Monthly Archives: October 2008

It’s the economy, stupid.

That line, made famous in the Bush/Clinton election last century was nothing more than a note scribbled on a white board in a campaign headquarters, but it came to symbolize the entire election. Here’s another quote from a Nobel-prize-winning economist. Because it’s from an economist and not a politician, there are more words.

Denying the value of investment in knowledge; in infrastructure; in basic science and education at all levels has been and will continue to be harmful to our long run health. In my mind Obama’s eyes are fixed more on things that will improve the US economy in the next century. The basic data on the current crisis is still being revealed, but it’s clear that the absence of serious regulatory oversight contributed mightily to the current problems. It’s not class warfare; its about a future-oriented society.

James Heckman, Nobel Laureate in Economics, Professor of Economics, University of Chicago

 

It and other comments on the economy can be found here. Thanks to Mack for the link.

Ouch!

Chrysler has announced they are cutting 25% of their white-collar jobs due to the economy. From Bob Nardelli’s letter to employees:

…Due to the unprecedented conditions in the auto industry, both in our home and international markets, we are targeting a 25 percent reduction in our salaried and supplemental work force. As always, we will strive to do this in a socially responsible way, with respect and gratitude to those who have contributed so much to our company over the years.

A few things

  1. If acorns are a folklore indicator of the winter forecast, it’s going to be really cold. I expect about three feet of snow this winter in Tennessee. (Well, maybe not three feet…)
  2. 100. That’s the electoral vote margin I believe Obama will get. Technically, that’s considered a landslide, I believe.
  3. Sarah Palin isn’t going away at all. She’ll be back for a full-bore presidential race in 2012.
  4. The Fed will drop the interest rates by a half-point this week. Thursday the GDP numbers will show a decline, making this an official recession.
  5. I will not be at all surprised if the Dow hits 5,500 before the economy starts to improve. For those of you who didn’t pull your 401(k) out of stocks back in March when I predicted we had a a recession, this is your last opportunity to save what’s left of your 401(k).