Free Markets, Free People

New Normal

Obama and the “New Normal”

The  President is in trouble, so the “New Normal” is what he’s trying to sell now, according to James Pethokoukis:

Even a talker as talented as President Obama can’t do the impossible: Persuade Americans that the three-year-old economic “recovery” is anything other than pathetic.

Growth is sinking back toward the recession red zone and unemployment’s firmly stuck at over 8 percent for 42 straight months.

It’s no wonder a new Gallup poll finds 75 percent of us “dissatisfied” with the direction of the country. Or that a CNN survey finds that twice as many Americans (39 percent) think the economy is still mired in recession than think it recovering (19 percent).

So Obama isn’t even trying to make the “Morning in America” case for his re-election. He now concedes that “the economy isn’t where it needs to be” and that “we have a lot more work to do.” But he’s quick to add that the Not-So-Great Recovery isn’t his fault, saying: “Throughout history, it has typically taken countries up to 10 years to recover from financial crises of this magnitude.”

Obama, you see, is a believer in the “New Normal,” a phrase popularized on Wall Street, where gloomy economists cite the slow growth, high unemployment and high debt that supposedly afflict countries after severe banking crises.

The two implicit points Obama wants those who buy into (and I use “buy into” purposefully, because this is political snake-oil) this paradigm are a) he’s not at fault and b) it takes a long time to climb out of these sorts of holes so he should be given more time as well.

Well, it may not be his fault per se, but that’s irrelevant.  He’s had 3 plus years to do something about it and his efforts to this point have been an abject failure.  In fact, it does a disservice to the word “abject” to characterize them that way since abject doesn’t begin to describe the depth of that failure.   This president and his administration are clueless and incompetent.  When you add the desire to push their ideological agenda regardless of the economic circumstances it becomes even worse.

Instead of concentrating on the economy for the first two years of his presidency, he used that time and the energies of an all Democratic Congress to pass … health care?   And then, when voters kicked his political rear and that of the Democrats by putting Republicans in the majority in the House in 2010, suddenly everything was the GOP’s fault.

As for the second point, yes, relatively speaking it does take a long time to climb out of these sorts of holes.  That is unless you are ignoring the economic first law of holes – if you’re in a hole quit digging

This administration has made recovering from this crisis infinitely worse than it had to be.  For instance, instead of turning to proven fuels, an infrastructure that exists to exploit them, and creating jobs,  he and his administration played the “green card” and threw billions at companies that soon went under or created jobs at multiple millions of dollars spent per job.  Meanwhile, federal land was closed to oil and gas production and the Keystone XL pipeline was shelved.

As for shovel ready infrastructure jobs … well ask the Chinese how well they’re enjoying your tax dollars while Obama prattles on about “outsourcing jobs”, ok?

There is absolutely no reason to buy the snake-oil he’s trying to sell or accept this as the "New Normal”.  That’s failure talking, and we simply don’t have to accept it.


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