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Paul Krugman to Obama: You’re gonna lose unless you demand a huge stimulus package
Hotair ^ | 05/02/2012 | Ed Morrissey

Posted on 05/02/2012 9:31:40 AM PDT by SeekAndFind

Paul Krugman continues his Chicken Little tour in service to his new book, End This Depression Now!, by giving the Obama campaign a little free advice. Did I say “free”? Actually, it comes at a steep, steep price:

In his book, which hit shelves May 1, Krugman laments the “shadow of economic catastrophe” we live in, and the opportunity cost of huge stockpiles of underutilized human and physical capital. The government should put that to work, Krugman says, first by reversing the state layoffs of teachers, firefighters and other employees, and then ideally with a New Deal-style public works push to rebuild American infrastructure by putting the unemployed to work. But even though GOP opposition makes that all but impossible, Krugman believes it’s a mistake for Obama not to go the extra mile and at least tell voters what more he would do if only he could.

“There is a political danger to Obama, which is that [Mitt] Romney can go around saying, ‘The economy is still lousy,’ which is true,” Krugman said. “And the fact that Obama has never made a really clear case for his own economic leadership hurts. Now, I still think Obama will probably win, because there are other issues, but they have created a trap for themselves on the economic policy front by allowing themselves to own a weak economy in a way that they shouldn’t, because a lot of the problem has been tortured opposition from the Republicans.”

The White House’s narrative developed amid strong political headwinds. Pressure not only from Republicans but many Democrats and even administration officials, along with a broad establishment consensus, compelled Obama to pivot to deficit-reduction, after the Democrats’ 2010 congressional losses and in the face of an exploding national debt.

I’m pretty sure that a proposal to spend another $2 trillion in stimulus spending would just about put a bow on the election for Mitt Romney, not Barack Obama. That became very clear after 2010, when Republicans won a landslide in House elections that hadn’t been seen in a midterm since 1938. However, the notion that Obama pivoted to deficit reduction is rather ludicrous. His proposed FY2013 budgets reduced the deficit to $900 billion, which is better than the four straight trillion-dollar-plus deficit budgets Obama signed — remember, he signed the FY2009 budget after the Democratic Congress played keep-away with George W. Bush — but it’s hardly a reduction to pre-Obama levels.

On the other hand, Krugman does correctly identify the inherent contradiction in Team Obama’s campaign:

“They’ve tied themselves up in knots because they’ve bought into this notion that it would sound wrong to admit that they haven’t been able to do everything that they really should have done,” Krugman told TPM in an interview following the release of his new book, “End This Depression Now!” “It’s incredible — they can’t quite make up their minds on whether the theme is that Republicans are standing in the way of doing what has to be done, or things are really good and America’s back on track. The problem is that you can’t perceive both of those lines at the same time.”

No, they have to argue that the 2009 stimulus worked, when it obviously didn’t. They can’t blame GOP recalcitrance for that, either; Democrats locked Republicans out of the drafting of that stimulus package, and then passed it themselves without any GOP votes in the House and only three in the Senate, including one who later switched parties (Arlen Specter). They own the 2009 stimulus package, and they own the results.

Speaking of results, the Romney campaign released another campaign ad today, attacking Obama on his promises of economic resurgence:

CLICK ABOVE LINK FOR THE VIDEO

How do you define “progress”? Probably not with these economic statistics. No matter what Krugman claims now, the Obama administration proposed the $800 billion stimulus and predicted it would stop joblessness from rising above 8%, and it hasn’t been below 8% since. That’s failure no matter how one wants to spin it.

Update: Liz Peek slams Krugman’s “left-wing bullying” of Ben Bernanke:

Paul Krugman vaulted over the line recently, issuing an ad hominem attack on Fed Chair Ben Bernanke for not doing enough to boost the economy. Krugman’s anxiety that the stuttering recovery will bounce President Obama from the White House seems to have loosened his already-fragile grip on reality. His conclusion – that “right-wing bullying” is holding Bernanke back – seems especially nonsensical, even for the truculent Mr. Krugman. …

Krugman’s frustration is understandable. Many Americans are still without jobs, and income growth is tepid. However, driving the nation full tilt towards the next financial cliff is not the answer. Leadership and pro-business measures such as those adopted in Canada and Germany in recent years – an approach consistently undervalued by the Obama White House – would better help us get back on the speedway.

Fortunately, the Fed is in the hands of a sober driver, who appears immune to right-wing bullying. Let us hope he will resist Krugman’s left-wing bullying as well.

