Huckabee is bat shit-insane today.

Former Arkansas Gov. Mike Huckabee is like Two-Face from Batman: One side laid back nice guy, the other side bat-shit insane.

Well, guess which side came out today when he warned supporters that the $828 billion stimulus package is “anti-religious.”

In an e-mail that was also posted on his blog ahead of the Senate’s passage, Huckabee wrote: “The dust is settling on the ‘bipartisan’ stimulus bill and one thing is clear: It is anti-religious.”

Anti RELIGIOUS?? Are you nuts? What did you want... 50 billion for a giant solar powered cross in downtown Omaha?

Read story at Politico... I can't bear to explain this.

Wall Street drops 400 points when they realize Obama isn't providing an easy out

Paul Krugman gives some possible insight into the new bailout plan announced by Treasury Secretary Tim Geithner:

"So what is the plan? I really don’t know, at least based on what we’ve seen today. But maybe, maybe, it’s a Trojan horse that smuggles the right policy into place."

Obama adds a little more clarity and context, as usual (this is an excerpt from ABC Nightline to air tonight):

TERRY MORAN: So, Treasury Secretary Geithner today has laid out the plan for the banks, and judging by the reaction in the markets Wall Street really doesn't like it.

PRESIDENT OBAMA: [LAUGHS] Well, you know, Wall Street I think is hoping for an easy out on this thing and there is no easy out. Essentially what you've got are a set a banks that have not been as transparent as we need to be in terms of what their books look like.

It's obvious Geithner lacks the charisma of Obama, so the roll out today was awkward. In the coming days it will be clearer. In the meanwhile we just need to have a little faith in the administration. We have to unlearn what we were taught for 8 years.

Weekly President YouTube

THE STIMULUS PLAN – WHAT DO THE ECONOMISTS ADVISE?

There are a zillion economists, and most of them aren't worth the price of a Radio Shack calculator.  You see most of them on cable news as generic talking heads.  However, there are some good ones.

1) PAUL KRUGMAN is a Nobel Prize winner, author, and critic of Reagan/Bush supply side economics that the GOP continues to romance.  Though liberal, he has been critical of Obama's stimulus plan as too conservative.  He believes a 1.2 trillion plan is the appropriate size.

He is deeply critical of the Senate comprimise bill forged by the Dem and GOP moderates:

"a plan that was already too small and too focused on ineffective tax cuts has been made significantly smaller, and even more focused on tax cuts. My first cut says that the changes to the Senate bill will ensure that we have at least 600,000 fewer Americans employed over the next two years. This is really, really bad."

2) ALAN VIARD, a Bush administration economist, use to think the right size for a government spending bill was "probably zero" and use more Fed cuts to stem the bleeding. Basically what the Bush folks did last fall.  He's altered his view since:

"Viard shares the view that a stimulus package is needed, although he would prefer one limited primarily to tax cuts and direct benefits for victims of the recession, such as increased unemployment benefits. This is a severe recession."

3)  JOSEPH STIGLITZ, a Nobel Prize-winning economist at Columbia University and former chief economist at the World Bank, said that the stimulus package was "probably too little, especially given that it is badly designed [and] we haven't yet fixed the mortgage problem so the financial sector is likely to continue bleeding."

Stiglitz said that most households would save rather than spend the money from tax cuts and that the business tax cuts were not closely enough linked to new investments. He said that while plans for infrastructure spending were flawed, it was "unlikely to be wasted as badly as the private financial market has wasted resources in last five years.

Despite the differences in how to split up the stimulus, here is what is agreed on almost unanimously:

A STIMULUS IS NEEDED.

IT IS ABSOLUTELY URGENT IT HAPPENS IMMEDIATELY.

READ MORE.

"So how much bipartisan outreach can you have when 36 out of 41 republican senators take their marching orders from Rush Limbaugh?"

Paul Krugman is an exceptional Nobel Prize winning economist. He slams Obama as much as anyone, and he is telling us what the GOP refuses to hear. Please do not let the GOP in Senate trick you.

As a small business owner and the father of a 6 year old, I have a vested interest in the future, and I am in support of the Obama package. Period.

Obama on attack to prevent swift-boating of recovery plan

Obama took advantage of the Democratic Party speech to add some heat to his argument for the bailout/stimulus/recovery/holyshit package. He gave this speech last night, which was technically meant for the Democratic caucus, but he decided to open it up for the media. It's part of the change in rhetoric Obama has taken to regain control of the conversation about the package, which has been dominated by GOP naysayers while the President spent time reaching out.

