Goldman Says Manchin Just Damaged the U.S. Outlook

[Cuddles]

This piece found in in today's Bloomberg happens to agree with my own assessment that killing Biden's build back better plan would be a big mistake and a setback for the U.S. economy going forward. The BBB plan is loaded with economic help for the middle class that would not only help bring the U.S. up to the standards of the industrialized countries we compete with but also provide significant demand side stimulus along with the jobs needed to meet the demand... Here is what Goldman had to say:

The uber-rich of America may be elated that Joe Manchin suddenly and unexpectedly torpedoed fellow Democrat Joe Biden’s economic blueprint (otherwise known as “Build Back Better”), but Goldman Sachs said the move by the West Virginia senator is bad news for the future of the U.S. economy. After a few days of public condemnation of the coal state lawmaker, including White House protestations that he went back on his word, on Monday it was looking like Democrats and the administration were moving on (though with plans to drive home their displeasure). But Manchin, who (along with Arizona Democrat Kyrsten Sinema) spent the better part of 2021 dangling the White House, looks to be signaling he wants to be courted again—albeit with proposals that may be impossible for President Biden to accommodate. It adds credence to the school of thought that this is all just one ornate dance, and that the music hasn’t stopped just yet.​

cons care about winning, not the country, and Manchin is as con as it gets (Moscow Mitch Trojan Horse). If they cared, they wouldn't have obstructed Obama's QE and would've fast tracked it like they did CARES QE for Donnie.

Goldman obviously has an agenda here. They downgraded the US growth outlook about an hour after Manchin made his announcement - on a Sunday. And Psaki was at her podium all furious today. Predictably, she cited the GS revised outlook. It has become a total farce and a bit surreal. She's still stating the party line that this $5.1 trillion bill is going to defeat inflation.

??? If I have a spreadsheet of projections based on a bill passing, I can change those projections with the click of a button if said bill isn't passing.

Manchin seemed okay with 10+ Trilllion spent in the Middle East.

 

[smallfil]

Only the dumb will consider the Build Back Better bill which is full of BS pork and giveaways is good for majority of Americans. ET trolls who are not Americans have no dog in this fight. How the hell do you idiots figure that this is a good bill for most Americans? Just the increase in corporate taxes, all of which will be passed on to the US consumers a good thing? Practically, the prices of all goods and services you buy will go up and inflation would be 10 times worst than what we have already. Senator Joe Manchin is a patriot because he did the right thing, knowing the severe consequences for most Americans. He deserves our thanks. Idiots will say he did the wrong thing but, what do they know? They know squat.

 

[TazTheLaz]

Boo hoo hoo, the US just avoided spending trillions of dollars while having a 100+% debt to gdp? Sounds like good news to me. If I were in WV I would re-elect Manchin 10 times out of 10.

 

[piezoe]

Boo hoo hoo, the US just avoided spending trillions of dollars while having a 100+% debt to gdp? Sounds like good news to me. If I were in WV I would re-elect Manchin 10 times out of 10.

Your not alone. A lot of people feel this way. I believe it's based on a misunderstanding about government finances, and in particular the difference between spending on wasting assets, e.g., military hardware, and investment that will return a combination of lower costs later and increased GDP which combined will produce a positive return. Overall the BBB spending should produce a BIG positive return so long as it's key featured don't get so watered down as to be ineffective or even torpedoed all together. Like fixing a hole in your roof, there are some things we can't afford not to do.

If you have time over Christmas, pick up a copy of economist Stephanie Kelton's book "The Deficit Myth". It's an essay read and very informative!