Thursday, November 20, 2008

Advice for the president-elect

Harvard economist Greg Mankiw has advice for President-Elect Obama:
Listen to your economists. During the campaign you assembled an impressive team of economic advisers from the nation’s top universities, including Austan Goolsbee from University of Chicago and David Cutler and Jeff Liebman from Harvard. ... Pay close attention to what they have to say. They will often give you advice quite different from what you will hear from congressional leaders Nancy Pelosi and Harry Reid. ...

Embrace some Republican ideas. No party has a monopoly on truth. Be ready to take the best Republican policy proposals and make them your own, as Bill Clinton did with welfare reform in 1996. ...

Pay attention to the government’s budget constraint. The nation faces a long-term imbalance between government spending and tax revenue. The fundamental problem is that the federal government has promised the elderly more benefits than the tax system can support. This fiscal imbalance will become acute as more baby boomers retire and start collecting Social Security and Medicare. ...

Recognize your past mistakes. As a new senator, you voted along predictable left-wing lines. As president, you will need a more eclectic, nuanced approach.

1 comment:

  1. OT, Michelle Singletary has a piece in today's WashPost about Rep. Elijah Cummings' (D-MD) "chump" exchange with Treasury's Cash&Carry.

    Cummings voted for the bailout, so if he's looking for a chump he should start in the mirror.

    to get back on topic, Obama won't listen to economists anymore than he listened when he signed the $700 billion blank check and Treasury power grab. anyone expecting a harder line toward Wall Street on January 20 should see the above comment with regard to Cummings.