Skip to main content

View Diary: Palin around with "liquidate, liquidate, liquidate" (33 comments)

Comment Preferences

  •  Well obviously it depends on your (0+ / 0-)

    definition of "worked". Politically, it didn't work because the perception is that it didn't work. They might've dug their own graves on that one by promising that if the stimulus passed unemployment would stay below 8% and running around talking about a "recovery summer" when unemployment was stuck at 9.5%+.

    Economically, it only worked as against a "counter-factual" that is impossible to prove or disprove. Yes, we did not slip into GD2, but who's to say that we would've anyways. Some think that it was TARP that prevented that. I happen to disagree, and believe that the "crisis" never threatened GD2 as evidenced by how quickly even bailout recipients returned to profitability, not to mention the rest of the corporate America. There were a few major institutions that got in way over their heads, and would've gone the way of WaMu and Wachovia -- poof into thin air, and barely missed.

    But again, that's all unprovable counter-factuals. All that we know is that the perception is that it did not work, and that likely cost the Democrats the House of Representatives, and now Bernanke and Obama are doubling down, even though nearly the entire rest of the G20 thinks it's a bad idea, and it could provoke at worst a currency war, and at best some inflation.

Subscribe or Donate to support Daily Kos.

Click here for the mobile view of the site