Romer’s Legacy: “Spend a trillion and unemployment will stay under 8%”

Which metaphor applies ?

Was she thrown under the bus or did she jump off the ship?

Romer’s history of academic research concluded that Keynesian fiscal stimulus doesn’t work.

Then, she drank the kool-aid and shilled for Obama’s trillion dollar faux-stimulus spending spree.

She seemed smart enough and sincere enough, that one had to think that she was dying of hypocrisy on the inside.

Now, after a short 18 months as Obama’s chief economic spokesperson, Romer woke up and realized that her youngest child was going to start high school, so she needed to move back to California,

Yeah, right.

If she didn’t see that one coming 18 months ago, how could she possibly forecast the economy?

I feel for the lady. 

She’ll end up being remembered for her 8% promise — which will go down in the history books next to “Mission Accomplished”.

If only she had maintained her academic integrity …

* * * * *

Excerpted from WAJ: Romer to Resign as Obama Adviser,  August 6, 2010

Christina Romer said she would resign as chairman of President Barack Obama’s Council of Economic Advisers to return to her teaching post at the University of California at Berkeley, effective Sept. 3.

Ms. Romer is the second member of Mr. Obama’s economic team to leave.

White House budget director Peter Orszag left earlier this summer.

She said she is returning to California so the youngest of her three children can begin high school there.

Among her challenges was explaining why her prediction that the Obama-backed fiscal stimulus would keep the unemployment rate below 8% proved overly optimistic. The unemployment rate is now at 9.5%.

Ms. Romer’s academic work focused, among other things, on the causes of and recovery from the Great Depression and the impact of monetary, spending and tax policy on the economy.

Her 19 months in Washington has confirmed some of her prior beliefs …

Full article:
http://online.wsj.com/article/SB10001424052748704657504575411973910324964.html?mod=WSJ_hps_SECONDTopStories

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