Patterico's Pontifications

5/7/2010

In the Best of Economic Hands

Filed under: Economics,Obama,Politics — DRJ @ 10:31 pm



[Guest post by DRJ]

Homeland Security Secretary Janet Napolitano and others initially jumped to conclusions when the underwear bomber and New York car bomber attacked, saying the incidents were probably lone wolves and not terrorism. President Obama also jumped to a conclusion when he said the Cambridge Police Department “acted stupidly” in arresting Harvard Professor Henry Louis “Skip” Gates, Jr.

So it’s somewhat surprising that the White House won’t rule out sabotage in Thursday’s 1,000 point stock market drop. Instead, they’re keeping an open mind about Thursday’s drop:

“President Barack Obama has not ruled out sabotage in the near-panic on Wall Street Thursday afternoon.

White House press secretary Robert Gibbs said Obama’s economic team was jolted by the news and met with Obama shortly after the market plunged.

The president announced Friday morning that a full review is being conducted, and Gibbs said Obama is waiting to hear the results of a review before ruling out what might have caused it, including the possibility of sabotage.

“I wouldn’t rule anything in or rule anything out,” Gibbs told reporters in his West Wing office Friday. “I think that’s, appropriately, why they’re reviewing what may or may not have happened.”

It’s not reassuring that the famously calm, cool Obama has an economic team that can be “jolted” by the stock market, especially since Obama told us last year that the “gyrations” of the stock market are no more important than a transitory political tracking poll:

“President Obama urged Americans not to read too much into the day-to-day fluctuations of the stock market, comparing it to a daily tracking poll and saying a broader view is needed before jumping to conclusions about his economic plans.

“I’m looking at is not the day-to-day gyrations of the stock market, but the long-term ability for the United States and the entire world economy to regain its footing,” Obama said in the Oval Office after a meeting with British Prime Minister Gordon Brown. “The stock market is sort of like a tracking poll in politics. It bobs up and down day to day, and if you spend all your time worrying about that, then you’re probably going to get the long-term strategy wrong.”

At least they’re practicing at keeping an open mind now. Someday they may even try it with Republicans and Tea Partiers.

— DRJ

9 Responses to “In the Best of Economic Hands”

  1. The secret to being a Progressive is to keep such an open mind that your brains fall out.

    AD - RtR/OS! (044556)

  2. Add markets to the list of subjects Obama did not study when he was supposedidly to attending college. Imagine a moron with Ivy League diplomas. Education aint what it used to be.

    DavidL (e74857)

  3. Of course anything is possible; however, being too open-minded to various possibilities may lead to falling for conspiracy theories. Assess what you know, acknowledge what you don’t know (<<< the conspiracy theorist's jumping-off point for flights of fancy)

    [note: fished from spam filter. –Stashiu]

    Icy Texan (073b90)

  4. You see Obama understands Islam but he doesn’t understand economics or markets.

    Mike K (2cf494)

  5. This is exactly the kind of reaction that is appropriate in considering going to war, but devastating in considering the basis for the U.S. and world economy. Confidence is the only thing that allows us to trade a dollar for good and services. The Administration reaction is embarrassing.

    But, Obama has done this before, and the market has reacted to future taxation, government spending, healthcare impacts, trade and defense uncertainties. The corresponding charts are shocking, and the only defense lefties have for this evidence is “coincidence.” But let the reader decide…

    The stock market is a forward-looking indicator of economic activity and expectation. Obama was elected in early November 2008, with plenty of talk about some big changes that were going to cost a lot of money. You can see the market fall off a cliff, by looking at this chart of the S&P 500.

    Unemployment is also forward-looking, as employers won’t cut or hire until resource requirements can be predicted. Unemployment averaged about 5% for the decade, until just before the November 2008 elections as this wallclimbing chart shows.

    TimesDisliker (2a6050)

  6. Maybe Obama thinks the Republicans want to make him look bad by sabotaging the stock market.

    But the plain truth is that the market and economy can help but go down with his policies in place.

    Pretty soon he’s going to complain that the wealthy aren’t cooperating with him.

    Atlas Shrugged.

    Arizona Bob (e8af2b)

  7. nice topic.Thanks to talking us about this artlce.

    Muscle Max XL (b69079)

  8. Best economic to our country government decided to this..
    paraslim

    Dimmgol osso (7d82bc)


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