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Romney learns to love the Fed
With the primary over, the Romney camp has nice things to say about Ben Bernanke, whom the GOP base loves to hate
Mitt Romney (Credit: AP) Mitt Romney never called Federal Reserve Chairman Ben Bernanke a traitor to his country or threatened to string him up in a Texas lynching. That was Rick Perry. Nor did he label the mild-mannered economist “the most inflationary, dangerous and power-centered chairman of the Fed in history.” That was Newt Gingrich. Nor did he sign a letter demanding that the Fed do absolutely nothing that might conceivably stimulate economic growth (and thereby enhance President Obama’s reelection chances). That was the entire GOP congressional leadership.
But he did say, when asked directly during a debate last September, that he would not reappoint Bernanke as chairman of the Fed. As Romney clunkily explained it back then, Bernanke’s monetary stimulus “has over-inflated the amount of currency that he’s created” and “did not get Americans back to work.”
With those words in mind, how should we interpret a report from the Wall Street Journal indicating that, as far as Romney’s top economic advisor, Glenn Hubbard, is concerned, “if there’s a hero in this story, it’s the Fed and Chairman [Ben] Bernanke.”
The “story” being the great narrative of financial crisis, recession and recovery. Hubbard is someone whom we should probably take seriously on the topic of Bernanke. Both men served as chair of Bush’s Council of Economic Advisors. Presumably, Hubbard is one of the people whose opinion on whether to reappoint Bernanke or pick someone else would be important. (Hubbard is also a prime candidate for the job himself.) But if Hubbard is publicly labeling Bernanke a hero, why wouldn’t Romney reappoint him?
Hubbard’s comments provoked some unkind tweets from financial journalists about Romney’s new Etch-a-Sketch drawing of Bernanke. And not without merit. The truth is, the real reason Romney turned against Bernanke had nothing to do with his policies. Bernanke is much more vulnerable to criticism from the left for not doing enough to address unemployment than he is from the right for stoking nonexistent inflation. As recently as January 2010, Romney was complimenting Bernanke on the great job he was doing.
But the GOP base hates Bernanke. The Tea Party sees him as an unelected tyrant, busily bailing out the banks while creating oodles of “fiat” currency that will ultimately destroy the nation. The audience at a CNN debate in which Michele Bachmann was asked if she supported Rick Perry’s accusation of treasonous behavior cheered wildly at the mere raising of the topic. During the primary campaign, Romney tailored his Federal Reserve policy points to appeal to the crowd that sees central banking as just one step to the right of the Anti-Christ.
But that’s all over now. As of Tuesday night, Romney has officially acquired sufficient delegates to clinch the Republican nomination for president. He no longer is under any requirement to pander to the Republican base and is now free to act like the moderate Republican that he’s always been.
And make no mistake, if there’s one thing that Romney will dedicate himself to as president, it will be keeping Wall Street and investors in financial markets happy. That will mean continuing, without change, to support a Federal Reserve that is eager and willing to flood the monetary system with cheap cash every time it looks like the stock market is about to crash. Bernanke is the perfect guy for that, or, failing that, someone who can be depended on to do exactly what Bernanke would do.
Andrew Leonard is a staff writer at Salon. On Twitter, @koxinga21. More Andrew Leonard.
Western nations expel Syrian envoys over massacre
With the peace plan failing, Assad isolates himself further and embarrasses his allies
This photo dated Tuesday, May 29, 2012 released by the Syrian official news agency SANA shows UN-Arab League Joint Special Envoy for Syria (JSE) Kofi Annan, fourth left, Norwegian Maj. Gen. Robert Mood, head of the U.N. observer team in Syria, third left, Syrian President Bashar Assad, third right, and Syrian Foreign Minister Walid Moallem, second right, attend a meeting in Damascus, Syria. International envoy Kofi Annan met Syrian President Bashar Assad on Tuesday following a massacre last week that killed more than 100 people and sparked widespread international condemnation against Damascus. (AP Photo/SANA)(Credit: AP) BEIRUT (AP) — Eyewitness accounts from the Syrian massacre are emerging, describing shadowy gunmen slaughtering whole families in their homes and targeting the most vulnerable in poor farming villages. Western nations have expelled Syrian diplomats in a coordinated move against President Bashar Assad’s regime over the killing of more than 100 people.
