Marshall Auerbeck wrote an excellent piece that discusses the prospect or, perhaps likelihood, of rising social unrest.
Here is an excerpt:
|"The disturbing thing about Obama taking the Rubinite path is that he now leaves government exposed as the lightening rod for everyone’s problems, rather than the solution. If he had taken a more populist tack, more public anger could have been directed at the right people from the start — as occurred under FDR’s administration.|
Extending the Bush/Paulson bailout policies (and, indeed, expanding them) and ignoring the needs of the productive economy have largely discredited government fiscal activism. Obama no longer appears willing to let the fiscal position of the federal budget grow as needed to meet current challenges.
When one adds extreme income imbalances and a comparatively weak social safety net (in contrast to those supposedly horrible “socialists” in Europe), then one has the makings of major social unrest, manifesting itself most recently in town hall meetings across the country this August."
Read the entire article here.