Saturday, November 07, 2009

Today's Dose of Despair from JEP

Despair is a sin, he repeated to himself.

Unemployment is over 10%. It wasn't supposed to get that high. TARP was supposed to fix that.

Meanwhile today may be the most important vote in Congress since the days of the New Deal. If the health care bill passes, it will fundamentally convert these United States into a different kind of popular democracy, which generally means rule by a bureaucracy. Once that much of the economy is run by government, economic recovery as many hope for will simply be impossible.

Permanent unemployment at 7% or so; median income perhaps 10% higher than it is now, but not much higher; and a long period of stagflation. Reluctance to take on new employees, and great incentive to export jobs. Is this a picture of the future? We will have to see, as Congress debates the health care and carbon tax bills.


blog comments powered by Disqus