a diary about economic effects coming

Looking around the country you would think the easiest thing in the world to get passed would be a jobs bill or another stimulus. The number of unemployed Americans is critically high and the business climate is pretty dismal. The growth we saw in the economy in the last quarter was due to businesses restocking inventory, the cash for clunkers program and the stimulus. Without more help, it will not be repeated.

Yet the Republicans are going to go nuts about the deficit and the debt. It does not matter to them that they were primarily responsible for running it up with two unpaid for wars, taxes cuts to the wealthiest Americans and the prescription drug bill. They are going to scream bloody murder that we are mortgaging our children’s future, even though they and their fat cat buddies are not going to do anything to pay down what they spent.

One of the big scare tactics, which you are going to hear about in the next few weeks, is the amount of money we owe to the Chinese. There was even a Super Bowl commercial from Rick Berman’s Astroturf group the Employment Policies Institute (you have to give it to Conservative Astroturfers they have the Orwellian names down) with cute little kiddies saying a new pledge to China and the Debt. You can see it here.

An interview with Martin Wolf of Financial Times

If the government convinces people to buy commercial bonds as a means to finance bailout efforts, then will there ever be a means to decapitate zombie banks?

action to be taken to combat the crap going on