Fauxiconman, otherwise known as Paul Krugman, hasn’t given up his hopes of bigger and crazier deficit spending. In today’s piece, entitled “Lost Decade Looming”, he tries to assure readers that the USA is nothing like Greece and offers evidence of this by highlighting treasury yields, which have fallen in recent weeks after a run-up two months ago amidst concerns of America’s runaway deficit spending.
As I have noted before, fauxiconman loves to write articles for the layman in which he presents half, or a third, of the picture and conveniently leaves out the more relevant data. In this case, he left out an analysis of the yield on treasuries versus the yield on high grade corporate bonds (the “spread“), which is the more relevant statistic.
But that’s nothing new, and I’m far more disgusted by a different section of his nonsense. After noting the recent U.S. stock market decline and bond market rally he says:
What’s behind this new pessimism? It partly reflects the troubles in Europe, which have less to do with government debt than you’ve heard; the real problem is that by creating the euro, Europe’s leaders imposed a single currency on economies that weren’t ready for such a move.
Europe’s leaders “imposed a single currency” on countries like Greece? Is he joking? Boy is this guy a hack. Krugman’s heart always seems to bleed for the wrong party (a Liberal hallmark, falling in love with the leech while having contempt for the host). In this case he offers sappy misplaced compassion for Greece, which he apparently sees as the unwitting victim of “Europe’s leaders”.
This is beyond wrong, it is psychotic delusion. As everyone knows, Greece WANTED to join the European monetary union SO BADLY that it LIED ITS WAY IN by claiming their 2009 federal deficit was within the 3% guideline set by the “European leaders” who know all too well that member countries must have fiscal discipline in order for the union to work for all members. Once it completed its infiltration into the union, Greece promptly blew up financially and revealed its colossal, willful fraud: the actual deficit was over 13% – when you lie, lie BIG! – and then moved straight-away into demanding a massive bailout. Responsible members of the EU were faced with the shit sandwich choice of (a) bailing out the lying Greeks, or (b) refusing to help them and imperiling the Euro currency to the detriment of the rest of Europe. Who is the victim and who is the abuser here?
Krugman exposes the fractured and broken lens of his mind when he characterizes Greece as the victim instead of the abuser in the above fact pattern, and any fans of his have no choice but to face this reality.