Saturday, February 3, 2024

QOTD -- "This Is A Good Economy"

 

Nobel Prize economist Paul Krugman:

“Let’s be honest, this is a good economy.”

So declared Jerome Powell, the chair of the Federal Reserve, in his news conference on Wednesday after the Fed’s latest policy meeting. He’s right, even if the public isn’t fully convinced (although the gap between economic perceptions and reality seems to be narrowing). In fact, Powell is clearly wrestling with a dilemma many countries wish they had: What’s the right monetary policy when the news is good on just about all fronts?

Contrary to what you may have heard, this is not a “Goldilocks economy” — get your children’s stories right, folks! Goldilocks found a bowl of porridge that was neither too hot nor too cold. We have an economy that is both piping hot (in terms of growth and job creation) and refreshingly cool (in terms of inflation)...

Krugman goes on to discuss the specific good news (inflation now at 2%, wage growth up, GDP at 3.3%, and the stock market booming).  He concludes by noting that, in our hyperpartisan times, President Biden won't get credit from the vast majority of MAGAt Republicans for any economic successes;  if they could undercut the economy like they're trying to undercut immigration reform, they would. So, says Krugman,

... I don’t expect Biden to ride to easy victory on the strength of economic success. But the economy is doing well enough that Donald Trump is back to insisting that the unemployment numbers are fake and claiming, ludicrously, that he somehow deserves credit for a rising stock market...

Having the flailing cult leader- before- party- before- country saying bullshit nonsense like that is the best indication that "this is a good economy."  Thanks, Biden!

BONUS:  A little trolling is in order.

 

 

BONUS II:  Why oh why has the "Feels vs. is" negative public perception lingered?  Oh --


 

 

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