Skip to comments.Tim Geithner Warns: The US Is At Risk Of A 1930s Repeat
Posted on 09/12/2010 10:53:34 PM PDT by blam
Tim Geithner Warns: The US Is At Risk Of A 1930s Repeat
Sep. 12, 2010, 9:11 PM
If the government become paralyzed -- as is arguably the case already, and is clearly a serious risk should the GOP take over -- the US risks a 1930s-like scenario. At least according to Tim Geithner.
That's the standout quote from an interview in the WSJ:
[The] typical error most countries make coming out of a financial crisis is they shift too quickly to premature restraint. You saw that in the United States in the 30s, you saw that in Japan in the 90s. It is very important for us to avoid that mistake. If the government does nothing going forward, then the impact of policy in Washington will shift from supporting economic growth to hurting economic growth.
As for the deficits question:
"We don't have unlimited resources," Mr. Geithner said. "We just don't think it would be responsible for this country, given the size of our future deficits, and given the substantial burden the middle class has been bearing over the past decade in particular, to go out and borrow $700 billion from our children so we can sustain those Bush tax cuts that only go to the wealthiest 2% of Americans."
Read the whole thing >
(Excerpt) Read more at businessinsider.com ...
He should know ... he’s steering us into it! This is like a river guide going broadside towards the rapids yelling “this is gonna get really bad!”
There might be another Great Depression, especially with us running the show! LOL!
You wanted “Change” America. How you like it? :)
What wimpering drama queens these Obamaroids are.
The sad part is, there are tens of millions of Americans who are actually dumb enough to believe this garbage.
What an utter crock!
He sounds like a caricature.
Surely this is from the Onion!
Just wait and see...
No sh*t Sherlock Holmes.
“At least according to Tim Geithner.”
go get a real job and educate yourself, TIMMAH.(At the VERY least....)
“I say he’s more like the river guide who smiles and ask you if you can sequel like a pig.”
A little more “Deliverance” than I was going for, but now that you put it like that ... yeah, I’d say that’s more like it.
If they were to confiscate every dime made by the 2%, it would not help the ordinary citizen. Most of it would go to the middleman—government. Capital is now on strike. just watch it flee the country.
Who would know better than the architect of the situation.
...............guess that HACK needs to get to work, huh?
Sep. 12, 2010, 7:04 PM
We mentioned earlier how John Boehner appeared to cave to Obama on the tax question, admitting that the GOP could possibly support a bill that extended the Bush tax cuts for the middle class, even while ending them for the rich.
Here was the exchange:
Bob Schieffer: "I want to make sure I heard what you said correctly: you're saying that you are willing to vote for those middle class tax cuts, even though the bill will not include ... extending the tax cuts for the upper bracket American."
Rep. Boehner: "Bob, we don't know what the bill's going to say, alright? If the only option I have is to vote for those at 250 and below, of course I'm going to do that. But I'm going to do everything I can to fight to make sure that we extend the current tax rates for all Americans."
Uh, just like that is he rolling over?
Already team Boehner is trying to spin things.
Talking Points Memo:
A Boehner aide told our Christina Bellantoni: "Despite what Obama says, Republicans are not holding middle-class tax cuts hostage and we're not going to let him get away with those types of false claims. Our focus remains on getting bipartisan support for a freeze on all current rates, because that is what is best for the economy and small business job creation. Boehner's words were calculated to deprive Obama of the ability to continue making those false claims, and as a result we are in a better position rhetorically to pressure more Democrats to support a full freeze."
But that doesn't make logical sense to me. Not in political terms. It sounds more like Boehner gave Obama an opening, not just for a better policy approach but also for a better political footing to take into the mid-term election.
Not that this is much of a line-of-scrimmage mover, but we were right that this is a good line of attack for Obama, as Boehner doesn't quite know how to deal with this issue. We'll see if Obama can make more hay out of it.
This from a dim wit who can’t do his own taxes with Turbo Tax?
