The non-partisan Congressional Budget Office has examined what Reed and Pelosi have cooked up for us and concluded that it will kill private investment and do more damage than it cures, “in the long run”. This just shows what a stunning lack of political savvy the CBO has – for politicians, there is no “long run”. If there were, Social Security would be solvent, our bridges and highways would be maintained and we wouldn’t be running deficits.
A long position for a politician has about the same lifespan as it does for a trader – buy at breakfast, sell before lunch. The stimulus bill’s supporters’ horizon extends as far as next year’s elections, and no further. Warning them that their their actions will jeopardize children who aren’t even old enough to vote yet is futile. It’s also frustrating, so why don’t we just give up?