“Punting the Pundits” is an Open Thread. It is a selection of editorials and opinions from around the news medium and the internet blogs. The intent is to provide a forum for your reactions and opinions, not just to the opinions presented, but to what ever you find important.
Thanks to ek hornbeck, click on the link and you can access all the past “Punting the Pundits”.
Follow us on Twitter @StarsHollowGzt
Paul Krugman: Ben Bernanke, Hippie
Earlier this week, Mr. Bernanke delivered testimony that should have made everyone in Washington sit up and take notice. True, it wasn’t really a break with what he has said in the past or, for that matter, with what other Federal Reserve officials have been saying, but the Fed chairman spoke more clearly and forcefully on fiscal policy than ever before – and what he said, translated from Fedspeak into plain English, was that the Beltway obsession with deficits is a terrible mistake. [..]
So the deficit is not a clear and present danger, spending cuts in a depressed economy are a terrible idea and premature austerity doesn’t make sense even in budgetary terms. Regular readers may find these propositions familiar, since they’re pretty much what I and other progressive economists have been saying all along. But we’re irresponsible hippies. Is Ben Bernanke? (Well, he has a beard.)
New York Times Editorial: The White House Joins the Fight
President Obama made good on the promise of his second Inaugural Address on Thursday by joining the fight to overturn California’s ban on same-sex marriage. Having declared that marriage equality is part of the road “through Seneca Fall and Selma and Stonewall,” we can’t imagine how he could have sat this one out. [..]
The administration’s brief to the Supreme Court was a legally and symbolically important repudiation of Proposition 8, the 2008 voter referendum that amended California’s Constitution to forbid bestowing the title of marriage on a union between two people of the same sex – a right the California Supreme Court had found to be fundamental under the State Constitution.
A recent study confirmed that control fraud was endemic among our most elite financial institutions: Asset Quality Misrepresentation by Financial Intermediaries: Evidence from RMBS Market. Tomasz Piskorski, Amit Seru & James Witkin (February 2013) (“PSW 2013”).
The key conclusion of the study is that control fraud was “pervasive.”
[A]lthough there is substantial heterogeneity across underwriters, a significant degree of misrepresentation exists across all underwriters, which includes the most reputable financial institutions.
Finance scholars are not known for their sense of humor, but the irony of calling the world’s largest and most harmful financial control frauds our “most reputable” banks is quite wondrous. The point the financial scholars make is one Edwin Sutherland emphasized from the beginning when he announced the concept of “white-collar” crime. It is the officers who control seemingly legitimate, elite business organizations that pose unique fraud risks because we are so loath to see them as frauds.
Joe Conason: While Republicans Warn Against ‘Greece,’ That Is Exactly Where Austerity Budgeting Will Lead U.S.
Indebted America is in danger of turning into destitute Greece, or so congressional Republicans and conservative commentators have been warning us for years now. For many reasons, this is an absurd comparison-but it may not always be quite so ridiculous if Washington’s advocates of austerity get their way.
The Republicans actually want to impose Greek-style budget slashing on the United States. And the federal budget sequestration scheduled to take effect next week could represent the first serious step here toward the kind of fiscal policies that have proved so ruinous not only in Greece-raising unemployment, destroying hope and encouraging extremism-but across Europe.
E.J Dionne: Ending the Permanent Crisis
This has to stop.
Ever since they took control of the House of Representatives in 2011, Republicans have made journeys to the fiscal brink as commonplace as summertime visits to the beach or the ballpark. The country has been put through a series of destructive showdowns over budget issues we once resolved through the normal give-and-take of negotiations.
The old formula held that when government was divided between the parties, the contending sides should try to “meet in the middle.” But the current Republican leadership doesn’t know the meaning of the word “middle,” so intimidated has it become by the tea party.
Richard (RJ) Eskow: If Government ‘Acted Like a Business,’ It Would Reject Today’s Deficit Madness
The pro-corporate, anti-majority political class is sustaining itself with a lot of self-serving myths these days. Guess you need to do that when you’re dismantling the social contract. In the closed society that is Insider Washington, rites and mythologies are used to promote the otherwise-indefensible: the cruel irrationality of Austerity Economics.
Dean Baker, for example, points out that Democrats must “prove their manhood” by cutting a treasured and valuable program like Social Security. (Funny: Republicans are never asked to do the same.) This initiatory rite is something like a Mafioso’s “earning his bones” as a “made man” by “whacking” somebody — in this case, his own grandmother.
Here’s another myth: Government must “act more like a business” through spending cuts. Is that really what a smart business person would do? What savvy executive would tell his managers to cut spending by a certain percentage over the next ten years when she or he doesn’t even know what the sales figures will look like?
Recent Comments