Patterico's Pontifications

1/30/2013

Initial Q4 GDP Negative 0.1. Negative. UPDATED

Filed under: General — JD @ 12:28 pm

[guest post by JD]

Let that sink in. Q4 GDP negative 0.1. Yet immigration is now his new focal point. Remember when he pivoted to jobs for the 82nd time, and wouldn’t rest until the economy was back on track?

Recovery summer. The economy has turned the corner. We are on the right track. The private sector is not hurting.

In other new, the Presidents Jobs Council, which hasn’t met in almost a year, will expire this week.

This is going to be a looooooooooong 4 years of Obama’s war on the American economy.

UPDATED

Shockingly and unexpectedly, Obama Administration blames Republicans for the negative 0.1%

WASHINGTON — White House Press Secretary Jay Carney blamed the unexpected drop in gross domestic product last quarter on congressional Republicans, saying they introduced uncertainty into the economy with fiscal cliff brinkmanship.
“There is more work to do and our economy is facing headwinds,” Carney said in response to a government report showing that the economy contracted by 0.1 percent in the fourth quarter of 2012, “and that is Republicans in Congress.”

“It can’t be we’ll let sequester kick in because we insist tax loopholes remain in place for corporate jet-owners,” Carney said, laying the blame on Republicans and pressuring them to avoid another crisis over the next round of talks on the sequester.
“It’s not a game — it’s the American economy,” he said.

Every once in a while Carney tries to one-up his normal mendoucheity. There is so much in that little segment. Blaming this on a fiscal cliff that they wanted to drive off. Blaming the sequester that the Obama admin inserted and advocated. Blaming a continuing sluggish economy on political opposition. Using standard class warfare BS about corporate jets, and then having the temerity to whine that this is not a game, while treating it as exactly that for the last 4 years. It is double ironic to blame the sequester on Team R when it was Team O’s poison pill, and the House has sent bills to the Senate to make different cuts, that the Senate Dems refuse to consider. It would be comical if it wasn’t sad. And dishonest.

—JD

90 Responses to “Initial Q4 GDP Negative 0.1. Negative. UPDATED”

  1. Racists

    JD (b63a52)

  2. Bankrupt Racists

    mg (31009b)

  3. I blame Bush.

    Or, Obama Second Term cn blame that incompetent clown that served before him.

    JD (b63a52)

  4. I blame the Administration of the last four years !

    Elephant Stone (fae37b)

  5. Urkel says it was Sandy and the Sequester. The seqwester hadn’t taken effect yet dolt.

    Well, maybe it was ’cause Bennie wasn’t printing, except he was and started in with an extry $45 Billion in December. Oh and a commercial orgy happens in December called ‘The Holidays’.

    An the 2013 model cars are out, with deals on the 2010, 2011 and 2012 cars still sitting on dealers lots.

    You know, now that you mention it, Q3 GDP of 3.1% seemed just a bit overstated.

    D’ya think? Wonder why fer?

    gary gulrud (dd7d4e)

  6. In an effort to cool of the economy:

    http://hotair.com/archives/2013/01/30/leahy-reid-distancing-themselves-from-assault-weapons-ban/

    Lead and gun steel are hot, hot hot.

    gary gulrud (dd7d4e)

  7. Gary – huge spike in Govt spending in Q3, which coincided with the electoral season. Shocking.

    JD (b63a52)

  8. While the private sector is not not hurting, the drop in GDP was primarily due to a drop in federal spending (which was artificially pumped up in the 3rd quarter to boost that quarter’s numbers and Obama’s re-election prospects).

    steve (369bc6)

  9. we’re doing just fine here in Obamamerica.

    in fact, i’m getting ready to file my tax forms on the ginormous $600 income i had last year.

    i might even get a refund…

    redc1c4 (403dff)

  10. Obama first term was the worst president in my lifetime. Obama second term is going for worst president in history on basic objective stats.

    SPQR (768505)

  11. I guess all those shovel-ready jobs still aren’t as shovel-ready as we thought.
    Fortunately, the shovels aren’t just sitting in a shed, collecting dust, going unused.

    Jay Carney uses a shovel every day he takes the podium !

    Elephant Stone (fae37b)

  12. The private sector is hurting. Jobs continue to barely meet the numbers required to keep up with population growth. The percentage of people in the workforce hovers near historical lows.

