Friday, August 27, 2010

Krugman Admits Obama, Biden, Bernanke are Lying About Economic Recovery

OK, so Paul Krugman, in his most recent snow job poorly disguised as an op-ed column in the NY Times, neglects to mention that both President Obama and Vice President Biden have not missed an opportunity to tout "The Summer of Recovery" for months now. Krugman, a one time cheerleader of the Obama administration before he realized that they aren't quite as radical for his Bolshevik tastes, is downright frustrated:

[W]e can safely predict what [Federal Reserve Bank Chairman Ben Bernanke] and other officials will say about where we are right now: that the economy is continuing to recover, albeit more slowly than they would like. Unfortunately, that’s not true: this isn’t a recovery, in any sense that matters.

Krugman decries the fact that Obama's initial "stimuls," which opponents have dubbed "porkulus," was not quite big enough (GASP!). The NY Times chief Obama economics apologist has a couple of suggestions for the administration. Hold for laughter.

[The Obama administration] can use Fannie Mae and Freddie Mac, the government-sponsored lenders, to engineer mortgage refinancing that puts money in the hands of American families

Excuse me, but aren't Fannie Mae and Freddie Mac responsible for the mess we are in to begin with? There is nothing to "revamp." "Engineer mortgage refinancing?" Didn't they already engineer a scheme that brought the housing market to its knees and precipitated the current economic crisis? Lending money to people who can't possibly pay it back is stupid. Keep doing it and it's criminal.

[The Obama administration] can finally get serious about confronting China over its currency manipulation: how many times do the Chinese have to promise to change their policies, then renege, before the administration decides that it’s time to act?
What moral authority does Obama have to confront China about anything, much less monetary policy? We are indebted to the Chinese up to our eyeballs, Paul!

Krugman is telling us that there is no recovery. Perhaps it's time he realizes his remedies are what's killing the patient, in this case, the American economy. How many more times does the Keynesian lunacy have to fail before Krugman gives up on it?

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