My mother is still in the hospital following a respiratory arrest back in early December. So I haven’t had much time to write. However, I have kept up with world events in dribs and drabs. It seems that the Israelis and Palestinians are going at it again. I can’t help but wonder if Hamas was put up to their rocket attacks by Iran. There was lots of speculation that Israel was going to bomb Iran’s nuclear weapons facilities sometime after the November US Presidential election and before the inauguration, when the Bush Administration would have nothing to lose by letting it happen or even helping out (e.g., by allowing Israeli war planes to use Iraqi airspace). So the increased rocket harassment by Hamas came at a suspicious time; were the Iranians trying to distract the Israelis? If so, they sure did a good job!
As to the economic picture here in the US, perhaps it has been a blessing that I haven’t had much time to dwell on it. It will hit home for me; my office is going to furlough me and my fellow workers for a handful of days in 2009. I.e., I’m taking a salary cut, maybe around 3 to 5%. That’s gonna hurt. But it’s better than being laid off. I’ve heard Obama making a lot of doomsday speeches about the economy, in conjunction with his plans for a quick and massive federal spending (and borrowing) program (including infrastructure projects and tax cuts). Well, I can’t help but wonder if all that gloom and doom by the guy in charge is a good thing. The “economy” is a strange phenomenon, something like walking on air. Things go OK when there’s confidence, and fall apart when there’s not. If we could get some confidence going amidst investors and lenders, things might get better faster; sort of a self-fulfilling prophecy.
Gloom and doom might have just the opposite effect. I can’t help but wonder if Obama is going for a political home-run here, setting himself up to look like an economic savior. His stimulus plan will help the economy by year’s end, and if things start looking brighter at that point, Obama’s popularity will certainly be quite high. But all the borrowing that it will require will, in the long run, be an economic drag. Hopefully, his plan will invest in projects that have a countervailing efficiency effect on the macroeconomy, e.g. better highways and other transport facilities, or more scientific research and engineering development (say on fuel efficiency and green energy projects). But he seems to be giving in to the temptation to give out “political candy”, e.g. middle-class tax cuts. As with the Bush tax rebate program last year, it probably won’t do much, given that most people use the money to pay off debt. Even if they did spend it on something, it would only serve to give the consumer sector of the economy one last hurrah; America has got to bite the bullet sooner or later that we were spending (and borrowing) too much on goodies and need to get used to “living plain” again.
I’d like to think that Barack Obama is making a good start to his Presidency, but from what I’ve seen so far on the economic side, I don’t see too much farsightedness and political courage. But I’m staying tuned.
NEXT TIME ON THIS BLOG: All about “Do Not Resuscitate” orders and how my brother and I were almost “sleepwalked” by the doctor and hospital staff into approving something in writing that we did not want (so as to cover the hospital’s butt, financially). Yeah, welcome to modern healthcare; let’s hope that President Obama can fix it!
