As a man who strives to believe in the essential goodness of people, I take it as an article of faith that President Obama's decision to disturb the slumber of his Attorney General, Eric Place Holder, and to pursue those "speculators" who are driving our gasoline prices to the moon, is completely unrelated to The Donald's movement of this issue to a position front and center in his presidential non-campaign. Meaning, Mr. Obama has been very concerned about this problem all along but he just didn't want to say anything that would upset our burnoosed friends any more than he absolutely had to.
You know. It's the way the O-Man rolls. But gasoline prices really are a problem, not like they're a problem in Europe, of course, but a problem for a grotesquely spoiled populace such as ours which demands its inalienable right to occupy vehicles at the rate of one person per unit and to define a "High Occupancy Vehicle" as one in which there is one person more in the car than the minimum number physically necessary to drive the damn thing. Thus enters The Donald, the magnificently-tonsured almost-candidate who is aching to declare but can't quite yet (not till May 22, when the last episode of "Celebrity Apprentice" airs), because a candidate cannot have his own hit show because of the "equal time" laws that are never enforced.
But he's going to declare, you know that, and the delicacy of his equivocation is not only The Donald's natural probity at work, but a chance to pump the show for a month while people wait, breathlessly, for Duck Man to make if official. I can barely wait myself, because frankly I just can't blog anymore about the Fed-hallucinated economy. Like boring, man. But a magnificent blowhard like The Donald actually running for office - I think we need this. A lot of other people do too - among Republicans, for example, The Donald has higher name recognition (bigger Buzz Quotient) than Romney, Huckabee and Palin -- combined. You read that right. The Donald clocks in at 39%, while the other three losers add up to 19%.
The man with the High-Tensile Hair-do is on a roll. His campaign strategy is borrowed directly from Germany, 1933. America is teetering on the brink of mediocrity, we're getting pushed around by the Saudis and the Chinese. The Chinese, in particular, manipulate their currency, defy all intellectual property laws, cheat like hell on everything. A country groveling in the dirt loves to hear this kind of stuff -- it's not our fault, dammit! Our jobs were "stolen" (by American companies relocating to Asia, but don't get picky - we're trying to make a point here). The Donald is going to slap a 25% tariff on Chinese imports until they allow their currency to appreciate in line with reality (we reserve the right, however, to keep debasing ours through profligate money printing).
So, no blaming the Jews this time around, which was a dumb call by the Nazis anyway. (The German Jews were leaders of German society in medicine, physics, the arts, the professions. Hitler lost before he got started by kicking the props out from underneath his own society.) No, this time around we've got billions of enemies. No more bowing to them when they come to town, no more deference, no more making nice. And think about it - with his penchant for boorish, self-indulgent, grandiose behavior, who can possibly be better at abrasiveness than The Donald? He's more likely to head slap King Abdullah than to bow and kiss his ring.
I think Barack is beginning to hear footsteps at this point, and thus the rude call to Holder in the middle of the afternoon when Eric normally likes to knock off early and catch a nap before tuning in the NBA playoffs in the evening. We'd better start doing something that looks like protecting ordinary Americans, because this wild-haired maniac is catching the Big Mo'! And he'll say anything! And he can finance his own campaign! He doesn't even have to cut backroom deals with Goldman Sachs and medical insurance companies in order to finance himself. This guy's going to play in Peoria! It's a nightmare. I Hope we can come up with some Change in our approach!
Like I say, The Donald introduces the element of fun so sorely missing in our national political scene. Mark your calendar. May 22: The Day of the Duck.
April 21, 2011
If it quacks like a Duck, it's The Donald
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April 15, 2011
Why is the punditocracy dissing The Donald?
I just don't get it. Donald Trump (hereinafter "The Donald") uses his constitutional right to express an interest in becoming President of the United States, and after a brief flurry of excitement from the media, the commentariat appears to have settled on the position that his candidacy is a joke, not to be taken seriously, that he is, in some sense, an usurper who has no right to such pretensions.
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April 14, 2011
Herzog the Blogger
One of my favorite books from high school years, and my favorite among all of Saul Bellow's novels, was Herzog, about a stressed-out, middle-aged, cuckolded academic who undergoes a nervous breakdown and begins compulsive letter writing. He writes to everyone he knows, then to politicians, then finally to the famous dead, in long, complicated, highly literate language, complaining about the state of the world and his place in it. It is an intellectual tour-de-force.
