Category: Politics
War and Debt
The essence of classical free market economics was to restrict Executive power – in an epoch when war-making power was the major abuse of national interests. Just as the lower house of bicameral legislatures had taken over the power to commit nations to permanent national debt – rather than royal debts that died with the kings, as were the norm before the 16th century – so parliaments asserted their rights to block warfare
Spain’s High Risk Election Process
As Mr Zapatero put it on Saturday, when he announced the date of Spain’s general election, the decision “is in the country’s interest” since from now on there will be certainty, and “certainty is stability”. While it is quite possible that almost all of Spain’s politicians share this sentiment, and welcome the bringing forward of the election date, they may very well be the only ones to do so. Certainty is undoubtedly a strong positive, but when the only thing about your country which people can be certain of is the election date, then maybe you won’t have gained much on balance
Debt Ceiling Deal: All cuts, no taxes
Unfortunately for President Obama, the economy is not doing well. And the cuts envisaged in this deal make that problem worse. From an electoral standpoint this is already becoming a problem in key swing states like Pennsylvania
Rep. Gabrielle Giffords Votes for Debt Deal
The bill passed the House overwhelmingly. The Senate votes today. I will be speaking about the deal on BBC World News at 100PM
The Exciting Adventures of Middle Man
For you political junkies, I ask: doesn’t this have the ring of truth to it
Merkel losing her party’s old guard
If the sovereign debt crisis spirals out of control, it is not clear who will govern. At a minimum, Germany’s reputation as a foundational support for the European project will be in tatters. Likely, the governing coalition of CDU, CSU and FDP will be get the blame for this
Kohl: Merkel “is destroying my Europe”
According to Der Spiegel, Helmut Kohl, the father of a unified Germany and the German politician most responsible for the single currency, is very unhappy with his protégé Angela Merkel. I found this article to be consistent with what I have heard for months about the Kohl-Waigel generation’s feelings about Merkel’s leadership during the sovereign debt crisis
The debt ceiling debate: view from Germany
Here’s what Germany’s largest daily newspaper Bild Zeitung has to say about the politics in the US around the debt ceiling
What Bernanke should have said?
These questions sound like Congress thinks the US will be the next Greece. And that makes them likely to turn the US into the next Japan. The Congressmen almost never ask questions. They are statements posed as questions to get Bernanke to back their ideological position. Here’s what Bernanke should do when he doesn’t want to answer questions. Why doesn’t he just do this: point to the debt ceiling debate and say to every single question he’s asked
America’s Rival Oligarchs’ Fight Over the Debt Ceiling
Marshall Auerback argues that President Obama remains close to Wall Street via Geithner, Summers, Rubin, et al. Given the strong mutual cultural antipathy between Wall Street ‘Yankees’ and Southwestern ‘Cowboys’, it is not surprising that the ‘populist’ outrage against Obama has such a tone of viciousness. By contrast, the Wall Street crowd tends to be socially liberal. The bottom line however is that in economics – which is what counts – both groups are predators. The rest of us, we’re just caught between two rival groups of oligarchs, with nothing in it for us
This is what happens when there is a public record, part 2
Even if the debt ceiling showdown ends without default, there will be more shutdown attempts when the federal budget comes up for review in the fall. Get ready for more gridlock – and a US sovereign debt ratings downgrade