Multiplier: Cause and Effect

Economic multipliers are always discussed, but to take the discussion out of abstract form and into reality, let’s look inside today’s dismal unemployment numbers: The economy shed 651,000 jobs in February, pushing the unemployment rate up to 8.1 percent […] The goods-producing sector shed...

Pardon me for asking…

But what the hell is the point of the Obama Administration placing a “stress test” on banks?  Seriously now… Top advisers to President Obama, including the Treasury secretary, Timothy F. Geithner, have insisted repeatedly that they want to keep the major banks in “private hands” and have...

Not so fast

[This post ended up being pretty long, so grab a coffee.] Generally, I’m remiss to question the brilliant writing of Frank Rich, but his column this week erects political grave stones far too early for my tastes.  Concerning Obama’s victory on the stimulus bill, Rich says: The G.O.P. doesn’t...

The $5.4 trillion we’ll pay if the stimulus package doesn’t work

A major sticking point with the bailout discussion is cost. Republicans have blared endless about just how much a trillion dollars is — a stack of $100 totaling a trillion could reach Pluto or something, go around the globe at the equator eight zillion times, etc. One facet of the stimulus package...

I’ve got a question

On the stimulus package, one wingnut says: So, President Obama phoned the Senate GOP sellouts Susan Collins, Olympia Snowe, and Arlen Specter and praised them Friday night for showing their “patriotism” by cutting a trillion-dollar, backroom deal to mortgage our children and grandchildren’s future. My...