Republicans will win at least one house of Congress in the upcoming elections and when they do, it will mean catastrophe for the U.S. economy — even on a historical scale, says Nobel economist Paul Krugman.
While the U.S. economy prospered from 1995 to 2000 under a GOP Congress and a Democratic president, the country should not expect a repeat performance this time around.
From 1995 to 2000, U.S. household debt was lower, business investment was rising and the Federal Reserve could control the pace of growth by managing interest rates without the help of lawmakers, Krugman writes in his New York Times column.
With household debt run up under the Bush still plaguing the economy, a Republican Congress will further increase U.S. deficits by pushing through tax cuts, making matters worse, Krugman says.
“Future historians will probably look back at the 2010 election as a catastrophe for America, one that condemned the nation to years of political chaos and economic weakness.”
“Be afraid. Be very afraid.”
Senate Minority Mitch McConnell, R-Kentucky, has said he wants Obama out of the White House by 2012.
“The single most important thing we want to achieve is for President Obama to be a one-term president,” McConnell tells The National Review, prompting White House criticism.
McConnell spokesman Robert Steurer has defended his boss’ comments.
“Ending the Obama administration’s liberal agenda as soon as possible is Sen. McConnell’s top political priority,” says Steurer, according to Courier-Journal of Lexington, Kentucky.
“The American people are clamoring for a focus on jobs and righting our economy … and that's McConnell’s focus for the next two years.”
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