Friday, September 19, 2008

The fundamentals of the economy are strong: The Pedigree

"The fundamentals of the economy are strong" - Those words were first uttered by Herbert Hoover circa 1929/30. All the students of history and the rest of us know what followed: The Depression of the 1930s and millions of people suffering as a result in the US, Canada and the rest of the World. Then, of course, the world was drawn into the Second World War and it took decades to recover from it. Is there something in those words which bode disaster? Or is it a wrong statement to make at the wrong time in history. However, that is where the pedigree of these words begin, with Herbert Hoover.

The US economy has been in trouble for a while now, with faltering housing markets and tumultuous financial institutions and markets. In that environment, John McCain uttered those words for the first time this year, 2008, in January and repeated them again according to some reports up to 20 times since.

On September 15, 2008 the Dow Jones tumbled by over 500 points, the biggest drop since 2001, and John McCain re-stated that "The fundamentals of the economy are strong." The same day the Toronto Stock Exchange took a similar beating and our "majestic leader" Harper reiterated those words, but he went a step further and came up with a TV ad repeating that sentence, "The fundamentals of the economy are strong."

Now we know where Harper's lineage and pedigree are from. Should Canadians be worried? The way our economy is taking a beating and also with its connection to the US economy, we should be worried. We have heard no economic plan from Mr. Harper to deal with the perils that our economy is facing. Moreover, the wars in Iraq and Afghanistan, which Harper supports, are going nowhere but more and more there is burden on human lives and finances. I do not want to be the prophet of gloom and doom but we should look at Mr. Harper carefully and whether he is the right leader to lead our country at this juncture in our history.

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  1. Can I borrow this graphic? I mean, what are your terms? An arm and a leg?

  2. Vigilante, first you make me nervous - vigilante! Keeping a sharp eye on everybody, eh! :)

    It depends what you mean by borrow. If you want to just post it on your blog and refer to my blog then go ahead. If you want to buy the rights to it then it is a different story.

  3. It was just my way of paying you a compliment, LeDaro. I think your pages are marvelous!

  4. Vigilante, thank you. Visit again. I think we share views as to what is happening in your great country and how it is impacting us here up north.

  5. Make that, "My once-great and still-beloved" country, and I'll drink with you, LeDaro. Until we in the USA climb out of this self-dug dung-hole, I'm soliciting condolences wherever they are to be found.

  6. This graphic is brilliant. I wish they would run it as the editorial cartoon in the Winnipeg Free Press and other major newspapers across the country.

  7. Vigilante, the $700 billion salvage plan is scary. It is Robin Hood in reverse – the very rich on the Wall Street screwed up and average Joe on the Main Street is going to give donation to keep them rich. It started in Reagan era and Bush put the finishing touches to it. But do not be so disheartened. It is still a great country and with right leader it may recover. It will take time but it will recover. The world economy is intertwined and world cannot afford the complete financial breakdown in US. Hopefully next leader will not be another cowboy and go on hunting excursions in Iraq and other places. However if your next President is McSame then my condolences in advance.

    Beijing York, you’re very kind in your compliments. However, for the sake of exposing Harponomics I would not mind that word is spread about Harper's inanity.