Shift? The government's mostly been hurting economic growth for several years.
Geithner knows this, of course, which is why he is trying to scare people away from what their common sense is telling them must be done.
The best thing Boehner can do is, after gaining a majority in November, step aside in favor of Paul Ryan or Eric Cantor or someone else who could be perceived as a dynamic leader in the Speaker’s position.
If only the reins would be cut on excessive regulation and taxation, then the floodgates of BUSINESS investment -- the only true investment -- would be opened. The guy is wringing his hands over the thought that the almighty government might have its hands tied over a Republican takeover. These Keynesians can't even consider the possibility that their hero might have been wrong.
What Geithner proposes is exactly the same mistakes that FDR made that took the US into the great depression. Read Thomas Sowell’s column today (Sunday) - he discusses FDR’s policy just a bit. It is the intervention that is the cause, not the cure.
Earth to Geithner - we have been in a depression for some time now. Like Barry, I’m guessing that Tim has been on a luxury vacation tour and still hasn’t gotten up to date with the latest news. Barry’s egghead elitists are now threatening the American public with further economic destruction unless we fully comply with the Dems insane game plan.
This economy is going through a shakeout and the best thing we can do is to let the free market do what the free market does.
As if Geithner knows anything about paying taxes.
Anyway, your post reminded me of the time I took my family to Everglades City and chartered one of those airboats. The guy who operated the boat was a nice guy and he sped us all over the place through the Everglades. It was actually pretty cool. Those boats can move!
After about 20 minutes he stopped the boat in the middle of nowhere under some tall vegetation, gave us a brief history of the Everglades and the critters that lurk therein, and then mentioned that he really isn't paid very much by the boat rental company and kinda depends on generous tips from the customers. My wife and I (nervously?) smiled at each other and I gave the guy an extra $20. He smiled back, took the bill with a hearty, "Thank you!", and continued the tour.
Little Timmy and Robert Reichchchch. Two intellectual midgets.
I post to these types of threads every once in a while with this link to an old FR thread, about an even older (1936) conservative pamphlet called “The Revolution Was” - about FDR and the New Deal. It’s ALL happening again. (Well - has been happening.)
In his first inaugural address, March 4, 1933, the President [FDR] said: “Yet our distress comes from no failure of substance.... Plenty is at our doorstep, but a generous use of it languishes in the very sight of the supply. Primarily this is because the rulers of the exchange of mankind’s goods have failed,...Yes, the money-changers have fled from their high seats in the temple of our civilization. We may now restore that temple to the ancient truths. The measure of that restoration lies in the extent to which we apply social values more noble than mere monetary profit.”
There was the pattern and it never changed. The one enemy...The money-changer in the temple.... and the Wall Street banker was the most familiar and the least attractive symbol of capitalism.
..... “We cannot go back to the old order,” said the President. And this was a very hateful counter symbol, because the old order, never really defined, did in fact associate in the popular mind with the worst debacle in the history of capitalism..... [SOUND FAMILIAR??!!]
I want [R]everse
If the economy has been run into the ditch, why would I put the car in [D]rive?
Imam Geithner says either elect the Dems or it may cause economic violence.
We wouldn’t want that now would we?
And, its ALL the fault of the DEMOCRATS!
I expect to see a lot more of this sort of stuff.
"The Republicans intend to kill the children, old people and minorities with their economic policies."
It’s also how Obama presented the stimulus and Obamacare - either we do it this way now, or it’s “catastrophe”.
All this tells me is they’ll have the Republican blame card ready to play when they fail. If the government has to be shut down, out comes the card. To them, pushing their agenda and the blame card trumps all national concerns.
My intent was to compare Geither to the Ground Zero Mosque imam. The whole idea of, You better give me what I want of the whole world is going to end.
I think it is very similar.
“This time around, everyone from the major corporations on down to the mom & pop businesses are *counting* on gridlock, followed by a roll-back of the “change”. Government paralysis will be welcomed.
