Saturday, February 14, 2009

The dangers of fearmongering

Remember, they don't call the presidency the bully pulpit for nothing:
Mr. Obama's analogies to the Great Depression are not only historically inaccurate, they're also dangerous. Repeated warnings from the White House about a coming economic apocalypse aren't likely to raise consumer and investor expectations for the future. In fact, they have contributed to the continuing decline in consumer confidence that is restraining a spending pickup. Beyond that, fearmongering can trigger a political stampede to embrace a "recovery" package that delivers a lot less than it promises. A more cool-headed assessment of the economy's woes might produce better policies.
Trying to advance your agenda is one thing, but placing the economy at unnecessary risk is another. Read the whole thing.