    JD (b63a52)

  13. One might think that the Presidential trip to Hawaii with a cast of thousands (and a budget of millions !) might single-handedly have increased the nation’s GDP by at least a half of a percentage point.

    Then again, maybe Barry is still characterizing Hawaii as part of “Asia,” as he did last year when he stated, “…here in Asia…”

    Elephant Stone (fae37b)

  14. i can has qualitative easings?

    happyfeet (4bf7c2)

  15. Here’s a link to a partial list of of the planks in Obama’s 2008 platform.

    http://useconomy.about.com/od/fiscalpolicy/p/Obama_economy.htm

    He promised to destroy industries, jobs, and suck capital out of the private sector. But he couched it in terms of creating jobs, new technologies, etc.

    It’s like reading a doctor’s pledge to provide care to a patient, when every item in that pledge is crippling or life threatening.

    He promised disaster. It’s just that the economic illiterates who comprise his core constituencies were convinced by his BS that Obama would be “helping” business. And when his policies had the entirely predictable effect and his policies killed any hope of recovery his core constituencies were convinced the business community was actively sabotaging his wonderful economic plans. Because he’s black.

    He’s “helping” the economy right into the grave, as planned. As promised, if you actually took the time to look into what he actually intended to do. But as long as he tells his groupies that things are going to keep getting better as long as he keeps forcing poison down everyone’s throat they’ll believe him.

    It’s insane. I can’t think of one policy area where what he says isn’t quite obviously the exact opposite of reality. But his Obamabots will willingly believe him rather than their lying eyes.

    Steve57 (104863)

  16. “i can has qualitative easings?

    Comment by happyfeet (4bf7c2) — 1/30/2013 @ 1:54 pm
    Dude, icanhazcheeseburger is sooooo 2007.

    SPQR (768505)

  17. So, if we’re in negative territory, we are actually losing money by working and producing, etc.?

    I’m going to the beach.

    Patricia (be0117)

  18. “While the private sector is not not hurting”

    steve – The private sector is doing just fine. The Oracle Obama has proclaimed it so. Let not this dismal 4th quarter GDP report distract us from the important matters of gun control, immigration reform and controlling (snort) climate change.

    daleyrocks (bf33e9)

  19. The equity market has always been a mystery to me.

    Lately though I’ve come to the conclusion that the market is being artificially inflated through the QE programs that Bernanke has initiated 3 or 4 times. Bernanke is all but telling investors you better be in equities because T-bills and corporate paper will not keep you ahead of inflation.

    My question is: Do you feel the equity market is bubble ready to burst? And what’s a poor boy to do?

    scott (b8618e)

  20. Great post, JD.

    DRJ (a83b8b)

  21. Ouch. Negative? Well, at least it’s driven by lower government spending.

    carlitos (49ef9f)

  22. “And what’s a poor boy to do?”

    scott – One word – plastics

    daleyrocks (bf33e9)

  23. 18. Let not this dismal 4th quarter GDP report distract us from the important matters of gun control, immigration reform and controlling (snort) climate change.

    Comment by daleyrocks (bf33e9) — 1/30/2013 @ 2:32 pm

    daley makes an excellent point. There’s a reason why Obama needs to be talking about those things right now.

    He is screwing the pooch in every single important policy area, he either has no clue as to how to fix things or no interest in doing so, and he needs a distraction.

    While Obama in his usual style proclaims that every reasonable economist agrees with his approach, for instance, reality is as per usual exactly the opposite case.

    Investors and economists agree: No QE3

    Actually it’s wrong to call this QE3. What the fed has embarked on is QE Infinity. And nearly all observers agree; by doing so they have raised quantitative easing to new levels of teh stoooopid.

    In a CNNMoney survey of investment strategists, 93% said they don’t think the Federal Reserve should announce more stimulus at its next meeting. And 77% of economists surveyed agreed.

    You’d never know from this CNN article just how much damage Obama is doing to the economy. You’d think these people just don’t think it will do much good.

    But then you’d never know from the fawning US MFM coverage just how badly Obama’s “smart diplomacy” is falling to **** all over the globe. You’d think Hillary! has been a wonderful SecState, and Obama’s restored the US to all kinds of respect in the world.

    Clearly it’s best for Obama to shift the focus to gun control, immigration, climate change, etc. Otherwise people will catch on to the fact it’s all a pack of lies.

    Steve57 (104863)

  24. Carlitos – yes, govt spending had a role in this, it slowed down in comparison to the spike in the 3rd quarter. If govt spending is our only way to keep our head above water, it is worse than I thought.

