As he battles the economic downturn, President Barack Obama is bracing Americans for a recovery different than any in recent memory – not a go-go return to prosperity like the 1990s but a slow, steady climb to stability.
“We know that an economy built on reckless speculation, inflated home prices and maxed-out credit cards does not create lasting wealth. It creates the illusion of prosperity, and it’s endangered us all,” Obama said recently.
But what Obama rarely says about ending the “cycle of bubble and bust” is this: He’s prepared to intervene to make sure that kind of red-hot growth doesn’t occur.
And he’s willing to do it with added government regulation if needed to prevent any one sector of the economy from getting out of balance – the way the dot-com boom did in the 1990s and the real-estate market did earlier this decade.
According to Austan Goolsbee, a key Obama economic adviser, the president plans to focus on stopping bubbles along with preventing busts.
Should we really kill the ups of our economy to get rid of the downs? Do we really want our economy to be like the kiddie ride pictured above? Safe, but with no thrill or chance of solid gains.
Note there are few formatting problems when you don’t plagiarize other peoples writings by cut and paste . ALfred1, that’s the best tip you’ll get today.
I Think we all agree that OBAMA is no “Master of Deception” if Alfie sees right through it.!!
Quite rewarding to see how a rightwing nut “thinks” but how do they breathe === Alfie, your incites on that? (Sic, smile!)?
Well, Alfie, dropping all pretense as your contrarian for just one post: I certainly DO hope for you, although there is no evidence of it, that you have more reasons to live than THAT! . I’d think that Jeebesus would be more of a comfort and a sheild for you. His absence certainlyu is for me! (Smile and Happy Easter!!)
Hey Alfie==In the context of Obama being the elected President of the USA, whats your point? You seem to expect him to be significantly different than every other presnedent we have ever had. I’ll bet you wish your other ejaculations where as capable of being so premature IOW, not a very pretty picture you paint YOURSELF as.
You see Alfie in WingnutLand==this is America. We know all (as in ALL) our politicians lie to us because they are firmly confvinced the voting public has too many slobbering idiots like you. Nothing will satisfy them except Limbarugh Brainless Braying for all wealth and power to continue to be transfered to as few people as possible. But this world is not your heaven and WE THE PEOPLE, DEMAND that our general needs be addressed.
If I could edit this post, I would,==but one main truth about you crackpots is your bitch up a storm but offer no solutions yourself. Kinda like the Repuglican Budget with no numbers in it. All too easy to criticize. Alfie==you are a complete Paddy-Zero until you criticize AND suggest solutions.
I’ll lead by example: to gegin with, you “could” ( I assume) get your GED and read more hisotry than you have..?
Companies, especially the sort that made this predicament, reside at the pleasure of the state. They register, produce records and obey the laws, not because they are nice. But because the state requires them to do so. When it is the state’s pleasure to limit the activities of commerce because their behavior may be detrimental to the national good, then so be it.
Alfie says: “I quoted…cited my source…fair use”
Sorry bucko, that ain’t how it works.
And ya know, the world abounds with analogies for moderating growth/power/size/whatever. Without moderation things always get nasty. The economy is no different. To pretend otherwise is to ingnore the thousands of lessons history has given us already.
Why should we complain? We all are regulated. The cops regulate what we do, so why does business get some special perk to not be regulated too? Aren’t regulations called “laws” and aren’t all citizens supposed to follow laws?
Hey Rick, you’ll never be confused with a Republican if you continue to think like that.
Not a bad idea.
As far as ‘no chance of solid gains’, that’s not quite true. Remember when stocks were bought because of the dividends they threw off, rather than price appreciation? A return to focusing on long-term goals, rather than the quarter-to-quarter thinking that everyone takes as normal nowadays, would be a positive development.
On a side note, as a lot of others have said, this comment box is way funky. Fix it!
Obama is so incompetent, then you wingnuts should just STFU and let him implode, eh? …that’s what a lot of Dems are doing given the Republican clusterfcsk.?
Will you remember all this nonsense when things work out and the economy recovers? This “secret agenda” stuff is simply insane. Insane!! ?
Alfred 1 may be right. Dang this wib site is truly bleeped!
Before he bursts any bubbles we have to have bubbles to burst.
Of course bursting bubbles needs to be done carefully or we will never prosper.
SN asks:
…
“Should we really kill the ups of our economy to get rid of the downs? Do we really want our economy to be like the kiddie ride pictured above? Safe, but with no thrill or chance of solid gains.”
…
To paraphrase Larry Niven, “People <i><b>die</b></i> in stock market crashes. People <i><b>die</b></i>!”
