Skip to comments.111th United States Congress: Ideology Trumps Economist
Posted on 10/22/2009 5:04:08 PM PDT by Son House
On Wednesday, Pelosi had a forum with top House Democrats and a team of economists:
Former Federal Reserve Vice Chairman Alan Blinder, October 21, 2009
'Absolutely horrendous long term fiscal out look'
This is a graph presented by Jared Bernstein, chief economist to Vice President Joe Biden.
Do you see any current recovery?
There are not going to be Job increases for a long time, look at that curve in the graph
Yet, Pelosi says the recession is coming to an end;
PELOSI: It's no accident that right now that as the recession's coming to an end it does so where the recovery package is weighing in at its biggest impact in this third quarter, quarter of '09.
Former Federal Reserve vice chairman Alan Blinder says GDP is growing but jobs are still shrinking.
Greater fiscal responsibility
Limiting what could be a worse economic out come
Persuade people things are getting better
Absolutely horrendous long term fiscal out look
Modest increase in the deficit targeted very strongly on Job creation
Mindful of long run deficit problem
Long run commitment to greater fiscal responsibility while still trying to alleviate the Jobs Problem
"despite the fact that were looking at an absolutely horrendous long-term fiscal outlook,""
Pelosi has been schooled, this guy was their own Democrat Economist: Federal Reserve Board vice chairman under President Clinton; advised Gore and Kerry presidential campaigns.
One of the key problems facing the country right now is the massive unemployment and not only are so many folks unemployed but so many folks who have lost their jobs are unable to get back in the workforce.
So a couple of the key themes that there was a lot of consensus on was extending unemployment insurance, making sure benefits dont run out at the end of the year, and also making sure that those folks who are unemployed have access to health care.
A couple of other things, thinking about the long-term unemployed and folks who just cant get jobs right now, need to do more about job training, start thinking about public service.
Last comment: you need to think about reduction of debt relative to the GDP as a 10-year project and in order to get the economy back on track, we may well need, we do need, more deficit spending now and in the next year but with a pre commitment to deficit reduction over 10 years through progressive taxation,
one of the things we seem to agree on is a financial transactions tax, taxes aimed at the people who are still making out in this crisis so that the benefit can go to ordinary people and we dont have to sacrifice the recovery on the long term/short term deficit reduction.
a pre commitment to deficit reduction over 10 years through progressive taxationWe need deficit reduction via A) cutting spending and B) ridding ourselves of the raise-taxes crowd.
I think just about everyone in the room feels there needs to be more stimulus, and not after the State of the Union Address, but very soon because otherwise, you end up with a jobless recovery for years to come.
Yep, Congress had a lot to work with and squanders it all, I can’t wait till the next town hall meetings, I’d guess by then 25% Under and Unemployed can show up without taking time off of work
Apparently Robert Kuttner does the hard drugs.
Found another link to that Former Federal Reserve Vice Chairman Alan Blinder Video;
Oct. 21 - Princeton economist and former Federal Reserve vice chairman Alan Blinder said the GDP is growing, but jobs are “still shrinking and are likely to shrink for a while yet.”
Speaking to reporters after participating in an economic forum with lawmakers at the U.S. Capitol, Blinder said that
“despite the fact that we are looking at an absolutely horrendous long-term fiscal outlook,” he advocates at least a modest increase in the deficit, targeted on the creation of jobs.
Persuade Detroit things are getting better, buddy...
This tax on financial transactions is another really bad idea from organized labor. This tax would be a major cost increase for active trading firms and active individual traders, who are a big revenue source for brokerage firms. So active trading volume would decline substantially, causing greater price volatility and reducing the revenues of brokerage firms. Brokers would then have to spread their fixed overhead costs over a smaller revenue base and would be forced to raise commissions for all clients, big and small. So trading costs for individuals, mutual funds, and pension funds would increase by at least 50%, including the tax. Thats how most of the tax would be paid, by higher trading costs and lower return on investment by high-income individuals, mutual funds, pension funds, and other institutional investors.
This is a classic income redistribution scheme by labor to extract taxes from higher income people and redistribute them to lower income people through federal entitlement programs. Thats the primary goal of organized labor today: thinly disguised socialist income redistribution.
The first thing this administration should do to increase employment is to 1) review the latest research on global warming, 2) figure out that global warming is a complete hoax, and then 3) permanently drop the outrageous radical cap and tax plan passed by the House, which is causing a lot of uncertainty in the business community about future operating costs. That would be a good way to start, by dropping cap-and-tax, boycotting the ridiculous Copenhagen climate conference, and eliminating a lot of uncertainty about future operating costs. When business people don’t know what their future operating costs will be, they can’t plan for the future and develop a headcount budget. That means they don’t hire people in an environment of great uncertainty about energy costs and taxes.
SC, it’s really starting to look like the BHO administration knows less about business and economics than any administration since Carter. Pelosi & Reid are also clueless about what generates economic growth and employment growth.
It’s looked that way from the start of Obama’s campaign. :’)