I think that’s a safe bet. Is anyone taking Krugman’s advice these days? Anyone? Bueller? Bueller?



TOPICS: Business/Economy; Culture/Society; Government; News/Current Events
KEYWORDS: krugman; obama; spending; stimulus

1 posted on 05/02/2012 9:31:51 AM PDT by SeekAndFind
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To: SeekAndFind

Please Obummer. Listen to this Commie dope. Calling for another stimulus will guarantee your loss in Nov.


2 posted on 05/02/2012 9:34:19 AM PDT by Lazlo in PA (Now living in a newly minted Red State.)
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To: SeekAndFind

it is amazing how many complete idiots have nobel prizes.


3 posted on 05/02/2012 9:34:31 AM PDT by bravo whiskey (If the little things really bother you, maybe it's because the big things are going well.)
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To: SeekAndFind
Paul Krugman to Obama: You’re gonna lose unless you demand a huge stimulus package

So Krugman is paying attention to Obama's huge package again?

TMI... Get a room...

4 posted on 05/02/2012 9:34:40 AM PDT by The Electrician ("Government is the only enterprise in the world which expands in size when its failures increase.")
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To: SeekAndFind
hmm...is there a gloss stupidity ping list?

5 posted on 05/02/2012 9:36:30 AM PDT by skinkinthegrass (WA. DC E$tabli$hment; DNC/RNC/Unionists...Brazilian saying: "$@me $hit; with different flie$". :^)
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To: The Electrician
So Krugman is paying attention to Obama's huge package again?

TMI... Get a room...

Photobucket

Paul Krugman in his natural state.

6 posted on 05/02/2012 9:38:01 AM PDT by dragonblustar (PETA. President Eating Tasty Animals)
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To: SeekAndFind

Oh man...With the “real” condition that American (producing) citizens are in, asking for yet MORE money will put some over the edge.


7 posted on 05/02/2012 9:40:32 AM PDT by Michael Barnes (Obamaa+ Downgrade)
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To: skinkinthegrass

Insanity!!!!


8 posted on 05/02/2012 9:40:53 AM PDT by stephenjohnbanker (God, family, country, mom, apple pie, the girl next door and a Ford F250 to pull my boat.)
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To: SeekAndFind

The scientist equivalent of Krugman (hypothetical, because NO scientist even approaches Krugman’s stupidity)is the clod who claims that one can really lift himself by standing in a bucket and pulling the handle hard enough.

Krugman really should book an appearance on “Coast to Coast”.

He belongs there.


9 posted on 05/02/2012 9:43:52 AM PDT by Da Coyote
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To: stephenjohnbanker

RE: Insanity!!!!

Respect, more respect... the man is a distinguished Princeton Economics Professor, a distinguished Columnist for the Times, and a Nobel Prize Winner /s


10 posted on 05/02/2012 9:47:43 AM PDT by SeekAndFind
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To: stephenjohnbanker
yes, it is...i guess the only "grand stupidity list"
is the Congressional Record (w/o extending/revising remarks)

11 posted on 05/02/2012 9:48:50 AM PDT by skinkinthegrass (WA. DC E$tabli$hment; DNC/RNC/Unionists...Brazilian saying: "$@me $hit; with different flie$". :^)
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To: SeekAndFind
Paul Krugman epitomizes the sociopathic Keynesian assault on the foundations for a healthy society. One needs to understand that the price for Keynesian economics is, and always has been, an effective plundering of the capital reserves of a thrifty & frugal people, in order to create an appearance of an economic boom, for a brief period.

Every thing about Keynes, himself, demonstrated the basest morality of one who lives for the moment, and compulsively despises those of us who see any society as a multi-generational project, with a multi-generational viewpoint.

For more on Keynes, Economics Of A Sociopath. To better appreciate the terrible damage done when central planners trash the value of their currency--as Krugman & the like, in effect, demand: Medium Of Exchange.

This is not a matter of differences of opinion. On one side is the whole moral heritage of the West; on the other, new variations of the seductive nonsense whispered into Eve's ear in the Genesis account of the fall of Man.

William Flax

12 posted on 05/02/2012 9:50:46 AM PDT by Ohioan
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To: dragonblustar
Paul Krugman is to the science of economics what Typhoid Mary was to the science of medical hygiene.
13 posted on 05/02/2012 9:50:51 AM PDT by Vigilanteman (Obama: Fake black man. Fake Messiah. Fake American. How many fakes can you fit in one Zer0?)
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To: stephenjohnbanker; skinkinthegrass
Insanity!!!!