…
There’s a reason cars come with shock absorbers. If precipitous enough, upturns can be bad as well as downturns, and the combination is a killer. Try riding in a wooden horse-drawn wagon with steel-rimmed wooden wheels with no suspension, so springs, no shock absorbers except your own behind, over a cobblestone road and tell me we don’t need _any_ regluation.
…
There was a story in the news a year or so ago about a guy who sued the Commonwealth of Kentucky over regulations they put on his coal mine. He had donated the land the mine was on to the Parks Department to get out of some taxes. Then, when they applied the same regulations as in other parks, he sued because he said the extra cost amounted to an illegal “taking”. His story sounded to me exactly as if a highwayman had sued because laws against highway robbery were depriving him of his livelihood without compensation.
…
Regulation starts with simple prohibitions against violence, theft and robbery, extortion, and so on and goes all the way up to Sarbanes-Oxley, John C.’s favorite <i>bete noire</i>. What is needed is some compromise between “irrational exuberance” and a stifling burden.
They need a reason to justify taking over companies. Even banks that want to repay bailout money are being told no.
Alfred1 said:
.
“My point? Whatever the teleprompter says through him, means nothing, what he does indicates his real intent…talking about bubbles is misdirection…smoke…to hide his desire to take wealth from the top, and redistribute it to the bottom…unfortunately, history proves that course of “fairness, ecconomic justice” results in a third world economy.”
.
So you’re saying that the United States in the 50s 60s 70s 80s etc., after FDR’s New Deal, the biggest economy IN THE WORLD, was a third world economy? If so, the rest of the world was 4th, 5th, 6th, 7th 8th 9th and 10th!
“Solid gains”?
ARE YOU COMPLETELY DERANGED???
The markets LONG ago ceased being a mechanism to capitalize businesses. Most of have corporations already have billions in saving, from profit taken by monopolization and other underhanded tactics, and are clearly NOT in need of further capitalization.
The market has become a flat out Ponzi scheme. It now operates as a system used by insiders to try and hype certain companies, in order to inflate the value of these companies way, WAY beyond their real value, only to dump the stocks, leaving those that aren’t inside players to suffer the losses. Ponzi scheme… plain and simple.
Greedy assholes like you are the cause for all the problems we now face.
Hey Alfred1… I’m amazed you can function with so much dog shit in between your ears.
Alphie,
Has anyone ever mentioned you might have a slight problem with reality?
Regulation is not a bad thing. Tell me Alphie, do you care if people drive at highway speed on the right side of the road in this country? Do you care if hamburg suppliers include liberal doses of cow shit in the packages? How about if the doctor you see is even competent to treat people medically?
Alphie, your Obama Derangement Syndrome is flaring up. Plus the rest of ALL your posts are nonsensical and devoid of point. If I was religious I would thank “god” you haven’t reproduced. Instead, I’ll thank Darwin for explaining why your kind likes to self destruct.
.My wallets empty regulations will after whats left of your dough
Alphie,
You’re an effen ijit that doesn’t have a clue. You have been bloviating for some time about nothing except this is all Obama’s fault. Please, for the sake of the other DU readers, put your brain in gear before engaging your mouth.
Yep, the unregulated Fed is at the bottom of this mess You won’t see it reigned in, thus the actual problem won’t be solved..
Alfred, the reality you appear to be missing was mentioned by Patso…there were no market crashes for 50 years after the Great Depression. The S&L crisis came about after Reagan’s greedy bastards loosened regulations. Then they got loosened some more, leading to the ’87 mini-crash. And they were loosened further still, which allowed the 2001 market to sink so low. More loosening, and we get 2008. External events triggered the crashes, but there were a whole friggen load of external events between ’29 and ’80 and NOT ONE CRASH.
Do you understand why?
# 81 Olo Baggins of Bywater said, “Alfred, the reality you appear to be missing was mentioned by Patso…there were no market crashes for 50 years after the Great Depression.”
I guess he wasn’t alive in ’73-’74…
Market starting another slide in response to O’Mama’s plan to have command economy…
We’re all gonna die.
Paddy…73-74 is disputed as either a crash or bear market. ALL the others happened within days, this one took nearly a year. If it’s not clear, it doesn’t count. My point still stands, and you’re still a troll.
#91 Ah, yes. Ad hominem, the last refuge of the thoroughly owned. LOL
It’ll all come to a head in 2012. If you’ve watched the History channel over the past 5 months you would know this 🙂
The DOW continued its dive throughout the day after O’Mama called for gov’t control of the economy.
Visions of Soviet style, 5 year plans sent investors running.