It seems like a smart tactic as the GOPs picking out of the bill which can be easily mocked as pork, even if there is some rationale behind it once you understand them. The GOP strategy has been eroding public confidence in Obama's plan, I think particularly with less informed voters who are all ready cynical after 8 years of spin.

Glad to see Obama not taking it on the chin.

Recession humor: Big Box Stores

President Obama on Economic Recovery

Why the GOP tax cuts are the wrong answer.

Against my therapist's advice, I've been listening to more C-Span.

Three Republican Senators have just had their say in succession, including Kit Bond. And though each of them were well spoken, I wasn't impressed with their rhetoric. Overall they are pushing for tax cuts, and the deeper the better, and not for the poorest people. They mostly are aligned in small business top-down cuts.

Some want more infrastructure spending (great!), some want more military spending to refresh equipment (fine!), some want to cut stuff that seems superfluous (many of which were all ready cut, they just like to mention them again). One of them wasted time bitching about shutting down Gitmo (talk about superfluous!).

So why not just cut taxes? Couldn't hurt right? I couldn't disagree more.

Cutting taxes for most would mean that cash disappears. I for one would do my best to keep it in a mattress. Only the poorest would be assured to spend it immediately. This is what has happened in the past with Bush's cuts. And they specifically do not want to give the poorest the money, because in their opinion they have all ready have enough of a break by being so poor they aren't taxed.

Most importantly, these cuts undermine the push for some form of universal healthcare, which we desperately need. This is of paramount necessity for the country, as employee supplied health care is going extinct.

Healthcare for all is a Democratic platform item, and something surely not on the GOP's agenda. And that is why we will never see eye-to-eye on this. We are at cross purposes.

So let's get infrastructure spending going, let's supply the military with what is necessary, but please put my taxes to work for good. Just make my dollars count.

Does Obama have the political balls to nationalize the banks?

During the campaign, Sarah Palin scared legions of low-information voters with red baiting. The ominous words "Experimenting with Socialism" triggers mental images of Soviet style Communism, even in the minds of those who know better.

In reality, we do have some socialist practices right here in the States... Social Security, for example. Unfortunately years of cold-war propaganda programming may be shooting us in the foot. In essence, if John Wayne may have fought in a movie, it is out... WAY OUT. And it may just be required to do this stimulus right.

We have been seeing plenty about the banks lately we don't like. They don't seem to be able to keep themselves out of hot water, and every day it's keeps simmering, presenting the nation more examples of outrageous spending and poor judgement. Many voices, including Paul Krugman in his latest op-ed are screaming for nationalization of the banks for a limited amount of time.

And yet... Obama and his brain trust seems determined to avoid this. But why? Is it because it's the wrong thing to do, or because it's politically risky? Is he afraid the GOP will gain further traction by slamming nationalization as "experimenting with Socialism?"

Perhaps it is politically disasterous, but I agree with blogger Bob Cesca when he states "Nationalizing the banks would be an enormous political risk. However, if it's going to be done anyway, sooner is way, way, way better than later."

In reality, the more this debate goes on, the more the GOP will be able to spin it as socialist or unrestrained spending, and the stimulus will continue to get watered down. I hope Obama will get this under control and push it through soon, and have the political balls to do what he has to. He didn't ask for this when he ran, but the economy may be the make or break for his first year, if not his Presidency.

For all those who were laid off this week...

After billions of dollars in concessions to the GOP... a party line vote.

It still passed, yet not a single Republican voted for it.

Redonkulous.

Can we tell them to fuck off now? I hope Obama gets a shot at strengthening the package back to full strength before it gets signed into law, cause I don't buy that this watered-down bill would do jack.

OKAY.... I'm calming down...

Here is a great link to sooth my worry: "Obama Versus the Republicans: Chill Out, He's Got This" by Bob Cesca.

On the GOP and their push for small business tax breaks

I have been hearing a lot from the GOP on tax breaks for small business, and how it needs to be in the stimulus package.

Well, I AM a small businessman. I have been for 10 years. It is my family's sole income. I DO NOT WANT A TAX BREAK. It would be all nice and fine, but in the end it won't help.

What I want is the structure of the economy to be repaired. I won't have anything to tax if I have no clients. I'd rather make sure the taxes I do pay are used correctly. Additionally, we will need those taxes to renovate health care, social security and medicare.

So let's stop harping on tax-breaks. I got 'em when you people were in charge. They are a drop in the bucket for anyone making over 50K. Let those below that have something to buy food with. Give me the chance to make my own money.

