Economy

Michigan Mayor: No Auto Bailout Will Mean Depression

Just give us the money and nobody gets hurt.

That was the warning from the mayor of Lansing, Mich., on CBS's "The Early Show" Dec. 2. "You know this is a sure prescription to go from recession to depression if you allow this auto industry, our manufacturing prowess, to fall by the wayside," Virg Bernero warned:

This industry is too important, not just to Lansing, Mich., but to the whole country. This is our manufacturing base. You know we were the arsenal of democracy. We've talked a lot about economic security, and that's number one, but what about national security? You know, we were the arsenal of democracy in World War II; it was the auto industry that helped turn us around. Can you imagine a country, I would ask, can you imagine America losing our manufacturing edge, not having that manufacturing prowess? That hurts our national security.

Cramer: Depression Comparisons are ‘Scare Tactics’

Do as I say, not as I do.

That appears to be Jim Cramer's philosophy. The CNBC "Mad Monday" host told NBC "Today" show viewers Dec. 2 that comparisons between the current economy and the Great Depression were inappropriate.

 "[T]hat's got to be taken off the table," Cramer told "Today" host Meredith Vieira. "There have been enough things done by this government to absolutely preclude that. I, myself, do not want to use that term ever again on the ‘Today' show even to compare it. Things are very different. We do need help from Europe; we need help from China. But take the Great Depression talk off the table. That is scare tactics."

 "I'm reluctant to start talking like that," Cramer said of describing the current recession as "the longest since World War II," as Vieira did. "I've adopted a ‘just the facts, ma'am,' approach, kind of a little bit more of a ‘Dragnet' approach, so to speak. Because when we give those characterizations what happens is we can affect things."

He was right. Comparisons to the Great Depression are way off the mark - Cramer makes them enough, he ought to know.

Matthews Panel Frets GOP Will Fight Obama’s ‘Great Things,’ But ‘Thoughtful’ Repubs Will Cooperate

On Sunday’s Chris Matthews Show, host Matthews led the panel in a discussion over whether conservatives would choose to cooperate with the Obama administration in making "historic changes" to repair the economy, rather than stand in opposition to his programs. The premise of the discussion seemed to be that times are too serious for conservatives to dare dissent from Obama’s plans. At one point, David Ignatius of the Washington Post suggested that "thoughtful" Republicans will work with Obama as he referred to John McCain’s concession speech. Ignatius: "I thought that John McCain set the tone for thoughtful Republicans in his concession speech election night, where he reached out to Obama. He was remarkably generous. One of the best speeches he's ever made, in my book."

As he teased the show, Matthews seemed to wonder if Republicans would try to stand in the way of Obama accomplishing "great things," or if they would see the light and cooperate. Matthews: "Will the mountain of crises our country faces make Barack Obama do great things? And with all the crises, will even Republicans see historic steps are required?"

NYT Blames U.S. Business for Wal-Mart Trampling -- a 'Shopping Guernica'

New York Times economics reporter Peter Goodman certainly can't be accused of dry writing. Goodman constantly draws attention to his economics stories (often well-positioned by editors) with sharp criticism of capitalism, and he reached a new level of leftist abstraction in his Sunday Week in Review piece on the early-morning shopping stampede at a Long Island Wal-Mart that resulted in the trampling death of an employee, "A Shopping Guernica Captures the Moment."

From the high-brow yet histrionic headline (here's some background on the German bombing of the Spanish city of Guernica) to the inflated prose, it's good, chewy bias in Goodman's favored Marxist professor mode (as prominently displayed in his December 2007 story headlined "The Free Market: A False Idol After All?").

Goodman is eager to paint the Wal-Mart rampagers as some species of victim -- if not of capitalism directly, then the marketing that is selling capitalism to the people in this time of crisis.

From the Great Depression, we remember the bread lines. From the oil shocks of the 1970s, we recall lines of cars snaking from gas stations. And from our current moment, we may come to remember scenes like the one at a Long Island Wal-Mart in the dawn after Thanksgiving, when 2,000 frantic shoppers trampled to death an employee who stood between them and the bargains within.

