Falling Into the Chasm-Paul Krugman

This is what happens when you need to leap over an economic chasm — but either can’t or won’t jump far enough, so that you only get part of the way across.

If Democrats do as badly as expected in next week’s elections, pundits will rush to interpret the results as a referendum on ideology. President Obama moved too far to the left, most will say, even though his actual program — a health care plan very similar to past Republican proposals, a fiscal stimulus that consisted mainly of tax cuts, help for the unemployed and aid to hard-pressed states — was more conservative than his election platform.

A few commentators will point out, with much more justice, that Mr. Obama never made a full-throated case for progressive policies, that he consistently stepped on his own message, that he was so worried about making bankers nervous that he ended up ceding populist anger to the right.

But the truth is that if the economic situation were better — if unemployment had fallen substantially over the past year — we wouldn’t be having this discussion. We would, instead, be talking about modest Democratic losses, no more than is usual in midterm elections.

http://www.nytimes.com/2010/10/25/opinion/25krugman.html?_r=1

The willful ignorance of "Obama's economists" is stunning. :wow:

This forecast is, without question, one of the most ridiculous I have heard with regards to this Depression.

I don't blame President Obama. He was dealt a really, really, really, really ,...,...,... crappy hand but it doesn't obviate the fact this economy is absolutely horrible.

I saw some DUERS applaud the fact we are creating 65,000 jobs a month. At that rate unemployment will hover around 10% forever... We need to create 300,000 jobs a month just to keep up with population growth and reduce the number of current jobless .

is still an attitude of this will pass over. It will be mild. This 2nd RepubliCON Great Depression is nothing much. It is more important to balance the budget and lend a hand to banks than to help average middle class Americans with jobs and housing.

As proof that this laissez-faire attitude is still pervasive in DC, I give you the electronic notarization act that President Obama put in his pocket as a veto (Would a Congress concerned about the Middle Class have so quickly and secretly passed a get out of jail free card to all banks?), the Cat Food Commission (Do we really need to be cutting Social Security when people can't find jobs thus forcing seniors onto the labor market?), the failure of this administration to enact a foreclosure moratorium (The administration is standing back and letting forgeries and fraud to continue.).

Unfortunately, both parties think the current economic mess is no big deal. I can almost hear them say, "Let Them Eat Cake."

And I will define the forseeable future as the next five years. I'd bet on it. I bet we see < 3% GDP grownth and > 9.0% unemployment for the next five years.