    JD (448fa8)

  25. Teh Bernank is pushing for a QW Infinity so as to stimulate the sales of wheelbarrows.

    Patricia (be0117)

  26. 6. This could cook franken.

    mg (31009b)

  27. One might think that the Presidential trip to Hawaii with a cast of thousands (and a budget of millions !) might single-handedly have increased the nation’s GDP by at least a half of a percentage point.

    Hey, Elephant Stone, you are on to something here. Maybe the economic plan will be for him to criss-cross the country with his retinue of cabinet secretaries, assistant secretaries, sub-assistant secretaries, political flunkies, Secret Service, journalists, biographers, et cetera and serve as a one-man stimulus project for local economies. It’s the perfect gig: he gets to pick and choose where he goes, so he can “reward” the areas that support him with a visit from Dear Leader while at the same “punishing” those renegades who refuse to get on board with Hope & Change – Forward by denying them his beneficent gaze and soothing words. I wonder why Axelrod hasn’t thought of this already.

    JVW (4826a9)

  28. Why shouldn’t the GDP turn negative, the government has.
    Fundamentally Altering America means turning the economic beacon of the Free-World, that supported Freedom & Liberty everywhere, into a moral pauper whose word is mistrusted, has to “lead from behind”, and won’t/can’t even protect its own officials in foreign lands.

    askeptic (b8ab92)

  29. Comment by JVW (4826a9) — 1/30/2013 @ 3:22 pm

    Won’t all that high-altitude jet-exhaust (contrails) contribute to Global Warming, and/or Destruction of the Ozone Layer?

    askeptic (b8ab92)

  30. 29. Won’t all that high-altitude jet-exhaust (contrails) contribute to Global Warming, and/or Destruction of the Ozone Layer?

    Comment by askeptic (b8ab92) — 1/30/2013 @ 3:25 pm

    We may be about to get a definitive answer to that question from the ME.

    Israel strikes at Syria-Lebanon border, sources say

    Israeli forces attacked a convoy on the Syrian-Lebanese border on Wednesday, sources told Reuters, after Israelis warned their Lebanese enemy Hezbollah against using chaos in Syria to acquire anti-aircraft missiles or chemical weapons.

    “The target was a truck loaded with weapons, heading from Syria to Lebanon,” said one Western diplomat, adding that the consignment seemed unlikely to have included chemical weapons.

    I like the “seemed unlikely to have included chemical weapons” part. Doesn’t everyone else?

    I take it back; it’ll be hard to determine what’s doing the damage to the Ozone layer or causing increased global warming.

    The high altitude jet exhaust from the Israeli strikes or the resulting chemical weapons explosions.

    Smart diplomacy!

    Steve57 (104863)

  31. JVW – only problem with that is Obambi sticks the locals with the costs associated with traffic and security.

    JD (448fa8)

  32. Steve57 – a lady from CFAP attributed part of Chicago’s atrocious violent crime rate to global warming n

    JD (448fa8)

  33. Heretics! I shall answer you individually:

    [askeptic] – Won’t all that high-altitude jet-exhaust (contrails) contribute to Global Warming, and/or Destruction of the Ozone Layer?

    Did you never take a science class? Surely you would learn that private planes when flown or SUVs when driven by liberal celebrities do not contribute at all to Global Warming. If you don’t believe me, just ask Robert F. Kennedy, Jr.

    [JD] – JVW – only problem with that is Obambi sticks the locals with the costs associated with traffic and security.

    Spoken like a true backwoods racist! Don’t you understand that (1) the value of a visit from Our Dear Leader way outweighs any piffling costs associated with it and, more importantly (2) all government spending is stimulative in effect, so by footing the local costs associated with a visit from Our Dear Leader the community is actually stimulating their own economy

    My God, sometimes it seems as if I am the only one here with a college education that would pass muster with Paul Krugman and Thomas Friedman.

    JVW (4826a9)

  34. This is going to be a looooooooooong 4 years of Obama’s war on the American economy.

    Idle Question: What makes you automatically assume Obama will last another four years?

    MarkJ (42fe5b)

  35. 32. Steve57 – a lady from CFAP attributed part of Chicago’s atrocious violent crime rate to global warming n

    Comment by JD (448fa8) — 1/30/2013 @ 3:39 pm

    That actually makes sense. Perfect sense. If Obungle uses the EPA to unilaterally impose the functional equivalent of Cap & Trade, continues his war on cheap and reliable sources of energy, and continues to loot the private sector economy to instead enrich his rent-seeking “green energy investor” and big labor cronies, we’ll be much less of an industrial nation.

