Krugman: the trillion dollar boondoggle stimulus was not BIG enough, so let’s spend a few hundred billion on a WPA jobs program for the low skilled, but under no circumstances should you cut taxes…

Utterly backwards. The boondoggle spendulus failed (EPIC FAIL!), so they want to dilute hundreds of billions more by pouring it through government’s oh so inefficient hands again. I think it is intellectually dishonest of Krugman to suggest if the stimulus were only BIGGER it would have done more to stimulate job creation., No matter how BIG they make it, the pockets of those who do NOT create jobs would be filled that much bigger we would STILL not have created jobs. Where did all that money go? The way it was STRUCTURED not the AMOUNT was the problem. The proof is that 2/3 of it are unspent and they have already GIVEN UP on getting any jobs from it.

If they would simply stop the overregulation and taxation and do something like a PAYROLL TAX CUT that goes DIRECTLY to WORKERS with no government mishandling, we would be doing much much better..but the academics and govt lackeys would prefer ANYTHING over giving us back OUR OWN MONEY to spend OUR OWN WAY.

Krugman is among those invited to Thursday’s jobs summit on Mount Obama so we can expect more of this kind of thing from their jobs bill. More state bailouts thereby allowing the states to continue to avoid the real job of CUTTING SPENDING and STATE GOVERNMENT PAYROLLS AND BENEFITS which is where all the bleeding is happening across the country on state balance sheets….

Krugman:

(…) So our best hope now is for a somewhat cheaper program that generates more jobs for the buck. Such a program should shy away from measures, like general tax cuts, that at best lead only indirectly to job creation, with many possible disconnects along the way. Instead, it should consist of measures that more or less directly save or add jobs.

One such measure would be another round of aid to beleaguered state and local governments, which have seen their tax receipts plunge and which, unlike the federal government, can’t borrow to cover a temporary shortfall. More aid would help avoid both a drastic worsening of public services (especially education) and the elimination of hundreds of thousands of jobs.

Meanwhile, the federal government could provide jobs by … providing jobs. It’s time for at least a small-scale version of the New Deal’s Works Progress Administration, one that would offer relatively low-paying (but much better than nothing) public-service employment. There would be accusations that the government was creating make-work jobs, but the W.P.A. left many solid achievements in its wake. And the key point is that direct public employment can create a lot of jobs at relatively low cost. In a proposal to be released today, the Economic Policy Institute, a progressive think tank, argues that spending $40 billion a year for three years on public-service employment would create a million jobs, which sounds about right.

Finally, we can offer businesses direct incentives for employment. It’s probably too late for a job-conserving program, like the highly successful subsidy Germany offered to employers who maintained their work forces. But employers could be encouraged to add workers as the economy expands. The Economic Policy Institute proposes a tax credit for employers who increase their payrolls, which is certainly worth trying.

All of this would cost money, probably several hundred billion dollars, and raise the budget deficit in the short run. But this has to be weighed against the high cost of inaction in the face of a social and economic emergency….

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November 30, 2009. Tags: , , , , , , , , , . Economy, Finance, Obama Administration, Politics, Taxes, Unemployment Statistics, Wall St. 3 comments.

Stiglitz agrees with MiM ‘W’ economic forecast…

Hey let’s put on some Ritz MiM style, the grand chief poohbah high muckety mucks of the ivy league intelligentsia Feldstein, Stiglitz, Krugman, Gross you know their names…and they all loved them some Obama…Well now Stiglitz is the latest to go on record echoing MiM’s position which we took here on the blog lo these many moons ago…the flat L leading to the double dip….

CNBC:

Nobel laureate economist Joseph Stiglitz on Thursday gave a gloomy assessment of a rebound in the U.S. economy, saying he does not see a resurgence in the strong consumer spending that has been a key driver of growth.

poohbah…But Stiglitz said the U.S. economy faces the possibility of low economic growth over a long-term period or the possibility of a “double-dip” recession whereby a recovery is not sustained.

It is not possible to predict whether we have a malaise or a W (shaped growth pattern). But there is a significant chance of a W,” he said. “It is not as if the second dip is going to be as bad as the first dip,” he said. Instead, it could mean the economy rotates through a process of low growth followed by contraction.

“We are not seeing a recovery of sustained consumption,” in the United States, said Stiglitz, who said he has been consulted on an informal basis by the Obama Administration to talk about the major economic issues….

