McCain Suggests We’ve Been in a Recession

Maybe McCain should see a psychiatrist, because, as we all know, this recession is only "mental"... McCain is such a "whiner."

Seriously though! Is he not in agreement w/other Republicans? Was he never in agreement? Is he just pandering to the Ohio audience? What is going on??

Here in Michigan, 25% say the USA is a depression. This is hype, and belied by people's continued fuel-wasting driving habits in large vehicles here in Detroit, but obviously there are problems. I've said before that given public sentiment a deflationary situation cannot be claimed to be impossible. As it is, it's a recession and another one with a Bush in the White House, same as in 1992. Hmmm.

[Scroll to bottom right to see pie-chart graphs on views of the economy.]

http://www.freep.com/apps/pbcs.dll/article?AID=...

"Let's all go shopping [in Washington]!"

http://www.forbes.com/home/2008/09/25/bailout-d...

Jill, McCain appealed to people here in Michigan, too (Detroit metro, in fact; I heard it on the radio), albeit without much of a reception. (Obama's recent appearance was better received.)

So what do you make of McCain's use of the word? I'm not familiar with where he's stood before now, but certainly he would seem to be the most high-profile right of center politician in DC to be on the record calling our economic status a recession.

Maybe it's just me, lol, which is possible, but seriously - the deniers have been soooo vocal - I think of op-eds by Bill Kristol and others, maybe even George Will.

Is this not a big deal? Laughing - eh, what do I know. I'm just a blogger, who lives outside Cleveland, epicenter of foreclsoures and payday lending problems and subprime mortgage failures and job loss after job loss...

Technically although it's bizarre, we're still not in a recession (because the standard definition is two consecutive quarters of negative GDP growth, and we had slight positive growth in first and second quarter.)

But obviously this is a problem with the definition, because with the precipitous drop we're likely now in the midst of can't be captured with that definition. But technically McCain was probably absolutely correct to say we weren't before, but are now, because we've passed a corner where things are obviously on a steep downward trend now.

What a "whiner"....it's all in his head!

"So what do you make of McCain's use of the word?"

Late, clumsy -- trying (tardily) to be more in touch with the public than Bush has seemed to be, or Bush's father in 1992? There has been wayyyyyyyyyyyyy too much hype (I suspect much of it directed in the Dems' favor, given the nature of the media and its politics as well as its sensationalist character), but there definitely are some problems to be seen. How can the economy _not_ be harmed by gasoline costing us as much as $4.00 or more a gallon, for example? I also believe (despite the hype that clouds this issue) the debt problem arising out of the housing bubble is serious. (Not every place is like here in Detroit or in Cleveland, with double-digit totals of homes for sale on a typical residential block. Although what's interesting is that some of the worst-hit places are those which have been growing explosively not only during but before the housing bubble, such as Las Vegas, the contemporary model of suburban US lifestyle rather than developed California in some ways. Growth, growth, growth -- and now slamming on the brakes.)

DLS - what's with the -278 points in your Disqus thingy?! lol That's getting into Dow loss territory! :) I happen to think your comments here were very good. Thanks.

DLS- I agree with you about the debt problem. Recovery will be hampered by tightening credit, rising inflation and the boomers who are getting ready to retire and downsize. That will add to the oversupply of houses that few can afford to buy or get a mortgage loan for--- so that even more assets will become almost worthless.

The worse the economy gets, the worse it will be for McCain who is married to an heiress and owns 13 cars and an unknown number of houses. That alone might turn voters off.