    Crime will go down because we won’t be producing things like guns & ammo. How many people can Chicago street gangs kill with sticks and rocks?

    Yes, let’s ignore the fact the NORKs are threatening another nuclear test. Let’s ignore the fact a resurgent AQIM has stepped up attacks on US and other western targets. Let’s ignore the fact that Assad is shipping his arms to Hezbollah as he loses his ability to secure his stockpiles (and when he does the AQ affiliated an Nusra front will inherit them including the chem/bioweapaons).

    By the way, didn’t these people get the word that President Wonderful declared an end to a decade of war in his inauguration speech?

    And let’s all ignore the negative economic growth and focus on the important things.

    Like bringing unskilled, illegal welfare colonists “out of the shadows” so they can feed at the public trough.

    Steve57 (104863)

  36. Steve – has anyone done the math on what 12,000,000 new legal citizens will do to the already BS flawed ObamaCare models? MediCare? SS?

    JD (448fa8)

  37. Have yet to hear proponents address/make the case how this amnesty helps American workers or legal immigrants.

    Colonel Haiku (8513b3)

  38. I apologize to the group for my previous comment which was egregiously dated

    I don’t know what happened there

    I promise to do better in future

    happyfeet (4bf7c2)

  39. mr feets – who or what you date is *your* choice … we still wuvs you, anyways !

    Alasdair (9455c2)

  40. that is very validating and not a little empowering and I thank you for that and please know that your affections find expansive reciprocation in my wee lil pikachu heart

    happyfeet (4bf7c2)

  41. “Yes, let’s ignore the fact the NORKs are threatening another nuclear test.”

    Steve57 – When they send a monkey into space like the mad mullahs, then I’ll get worried.

    daleyrocks (bf33e9)

  42. Obama first term was the worst president in my lifetime. Obama second term is going for worst president in history on basic objective stats.

    Economy aside, Obama truly is the worst, most marginal and disreputable character to ever occupy the White House. That’s just in terms of his sketchy background and radical friendships, all intertwined with his own radical philosophy, wrapped around the funky nature of his youth and beyond, congealed by a bit of his apparent bi- or homosexuality (and quite relevant in this age of the GLBT community being the new unsung stars of minority America).

    The irony of him — and of this period in US history — is that he’s totally flipped the original assumed prerequisite (which was unfair and discriminatory) that for a non-white politician to become president, he not only would have to be as good as his competitors and those who’ve occupied 1600 Pennsylvania Avenue since Day One, he’d have to be many times better.

    Incidentally, there were periods of time during the middle of the Great Depression in the 1930s, well in the midst of the presidency of one of the big icons and heroes of the Democrat Party/liberals, Franklin D Roosevelt, that unemployment dropped quite dramatically. Based on that alone — and were I alive back then — I’d have theorized the economy was moving strongly in the right direction. And that this society would once again soon begin singing — without sarcasm — “happy days are here again!”

    Mark (68549d)

  43. Meantime my layman’s eye sees the euro, yen, Swiss franc, every currency one would want to be caught with when the bottom falls out, rising against the dollar(don’t know about the pound).

    That means anything grown, mined or manufactured overseas is more expensive and whatever we still might generate in return, cheaper for people with those other currencies, which our government needs to settle accounts.

    Like our businesses, homes, high-rises, parks, etc.

    Lookout Mainstreet, you will be under new ownership sooner rather than later.

    gary gulrud (dd7d4e)

  44. Carnie is a bad person.

    JD (b63a52)

  45. 36. Steve – has anyone done the math on what 12,000,000 new legal citizens will do to the already BS flawed ObamaCare models? MediCare? SS?

    Comment by JD (448fa8) — 1/30/2013 @ 3:59 pm

    Nobody has a precise figure. It explains why in the article.

    Immigration reform could boost cost of Obamacare by hundreds of billions

    The reason why it’s difficult to make a projection is that it’s hard to say who would qualify for Medicaid and who would qualify for subsidies. Also, given that the subsidies vary by income level, it’s hard to say (beyond educated guessing) where on the scale this newly eligible population would fall and thus how generous their subsidies would be. Also, it’s hard to say how many of them would have incomes low enough to qualify for existing Medicaid benefits anyway, which they would have been able to claim with or without Obamacare.

