Wednesday, August 10, 2011

delong nut unhusked unshelled undressed

"In order to properly respond to the situation today
policy makers  need to forget everything they thought they knew about the world in the summer of 2009
 and look at the situation with fresh eyes"

and just who does brad suggest might accomplish this ??


  • Laura Tyson







  • Larry Summers







  • Alan Blinder







  • Christy Romer





  • err or  "someone like"  them

    and just what might they do brad ???

    i mean now he wants  the sunk cost fetishists gentle ben and tiny tim
                                                        OUT !!!!

    goes he still think his earlier remedies could  power a swift job recovery ??

    reviewing :


    "The Fed via quantitative easing could take as much risk as it wanted to onto its balance sheet and replace the risky assets it bought with safe assets that the private sector wanted to hold--the Fed could push its balance sheet up from $2 trillion to $3, $4, $5, or even $6 trillion if needed. The Treasury could use its HAMP money to grease the refinancing of troubled mortgages. If HAMP wasn't enough the Treasury owned Fannie and Freddie: they could borrow at nearly the Treasury rate and refinance every house in the nation if necessary in order to get mortgage risk off of banks' books where it constrained lending and off of households' obligations where it constrained spending. The Treasury could use additional TARP money as the grease via the PPIP to take tail risk onto its books and so transform risky into safe assets. The Fed could take the TALF program and use it as a wrapper to make the long-run infrastructure projects we needed to undertake sources of the safe assets the private sector wanted to hold.
    Even with a Congress gridlocked and neutralized, the Fed and the executive had enough power through their ownership of Fannie and Freddie, through the Federal Reserve act, and through the TARP to do everything necessary to guarantee a strong recovery"

    such is the elite prog-neo lib response then and prolly still now

    do they believe anymore ??
    seems pk doesn't
    but brad ????

     talk about sunk cost based fetishism

    ya these all should be done if for nothing at least  for their  internal equity
    but job market  recovery requires
    not an end run around
    but  a march  straight thru the congress

    ie a stimpak II
     an eye popping freshet of funds
    out flowing thru the transfer system
    and a vast payroll tax holiday and a  health premium rebate
    funded by uncle
     administered by and fed thru  the corporate plans
    and an SSI refund of the index theft
    etc etc etc

    brad:
    the  post 1980 elite liberal fantasy
    of running a perpetual national prosperity and  progress machine
      by means of the unelected  fed board alone  is ...dead
    ie new keynesian pipsqueaking won't cut the whole block of fuckin ice
    now around the national  production system ......no not by a long shot

    a giant block of ice  you NK's couldn't anticipate because you couldn't  produce em
    even with your air conditioning  models set to  desert mode