Spot on...what's that definition..."repeating the same mistake expecting a different result"?

14 posted on 05/02/2012 9:54:19 AM PDT by lightman (Adjutorium nostrum (+) in nomine Domini--nevertheless, Vote Santorum!)
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To: SeekAndFind
Obama has gotten THREE!!! $Trillion dollar PLUS stimulus packages so far!

That is why the democraps in congress have not passed a budget in 3 years!!!

They just keep ‘continuing resolutions’ that spend at current levels (after they locked in the $1.4 trillion increase )

If they passed an actual budget, it would be at 2008 budgeting levels +plus only baseline increases

15 posted on 05/02/2012 9:54:48 AM PDT by Mr. K (If Romney wins the primary, I am writing-in PALIN)
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To: SeekAndFind

My dad was a professor, and I grew up around Harvardheads
in Cambridge, Mass. I know these frauds for what they are.


16 posted on 05/02/2012 9:57:45 AM PDT by stephenjohnbanker (God, family, country, mom, apple pie, the girl next door and a Ford F250 to pull my boat.)
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To: SeekAndFind

Gee, let’s pay off the title loan on our first car by doing the same thing with our other car!


17 posted on 05/02/2012 9:58:20 AM PDT by CrazyIvan (Obama's birth certificate was found stapled to Soros's receipt.)
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To: SeekAndFind
"Nobel Prize"
unless it's in "the hard sciences"... it's basically worthless garbage...
prime example: O'Bozo's et. al. Peace Prize (5 months after he seized power)

18 posted on 05/02/2012 9:59:29 AM PDT by skinkinthegrass (WA. DC E$tabli$hment; DNC/RNC/Unionists...Brazilian saying: "$@me $hit; with different flie$". :^)
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To: SeekAndFind

Ahh, Krugman, he already got it when Boehner extended the debt limit.


19 posted on 05/02/2012 10:00:09 AM PDT by Son House (The Economic Boom Heard Around The World => TEA Party 2012)
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To: SeekAndFind

As a volunteer for NAMI, I am quite serious when I say that I believe Mr Krugman to be - literally - mentally ill. Not saying that as a metaphore - but I truely think his boat has detached from the peer of reality.


20 posted on 05/02/2012 10:03:49 AM PDT by JaguarXKE
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To: lightman
Yes...That's what (Nobel Prize Recipient) Albert Einstein had said. :-)

21 posted on 05/02/2012 10:04:03 AM PDT by skinkinthegrass (WA. DC E$tabli$hment; DNC/RNC/Unionists...Brazilian saying: "$@me $hit; with different flie$". :^)
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To: SeekAndFind

I would like to assess every elected representative who supported a stimulus and their children for their pro-rata share of the incremental debt they have placed upon our children. What does 1/535 of a $ Trillion look like?

Make this spending of other people’s money PERSONAL!


22 posted on 05/02/2012 10:08:16 AM PDT by LucianOfSamasota (Tanstaafl - its not just for breakfast anymore...)
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To: skinkinthegrass

1) Technically there is no “Nobel Prize” in Economics.

2) Economics is a “hard science” in that it is essentially applied mathematics. The prime difference between Economics and the physical sciences is that in Economics we study, essentially, human behavior through prices, etc. and attempt to make predictions on that behavior. Math don’t work so good when humans are in the equation.

In regards to the article, Paul Krugman gives economists a bad name. I prefer Friedman.


23 posted on 05/02/2012 10:12:21 AM PDT by Black_Shark ( Who)
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To: SeekAndFind

‘End the Depression Now!’
Look around you. This is what a depression looks like.
Well, at least the ‘Progressives’ are recognizing that their efforts haven’t prevented a Depression at all. But the idiots will claim that they never spent enough in the first place.
I have no faith in the American Voter to do the right thing.


24 posted on 05/02/2012 10:16:04 AM PDT by griswold3 (Big Government does not tolerate rivals.)
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To: SeekAndFind

“Demand a Huge Stimulus Package” sounds like something that would be running on Cinemax between 1 and 4 A.M.


25 posted on 05/02/2012 10:19:08 AM PDT by Buckeye McFrog
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To: SeekAndFind
Fortunately, the Fed is in the hands of a sober driver, who appears immune to right-wing bullying.

