The Bright Side to a Recession
Larry Kudlow’s post about the current recession is good because it reminds us that the discomfort people are and will endure has a purpose:
Recessions are therapeutic. They cleanse excess from the economy. Think about excessive risk speculation, leverage, and housing. Recessions are curative: They restore balance and create the foundation for the next recovery. Despite the housing and credit problem and the sub-prime virus, banks are still lending to businesses. So we don’t have a genuine credit crunch across the board. That is very good.
Knowing job losses shot up 80,000 in March isn’t comforting especially if you know someone who lost their job. It’s also little comfort in knowing markets do have a way of working themselves out. Most of the time the best thing for government to do is not make things worse. That’s what I liked best of John McCain’s economic speech. He didn’t go off proposing big plans that would take at least a year to implement. By then the economic situation could be vastly different.
Test Test Test 1.2.3.
May I/Can I post? Last one failed.