk
    Read more: https://www.creditwritedowns.com/news-feed#ixzz0yHcEIAxG
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