Geithner knows this, of course, which is why he is trying to scare people away from what their common sense is telling them must be done.”
You are right but, Obama is such a boob, a dolt, an imbecile, no matter what they do I don't see him ever being elected to anything ever again. His next stop is the U.N.
Tons of money with no responsibility or visibility. Work when you feel like it, stay home when you don't. That is exactly the kind of job he is looking for and the only kind of job he is suited for.
0bama admitted yesterday that his healthcare bill is raising healthcare costs above where they’d be if no healthcare bill had been passed.
Well, the GOP is going to defund 0bamacare. 0bama can’t veto money into a budget, and the GOP isn’t going to put 0bamacare money into any future budgets.
With 0bamacare defunded, healthcare costs will be lower, per 0bama.
Yet little Timmy Geithner wants to pretend that lowering healthcare costs by defunding 0bamacare will cause a Great Depression.
Defund excess government. The world will get better, not worse.
No Timmy it was a big spending Republican President followed by an even bigger spending socialist President supported by a willing Congress who led us into the 1930s. After this election our big spending socialist President will be stopped cold in Congress. THAT is the big difference with the 1930s and this decade.
Keep up the smoke and mirrors, taxing the rich, regulations to the moon and spending like a drunken sailor. Yep! That’s the ticket!
. . . . Not!
“You are right but, Obama is such a boob, a dolt, an imbecile, no matter what they do I don’t see him ever being elected to anything ever again. His next stop is the U.N.”
Yep, I’ve been saying since before he won the election that he sees the WH as a calling card to his next gig, probably the UN. This is just an inconvenient desk job to get there.
I agree it’s about the only job he wants and “is suited for” - to finally be leading citizen of the world. (It’s either that, or a job in the infomercial industry.) :)
The brilliant Tim Geithner? The only one qualified to run the economy? Wow
Hah-hahaha! According to the tax-cheat himself.
In other news- Tim Geithner says. "Taxes are for thee, and not for me."
Is this little Timmy the tax cheat and swindler, who brought America billions in bailouts using Other Peoples Money to play with for enrichment of the political class and friends of government.
The statists used the same "if the government does nothing the economy is doomed" threat in regard to the depression of 1920.
Harding and Coolidge knew the truth: more government spending and interference would only serve to worsen and prolong the depression. (This was proven in the 1930's).
Little Timmy needs to brush up on the history on the depression of 1920. The Depression in America in 1920 was in some ways bigger in scope and deeper than the Depression of the 1930s. However, it was solved because federal spending was cut in half and income tax rates were cut across the board (the top rate from 73% to 25%, and the bottom rate from 25% to 5%).
The economy not only quickly recovered with the reduction of government spending and tax cuts, but thrived so much that it led to the Roaring '20's.
The government cannot be the solution because it is the problem. It needs to get the h*ll out of the way and begin with cutting taxes and deficit spending. Unfortunately, the leftist politicians and bureaucrats are adhering to the Cloward Piven, FDR, Keynesian and Karl Marx play books. It won't be pretty.
In the 20s, the nation was reaping the benefits of the enormous capital inflow into the then-new electric utilities. That generated huge increases in productivity, raising everybody’s living standard. The same thing happened in the 90s with the Internet.
What’s the next big wave of innovation that will save us? It isn’t obvious this time around.
Anyone who did not vote for TARP! Cantor did. Pence didn’t.
VERY funny. We’re there now. The administration is doing what passes for it’s best to “spin” the facts about it, especially by acts like releasing numbers, and then “revising” them later. They are, collectively and completely, untrustworthy. Heck, read The Great Depression, A Diary, by Benjamin Roth. You’ll find it’s just exactly like what we have at the moment, aside from one thing: the monetary problem we have now is roughly twice as large as it was then. Read Karl Denninger’s website, market-ticker. The only thing Mr. Geithner seems to be able to say truthfully is his name, and I haven’t had the chance to check that on his license, have you?