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Tuesday, February 10, 2009

Obama's Economy

With the certainty of passing the latest pork-laden stimulus bill, Obama now owns the economy. He and the democratic congress own it together.

I caught a bit of Obama's press conference and he alluded to his inheritance of the bad economy a couple of times. I thought he was also going to allude to his inheritance of Afghanistan, but he stopped just short of blaming Bush for this again. Obama will clearly milk this blame game for all it's worth. But how long will people give him a free pass? I think he would have gotten a full year or more if he proposed a bill that republicans agreed to, and also if he had appointed cabinet members that paid their taxes. But he's gotten off on the wrong foot, and I now think he's lost some credibility and this is now his economy.

Hey, it's not what he inherited, it's how he responds. Bush responded by severely cutting taxes for everyone, and the result was +4% gdp growth for 4.5 years. What will be the result of Obama's $1 trillion package?