U.N. special envoy Kofi Annan met with Assad in Damascus on Tuesday to try to salvage what was left of a peace plan, which since being brokered six weeks ago has failed to stop any of the violence on the ground.
Continue Reading CloseDharun Ravi says he’s sorry
Two years after Tyler Clementi's death, his roommate apologizes
Dharun Ravi (Credit: Reuters/Mark Dye) Dharun Ravi is, at long last, saying he’s sorry.
When Judge Glenn Berman sentenced Dharun Ravi in a New Jersey courtroom earlier this month, he disgustedly told him, “I heard this jury say guilty 288 times. Twenty-four questions, 12 jurors, that’s the multiplication. And I haven’t heard you apologize once.” In March, Ravi was convicted of bias and intimidation stemming from two incidents of secretly filming his Rutgers roommate Tyler Clementi “making out with a dude” — and then boasting about it on Twitter. Clementi jumped off the George Washington Bridge shortly after.
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Mary Elizabeth Williams is a staff writer for Salon and the author of "Gimme Shelter: My Three Years Searching for the American Dream." Follow her on Twitter: @embeedub. More Mary Elizabeth Williams.
Selling out public schools
Both Obama and Romney are assaulting public education. Five threats, in particular, stand out
(Credit: iStockphoto/robas) Here in the industrialized world’s most economically unequal nation, public education is still held up as the great equalizer — if not of outcome, then of opportunity. Schools are expected to be machines that overcome poverty, low wages, urban decay and budget cuts while somehow singlehandedly leveling the playing field for the next generation. And if they don’t fully level the playing field, they are at least supposed to act as a counter-force against both racial and economic inequality.
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David Sirota is a best-selling author of the new book "Back to Our Future: How the 1980s Explain the World We Live In Now." He hosts the morning show on AM760 in Colorado. E-mail him at ds@davidsirota.com, follow him on Twitter @davidsirota or visit his website at www.davidsirota.com. More David Sirota.
States fight for drone biz
Six UAV test sites are up for grabs -- and state governments are eager to get their hands on them
(Credit: Reuters/AAI Corporation) More than a dozen state governments across the country are scrambling to get into the drone business with the expectation that unmanned aviation will create new jobs in the near future.
This summer, they will begin competing for approval from the Federal Aviation Administration to run one of six unmanned aviation test sites around the country. Mandated by Congress earlier this year, the test sites are intended to demonstrate that unmanned vehicles can be integrated safely and quickly into U.S. airspace.
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Jefferson Morley is a staff writer for Salon in Washington and author of the forthcoming book, Snow-Storm in August: Washington City, Francis Scott Key, and the Forgotten Race Riot of 1835 (Nan Talese/Doubleday). More Jefferson Morley.
Forget Gaga; Indonesia wild for own raunchy shows
While Indonesians continues to protest Lady Gaga's upcoming shows, the Muslim nation has its own racy concerts
HOLD FOR STORY INDONESIA RAUNCHY SHOWS BY ROBIN MCDOWELL - In this May 25, 2012, singers perform during a dangdut show at a pub in Jakarta, Indonesia. As U.S. pop star Lady Gaga's cancelled her sold out concert in Jakarta over security concerns after Muslim hardliners threatened to use violence against her, many started to question the extremists' double standard towards the raunchy dangdut shows performed almost every night by young Indonesian women who turn up everywhere from smokey bars and ritzy nightclubs to weddings and even circumcisions. Dangdut is the most popular music among lower class people in Indonesia. (AP Photo/Robin McDowell)(Credit: Robin Mcdowell) JAKARTA, Indonesia (AP) — Titin Karisma parades onto the stage wearing a rhinestone bustier and matching bottoms, with sequin fringe that jiggles wildly to the rhythm of the beating drums.
Preteen boys watch the singer wide-eyed as she straddles a speaker, whipping her long hair wildly. She licks the microphone and drops to the ground, repeatedly thrusting her pelvis toward a camera.
Lady Gaga’s onstage antics are almost tame compared to this act, known as dangdut, the most popular genre of music in this predominantly Muslim nation of 240 million.
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