What's distressing to me, Dokrugman (portmanteau of Herr Doktor Doktor & Krugman) is that (a) you're over-using this "serious" trope (which I think, along with Very Serious Person or VSP, might be an unattributed borrow from Glenn Greenwald; is that possible?) and (b) you're getting involved in "budget-cutting" discussions at all. I don't read "The Conscience of a Liberal" to be reminded of the grim reality that the United States faces in its budget difficulties. I read this blog for its Keynesian hopefulness, where $150 billion in income against $330 billion in expenses (as in March's Treasury Statement) is okay and nothing much to worry about. Maybe the deficit will go to $2 trillion this year (or roughly total income), but it doesn't matter because, as you say, the Treasury is hardly "cash strapped." It can easily borrow as much money as it needs at rock bottom rates. For some strange reason. And only conspiracy theorists think that Treasury auctions are simply a rigged market, and if the PBOC calls the whole thing a "Ponzi scheme" (as they did recently), it only proves that they are not VSPs. Or proves that they are, I'm not sure which way the snark cuts.
So please, do not get bogged down in ways to "cut the deficit." That's for the others. You should be urging the government to spend more, to increase the deficit to $4 trillion per year, to $20 trillion. Whatever we need. Because the Treasury can simply borrow $20 trillion at 1% in perpetuity, with no problems once the Fed adds the bills and bonds to its mounting stash. And the 1% the Fed earns on its $20 trillion per year ($200 billion) can be remitted to the Treasury as income, reducing the deficit, thus...
What was the PBOC saying again? Anyway, please: no more belt tightening. Leave that to the uninformed.
Dokrugman does believe we'll be okay and that we should not be worried about cutting "now now now" (as he says over over over), but should keep spending and stimulating until the economy recovers to its mid-Bubble heights. Of course, I've never understood what economy we are aspiring to return to. The reason we went to Bubblenomics was because (a) Wall Street needed a cash cow, and housing was The Last Frontier, and (b) our so-called "Real Economy" is gone, shipped overseas along with all the middle class jobs it used to provide. So Americans can go "back to work," but it's all crap jobs and completely inadequate to provide a real tax base.
How do such obvious things remain hidden from view when they're lying in plain sight? If housing prices are once again correlated to income, and incomes are stagnant or even losing ground, how can housing prices do anything other than continue to go down? And if housing prices continue to go down (which they are, which they will, with 13 million houses empty in the U.S., with 20% of all real estate in Florida vacant), what is the economic driver of consumer spending, and thus jobs, and thus recovery, and thus federal fiscal solvency? Huh?
My inability to answer such questions explains why I do not have a Nobel Prize in Economics, I suppose. I'm just a lonely Herzog, crying in the wilderness.
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2:34:00 PM
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Labels: Saul Bellow and Keynesianism
April 13, 2011
Apocalypse fatigue
I have to admit that it was more fun to write this blog (which I've been doing, off & on, since 2006) when the idea of American decadence, of an actual fiscal or resource-based collapse, was more the stuff of dystopian fantasy than present-day reality.
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April 04, 2011
Obama Rides Again
I think the character from fiction most reminiscent, for me, of President Barack Obama is Douglas Adams's creation Zaphod Beeblebrox, who served for a time as President of the Galaxy. Zaphod had two heads and three arms, but despite these anomalies was a charming, unctuous, devil-may-care fellow who was unfailingly affable and upbeat and had a keen eye for the photo op. Zaphod shows up in various episodes of The Hitchhiker's Guide to the Galaxy (the trilogy with four books).
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March 24, 2011
Another way of looking at nuclear energy
I was reading Karl Denninger the other day on his "Market Ticker" site. Karl, in my opinion, is very good on things like the federal deficit and American over-indebtedness in general. Very few writers get down to his level of fine-grain detail on the question of why the United States believes it can afford a $3.8 trillion budget on about $2.1 trillion in income. (I note, by the way, that the Treasury projections for fiscal 2011 have been reduced to that figure from the previous $2.4 trillion. Apparently someone in the Office of Management & Budget or somewhere calculated that the tax and FICA reductions passed at the end of the year, with the enthusiastic support of President Holograma, would blow another $400 billion hole in federal financing; thus, the $100 billion "reduction" proposed by the PigMen of Congress is in reality a $300 billion increase in federal deficits.) Mr. Denninger draws attention to facts like that.
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March 23, 2011
Bad week at the office
As fate would have it, "Fukushima" means "good fortune island" in Japanese. Nature not only sides with the hidden flaw, it apparently loves a cruel joke.
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Labels: Nuclear disaster in Japan