Category Archives: economic news

economic news

It’s still the economy, stupid

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James Carville, the political guru who burst into notoriety while helping steer Bill Clinton to the presidency in 1992, once famously declared, “It’s the economy, stupid” as he led Clinton to victory over President George H.W. Bush.

I believe President Biden would do well to resurrect a portion of Carville’s winning mantra.

It’s still “the economy, stupid” as Joe Biden campaigns for re-election in 2024.

The numbers hold up well under careful examination.

Joblessness is near historic lows; we are creating more jobs each month than any time in our history; inflation is receding; our national budget deficit has been slashed.

Mr. President, you are entitled to gloat just a bit, reminding us that “Bidenomics is working!”

johnkanelis_92@hotmail.com

economic news

‘Bidenomics works!’

Joe Biden has coined the phrase that, if you think about it, seems to roll off the tongue.

He declared today that “Bidenomics works” better than the “trickle-down theory” promoted by archconservatives.

The numbers bear out the president’s declaration.

The administration was able to pass the Inflation Reduction Act. The result? A “reduction in inflation.”

President Biden’s administration managed to enact a massive infrastructure rebuilding plan. The result? Thousands of jobs committed to improving our roads, highways, airports, seaports.

We now have the fast-growing economy of any nation belonging to the G-7 association of industrialized nations. We have added 13 million non-farm jobs to our payrolls in the past two years. The nation has whipped the COVID-19 pandemic that killed more than 1 million Americans. People’s faith in the economic future is improving. We have reduced the national budget deficit and taken bites out of our still-growing national debt.

Yes, Mr. President. Bidenomics is working!

johnkanelis_92@hotmail.com

economic news

Recession? Uhh … where?

Let me toss a number at you and ask you to ponder its significance for a brief moment.

339,000.

That is the number of jobs the U.S. Department of Labor said today were created this past month. The nation’s jobless rate ticked up a bit to 3.7%, but no one is speaking out loud about any concern there.

It’s the first number that is stunning. It continues to demonstrate — at least to me — that the fearmongers need to be called out when they suggest the nation’s economy is tanking.

It isn’t. Not by a long shot!

Economists predicted — to the extent they can predict anything — a job growth of about half of what was released. Even that wouldn’t have been too bad.

But a 339,000 job growth figure simply is staggering.

Uhh, Mr. President? Keep up the good work.

johnkanelis_92@hotmail.com

economic news

Economy is strong … period!

How in the world does one deal with the fearmongering on the right wing of the political spectrum that keeps fomenting the lie that our national economy is headed for the crapper?

President Biden keeps seeking to remind us of several undeniable facts: joblessness is at a historic low; new jobs are pouring in; business continues to make astounding profits; inflation is subsiding; the national budget deficit is shrinking; the national debt is receding, too.

It’s falling on deaf ears on the right. The right-wingers are looking for any advantage they can find as they seek to run against the president. They are fomenting yet another lie, that the economy is tanking.

Listen up, folks: The economy is not heading for the tank! The economy is showing remarkable resilience! Its strength is presenting itself almost daily!

I am going to use this blog to try to disabuse those who want to believe the liars that the economy is set to be flushed away.

It is not!

johnkanels_92@hotmail.com

economic news

Compromise = good government

All right, folks, we are witnessing in real time the impact that good government can bring us.

One aspect of good government — in a representative democracy — is that compromise is essential. So, with that we have an agreement in principle to fend off the threat of our nation defaulting on payments to which it is obligated.

It came down to two men, President Biden and House Speaker Kevin McCarthy, haggling, needling, cajoling and compromising to reach this agreement.

“Everybody won’t like what is the end of the agreement … on both sides,” McCarthy said Saturday morning. “But … at the end of the day I think people should see what that product is before people vote on it.”

McCarthy is going to make the details of the agreement available to House members for 72 hours before casting a vote slated for Wednesday.

Progressives are unhappy. So are conservatives. These are the hardliners on both ends who refuse to accept compromise as an essential element of good government.

I haven’t seen the details of the bill, so I won’t comment on the finished product. My focus with this post is on the method that Joe Biden and Kevin McCarthy used to reach this point.

Defaulting on our debt obligations is a non-starter. Both men said so. They proceeded from that point. Default would have produced a catastrophe.

The deal that Biden and McCarthy have reached is good for the next two years. It takes this whole issue off the campaign table for 2024. It is an agreement that in a more perfect world should have been reached without the drama that led to this point.

In the end, good government has won the day.

johnkanelis_92@hotmail.com

economic news

Good government works?

The deal to increase the federal debt ceiling that appears to be in the works between President Biden and House Speaker Kevin McCarthy is likely to be a triumph of center-left and right principles of good government.

Those principles will have won out over the extremists on both ends of the political spectrum. The far lefties don’t want any cuts in any discretionary domestic spending, while the far righties want to gut everything in sight.

Just to be clear, I will continue to place the bulk of the blame on this nonsense on the far right, the MAGA cult, those who refuse to govern via compromise. They are wedded to this notion of getting and keeping attention and ignoring the compromise that is essential to governing in a representative democracy.

President Biden brings decades of experience as a good-government Democrat to the table. He has given a little here and there and, to his credit, Speaker McCarthy appears also to have budged a bit from the precipice that the MAGA cult forced on him when he was elected the Man of the House at the start of the year.

If the MAGA types reject whatever debt ceiling deal emerges from Biden and McCarthy’s time together, they will be on the record as opposing the principles of good government that should be the rule rather than the exception.