    Having made these caveats, here are some ways of looking at what it could cost to insure newly eligible immigrants under various assumptions. After the Supreme Court’s Obamacare decision, the CBO estimated that the law would cover an additional 11 million people on Medicaid (at a cost of $643 billion from 2013 through 2022) and 25 million through the exchanges (at a cost of just over $1 trillion over the same period). So, for every additional 1 million people on Medicaid, the federal government will be spending about $58 billion over the next decade and for every 1 million people on the exchange, taxpayers would be spending about $41 billion. Projecting this out for 8 million new beneficiaries would give a range of $328 billion to $464 billion. This would be conservative, however, because the current 10-year CBO estimate includes fiscal year 2013, though the law isn’t going to be implemented until 2014 – thus the actual 10-year cost is understated. Also, this method understates the per capita cost, because I’m dividing for the decade as a whole, even though the population covered by Obamacare grows over time.

    Also, note the guy uses the CBO figure of 7 to 8 million illegal aliens. No doubt a serious undercount. There were over 9 and a quarter million illegal aliens in the country 7 years ago according to dhs statistics contained in Estimates of the Unauthorized Immigrant Population Residing in the United States: January 2006 So there could easily be 12 million now as you guess, meaning the costs would be more than 50% higher than the already low-ball figures in this article.

    This is economic insanity. This is the Obama presidency.

    Steve57 (104863)

  46. “we insist tax loopholes remain in place for corporate jet-owners”

    What on earth is he talking about? Why do reporters let the White House get away with this?

    jethole (f0d6ab)

  47. jethole – despite already getting their taxes or “revenues” from the rich, now they want more. And meaningless loopholes.

    JD (b63a52)

  48. I think it’s important to note that following the SCOTUS ruling the CBO revised it’s cost figures way, way up this summer anyway. Completely erasing any deficit reduction and adding instead adding to the debt.

    CBO: Obamacare to Cost $1.930 Trillion, Leave 30 Million Uninsured

    At the time of Obamacare’s passage, Democrats touted the fact that the CBO had then said that the gross cost of Obamacare’s insurance coverage provisions would be “only” $938 billion. But that was for 2010 through 2019, while Obamacare wouldn’t really even go into effect until 2014. Now, the CBO says that the gross cost of Obamacare’s insurance coverage provisions over the 9-year span from 2014 through 2022 would be $1.674 trillion. Even if one were to assume that Obamacare’s annual costs, which the CBO says would rise by between 3.6 and 9.5 percent during each of the final five years of its scoring, would suddenly stop rising altogether in 2023 and would remain at $256 billion — the cost for 2022 — the tally for Obamacare’s real first decade (2014-23) would be $1.930 trillion.

    Really, it would be much higher. That’s because this tally, as the CBO notes, merely reflects the cost of Obamacare’s “insurance coverage provisions,” not the cost of Obamacare as a whole. Based on previous CBO estimates, Obamacare’s overall 10-year costs would likely eclipse $2.5 trillion. This would be alarming enough without taking into account this additional consideration: Experience strongly suggests that the CBO is underestimating, rather than overestimating, the cost of this huge expansion of federal power.

    So, assuming the CBO numbers are correct and there are only 8 million illegal aliens who would require to be covered somehow merely due to their legal presence in the country, the actual cost of Obamacare would be about $3 trillion over its first decade.

    Which we all know is seriously underestimating both the number of illegal aliens and the cost of the program.

    The Obama economic plan. Deflower the economy on a regular basis using sandpaper prophylactics until performance improves.

    Steve57 (104863)

  49. the fact that food stamp feels he needs to whine and blame and whine and blame suggests he’s not expecting great things out of Q1 I think

    that’s when the joy of his rapey rapey tax increases will be just beginning to delight the senses of the economy’s nethers

    happyfeet (ce327d)

  50. 43. Doh, I memembered while Squirt was passing out that the yen has fallen 25% over recent months.

