Think of this as Volume 12, Number 52 of A-Clue.com, the online newsletter I've written since 1997. Enjoy.
There is a natural respiration to American politics.
A new leader wants the bad news to come out early in the term, so there is time for recovery before the next election.
This is how Ronald Reagan won re-election overwhelmingly. This is how Bill Clinton beat Bob Dole. Hard times are followed by good times.
In the present case green shoots are already apparent. The Republican opposition dismisses this and focuses on the deficit they did so much to create. But ask some Tea Party asshat whether we should have gone into Iraq or whether we should not have cut taxes eight years ago. If deficits matter, they matter. If deficits don't, they don't. To Republicans they only matter when Democrats are doing borrowing. They know the power of money and fear it when it's in the other side's hand.
The present issue is what any business does when it's in a hole. You either pull back and hope you can increase your profit margin, or you can invest anew in hopes that new profit, and bigger sales, will make the old debt look smaller.
Guess which course winning businesses take?


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