Here's a thought, Mr. President

Hey Mr. President... hell of a nice thing you did today, making nice with the GOP and all. Real bipartisan. Love that whole concept. It's clear you are trying.

That said, you'll have a better chance at getting North Korea to negotiate in earnest than getting these people to play ball. I realize that the GOP feels "out of the loop" in forming this package and all, but hey... they LOST. Since they obviously have no ideas besides "cut more taxes", and had just completed failed years of iron-fist rule, perhaps it's time for them to SIT-DOWN. Or be told to sit down. By you, the President.

The GOP with NEVER EVER want you to create a NEW New Deal, because they have spent the last 60 years trying to tear down the OLD Old Deal. They mean well, I'm sure. They are just unable to come up with anything new except contradict themselves, site reports that do not exist, or stonewall.

You must know this. You have clearly proven yourself a great strategist. I trust you on this. Most of the country does. As you can see by the image above, millions of people think you are the best thing since kittens and rainbows.

Now go get that thing passed, Mr. President. I'd love a real bipartisan moment too, but I don't think it's possible, and time is short. Despite some jugheads saying you can take your time on this, we may not have any jobs left next week.

But you know this all ready. You live in the real world, at least up until a week ago. But it's still here, and we're bleeding cash, but we believe in you.

Your friend in Democracy,
Jay

Conservative old guy, supposedly smart, appears to support Obama plan.

I don't read long articles — I'll wait for the movie thank you very much — but people I know do, and someone recently posted this on facebook. The guy that posted it seems smart, so I'll go with it. Here are some excerpts:

More to It Than Meets the Eye
The hidden coherence of Obama's recovery plan.
by Irwin M. Stelzer

"It grieves me to say so, but President Obama's conservative critics just don't get it. The new president has put forward a plan for economic recovery that is more coherent than they are willing to admit. Start with the stimulus package of some $825 billion. A lot of money, more even than George W. Bush's $700 billion Troubled Asset Relief Program, but not much more as money is counted these days, especially as Obama's will be spent over two or three years. Critics complain that stimulus spending will add to the swollen federal debt. True: President Bush did leave his successor a $1.2 trillion annual deficit. To which Obama will add about $400 billion per year. Query: What empirical evidence is there that deficits of $1.6 trillion are more harmful during a period of economic recession than deficits."

Read the whole thing... if your into that kind of time-sucking investment. I need to update my facebook status to "Jay is posting old guy economic crap."

Krugman's advice to Obama on opponents of stimulus package: Fuck 'em.

From the Huffington Post

Krugman: Obama Should Ignore "Huffing And Puffing" Stimulus Opponents

Economist Paul Krugman has been somewhat critical of President Obama's stimulus plan. But today in the New York Times he defends the proposal:

"As the debate over President Obama's economic stimulus plan gets under way, one thing is certain: many of the plan's opponents aren't arguing in good faith. Conservatives really, really don't want to see a second New Deal, and they certainly don't want to see government activism vindicated. So they are reaching for any stick they can find with which to beat proposals for increased government spending."

Krugman goes on to debunk some of the arguments against the plan -- particularly the idea that tax cuts are inherently superior to new spending. But, he concludes, the critics don't matter much: "Most Americans aren't listening. The most encouraging thing I've heard lately is Mr. Obama's reported response to Republican objections to a spending-oriented economic plan: "I won." Indeed he did -- and he should disregard the huffing and puffing of those who lost."

READ THE WHOLE COLUMN

GOP big shots looking out for themselves, blocking Obama, and putting the country LAST.

For the past 8 years, the Republican Party got just about everything they ever wanted — and now are desperately trying to avoid taking the blame for it. Diplomatic, economic, and ethical disasters should fall soundly on those who caused them — yet rather than reform their party, they continue to turn to the same old "look out for Number One" agenda.

Here is the recap and related links to all things firmly rooted in the NOT HELPFUL category. Clockwise from the top left...

1. House Minority Leader John Boehner and other Republican leaders are attacking the stimulus package with while promoting their own version featuring their favorite fix all — tax-cuts. Maybe further stock market deregulation would help to!

Do these people still believe they have ANY expertise at fixing the economy? — READ AT Huffington Post.

2. Ken Blackwell, former Ohio Secretary of State (The one who helped Karl Rove steal the 2004 election results in Ohio) bluntly stated that conservatives should vote against the stimulus package, because the plans success would mean more people vote Democrat, thus making it harder for Republicans to retake the White House. — READ at Think Progress.