    Mebee we can get Hawaii back? B4 the Chinese snap it up?

    gary gulrud (dd7d4e)

  51. Comment by JVW (4826a9) — 1/30/2013 @ 3:46 pm

    I didn’t take Leftist-science, I’m old enough to have taken a science-science class.

    askeptic (2bb434)

  52. Nork tests….
    Just a reminder:
    When the NorK’s seriously announced an ICBM test back in the evil Bush days, CNN put up a graphic showing a missile track from NorK across the N.Pacific with an impact of Sacramento (I guess that was the announced range of the missile – which was a dud BTW). Anyway, I saw this in a public place, and when everyone realized where the impact was (NE of the Bay Area but not quite to Tahoe), they all cheered.
    If only.

    askeptic (2bb434)

  53. Also, please remember the one bright spot in the manufacturing sector of the economy:
    Guns & Ammo!

    askeptic (2bb434)

  54. Real GDP unexpectedly contracts by 0.1% in the fourth quarter of 2012 as the robust growth of government spending which helped to create real GDP growth of 3.1% in the 3rd quarter was not repeated.

    As most keen observers of the economy are already aware, liberal economists and politicians believe government spending is a proxy for the health of the economy rather than a function of what our economy raping politicians in Washington demand be spent.

    daleyrocks (bf33e9)

  55. Again, The Onion could not parody Carnie’s comments.

    JD (b63a52)

  56. Well, they could if they had a lobotomy first.

    askeptic (2bb434)

  57. Most democrat run areas are doing terribly. Most Republican run areas are doing relatively better… some are actually doing well.

    The democrats claim the reason their watches are going so poorly is that the Republicans have opposed them at all. The Republicans, meanwhile, aren’t being asked for excuses.

    The democrats at the federal level haven’t even bothered to pass a budget in many years. But Carney sums up the ideological divide with ridiculous class warfare that would make a socialist Freshman blush.

    Dustin (73fead)

  58. Forbes says we’re in the 49th month of double digit money supply expansion.

    The prior record was 36 months ending in the period formerly known as ‘the Great Depression’.

    And I thought Bernanke was the expert on the second to greatest depression. I’d better check that.

    gary gulrud (dd7d4e)

  59. I’m sure the administration can find a non-war in Africa to get us involved in to goose our way out the the Great, Great Recession that is coming.

    askeptic (2bb434)

  60. Nearly most American’s (47%) could care less if the economy gets worse. They figure they can keep on gaming the system. At least they hear enough from Obama to believe it.

    AZ Bob (c11d35)

  61. Geez, I picked a hell of a time to give up food stamps.

    askeptic (2bb434)

  62. The scrip wars, Zimbabwe seems to have lost, they claimed to have ended the week with $217 after payroll was met.

    http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2013/01/20130130_war.jpg

    If I’m not mistaken, the author, Raoul Pal, is a former Goldman-Sachs trader having retired in his early thirties to Majorca or somewhere equally damnable.

    gary gulrud (dd7d4e)

  63. All this,

    http://research.stlouisfed.org/fred2/series/M2NS?cid=29

    and what’s it doing for us?

    http://research.stlouisfed.org/fred2/series/M2V?cid=32242

    Notice how oil is creeping back up even while demand continues to contract? I think ‘Magic’ is loosing its lustre and realism is leaking thru.

    gary gulrud (dd7d4e)

  64. As Daleyrocks highlights, the Alinsky Administration calls the contraction of the economy during Q4 “unexpected.”

    But if at the same time they characterize it as “unexpected,” BeeJay Carney is blaming it on “tax loopholes for corporate jets,” then how can it still be “unexpected” since they already “knew” of the existence of the “tax loopholes for corporate jets” ?
    And if they “knew” that those tax loopholes would cause the economy to shrink, why did they choose to allow the tax loopholes to shrink the economy ? Why didn’t they take action ahead of time ? In particular, they had both the White House and both houses of Congress for two years—they could have done anything they wanted. Uh, and they pretty much did do everything they wanted.

    I realize these are all rhetorical questions. Hopefully, CBS’ resident lapdog tough guy Steve Kroft will ask these questions in a future suck-up sit-down interview with the Prez.

    Elephant Stone (f12762)

  65. Interesting article in Forbes titled: How President Obama lost his shirt to John Boehner.
    While the national media has been focused on the tax increase for the “wealthy”, Forbes points out that:

    Boehner took President Obama to the cleaners. He did it suavely, without histrionics. While Obama churlishly, and in a politically amateurish manner, publicly strutted about having forced the Republicans to raise tax rates on “the wealthiest Americans” Boehner, quietly, was pocketing his winnings. Dazzled by Obama’s Ozymandias-scale sneer most liberals failed to notice that Boehner quietly made 99% of the Bush tax cuts permanent. …. Dealt a weak hand, Boehner managed to 99% outfox, on tax policy, a president who had the massive apparatus of the executive branch, the Senate majority, and a left-leaning national elite media whooping it up for a whopping tax increase. Boehner, deftly, also dramatically raised the threshold, on which Obama had campaigned, at which the modest 3.6% rate increase kicked in. Yet his biggest win may have been in making the Alternative Minimum Tax patch permanent. This changes the baseline with profoundly positive implications for future tax reform and economic growth.

