DUmmies ignore the REAL LESSON

[thundley4]

ProSense   (1000+ posts)             Mon Jul-26-10 06:23 PM
Original message
Learning the wrong lesson (on stimulus)
   
LEARNING THE WRONG LESSON....

Ezra had a fairly brief item today that summarizes a problem that comes up nearly every day.

Last year's stimulus worked exactly as it was intended to work -- in some ways, it even exceeded expectations -- but it was too small. There was a hole in the economy, which turned out to be even bigger and more serious we realized at the time, and policymakers only filled part of it. Ezra noted that part of the problem may have been an assumption that Congress and the White House would get another bite at the apple.

<...>

Look, this is pretty simple. Early last year, the economy stood at the brink of an extraordinary collapse. There were effectively four options:

1. Pass a massive, ambitious economic stimulus.

2. Pass a trimmed down economic stimulus that could overcome a Republican filibuster.

3. Do nothing.

4. Pass a five-year spending freeze proposed by confused congressional Republicans at the time.

Left with limited options, Democrats went with #2, and disaster was averted. We would have nevertheless been better off with #1, but we can all be very thankful #3 and #4 were rejected.

But the economy still needs more, and it won't get it, in part because Republicans learned the wrong lessons, and in part because they hope to keep the economy down on purpose to improve the GOP's electoral chances.

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=389x8820796

Demeter   (1000+ posts)             Mon Jul-26-10 06:48 PM
Response to Original message
2. Disaster Is Not Diverted   
   
Disasters don't respond to bread and circuses--populations do.

Disasters respond to meaningful change.

As there has been NO meaningful change for the better, this disaster is merely delayed by a flimsy chainbolt on the door until it breaks. Then there will be a much greater and stronger Disaster to face, and no door in the way.

ProSense   (1000+ posts)             Mon Jul-26-10 06:57 PM
Response to Reply #2
3. Want to know what a real disaster would be at this point:
   
If the economy was still trending based on the brown bars.

Demeter   (1000+ posts)             Mon Jul-26-10 07:00 PM
Response to Reply #3
4. My Dear Friend   
   
It IS trending on the brown bars--it's just that the data is so thoroughly cooked that the casual observer thinks things are improving....provided he/she ISN'T among the 24% in U6--the REAL unemployment rate.

ProSense   (1000+ posts)             Mon Jul-26-10 07:04 PM
Response to Reply #4
5. "it's just that the data is so thoroughly cooked" And there is the problem.
   
If you think the data is so "cooked," where are your facts to suggest that it's false?

Cynicism isn't going to change anything.

Here's the chart the DUmmies fail to see the obvious.



What the DUmmies never seem to realize when looking at any charts having to do with the economy, unemployment or anything for that matter is that things have gotten worse since the Demonrats took over congress.  They own this recession.

[BattleHymn]

Did I miss something?  A filibuster?  Really?  How?  Sorry, DUmmie, but you fools own this massive failure.   

[Duke Nukum]

Even if what the DUmmies are saying is true, that we needed to spend more, isn't there something like 400 billion from Stimulus I that hasn't been spent?

And yes, it is obvious the country went to hell when the Dems took over in '07.

[BattleHymn]

Being the rank amateur that I am, I look at this chart, and am reminded that a corpse bleeds out a finite amount of blood. 
 
Is this how you all ended up smoking whatever shit you can wrap your lips around, eating Cheetos, and living in somebody's basement- by spending your way out of debt?

Shit the bed, Myrtle, how stupid can these people be?

[DumbAss Tanker]

how stupid can these people be?

You'd be amazed, really.

[Carl]

I am still waiting for anyone to explain to me how a demand side theory being primed with borrowed or printed dollars can sustain a growing economy.
Please someone?

[DumbAss Tanker]

I am still waiting for anyone to explain to me how a demand side theory being primed with borrowed or printed dollars can sustain a growing economy.
Please someone?

No takers on that.  You can only fill a bucket from a tap as long as the tap is open; as soon as you close it, the flow stops.

[Randy]

No takers on that.  You can only fill a bucket from a tap as long as the tap is open; as soon as you close it, the flow stops.

and the bucket can't be full of holes....

[BlueStateSaint]

You'd be amazed, really.

Every day.