Share on Google Plus Share on Twitter 2 Share on Facebook Share on LinkedIn Share on PInterest Share on Fark! Share on Reddit Share on StumbleUpon Tell A Friend 1 (3 Shares)  
Printer Friendly Page Save As Favorite View Favorites View Stats   4 comments

OpEdNews Op Eds

As the Global Economy Trembles, Our Nation's Capital Fiddles

By (about the author)     Permalink       (Page 1 of 1 pages)
Related Topic(s): ; ; ; ; , Add Tags Add to My Group(s)

Must Read 1   Valuable 1  
View Ratings | Rate It

opednews.com Headlined to H3 3/17/11

Become a Fan
  (105 fans)
- Advertisement -

Why isn't Washington responding?

The world's third largest economy suffers a giant earthquake, tsunami, and radiation dangers. A civil war in Libya and tumult in the Middle East cause crude-oil prices to climb. Poor harvests around the world make food prices soar.

All this means higher prices. American consumers, still reeling from job losses and wage cuts, will be hit hard. (Wholesale food prices surged almost 4-percent in February, the largest upward spike in more than a quarter century.)

Even before these global shocks the U.S. recovery was fragile. Consumer confidence is at a five-month low. Housing prices continue to drop. More than 14-million Americans remain jobless, and the ratio of employed to our total population is at an almost unprecedented low.

So you might think our elected representatives would want to avoid a repeat of what happened the second half of 2010 when the fragile recovery began tanking. They'd certainly want to prevent a double-dip recession.  

You'd think they'd be creating booster rockets to counter these recessionary forces -- freeing up more spending, exempting the first $20,000 of income from payroll taxes, imposing a moratorium on bank foreclosures, giving Americans another six months to file their income taxes, lending states whatever money they need to prevent more of their own budget cuts.

Think again.

Amazingly, the big debate in Washington is about how whether to cut $10 billion or $61 billion from the federal budget between now and September 30.

- Advertisement -

House Majority Leader Eric Cantor recently stated the Republican view succinctly: "Less government spending equals more private sector jobs."

In the past I've often wondered whether they're knaves or fools. Now I'm sure. Republicans wouldn't mind a double-dip recession between now and Election Day 2012.

They figure it's the one sure way to unseat Obama. They know that when the economy is heading downward, voters always fire the boss. Call them knaves.

What about the Democrats? Most know how fragile the economy is but they're afraid to say it because the White House wants to paint a more positive picture.

And most of them are afraid of calling for what must be done because it runs so counter to the dominant deficit-cutting theme in our nation's capital that they fear being marginalized. So they're reduced to mumbling "don't cut so much." Call them fools.

- Advertisement -

The U.S. economy is flirting with another dip at a time when the global economy is teetering and most Americans are still in economic trouble. But nothing is being done in our nation's capital because knaves and fools are in charge.

 

http://robertreich.org/

Robert Reich, former U.S. Secretary of Labor and Professor of Public Policy at the University of California at Berkeley, has a new film, "Inequality for All," to be released September 27. He blogs at www.robertreich.org.

Share on Google Plus Submit to Twitter Add this Page to Facebook! Share on LinkedIn Pin It! Add this Page to Fark! Submit to Reddit Submit to Stumble Upon


Go To Commenting

The views expressed in this article are the sole responsibility of the author and do not necessarily reflect those of this website or its editors.

Writers Guidelines

Contact Author Contact Editor View Authors' Articles
- Advertisement -

Most Popular Articles by this Author:     (View All Most Popular Articles by this Author)

The Republican's Big Lies About Jobs (And Why Obama Must Repudiate Them)

Paul Ryan Still Doesn't Get It

What Mitt Romney Really Represents

The Minimum Wage, Guns, Healthcare, and the Meaning of a Decent Society

Why the Right-Wing Bullies Will Hold The Nation Hostage Again and Again

The Gas Wars

Comments

The time limit for entering new comments on this article has expired.

This limit can be removed. Our paid membership program is designed to give you many benefits, such as removing this time limit. To learn more, please click here.

Comments: Expand   Shrink   Hide  
4 people are discussing this page, with 4 comments
To view all comments:
Expand Comments
(Or you can set your preferences to show all comments, always)

The media do not inform the public that we no long... by amos richardson on Thursday, Mar 17, 2011 at 8:40:31 PM
Obama isn't really leadership material.... by Jeff Poster on Thursday, Mar 17, 2011 at 10:47:19 PM
have anyone that is a 'leader' and haven't had for... by Jessayin on Friday, Mar 18, 2011 at 8:44:08 AM
Actually, things are going quite as planned. At... by Dennis Kaiser on Friday, Mar 18, 2011 at 6:27:31 AM