Gee I wonder why, ‘we are not seeing a recovery of SUSTAINED CONSUMPTION’?? Could it be because THE FRAKKIN IDIOTS IN DC ARE SCARING THE EVER LOVIN CRXP OUT OF WE CONSUMERS WITH THEIR HARE BRAINED SPENDING AND TAX PLANS??!! HMMMMNNN? Could be rabbit, could be!!! Is TOTUS doing bugs? Would I add this gigantic spending plan if the economy was about to collapse in a second leg down? You might TOTUS you might!

Have said it before, will say it again- What a bunch of maroons. For a group of the ‘Smartest People Evah’ they are awfully dense about how their ‘visionary changes’ impact real world consumers. Their pie in the sky ideas of de-industrializing the US and slowing population growth and greening everything and the greater good, cap and trade, change housing codes nationwide, pay cash for clunkers, take over car companies, then health care, they are really SHOCKED that 21 Century Americans do not want to go all ‘neo socialist Luddite’ with them…

wall_st_bear_small

They can claim anything they want, but they pixxed away 800 billion in ways that do not help the consumer feel safe and spend, have jobs and spend, pay off some debt and spend. There is no THERE there in that spendulus. All it did was ADD to consumers low expectations and high deficit concerns. The S & P financials are headed for a second crash IMO, commercial RE is about to hit the FDIC in a wave of bank failures and the end of 2010-11 will see a tripling of the current residential foreclosure wave as we have discussed here before.

They are SOL in the 2010 elections, they simply don’t have the money to fix what they have done with the spent bullets of the spendulus and TARP bazooka, they are out of ammo, the FED is making noises that they are split on continued quantitative easing and MBS purchases. Bill Gross at PIMCO says they will have to stay loose and keep buying to keep rates low or send housing off the second cliff. This is precisely why Krugman was suddenly pro giant deficit and Gross is making noises about the end of stimulus being a problem.

News flash geniuses Americans will not support ANY MORE GIANT SPENDULUS bills. That ship sailed baby, and sunk. It was overloaded with ‘interest group’ payoffs…I heard an analyst on Caterpillar CAT today talking about how the spendulus was less than 3% infrastructure and CAT will not have a bump in 2010. Remember TOTUS in Elkhart and talking with CAT workers? How awful. And now Pete Stark D-outoftouch is talking about laying a tax on all Wall St stock transactions to pay for billions in what? You guessed it INFRASTRUCTURE. Fuggedaboudit.

Treasury is out talking up additional mortgage help for homeowners as they see all this coming, and yet in the face of all this Team TOTUS is STILL going to attempt a 1 trillion dollar health care bill? The Administration needs to find religion and go moderate or 2/3 of Congress can go home in 2010…

Young Frankenstein courtesy of cristiancd

Bugs Bunny courtesy of chrispdx

September 3, 2009. Tags: , , , , , , , , , , , , , , , , , , , , , . Economy, FDIC, Finance, Foreclosures, Healthcare, Housing, Obama Administration, Politics, Taxes, Unemployment Statistics, Wall St. 3 comments.

Paul Krugman thinks we just ‘need more stuff’…

And BTW, if you missed it, Paul thinks we are all racists too, though we may not know it…The deficit is exploding and we are hitting new records monthly but Paul wants to spend more.

I am guessing Paul is not a George Carlin fan, or he would know the LAST thing we need is more STUFF…

CNBC:

…More stimulus money is key for a sustainable recovery as fears of inflation are overdone, Krugman told CNBC.

“We really should have a second stimulus, we should have more stuff,” he said, dismissing fears of price rises as a result of too much cash in the system.

“I think that’s an old line from the great depression, that crying ‘fire, fire’ amid Noah’s flood. I mean, we have no signs of inflation on the horizon. There is nothing in there that would be inflationary.””You have to understand that putting money in the system, it mostly just sits there. It’s quite easy to pull it out again if inflation starts to loom,” he said….

The money in the system, ‘just sits there’ and it’s ‘quite easy to pull it out again’. Yuh-huh Paul m’kay. It will be EASY for the Fed to dump all the MBS it is holding and raise rates in the face of incipient inflation. Suuuuuure. The Fed that will be headed by Bernanke would do it I agree.