Indeed, that we are having this discussion at all is a symptom of the perversion that has infected the process. This simply is a product of a Democratic president dealing with a Republican House majority that is dominated — strange as it looks — by a minority cabal of kooks who want simply to be heard and who don’t give a damn about being constructive partners in building a government that works for all Americans.

johnkanelis_92@hotmail.com

 

economic news

Mr. Speaker, for whom do you work?

Kevin McCarthy clearly needs a lesson on public service, because the House speaker is listening to the wrong “bosses” as he digs in against efforts to raise the national debt ceiling.

Mr. House Speaker, you work for the people of south-central California, who sent you to Congress to do their bidding, not the bidding of the MAGA crowd that is pulling your strings.

McCarthy appears to be resisting President Biden’s effort to reach common ground because the MAGA cabal that comprises the vocal minority within the GOP House caucus is demanding it of him.

What will happen, then, if the nation defaults? If it fails to pay its debts by the June 1 drop-dead date established by the Treasury Department?

A lot of folks in McCarthy’s home district are going to go without Social Security or military benefit checks, they will watch their mortgage interest rates skyrocket, they will lose their jobs.

Do you think that will piss a lot of ’em off?

The House once had a Republican leader named Eric Cantor of Virginia who listened too closely to the GOP leadership and didn’t listen enough to those who sent him to Congress. Cantor ended up getting booted out of Congress when the GOP primary voters cast their ballots for someone else. Cantor was deemed out of touch with the home folks.

Mr. Speaker, you had better pay attention to who is going to feel the harm of a national default on our debt.

johnkanelis_92@hotmail.com

economic news

GOP goes phony on budget concern

Congressional Republicans’ phony concern over federal government standing would be laughable if the consequences of their stubbornness in lifting the debt ceiling weren’t so catastrophic.

Let us remember this fact. When Donald Trump sought to raise the national debt ceiling during his term as POTUS, Republicans went along with their Democratic colleagues. No questions asked. Not a single concern raised about spending, the national debt, the annual budget deficit … all of which grew during Trump’s time in office.

Trump lost the 2020 election to a Democrat. Now the MAGA crowd in Congress who controls the agenda in the House of Representatives has become all worked up over spending. Now they want to cut spending dramatically before lifting that debt ceiling.

To his credit, President Biden isn’t swallowing all the bait whole, although he appears willing to give up some of the high ground he has staked in this standoff with the GOP caucus.

The president has proposed a budget that reduces the budget deficit, bites into the national debt and meets many of the GOP’s demands for “fiscal responsibility.” He also wants to force the mega-rich to pay more in taxes. Is Joe Biden seeking to make billionaires less than rich? Hardly. They will continue to be richer than God.

All of this posturing, though, appears to be for show. The MAGA crowd is not interested in governing. It is interested instead in making a spectacle of themselves and of the Constitution they took an oath to “defend and protect.”

Thus, we see House GOP leadership marching to the cadence the MAGA cabal is calling.

I will hold on to my sincere belief that there will not be a default on our national debt. The consequence of any of this is just too dire to fathom.

johnkanelis_92@hotmail.com

economic news

Debt ceiling: set to lift?

Is it too early to proclaim that the politicians in charge of setting federal budget policy have come to their senses?

Man, I hope it’s true what I believe I heard President Biden say about talks to lift the debt ceiling.

The president said the men with whom he has been negotiating — House Speaker Kevin McCarthy, House Minority Leader Hakeem Jeffries, Senate Minority Leader Mitch McConnell and Senate Majority Leader Charles Schumer — all agree on one thing.

The United States cannot, and will not, default on the debt it owes. There you have it. Republicans and Democrats can agree on something!

That’s what Biden said. I believe he spoke in good faith.

Therefore, I will take that as a commitment to reaching a compromise in this battle that shouldn’t even be occurring.

I won’t bother to heap praise on whoever deserves credit for a potential compromise. However, I need to point out that Joe Biden spent 36 years in the Senate and eight years as vice president working both sides of the aisle in search of common ground on all manner of issues and policies.

He knows how to navigate his way.

The debt ceiling cannot go unattended. Doing so would mean we default on our obligations — in direct violation of the Constitution’s 14th Amendment. Moreover, default spells economic catastrophe.

If I were an elected politician, I would truly hate for such a cataclysm to occur on my watch … you know?

Thus, we well might be closer to a deal that Republicans are suggesting, with their yammering about Joe Biden heading off to an overseas conference. Hey, he’s coming back sooner than planned to work things out.

johnkanelis_92@hotmail.com

economic news

Debt-ceiling fight enters critical phase

Congress and the White House are fighting over an issue that doesn’t deserve this level of political bloodshed.

I refer to the debt ceiling. Congress should increase it as it has done always since the beginning of the Republic. But no-o-o-o! The Republican caucus in Congress, led by the MAGA cultists among its members, are seeking to make some sort of idiotic statement about the need to cut spending before increasing the ceiling.

How can I state this more clearly: If the nation defaults on its debts, the economy is going to crash; we will lose millions of jobs; interest rates will skyrocket; the world will feel the pain this nation will inflict on itself.

Do congressional MAGA cultists really believe this is sound fiscal policy? It is nothing of the sort!

I say all this as a way to suggest that I believe President Biden and the congressional leadership are going to find a solution before the June 1 deadline believed to be when the ceiling must be lifted.

If they do, and I believe it will happen, we are surely going to be treated with all kinds of back-slapping, high-fiving and self-congratulations from our political leaders over the courage they showed in ending this crisis.

It’s all crap!

I am afraid that the end will last only until the next debt-ceiling crisis arrives.

johnkanelis_92@hotmail.com