Wednesday, September 22, 2010

Will the rats leaving the sinking ship rediscover their integrity?

The President's economic team keeps getting smaller. Now Larry Summers is leaving. This adds to the departures of Peter Orzsag and Christine Romer. Perhaps Summers can go back to to advocating the concepts they used to believe in before going to work for Obama. Remember when Orzsag was the head of the CBO and talked about cutting spending and dealing with entitlements? And Romer's research before she came to the White House had power of tax cuts in stimulating the economy and that, as Gregory Mankiw summarizes, "a dollar of tax cuts raises the G.D.P. by about $3." And then there was Larry Summers arguing that any stimulus had to be" timely, targeted, and temporary."

Now that they've been released from their time at the White House, perhaps they can rediscover their integrity.

NOw it's getting lonely among the economic team at the White House. All we have left is tax scofflaw, Tim Geithner.

1 comment:

Bachbone said...

Dr. Romer was interviewed shortly after leaving her position in the administration (I believe I saw part of it was aired on the Kudlow Report on CNBC), and she was still defending her advice re: the Obama stimulus programs. When her resignation was announced, some news reports said she was leaving because she didn't have the access to Obama that Larry Summers had, and would have offered different advice than Summers. Perhaps she's saving her 'regrets' for a future book? I doubt it. Obama hasn't been known for bringing in people who disagree with his philosophy.