    Boehner thereby won a triple jackpot,….while Obama, giving up all that for a trivial symbolic victory, lost his Progressive shirt. The mainstream media, with a few exceptions such as Howard Kurtz at the Daily Beast, was too deep in the tank to report that the Emperor has no clothes.

    It’s a highly complimentary piece which may seem treacly to some readers who are not fans of the tan man, but there’s also some other food for thought especially about debt and spending and June.

    http://www.forbes.com/sites/ralphbenko/2013/01/28/how-president-obama-lost-his-shirt-to-john-boehner/

    elissa (1d4923)

  66. Is this the corporate jet “loophole” that lets a corporation depreciate the plane over 5 years instead of 7? It doesn’t change the rates, just the timing of the payment? If memory serves, Carnie is trying to demagogue a “loophole” that the Govt created quite on purpose, therefore not a loophole but just the law, and one that was estimated to “cost” 3 billion over 10 years. That is about 300 million a year, or slightly less than the federal government spends every hour.

    JD (b63a52)

  67. “The economy has turned the corner…”

    …towards full blown communism.

    Yippee!

    Dave Surls (46b08c)

  68. that is a very nice way to look at boehner’s record

    my problem with boehner is more that he represents inertia and establishmentarianism at a time when Team R needs fresh faces fresh thinking and needs more than anything to acknowledge the need for a clean break with the ridiculousness of their porky porky rape-maundering gay-baiting exploits of recent years

    happyfeet (ce327d)

  69. 66. Yes, I was surprised Boehner got the SS withholding back and most of the cuts for the political cost of lifting the debt ceiling.

    A surprisingly strong upgrade to his negotiating position. The sequester should be the minimum cuts we get, and apparently trim the baseline.

    Of course, we’re still talking birds in the bush.

    50. China may not be flush, their banks just rolled over 3/4 of municipal loans due at year’s end 2012. That’d be a little short of $500 Billion.

    gary gulrud (dd7d4e)

  70. i heart the sequester it make me wanna roll my winders down and crooooooze

    happyfeet (ce327d)

  71. elissa’s stubbornly keeping me from giving up on the GOP, which is valuable given the nonstop ‘we’re destroyed’ BS out there.

    Somebody had to roll up their sleeves and negotiate with Obama. That seems like a terrible chore.

    Unfortunately, what I am most concerned about is spending, and there was some progress baked into the cake on that (which is far too little and nothing I’m counting on becoming reality).

    Given how much Obama wailed about the Bush tax cuts, I guess it’s something that he agreed to preserve virtually all of them. Unfortunately, what wasn’t preserved was the part that probably has the most impact on our economy.

    Dustin (73fead)

  72. This post at Caracas Chronicles discusses how the high officials of the Chavez government have “sacrificed governance for politics”.

    That is, they never act just to carry out the functions of government. Instead, every action they take is a political move to damage the opposition.

    Recently there was a gruesome prison riot (58 killed). The Prisons Minister first blamed an opposition TV station for disclosing the prison would be searched for guns (which had been publicly announced). Then she insinuated the riot was incited by the opposition. Meanwhile, the surviving inmates were shoved into other overcrowded prisons.

    In other words, the Chavistas are very bad at solving problems or getting stuff done – but are very good at deflecting blame and scoring points on the opposition.

    Which sounds a lot like Obama and his gang.

    Rich Rostrom (553877)

  73. Comment by Rich Rostrom (553877) — 1/30/2013 @ 10:24 pm

    Don’t they all sing from the same anti-hymnal?

    askeptic (2bb434)

  74. 74. askeptic – funny line, spit coffee first thing.

    mg (31009b)

  75. 72. Boehner is also reaping the benefit of Chuckie Schumer’s designs on superseding Reid, maybe while the latter still twitching.

    gary gulrud (dd7d4e)

  76. http://www.usatoday.com/story/news/nation/2013/01/29/school-bus-driver-shot/1876257/

