*
Provided yesterday courtesy of John Cole's brother:“Fox News. You know what that is? Nickelodeon for people with dementia.”Please make a note of it.
Rollo's *not* gonna like this....
“Fox News. You know what that is? Nickelodeon for people with dementia.”Please make a note of it.
[England's] riots are not political, or so we keep hearing. They are just about lawless kids taking advantage of a situation to take what isn't theirs. And British society, Cameron tells us, abhors that kind of behaviour.Click through to read the entire Guardian piece by Naomi Klein---it's a pippin. I copped the link from Anne Laurie on Balloon Juice, who also notes that PM David Cameron and London Mayor Boris Johnson were both members of the obscenely wealthy and destructive Bullingdon Club during college years.
This is said in all seriousness. As if the massive bank bailouts never happened, followed by the defiant record bonuses. Followed by the emergency G8 and G20 meetings, when the leaders decided, collectively, not to do anything to punish the bankers for any of this, nor to do anything serious to prevent a similar crisis from happening again. Instead they would all go home to their respective countries and force sacrifices on the most vulnerable.
this is what happens when a regime has no legitimacy in the eyes of the people. After watching for so long as Saddam Hussein and his sons helped themselves to whatever and whomever they wanted, many regular Iraqis felt they had earned the right to take a few things for themselves.As the article says, though, London isn't Baghdad. Maybe not (fewer minarets, for one thing), but maybe turning London into Baghdad is part of Premier Cameron's and Chairman Murdoch's 10-year Great-Leap-Ahead Plan. It's almost as if Western nations are deliberately avoiding the tested, straightforward solutions to depression economics (i.e., stimulus and employment programs) in order to do some social engineering through the magic of Disaster Capitalism. If corporatists love anything more than tax cuts for themselves, it's political crackdowns.
The Fed dissenters are obviously looking for excuses to pursue tight policies; they’re looking at the facts only in search of support for their prejudices. As the old line goes, they’re using evidence the way a drunk uses a lamppost: for support, not illumination.Economists do it as much as the media, whether famous neoliberal intellectuals or Federal Reserve policymakers (usually the same guys, anyway). I enjoy reading about Krugman peeing on their lamppost.
A week ago, before the S&P downgrade, the interest rate on US 10-year bonds was 2.56 percent. As I write this, it’s 2.24 percent, with the yield on inflation-protected bonds actually negative.Get it? This is how the corporate narrative works. The Situationists figured it out more than 40 years ago:
You would think this would amount to strong evidence that the downgrade totally failed to shake confidence in US debt.
Yet people who listen to radio and TV reporting tell me that most stories attribute the stock plunge to the downgrade, and are telling listeners that the case for immediate spending cuts has gotten even stronger.
[They] argued in 1967 that spectacular features like mass media and advertising have a central role in an advanced capitalist society, which is to show a fake reality in order to mask the real capitalist degradation of human life.Their term for the narrative and its associated creations and fabrications was The Spectacle. Sounds correct to me.
As Chait says, the first thing you need to understand is that modern Republicans don’t care about deficits. They only pretend to care when they believe that deficit hawkery can be used to dismantle social programs; as soon as the conversation turns to taxes, or anything else that would require them and their friends to make even the smallest sacrifice, deficits don’t matter at all.In the Stockholm Syndrome world of Washington, DC, and the corporate media that sustain America's political withdrawal from consensual reality, this kind of talk from a liberal is condemned as "partisan bickering" or "uncivil."
The point is that when S&P or Moody’s speaks, that’s not the voice of “the market”. It’s just some guys with an agenda, and a very poor track record. And we have no idea how much effect their actions will have.I don't doubt that. But to me the important point is not so much what financial traders do with an S&P intervention of this nature, but what the media and politicians will do with it. A ratings agency downgrade of US debt will be presented as something like scientific evidence that we need to finish drowning the federal government in the bathtub now! now! now! It's hard for me to see how our disinformation economy could get any worse---how it could further accelerate America's decline. But my intuition tells me we haven't reached terminal velocity yet. We'll be even closer when the press, the Congress, and the President anoint Wall Street as the new fourth branch of government.
And having upset S&P, appeasing them might not be so simple. Beers repeatedly emphasized that he wasn’t just looking for a number. He was looking for something “credible.” And credible, in his view, was something that both parties had embraced. After all, he argued, deficit-reduction plans have to be continuously implemented over a decade or more, and if there’s not “buy-in from both parties,” there’s no reason to believe that the plan will survive the inevitable changes in political control.On the one hand, the S&P view is a reasonable analysis. But on the other, sinister hand:
You might ask whether all this matters. S&P got the financial crisis almost entirely wrong — in fact, their analytical errors, alongside those of other agencies, substantially contributed to it — so why should we listen to them now?Yes, that's right. The once-respectable financial rating agency, which is as tarnished by the 2008 economic implosion as any Wall Street investment bank, has made federal legislative politics an evaluative criterion for assessing the full faith and credit of the US government and the debt it issues.
But the question isn’t whether S&P should be listened to. It’s whether the market will listen to them.