Monday, September 19, 2011

Throwing out incumbents in Congress: Are we heading into another recession? - Irwin Kellner - MarketWatch

Are we heading into another recession? - Irwin Kellner - MarketWatch

Q: Would it be a bad thing to throw out all incumbents in Congress?

A: The bad thing could be that the problems in Washington reflect the divide in the American public with liberals wanting big government, lots of regulations and higher taxes (countries doing this having no growth) and conservatives wanting smaller government, less regulations and lower taxes (which produce growth).

Obama and liberals see no relationship between their policies and high jobless rates. They follow a Keynesian economic policy. They don't recognize it as failed and would run the economy as the UAW drove GM into the ground. But, the liberals expect a different outcome.

The Republicans are plagued by the religious right and aren't very gutsy (excludes Ron Paul).

What the country probably needs is Ron Paul's aggressive libertarian policies - if it wants to restore growth and maintain a high standard of living (if you aren't living on entitlements).

So, the country is divided and thus Congress is deadlocked - for good reason. It reflects the antipodal and divided view of the electorate.

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