Economist and asset manager and my favorite (and Time Magazine’s) financial blogger, Barry Ritholtz says it so well, as usual about how to jump-start the economy:
“The focus on Deficits today is absurd, forcing us towards another 1938-type recession. The time to reduce the government’s economic deficit and footprint is during a robust expansion, not during (or just after) major contractions.
During the de-leveraging following a credit crisis is the worst possible time to be deficit obsessed.”
He has some great ideas in this post about what to do. If it weren’t for the fact that it is an election year next year, and if my cynical take on it were not that the Republicans were so hopeful that the economy would not improve at all, so that they could make the point that Obama had failed, all Barry’s ideas would be a great way to help both create jobs and grow our economy. But the ideas have an ice-cube’s chance in hell of getting past the deadloked and partisan Congress which is not acting in the interests of the country, but in their own political interests. So where is Obama and his great rhetoric when we need him?