Is Our Economy Healing? (Necessarily Because Paul Crud-Man, Slimes Wants Us To Believe It Is?)

New York Times ^ | January 23, 2012 | Paul Crud-man (Krugman)

[lbryce]

How goes the state of the union? Well, the state of the economy remains terrible. Three years after President Obama’s inauguration and two and a half years since the official end of the recession, unemployment remains painfully high.

But there are reasons to think that we’re finally on the (slow) road to better times. And we wouldn’t be on that road if Mr. Obama had given in to Republican demands that he slash spending, or the Federal Reserve had given in to Republican demands that it tighten money.

Why am I letting a bit of optimism break through the clouds? Recent economic data have been a bit better, but we’ve already had several false dawns on that front. More important, there’s evidence that the two great problems at the root of our slump — the housing bust and excessive private debt — are finally easing.

On housing: as everyone now knows (but oh, the abuse heaped on anyone pointing it out while it was happening!), we had a monstrous housing bubble between 2000 and 2006. Home prices soared, and there was clearly a lot of overbuilding. When the bubble burst, construction — which had been the economy’s main driver during the alleged “Bush boom” — plunged.

But the bubble began deflating almost six years ago; house prices are back to 2003 levels. And after a protracted slump in housing starts, America now looks seriously underprovided with houses, at least by historical standards.

So why aren’t people going out and buying? Because the depressed state of the economy leaves many people who would normally be buying homes either unable to afford them or too worried about job prospects to take the risk.

But the economy is depressed, in large part, because of the housing bust, which immediately suggests the possibility of

[lbryce]

I glanced at the title of the article with abject surreality, detachment, a sense of incredulity sweeping over me, the tune "Wonder of wonders, Miracle of Miracles" looping around in my head, beside myself in disbelief that Paul Crud-Man, the New York Slimes, would have the temerity of mind, the shamelessness of immorality, complete, utter lack of conscience to actually concoct a story about the "improving" nature of the economy, not to feel at all that perhaps just perhaps people are going to think the New York Slimes so unobjective about how they report the news in a story seemingly so biased they'd think twice about publishing it.

But, no. This self-validating, pompous, bloviating rag thinking it's doing God's work just won't ever get it.

Except for the title, I did not read the article because without even looking at it not for a moment would I believe a single word of it.

[FastCoyote]

These guys have deep seated psychological issues over this, because their entire worldview has been invalidated. As reality further diverges from their inner cosmic theories, it has to be stressful.

I still say beat them like pinatas with ridicule, they’ve caused grievous harm to our future generations.

[DH]

people who would normally be buying homes either unable to afford them or too worried about job prospects to take the risk.

---

In a nutshell, that’s the very reason that intelligent people are not buying.

It’s also the reason of uncertainty that is preventing businesses from expanding or hiring.

[Mr. Jeeves]

America now looks seriously underprovided with houses, at least by historical standards.

This is classic Krugman (notice the weasel word "looks"). I imagine it is very difficult even for a committed worshipper of the Holy Welfare State to keep coming up with plausible defenses for its architects.

[Mike Darancette]

Wait and see what the $5/gal gasoline does to the economy.

[scooby321]

Wait and see what the $5/gal gasoline does to the economy.

That is going to be a problem for media.

[jiggyboy]

Obvious propaganda written to help Obama’s reelection campaign. We’ve known for a year that the economy would miraculously start to “improve” as we got close to the 2012 election.

[RoadTest]

The DemocRats call sliding from recession into a depression “recovery”.

It’s no wonder we can never have a meaningful dialogue with them. Their terms are different - like a tribe that only speaks a strange language.

[ripley]

“It’s no wonder we can never have a meaningful dialogue with them.”

One can never have a meaningful dialogue with psychotics.

IMHO

[RoadTest]

It’s not just your opinion. Check Jeremiah 51:7.