    Dykes told the 66-year-old driver, Charles Albert Poland, that he wanted two boys, 6 to 8 years old, without saying why, Smith said. The suspect tried to step into the aisle of the bus, but Poland put his arm out to block him. Dykes fired four shots at Poland with a handgun,

    EPWJ (bdd0a6)

  77. Even Boehner has realized he screwed up. But not really sure if he meant it or it’s just his baleful bawling style of surrender to explain the rout.

    cedarhill (51fe88)

  78. A few thoughts, probably none original, but good to remind ourselves, I think:
    - “they”, the Left or whatever, never gives up, they never admit a loss, they just absorb setbacks while too many assume a momentary victory is fixed for the future. An example (though some will disagree in part), in 2004 increased voter turnout against pro-SSM probably helped GWB win re-election, and it might have been thought that was a significant statement on the success of the SSM movement. But no, those in favor kept going, just different tactics, like electing a president who was pro-SSM but wouldn’t say so until it was politically expedient.
    - Unless one sticks to primary principles, it is easy to twist circumstances to say whatever you want. Some have said that the bad economy actually helped obama get re-elected, because enough people have started thinking that things are so bad they aren’t getting better, so went for the guy more willing to hand out free stuff now.
    - In the story about the emperor having no clothes, the point was not made about how much courage the child needed to speak up, and it was assumed that once the truth was spoken it would be self-evident and win the day, not so much in real life.

    MD in Philly (3d3f72)

  79. -.1 < 0

    Socialist, broke and stupid is no way to go through life, Mr. President.

    Bugg (ba4ca9)

  80. Remember when, before the election, everyone was forecasting +2.0% ?? Gee…

    http://www.capitalspectator.com/archives/2012/11/q42012_us_gdp_n.html

    Joseph D (ece5cb)

  81. Doomberg now states that GDP is a poor measure of progress. Delicious!
    I’m astonished that kfap hasn’t been by today to point that nonsense out.
    Leave zippy alone![sobbing uncontrollably in its best Chris Crocker voice]

    Amalgamated Cliff Divers, Local 157 (f7d5ba)

  82. @64 gary g,
    Exactly right. The velocity charts are the story… If you look at M1, which is the true foundation where they’re propping up the economy, the slope of the curve is ridiculous. Doubled in 5 years.

    http://research.stlouisfed.org/fred2/series/M1?cid=25

    M2 is based mostly on how much banks are able to lend out. It’s more reflective of the economy as a whole, but M1 shows how much effort and expense the Fed is exerting (printing) to prop it all up.

    Joseph D (ece5cb)

  83. Naming the sequester as a reason seems fairly absurd as the sequester hasn’t taken effect yet. The Defense Department works for the Presidency. If they decided to, in advance of the sequester, cancel projects, that’s the President’s decision, not the Congress’. An honest media would note that.

    East Bay Jay (a5dac7)

  84. Its become obvious from the failure of Democrat economic policies of print-n-spend that the basic belief of neo-Keysnians, that any government spending has a GDP creation factor above 1, is fundamentally false.

    SPQR (dc3315)

  85. “Doomberg now states that GDP is a poor measure of progress.”

    True. For one thing it counts Obama’s salary as being productive.

    Dave Surls (46b08c)

  86. Doomberg Progress: Banning Big-Gulps, and salt, sugar, and condiments of all kinds.
    It’s for the Children!

    askeptic (b8ab92)

  87. One thing to keep in mind, as the MFM tries to cover for the most incompetent, unserious, and irresponsible man to ever infest the Oval Office. The whole point of the stimulus was to stimulate the economy.

    I have my problems with GDP as the only measure of the health of the economy. As a matter of fact I critique several of the Obama admin’s BS metrics in a lengthy rant in comment no. 36 on this thread.

    But one thing to note about the arse covering; note how they’re shifting the goal posts. After four years and trillions of dollars down the toilet they can no longer argue that spending was stimulative. Now all they can argue is that public spending props up a dubious statistical metric. The massive borrowing and spending had the opposite effect. As soon as they stop doping the economic racehores, the horse drops dead on the track.

    It’s all been a massive lie and the latest GDP numbers prove it. The Obama admin is killing the economy with their cure.

    Steve57 (104863)

  88. 88. “Probs with GDP as measure of economic health”

    Like what are transfer payments doing in there as ‘products or services’.

    gary gulrud (dd7d4e)

  89. “Like what are transfer payments doing in there as ‘products or services’.”

    They aren’t.

    Dave Surls (46b08c)


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