First time I've heard Austrian economics refered to as "right-wing bullying". If hundreds of billions in misallocated stimulus doesn't help the economy (actually hurts), why would anyone believe that low rates will help? Low rates suck capital away from long term investment.

And helicopter pilots are not "drivers".

26 posted on 05/02/2012 10:23:42 AM PDT by palmer (Jim, please bill me 50 cents for this completely useless post)
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To: Lazlo in PA
...Calling for another stimulus will guarantee your loss in Nov.

Don't be too sure of that. Just remember that Obama's people liked Stimulus I and Son of Stimulus. There still are a lot of people with their hands out who missed out on "dat Obama money" the first time around and they vote, and vote, and vote...

27 posted on 05/02/2012 10:38:21 AM PDT by luvbach1 (Stop the destruction in 2012 or continue the decline)
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To: SeekAndFind; stephenjohnbanker; sickoflibs; Sen Jack S. Fogbound; DoughtyOne
The government should put that to work, Krugman says, first by reversing the state layoffs of teachers, firefighters and other employees, and then ideally with a New Deal-style public works push to rebuild American infrastructure by putting the unemployed to work.


28 posted on 05/03/2012 3:44:35 AM PDT by ding_dong_daddy_from_dumas (Fool me once, shame on you -- twice, shame on me -- 100 times, it's U. S. immigration policy.)
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To: SeekAndFind

We are $16 Trillion in debt and this wizard of smart says all our problems would be solved if only we spent more money?


29 posted on 05/03/2012 4:01:33 AM PDT by csmusaret (Obama's new slogan: "Fo Mo Mo Fo.")
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To: ding_dong_daddy_from_dumas; SeekAndFind; stephenjohnbanker; Sen Jack S. Fogbound; DoughtyOne; ...

Paul Krugman has been showing up on NBC and MSNBC more frequently pushing for more QE type funded spending stimulus. The other night prize winner P.K. was on Maddow and he pointed out how he has always been right (except predicting the crash and how the stimulus would work and lots of other stuff) .
Now they are claiming that it takes 10 to 15 years to recover from a crash like we had 2007 to 2009 and that only handing out lots MORE big money can save us (and when that runs out Paul?)

Have you ever noticed that according to these liberal economic experts like prize winner Krug, all the tried and true tested ways of fixing the economy meaning their economic theories (which they call facts) just happen to coincide with all the left’s social justice fairness objectives? All of them.

Take ‘Food stamps and unemployment comp is the most efficient way to create jobs’. That matches both exactly. How lucky is that?


30 posted on 05/03/2012 5:07:53 AM PDT by sickoflibs (Romney is a liberal. Just watch him closely try to screw us.)
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To: sickoflibs; SeekAndFind; stephenjohnbanker; Sen Jack S. Fogbound; DoughtyOne
‘Food stamps and unemployment comp is the most efficient way to create jobs’

They do create some jobs, like welfare caseworkers :)

And passing the Dream Act would create all kinds of interesting jobs, like teachers of Reconquista Studies (to satisfy the "educational requirements").

31 posted on 05/03/2012 5:57:25 AM PDT by ding_dong_daddy_from_dumas (Fool me once, shame on you -- twice, shame on me -- 100 times, it's U. S. immigration policy.)
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To: ding_dong_daddy_from_dumas; SeekAndFind; stephenjohnbanker; Sen Jack S. Fogbound; DoughtyOne; ...
RE :”Food stamps and unemployment comp is the most efficient way to create jobs’
........ They do create some jobs, like welfare caseworkers :)

Below is an interesting chart that Dems are using showing changes in private sector job growth.

Here are a few simple calculations I can make that show how bads things are assuming this chart is even accurate. It shows job growth going positive about Feb 2010 and then bouncing around an average of about 150K jobs a month for 24 months.

150K times 24 months= 3.6 M jobs created
but during the same 2 year period the national debt increased by around $3T.
$ 3T divided by 3.6 million jobs= $833.0 K ($830,000) in increase in NEW national debt per NEW job.

In todays current political debate only the number of new jobs is counted (before the election) as a metric, not how much we all owe per job. It shows how superficial the debate is that the cost in new debt per new job is not consided relevent. This is like paying off your backlog of bills with those checks the credit card company sends you and then claiming you are moving 'forward' making progress.


