And Obama needs corporate contributions to keep the Dems going and for his
next campaign should he decide to run.  That might be one source of his
concern.  He has discovered the limits to the office.

 

arthur 

 

From: [email protected]
[mailto:[email protected]] On Behalf Of Ed Weick
Sent: Monday, December 20, 2010 6:13 PM
To: Keith Hudson; RE-DESIGNING WORK, INCOME DISTRIBUTION, EDUCATION
Subject: Re: [Futurework] FW: [TriumphOfContent] When Zombies Win (Paul
Krugman - The NY Times)

 

Not sure of what this is about, but Obama does look more and more like a
failed President.  While he has been successful in implementing measures
like a half-baked health care initiative and an extension of umenployment
insurance, he's given up a lot of ground to accomplish anything.  He has,
for example, had to extend the tax cut for the rich despite the growing US
fiscal deficit and continuing economic problems.  Where is the "Yes we can!"
President of a couple of years ago?

 

Krugman is an advocate of strong government action and control.  What he
sees is a President and government that's hemmed in by right-wing "market
knows best" views and a corporate sector that increasingly seems to thrive
on bubbles.  He sees an increasingly divided economy in which the rich are
getting richer and the poor are becoming far too numerous.  I can understand
his concern.

 

Ed

----- Original Message ----- 

From: Keith Hudson <mailto:[email protected]>  

To: RE-DESIGNING WORK, INCOME DISTRIBUTION,EDUCATION
<mailto:[email protected]>  

Sent: Monday, December 20, 2010 4:40 PM

Subject: Re: [Futurework] FW: [TriumphOfContent] When Zombies Win (Paul
Krugman - The NY Times)

 

Free market fundamentalists don't dominate the scene.Paul Krugman is totally
wrong. It is banker corporatists. Together with state corporatists, they
pretty went dominate the whole scene. They don't do anything much that's
essential. They don't make anything. They should be the oil that lubricate
the larger economic machine. Instead, they've become by far the largest
single economic sector in the country, and the government can do little to
control them. And much the same applies to the UK.

Who's the zombie?

Keith  


At 12:25 20/12/2010 -0800, you wrote:




-----Original Message-----
From: [email protected]
[mailto:[email protected]] On Behalf Of Steven Brant
Sent: Sunday, December 19, 2010 11:32 PM
To: Steven Brant
Subject: [TriumphOfContent] When Zombies Win (Paul Krugman - The NY Times)

http://www.nytimes.com/2010/12/20/opinion/20krugman.html





OP-ED COLUMNIST







When Zombies Win







By PAUL KRUGMAN
<http://topics.nytimes.com/top/opinion/editorialsandoped/oped/columnists/pau
lkrugman/index.html?inline=nyt-per> 







Published: December 19, 2010




When historians look back at 2008-10, what will puzzle them most, I believe,
is the strange triumph of failed ideas. Free-market fundamentalists have
been wrong about everything yet they now dominate the political scene more
thoroughly than ever.
13257d.jpg


Fred R. Conrad/The New York Times




Paul Krugman


Go to Columnist Page
<http://topics.nytimes.com/top/opinion/editorialsandoped/oped/columnists/pau
lkrugman/index.html> >







Blog: The Conscience of a Liberal <http://krugman.blogs.nytimes.com/> 







Readers' Comments


 

Share your thoughts.

*       Post a Comment
<http://community.nytimes.com/comments/www.nytimes.com/2010/12/20/opinion/20
krugman.html#postComment> > 


How did that happen? How, after runaway banks brought the economy to its
knees, did we end up with Ron Paul, who says I dont think we need
regulators,about to take over a key House panel overseeing the Fed? How,
after the experiences of the Clinton and Bush administrations the first
raised taxes and presided over spectacular job growth; the second cut taxes
and presided over anemic growth even before the crisis did we end up with
bipartisan agreement on even more tax cuts?

The answer from the right is that the economic failures of the Obama
administration show that big-government policies dont work. But the response
should be, what big-government policies?

For the fact is that the Obama stimulus which itself was almost 40 percent
tax cuts was far too cautious to turn the economy around. And thats not
20-20 hindsight: many economists, myself included, warned from the beginning
that the plan was grossly inadequate. Put it this way: A policy under which
government employment actually fell, under which government spending on
goods and services grew more slowly than during the Bush years, hardly
constitutes a test of Keynesian economics.

Now, maybe it wasnt possible for President Obama to get more in the face of
Congressional skepticism about government. But even if thats true, it only
demonstrates the continuing hold of a failed doctrine over our politics.

Its also worth pointing out that everything the right said about why
Obamanomics would fail was wrong. For two years weve been warned that
government borrowing would send interest rates sky-high; in fact, rates have
fluctuated with optimism or pessimism about recovery, but stayed
consistently low by historical standards. For two years weve been warned
that inflation, even hyperinflation, was just around the corner; instead,
disinflation has continued, with core inflation which excludes volatile food
and energy prices now at a half-century low.

The free-market fundamentalists have been as wrong about events abroad as
they have about events in America and suffered equally few consequences.
Ireland, declared
<http://www.timesonline.co.uk/tol/comment/columnists/guest_contributors/arti
cle733821.ece> George Osborne in 2006, stands as a shining example of the
art of the possible in long-term economic policymaking.Whoops. But Mr.
Osborne is now Britains top economic official.

And in his new position, hes setting out to emulate the austerity policies
Ireland implemented after its bubble burst. After all, conservatives on both
sides of the Atlantic spent much of the past year hailing Irish austerity as
a resounding success. The Irish approach worked in 1987-89 and its working
now, declared <http://www.cato.org/pub_display.php?pub_id=11881>  Alan
Reynolds of the Cato Institute last June. Whoops, again.

But such failures dont seem to matter. To borrow the title of a recent book
<http://press.princeton.edu/titles/9270.html>  by the Australian economist
John Quiggin on doctrines that the crisis should have killed but didnt, were
still perhaps more than ever ruled by zombie economics.Why?

Part of the answer, surely, is that people who should have been trying to
slay zombie ideas have tried to compromise with them instead. And this is
especially, though not only, true of the president.

People tend to forget that Ronald Reagan often gave ground on policy
substance most notably, he ended up enacting multiple tax increases. But he
never wavered on ideas, never backed down from the position that his
ideology was right and his opponents were wrong.

President Obama, by contrast, has consistently tried to reach across the
aisle by lending cover to right-wing myths. He has praised Reagan for
restoring American dynamism (when was the last time you heard a Republican
praising F.D.R.?), adopted G.O.P. rhetoric about the need for the government
to tighten its belt even in the face of recession, offered symbolic freezes
on spending and federal wages.

None of this stopped the right from denouncing him as a socialist. But it
helped empower bad ideas, in ways that can do quite immediate harm. Right
now Mr. Obama is hailing the tax-cut deal as a boost to the economy but
Republicans are already talking about spending cuts that would offset any
positive effects from the deal. And how effectively can he oppose these
demands, when he himself has embraced the rhetoric of belt-tightening?

Yes, politics is the art of the possible. We all understand the need to deal
with ones political enemies. But its one thing to make deals to advance your
goals; its another to open the door to zombie ideas. When you do that, the
zombies end up eating your brain and quite possibly your economy too.

!DSPAM:2676,4d0f0695308681540513237! 

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Keith Hudson, Saltford, England http://allisstatus.wordpress.com/2010/12/
  

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