But we all know it will NOT be Ben, it will be Larry Summers, and he seems pretty wrapped around TOTUS finger…when he is awake that is….myself I am pretty sure the FED will be too loose for too long. We will have another bubble, it is the nature of the beast. We have stimulus spending not coming out of round one until 2010, methinks Paul wants to prevent the double dip that is coming to avoid losing WH and Congress between 2010-2012…

*Carlin courtesy of CappyNJ

August 10, 2009. Tags: , , , , , , . Comedy, Economy, Entertainment, Finance, Housing, Obama Administration, Politics, Popular Culture, Taxes. Comments off.

Tea Party Patriots AZ: Gabby Giffords (D-AZ) hides from constituents…video: I Am the Mob…

Courtesy of ShortforOrdinary

Courtesy of soupermom

Tucson, AZ: Gaby Giffords (D-AZ) skipped her own event to avoid the 300 constituents who came out to see her…reminds me of someone who would not debate at the end of the Dem primaries….Bock Bock Bawack Gaby..How can they ask for our votes if they will not come to speak to us at their own events? They are so clearly completely out of step with most of the American people…methinks they spend too much time in their DC elite bubble surrounded by the DC media handmaidens of TOTUS….reminder Congress Critters, we are the ones who vote, we are the ones you are sent to DC to represent, therefore it is we, the people, (sounds familiar…) whose voices you need to hear….

Tucson Tea Party:

On August 6 at 7 p.m., Rep. Gabrielle Giffords (D-AZ) hosted an outdoor movie night at La Placita Cinema downtown. However, because she has been hiding from her constituents and has so far refused to hold a townhall regarding the healthcare bill, we all figured it would be a good idea to show up and let her know how unhappy we are with the bill.

She was supposed to show up for the movie event — it’s her event, after all! — but then told a Fox 11 reporter that she was not going to attend because she feared the protesters would “disrupt the movie”…Then, on the Fox 11 broadcast that night (video here), she accused the Tucson Tea Party of misrepresenting the event as a town hall and said she never intended to go to the event at all!…

Okay so if the soopergeniuses in DC ‘stumble’ across this blog, lemme explain our, my, point of view to them as they so clearly do not get it. Maybe the Critters haven’t noticed but we do not have any more money. This will add taxes and massive spending at a time of substandard economic growth projected by Pimco to last for several years. Timmeh Geithner asked for Congress to raise the Federal debt limit again and to do it within the next two weeks, calling it urgent.

Timothy Geithner asked Congress to increase the $12.1 trillion debt limit on Friday, saying it is “critically important” that they act in the next two months…….Mr. Geithner, in a letter to U.S. lawmakers, said that the Treasury projects that the current debt limit could be reached as early mid-October. Increasing the limit is important to instilling confidence in global investors, Mr. Geithner said….

The non-partisan Congressional Budget Office said Thursday the federal government’s budget deficit reached $1.3 trillion through the first ten months of fiscal 2009, on track to reach a record high of $1.8 trillion for the 12-month period….

We URGENTLY need to have more debt?! They simply MUST have this massive spending plan NOW? They MUST raise our state income taxes now, city, municipal, county, property, sales tax…Taxes to fund this will come and they will kill growth. We must have growth to get out of this debt, Therefore we must not pass this plan right now. Why so confused Congress?

newtaxrates

The interest rate we are paying on the debt we are issuing has doubled in the past few months. It will only go higher, the spending must stop or at least not rise astronomically which is what this administration is doing. We were promised transparency and line by line budget analysis. Not unread bills written by lobbyists in the dead of night with passages added no Congressperson will claim….

Here is something pixxing people off, these Congresspeople are coming to town halls telling us we are wrong when they haven’t read the bill and we are READING PARTS OF THE BILL TO THEM. They keep shaking their heads, no no that’s not in there, YES IT IS. We are citing page numbers and passages of the actual bill..

On the comments Gov Palin and constituents have made expressing their concern over possible rationing and denial of care to those considered ‘unworthy’ somehow or treatment, and the backlash saying that is ‘silly’, read Legal Insurrection at HotAir. And recall they are asking people to ‘name names’ to the WH (like the Hop Sing Seinfeld episode where Elaine is dating a Communist) .

V resistance

THOSE are not the tactics of a ‘constitutional lawyer’ ‘my friends’. More like the Lizards getting the Youth to join them in V and turn granny in. Can you even imagine what BTD and Glen Greenwald and the ACLU would have done had GWB made the same WH communications website video about reporting conversations or blog posts or emails you got about the Iraq War? Yeah, fuggetaboudit.  Hell these people are the control freaks, they are already mandating our lightbulbs...

