What’s your point?
Bloom, look at history, the socialists are cornered. They’re sitting around and waiting, stuck in economic limbo. No longer do you hear serious politicians talking about taking over the means of production, the LTV is dead, and markets are seen as vital. Baby steps.
That the nature of democracy makes it so that politicians will always choose Keynesian policies, and it would be foolish for them to do any otherwise.
No argument here. But the concept of “mixed economies” is still firmly established. Not to mention the fact that bad ideas like socialism sound good. Especially to people who don’t have much.
That does seem to be a downside.
In the long run of democracy, we are all dead.
Actually politicians can’t even do that much right. Politicians can be counted on to spend and run up deficits to get the economy going, but no one wants to be the guy who slows the car down and increases unemployment…
In the long run, we’re all dead either way. I prefer democracy. It’s not perfect, but it’s the best thing I know of.
How hopeful you are.
In a world where we’re all dead, how is civilization at all possible?
Well, we’re not all dead at the same time.
If democracy is allowed to go on, we will be.
Perhaps.
I am not Goldman Sachs but I predicted this too. GDP growth will be very strong all through 2010 in both the US and Europe. Yet even the Economic Forum in Davos right now is not only advising the utmost caution but also warning of a “decade-long slump” (La Repubblica 29-01-2010) in Western Countries: “Forget Economic Growth” was the headline yesterday.
According to the ECB (La Repubblica Affari e Finanza 25-01-2010) we are still a far way from what can be called a recovery: unemployment will continue to rise “all through 2010”, sovereign debt will be “a major issue” and “volatily on the financial markets will become the norm”. Tax and legislation reforms are “sorely needed” but “are not possible in the present climate”. Also “it is possible the euro will experience serious difficulties”.
Please notice the difference. While US politicians are already giving themselves huge pats on the backs, ECB leaders and economists are not even trying sugarcoating the pill anymore. The situation is bloody serious, GDP growth or not. Accounting tricks can only work to a point: it seems to me the US public desperately wants to believe the crisis is over and the good times are rolling again and the US government is only too happy to oblige.
Sorry for quoting non-English language paper sources but I am still very old fashioned when it comes to news.
well obviously it can not be sustained forever but we are not at risk at incurring a default on our loans. This is because we have a good history of paying back our loans( payment schedules).
right…
This seems relevant to the wonderful GDP numbers that are out…