32 posted on 05/03/2012 6:36:33 AM PDT by sickoflibs (Romney is a liberal. Just watch him closely try to screw us.)
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To: SeekAndFind
Three Likely Triggers Of The Next Recession
33 posted on 05/03/2012 7:05:48 AM PDT by blam
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To: All
Obama's massive deficit, the debt ceiling, tax cuts, unemployment benefits, student loans, spiraling costs of ObamaCare, will all have to be addressed in the context of a fierce, polarized 2012 presidential election, the lame-duck congressional session that will follow and possibly an even-more-divided government in 2013.

===================================================

Ohaha had two major pieces of legislation which were supposed to fuel his reelection: (1) the trillion dollar stimulus which bombed, and, (2) the healthcare mandate which could soon be kaputski or partially disemboweled by the USSC.

==========================================

The 2012 Ohaha team are gonna use the 2008 Anita (Mao) Dunn strategy to manipulate voters, to downplay Ohaha's destructive policies ....and his scary plans for the next term. Dunn has said THEY and only THEY decided what the media should know about 2008 candidate Ohaha. The strategy is already in place---watch the Ohahas copping that "don't worry--we're harmless" attitude.

=========================================================

Obama's open mic slip in Russia revealed his hidden agenda. He didnt say "after the election, or “after the next election.” He said: “This is my last election" ....... reassuring the Ruskis that he'll then have "more flexibility after the election....”

Clearly Ohaha's certainty WRT staying in offce is not based on his approval ratings or massive opposition to his cockamamie polices----mandated healthcare, trillion dollar stimulus, using aborted babies' brains in lab experiments, giving himself massive executive power over Americans, co-opting religious beliefs, $4-Plus gas, 16% real unemployment, trillion dollardeficits, escalating inflation at the supermarket, the GSA spending scandal......to name a few.

No. Ohaha's certainty stems from his knowledge that he will stay in office---not by the will of the people---but by buying his reelection, using unprecedented vote fraud.

FIRST AND FOREMOST----WE MUST ATTACK THE MASSIVE
VOTER FRAUD OHAHA INTENDS TO USE TO GET REELECTED.

Remember, voter fraud is the Chi/mobs' specialty---do NOT underestimate Rahm and Axelrod (both running O's reelection), and Valerie whatsherface in the WH.

Let us not forget----the minute they hit the WH, the Chi/mob went into action: the WH Chi/mob took over the census---and now have all the CV they need to file phony FEC reports using stolen federal dollars as campaign contributions.

THIS MADE ME LAUGH OUT LOUD Obama's ex-COS "Wall Street Rahm" "suddenly" discovered he wanted to be Chicago's mayor---the little turd went before the mics and announced his campaign "raised $10 million in just a few weeks." Rahm also controlled the US Treasury as COS. This turd-o-crat knows where all the stolen Federal money is hidden....Wall Street knows how to make money disappear faster than a cream puff at a Weight Watcher weigh-in.

=================================================

Do not underestimate the cash the Ohahas/Chi-mob can come up with to fix the election......remember, these are the kingpins of Chicago politics. At one time, conscientious FEC investigators verified money was coming from legal citizens....but if Obama wins there will be no investigations. Remember, there are billions unaccounted for in Obama's stimulus packages (probably used in the last election cycle).....you can be sure the Ohaha kingpins have tons of money stashed away for 2012.

==================================================

POINTS TO PONDER

<><> author Dean Koontz estimates there's about $90 billion missing from the US Treasury.

<><> Ohaha's ex-COS Chi/Mayor Rahm Emanuel is running the reelection campaign----b/c this Wall Street turd knows where all the money is hidden. Rahm also controlled all US Treasury assets (at Obama's behest) when he was COS.

<><>The Ohahas took control of the census upon taking office----they have all the necessary CV to phony up contribution reports for the FEC.

=======================================

WATCH FOR PHONY FEC REPORTS The Ohaha's "say" they added $45 million to reelection coffers in February.....raised jointly by the DNC, "Obama for America" and two other joint fundraising committees — the "Obama Victory Fund" and the "Swing State Victory Fund,"...and whatever other voter frauds they dream up. ////JEFF HEAD All well said...and worth repeating. Not only have his signtures acts failed, they are destroying the country. Which of course is exaclty what they are meant to do. Obama is not an idiot or stupid. He knows exactly what he is doing and he is going about it with a will...to fundamentally change (read detroy) our Constitutional Republic. The man is... A Maxist ideolog who despises America http://www.jeffhead.com/obama-time.htm

34 posted on 05/03/2012 7:36:58 AM PDT by Liz
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