Then people like Mike Ross D AR say there is no provision in the bill about abortion. Well that’s disingenuous Mike. Are you misinformed or obfuscating? In the SENATE ‘bill’ Sen Mikulski put in an amendment that will fund Planned Parenthood...you cannot guarantee what will come out of committee….there SHOULD be something in there specifically BARRING that funding Mike…don’t lie and tell us we are wrong when you are uninformed….

How is this even making it onto the table right now? In the primaries Obama said he was moderate (HA HA!) and consistently maintained he would never raise taxes in a recession, ha ha!! He said everyone KNOWS that would be counterproductive to growth. So what happened?

We will not be growing at 5% GDP in two years (see PIMCO who calls 1-2% GDP the ‘new normal’) and if they pass this health care bill, they will HAVE to raise taxes within that time frame …so why are they doing this? The 14 million or so involuntarily uninsured have full access to ERs and walk in clinics and we just expanded SCHIP. We need to grow jobs right now not entitlements and government spending.

And WTH are pundits like David Brooks and economists like Paul Krugman doing pretending this spending is sustainable and spending their time calling protesters racist and crazed? WTH doesn’t he get something moving with the $50b set aside for housing instead of analysing people he has never met? Egads and oddbodkins, defensive much? As we have said before, it is like we are in JAWS…WE ARE GONNA NEED A BIGGER GRAPH…

We're gonna need a bigger graph.....

We're gonna need a bigger graph.....

The American people are massively tightening and cutting back. We expect DC to do the same. Don’t pixx on our heads and tell us it’s raining. This deficit is unsustainable without the health care plan added on…you cannot get blood from a stone..we have lost our 401ks, IRAs, jobs, housing equity, lines of credit. Good Gracious Congress Critters how can you not understand why we DO NOT WANT THIS PLAN. We know it will lose money like a damned sieve, it is a VEHICLE TO ADD SEIU JOBS IN ALLIED HEALTH…WE DO NOT WANT CARE TAKEN FROM OUR SENIORS TO PAD UNION ROLLS ……STOP SPENDING WHAT WE DO NOT HAVE…/rant off

By ShortforOrdinary

August 9, 2009. Tags: , , , , , , , , , , , , , , , , , , . Economy, Healthcare, Obama Administration, Politics, Popular Culture, Taxes, Unemployment Statistics. 1 comment.

Market Update: Averages turn positive on Krugman comments amid light volume…

Krugman suggests recession may be over by September, HA I say HA! double dip maybe, over, no way….CA AZ NV and FL are still falling off a cliff in housing and that means our consumers are not spending, CA is a large part of our economy last time I checked….

But on light volume the averages are rallying to turn positive…

DOW up 27 to 8790

S & P up 2 to 942

NAS up 1 to 1850

And here is one to watch, again, the 10 yr just hit 3.90%, the very minute recovery looks imminent, Oil and treasuries are ready to rocket….

June 8, 2009. Tags: , , , , . Economy, Wall St. Comments off.

Video: Paul Krugman on Geithner Toxic Asset Plan…

Bloomberg has the exclusive in-depth with Krugman, including a response to Summers’ take on Paul’s position:

Exclusive Interview with Nobel Prize Winning Economist Paul Krugman (Bloomberg News)

March 25, 2009. Tags: , , , , , , , , , , , , , , , , , . Cabinet, Economy, FDIC, Finance, Obama Administration, Politics, TARP, Taxes, Uncategorized, Wall St. Comments off.

Video Update: Summers on Plan and Krugman….Market Mover Monday: Son of TARP: Treasury Toxic Asset Plan…

Video Update: 3:12pm EST: Bloomberg spoke to Summers about the plan and Krugman’s objections to it..

Live! From the White House – Exclusive Interview with National Economic Council Director Larry Summers (Bloomberg News)

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March 23, 2009. Tags: , , , , , , , , , . Cabinet, Economy, FDIC, Film, Finance, Obama Administration, Politics, Popular Culture, TARP, Taxes, Wall St. 2 comments.

Bill Fleckenstein dissects Greenspan’s OpEd

Vodpod videos no longer available.

Apparently Alan forgot this as well as everything,he learned personally from Ayn Rand:

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March 13, 2009. Tags: , , , , , , , , , , , , . Economy, Finance, Housing, Uncategorized, Wall St. 2 comments.

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