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Weekly Wrap: Another bubble?
A Wall Street sign in New York City's financial district.
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About the author
Kai Ryssdal is the host and senior editor of Marketplace, public radio’s program on business and the economy. Follow Kai on Twitter @kairyssdal.
Like a couple of other commenters, I found the commentary by McArdle and Moore to be, well, LESS. Facile argument by assertion is no substitute for informed analysis. They chuckled about how bad the stimulus plan is, yet don't explain why or offer an alternative to shore up the economy in the worst recession in 50 years. Even conservative pundit David Frum has noted that conservatives seem to be focused solely on opposition to Obama, rather than on alternatives - from stimlus to healtcare to climate change--they have become the party of NYET! A little balance might be nice next time your normally interesting and informative program decides to indulge in a little punditry.
I agree with D. Vernier that these editorials were "bubble-headed"; the new bubble isn't caused by the severely limited stimulus plan, but by 30 years of de-regulation which continues untouched by Geithner and Summers. Just check out the summer article in "The American Prospect" about the new bubble in foreclosed housing by the same sleazy companies that did the sub-prime lending. The fact that a few working people benefited from some stimulus money will never compensate for the shift in wealth from bottom to top since Reagan; that is irreversible without the kind of FDR bold initiatives I don't see happening in this White House (hope I'm wrong).
Please. It's getting very tiresome hearing the smug, self-important declarations of reporters such as Ms. McArdle and Ms. Moore proclaiming how badly President Obama has handled the economic crisis. How exactly would they have managed this dire situation--they never tell us--and why didn't these know-it-alls speak up long ago, warning us of the dangers of the economic policies that got us into this mess? I would appreciate my radio listening time to not be wasted with this kind of air-headed pontificating.
Being in bubble is the normal economy. If you listen to FED and govt 2004-2007 was normal economy. Then bubble burst and that is termed as deflation. Now FED and govt are printing money to take economy to normal self, which is to build another bubble.
I found the commentary that the current financial regulation approach is "anti-democratic" to be almost willfully misleading. The fact is that the American people elected their President and majorities in Congress of the same party in order to ensure that financial reform takes place. The democratic process is alive and well.
