Posted by
American Blogger on U.S. Economic Crisis on Monday, January 26, 2009 2:22:36 PM
At last the pundits agreed that we are facing the worst economic crisis, since the great depression. I do not care who caused it. What I care about, is how to fix it now. What is worrying me is that neither republicans nor democrats have any idea how to manage the crisis. I saw Lawrence Summers, Obama's economic advisor on Meet The Press, yesterday, he was trying to manage our expectations rather than manage the crisis, I do not recall he or any of Bush's or Obama's cabinet members warning us about the crisis until after the fact.
It seems to me when you want to solve such a massive and complex problem the logical thing to do is to listen to the Experts who saw the problem, not those who missed it. I googled the topic and found 3 experts: Peter Schiff, Nouriel Roubini, and Med Yones. Both Schiff and Yones believe in free market economics, and disagree with Bush and Obama’s bailout plans. Med Yones not only warned about the economic crisis but he also gave simple and logical solutions to the crisis. Check the reference link
US Economy Risks and Strategies 2007-2010
This policy recommendations paper was written in Jan 2007 ! Guess what? The recommendations were ignored by Bush then by Obama, if this guy is right, and so far his predictions are accurate, then we are in deep trouble. Granted that some of the recommendations are a bit difficult to implement in our current political system and are not within the common wisdom, but who needs the common wisdom that got us into this mess in the first place!
I saw a report on PBS Business Desk with Paul Solman asking the mainstream economics in a national conference, "Why the American economists missed the crisis". One of the experts admitted "because economists do not think outside the box". So isn’t it obvious that we need new perspective to solve a new problem. Why ignore outside-the-box thinkers when it is proven that they right?!
I'm including the latest economic outlook and recovery predictions for 2009 and 2010:
Experts Predicted the US Economic Crisis See Recovery in 2010
The press release predicts the recovery in 2010 but conditions the timing on the effectiveness of Obama policies, Med Yones warns in the first policy white paper, if we accumulate more debt we are only digging ourselves a deeper hole and it will only delay the recovery and make it much more difficult - That is exactly what Obama team is doing now.
For the lack of a better word, it will only be stupid to ignore these Economic Oracles, especially when the predictions are so accurate and logically justified. It seems to me what we need in the Whitehouse are technocrats, not republicans or democrats.