Tuesday, June 15

I don't post this in defense of President Bush's economic record. I've stated before that I believe that an Administration gets too much credit or blame for the performance of the economy during their tenure and I stick by that. I also don't specifically endorse GWB's stewardship of the American economy anyway. The tax cuts, which may have had the desired effect of reviving the economic slump are stupid if (because they are not tied to cost cuts) they cause long-term harm. We've seen tax cuts and cost increases so this works double.

I post this in defense of the truth. And the truth is that the economy is humming along, showing growth for two and a half years, including solid job growth of late. The idea that we're somehow in a weak period or that this is the worst we've had it in a century is so crazy it makes me want to cry.

We've had four total quarters of negative growth since 1999 (Q3 2000, Q1, Q2, Q3 2001) and while the growth figures don't mimic those of the late 90's, nothing ever has. And those numbers were simply not sustainable. The unemployment rate was tiny with workers saturating a ready market. Inflation was likewise tiny. And interest rates were low. But in the end, the economy could not keep that up. When this was realized, people began firing people. This started in Q3 2000. People checked FuckedCompany daily to see who was next on the block.

I mention all of this because of what we hear. We hear that President Bush has the worst record on job creation in a century. What we don't hear is that people were firing workers when he came into office and that even with that unemployment is at the same level as it was in 1996. Inflation is lower. And mortgage rates are lower. And in 1996 people were praising the fuck out of the economy based on the exact same figures. Oh, and there have been a 1,000,000 new jobs added in the last quarter.

Anyway, it pains me to hear this trumped-up shit. It does no good to talk about the economy in a negative light. Economic factors, amazingly enough, are highly dependent on optimism/pessimism. If companies believe one way, the economy follows suit. Talking shit about it, particularly when it ain't true, does not help.

In the 70's there were lines at gas stations, rationing, inflation circling above 15%, and unemployment above double-digits. Based on the economy alone, some may want to take another time in the last century to live, but I'm guessing if you really look at things, this one is pretty solid.

Don't believe the hype. We may pay for this later, lets enjoy it while we can.

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