Keynes Schmeynes

by digby

I've been writing for some time that Americans are confused about the recession and furthermore that the Republicans are making headway with their easy explanation that the cause of all their pain is government spending. I have felt for years that the Democrats needed to explain economics better because the free lunch supply siders and deficit hawks are on the verge of turning America into a dysfunctional state akin to California.

I guess that's not going to happen:


Obama warned the United States' climbing national debt could drag the country into a "double-dip recession," though he said he's still considering additional tax incentives for businesses to reverse the rising unemployment rate.


Let's hope he just misspoke or the story is mischaracterizing his statement. If the Democrats really are so spooked by the Virginia and New Jersey results that they feel they need to cut spending with 10% unemployment and explicitly adopt the GOP's false implication of the deficit being the cause of recessions then we have a problem. A big one.


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