Walters Put Bush on Defense in 2001, But Tosses Softballs to Obama

In the interview for Wednesday’s Barbara Walters Special on ABC with Barack and Michelle Obama, excerpts of which were also shown on Wednesday’s World News with Charles Gibson, Walters asked few questions that put the Obamas on the defensive, in contrast with her January 2001 interview, aired on 20/20, with then-President-elect Bush in which she challenged him on a number of fronts. Most notably, she seemed to chide Bush for choosing John Ashcroft as Attorney General because he "openly opposes abortion," and claimed that Ashcroft was "not considered a friend to civil rights." She asked Bush about reports that, as governor of Texas, he "spent relatively little time studying specific issues," and "only does a few hours of work" a day. The ABC host also challenged Bush from the left on the trade embargo against Cuba, and even asked Laura Bush if her more "traditional" plans for her time as First Lady would be a "setback for women." It is also noteworthy that Walters asked Bush about his plans for dealing with Saddam Hussein and cited "people in the know" who contended that the Iraqi dictator was "stronger than ever."

Stephanopoulos: Obama Caused Stock Rally and Black Friday Sales

If you had any questions about how differently the economy will be covered with Barack Obama in the White House they were answered by George Stephanopoulos on Sunday when he credited the president-elect with causing the recent stock market rally as well as better than expected sales the day after Thanksgiving.

I kid you not.

During the panel discussion of the most recent installment of "This Week," Stephanopoulos said (video available here, relevant section at 11:05):

Derrick Z's Recipe For A Depression

At this time of year, columns like Derrick Z. Jackson's of today condemning the materialism of the Christmas shopping season are as traditional as Budweiser's Clydesdale-drawn sleigh commercial.  And part of me is sympathetic with Jackson's call for people to spurn the malls and curtail their gift-giving budgets.  

But this of all years, did the Boston Globe columnist consider the disastrous consequences for the economy and the lives of millions of Americans if people were actually to heed his advice?  Apparently not. Jackson's radical suggestion [emphasis added]:

I have a suggestion for these holidays. The average American, according to the government, consumes six times more energy than the world average. Take whatever you spent on gifts last year, slash 5/6ths of it, and see what you can do with the rest - unless of course you make a charitable donation. You're broke anyway, right, so what's the harm?

Weekend Captionfest

http://media.eyeblast.org/newsbusters/static/2008/11/2008-11-24CNBCAlwaleedCF.jpg

Saudi Prince Alwaleed, single largest Citigroup shareholder, during interview by Maria Bartiromo of CNBC, November 24, 2008.

Obama Only Bright Spot In Bummer Of A NYT Thanksgiving Article

It's a good thing Barack Obama was elected.  Otherwise, the nation's glum Thanksgiving mood might have been downright funereal.  At least, that's the impression the New York Times gives in its decidedly downbeat article about the holiday.

"In Lean Times, Comfort in a Bountiful Meal" tells the story of people from coast to coast virtually weeping into their turkey and cranberry sauce.  Whether it's a Los Angeles illustrator whose work has fallen 50%, a youngish Ohio husband and wife who've both lost their jobs, or even an equities trader on the Upper West Side who can't bear to open his personal investment statements, the prevailing mood is blue.

With one bright exception: at least we have Obama.

Conason: Don't Worry, Liberals--Obama Still Planning Radical Change

Joe Conason's column should be as chilling to conservatives as it is meant to be comforting to liberals.  His message: don't be distracted by the centrist-seeming appointments Pres.-elect Obama has made to his economic team.  He remains as committed as ever to his radical agenda.

Conason's commentary appears this morning at Rasmussen Reports.  Key lines [emphasis added]:

[W]hen liberals point to Summers and other members of the Obama team, crying betrayal, they misunderstand the strategy behind those appointments. The most important thing to remember about the president-elect as he prepares to govern is that he takes the long view -- and that he knows how to make a reasonable case for radical change. He has not taken one step back from the commitments he articulated during his campaign.

Barbara Walters on the Obamas: 'I Don't Want to Gush. They're Very Cute.'

