I’m finding it hard to read about politics these days. I still don’t think people in the administration understand the magnitude of the catastrophe their excessive caution has created. I keep waiting for Obama to do something, something, to shake things up; but it never seems to happen.
Here’s what I wrote in February 2009. It’s pretty rich that now the usual suspects are accusing me of having shared the administration’s optimism. But that’s a trivial point; the important thing is that all signs are that the next few years will be a combination of economic stagnation and political witch-hunt.
This is going to be almost inconceivably ugly.
It is not hard for me to conceive of how ugly it will be. One political party is saying we will tank the economy for political gain. The other party wants to believe that they fixed the economy. Yet we have 10% unemployment. I do not see how we avoid 20%-30% unemployment in the next couple of years.