Biden Goes off the Deep Spend
The worst campaign ad is a bad economy. And right now, that’s exactly what the Democrats in charge of every lever of government are worried about. While President Biden seems quite content to blow through trillions of dollars on programs Americans don’t need — or want — the party’s leaders are starting to exchange nervous glances about what the economic indicators (and past administrative bosses) are saying about the storm ahead.
Bill Clinton’s Treasury secretary, Larry Summers, has been trying to get people’s attention on the looming disaster for months. When Democrats insisted on going it alone on another COVID stimulus package, he went to the editorial pages of the Washington Post and said flat-out: it’s risky. Sure, he agreed, the motivation for helping people is compelling, but “much of the policy discussion has not fully reckoned with the magnitude of what is being debated.”
If the package is enacted, he said (and it was), “Congress will have committed 15 percent of GDP with essentially no increase in public investment to address [other] challenges. After resolving the coronavirus crisis, how will political and economic space be found for the public investments that should be the […]