Our Economy Will Grow Again if Washington Allows It
There is a great deal of low-level panic in the public and private sectors over the American economy. The housing market is bad and the cost of fuel keeps rising. Unemployment has grown. Inflation, a huge problem in the 1970s, is still not a major cause for concern. Syndicated columnist and financial adviser Lawrence Kudlow
expressed my thoughts perfectly when he wrote last week: "I applaud the Fed for backstopping the financial system and preventing a run on the whole banking sector. That’s what it’s there to do. Treasury Secretary Paulson said repeatedly, ‘the government is prepared to do what it takes to maintain the stability of our financial system.’ He is absolutely right. So is President Bush, who said ‘we’ve taken strong and decisive action in challenging times,’ adding that ‘in the long run our economy is going to be fine.’"
The panic that many feel is not rooted in real long-term prospects so long as Washington does not try to over-correct […]