3. Rush Limbaugh decides to put country last and oppose the stimulus plan out of fear it's success will prevent GOP wins in future elections. — READ AT Think Progress.

4. Karl Rove, unable to admit defeat, takes his magical misery tour to a Miami university lecture hall and tells attendees that Obama won't be able to close Gitmo. But at least he did wish Obama success. — READ AT the Miami Hurricane website

5. John McCain, along with the other GOP leadership, has threatened to vote against it unless major changes are made (like adding those tax cuts the GOP loves). This is probably because the fundamentals of the economy are STILL strong. Senator I thought you were better than this... then I remember your presidential campaign. — READ AT Huffington Post.

6. Kathie Olsen,once at the forefront of Bush's systematic denial of the human causes of global warming, has "borrowed-in" to a protected job within the Obama government. And Obama may not be able to do much about it. Many such former Bushies have done so in recent weeks, but she is one of the more higher profile cases. — READ AT talkingpointsmemo.com.

Obama's Weely Message Topic: Stimulus Package

Transcript is here. You can read the stimulus plan here (and summaries).

The GOP response is here. I note some intentional inaccuracies, but read for yourself.

The website on the stimulus Obama speaks of is here. http://www.recovery.gov/. I'm loving this. He knows how to work the web.

Obama appears to listen to opposing viewpoints... goddamn socialist.

After two Bush stories which drip with his arrogance and lack of humility, I have an Obama story which illustrates the opposite...

As you may know, Barry-O has been running around Washington trying to get members of Congress to sign on for his stimulus package. This isn't an easy sell, cause Congress has been catching hell for being stupid enough to expect the money they all ready handed to Bush would be spent appropriately (or at least could be tracked in some way).

So Obama has been laying out his plan, and has encountered some criticism. Notably, Paul Krugman (who I think is super – read Conscience of a Liberal) wrote quite a rebuke of the plan last week in The New York Times in an article called The Obama Gap:

"Mr. Obama’s prescription doesn’t live up to his diagnosis. The economic plan he’s offering isn’t as strong as his language about the economic threat. In fact, it falls well short of what’s needed."

Rather than ignore his critics, Obama issued a statement looking to talk to Krugman: 

"I want this to work," said the president-elect. "This is not an intellectual exercise, and there's no pride of authorship. If somebody has an idea for a tax cut that's better than we've proposed, then we'll embrace it... If Paul Krugman has a good idea, in terms of how to spend money efficiently and effectively to jump-start the economy, then we're going to do it."

Say what?  

And Krugman took him up on the statement in his latest column: Ideas for Obama.

How un-Bushian!  How Obama-rific!  Here is Jon Stewart being mystified by all of this:

The Daily Show With Jon StewartM - Th 11p / 10c

President Goofus and President Gallant - Peer Pressers

Barack Obama Interview
John McCain Interview

Sarah Palin Video
Funny Election Video

And if you think that this blog is little more than an Obama lovefest/circle-jerk... you're right.  Until I hear different, I think this dude is an answer to the country's prayers.  

And, it should be noted that I am a cynical son-of-a-bitch.

2008's Heros of the Evolution: Economist Paul Krugman

If you need an antidote from the gray-faced economists that talk in jargony circles and make your brain hurt, meet Nobel Prize winner Paul Krugman.

Krugman is both professor of economics and international affairs at Princeton University and op-ed columnist for the The New York Times, but he does a hell of a lot more than that.  

He is smart, practical – and most importantly – KICKS TOTAL ASS.

Since 1988 Krugman has written extensively for non-economists. Because of  him, I've had the surreal pleasure of sitting in my truck riveted by economic theory.  Yeah, riveted.  His insights into political movements and their effect on American economic prosperity fly in the face of economics 101, but recent events have backed-up  his theories.  

In particular, his recent book The Conscience of a Liberal dissects the past 150 years of American history and comes to the conclusion that the GOP's takeover by extreme factions of the right (inspired by Reagan and perfected by Bush 2) precipitated a systematic attack on the advances made in economic equality from FDR's New Deal to the ever-improving middle class of the 1960s.  Erosion of health care benefits, lower wages, and the disintegration of the middle-class resulted.

It's an persuasive proposition, and especially prophetic in the 2 years since he wrote the book's first edition. Especially fascinating is that you can watch his theories work in real-time as you read the papers.

What's even better, Politico recently reported that President-Elect Obama has been accessing Krugman's ample intellect.

This is the best financial news I've heard in a long time.  Rock on, Economics Geek!