Barbara Walters, ABC Host | NewsBusters.orgABC’s Barbara Walters couldn’t contain herself as she previewed her upcoming interview with Barack and Michelle Obama on Wednesday’s Good Morning America: “[T]hey’re very -- I don’t know how to put it. I don’t want to gush. They’re very cute, and very -- and very funny in this interview together.” Walters played two clip of the interview, which is set to air on ABC’s 20/20 on Wednesday night, in which she asked the president-elect softball questions such as, “How did you feel when you read about the three heads of the auto companies taking private planes to Washington?”

Good Morning America co-host Robin Roberts interviewed Walters just after the top of the 7 am Eastern hour of the ABC program, as “The View” co-host played the two clips from her time with the Obamas. During the first clip, after asking how the outgoing Illinois senator felt about the auto executives and their private planes, Walters brought up another group of business leaders: “Should bank executives -- it’s almost Christmastime -- forego their bonuses?” Once Mr. Obama gave his answer, she posed a question about a much less serious matter: “How are you going to get along without your Blackberry?” Roberts broke in after he answered, and remarked how it was “so tough to give up that Blackberry.”

AP Blames Budget Deficits on Bush, Tax Cuts and War

Have you noticed that whenever a liberal media member discusses budget deficits he or she always blames tax cuts and the wars in Iraq and Afghanistan?

Yet, spending on items referred to under the broad category of Human Resources -- which, by the way, represents 64 percent of our current expenditures!!! -- is always completely ignored.

Such was the case Tuesday when the Associated Press published an article placing all the blame for our current budget deficits on the Bush tax cuts as well as the wars our nation is waging (h/t Jeff Poor):

Air America President Dismisses Deficit Spending as 'Rhetoric'; Says Balanced Budgets Only 'Politically Real'

Now that the government has assumed the role of economic planner with various bailout packages and stimulus plans, experts are predicting a federal budget deficit of $1 trillion.

That much money may be difficult to comprehend, but former President Ronald Reagan put it in perspective with a 1981 analogy describing the federal debt: "And the best I could come up with is that if you had a stack of thousand-dollar bills in your hand only 4 inches high, you'd be a millionaire. A trillion dollars would be a stack of thousand-dollar bills 67 miles high."

But the huge number doesn't worry Mark Green, the president of the liberal talk radio network Air America. Green dismissed concerns about deficit spending in an interview on MSNBC's "Hardball" Nov. 25.

What Time of Year Is It? (Following 4 Years of Media Use of 'Holidays' vs. 'Christmas' - Part 1)

As the Christmas shopping season went into full swing in 2005, I sensed that journalists in general have a strong preference for using the term "holiday shopping" instead of "Christmas shopping" when covering business and commerce, but that when it came to people losing their jobs, they preferred to describe layoffs as relating to "Christmas."

My instincts have been proven correct, as you can see below from the results of three different sets of Google News searches in November and December in each of the last three years (links to last year's related posts are here, here, and here; 2006's are here, here, and here; 2005's are here, here, and here):

Save Economy -- Impeach Bush Now!

In yet another example of post-election continuing BDS (that's, er, "Bush Derangement Syndrome," natch) the Detroit Free Press's Rochelle Riley has called upon Speaker Nancy Pelosi to begin impeachment proceedings against George Bush "for [the] economy's sake."

Pelosi wouldn’t have to start from scratch: Rep. Dennis Kucinich, the bravest member of Congress, introduced legislation 11 months ago to impeach the president and vice president. Last January, the House gave a first reading of one of those articles of impeachment. Our own Rep. John Conyers, chair of the House Judiciary Committee, joined 38 other representatives to sponsor HR 635, which would form a committee to look into whether there are grounds for impeachment. Revive that effort!

Last week, Rep. Jerrold Nadler, D-New York, submitted a resolution demanding that Bush stop issuing “pre-emptive pardons of senior officials in his administration during the final 90 days of office.”

CNBC Demonstrates Why Liberals Don't Understand Economics

Doesn't it amaze you when some liberal media member actually claims that raising taxes is good for the economy, and uses the Clinton Era to prove his or her specious point?

Such transpired Tuesday afternoon when CNBC's Trish Regan invited liberal columnist David Sirota on to discuss president-elect Barack Obama's plans to get the economy rolling again.

True to the liberal motif, Sirota spoke fiscal and economic non sequiturs that only the deluded and/or uneducated could possibly agree with (video embedded right):