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February 11, 2013

Some grounds for optimism

Peter Ferrara, "Enough of this Glumness":

. . . Republicans and conservatives are realizing the treasure they have with Paul Ryan’s budget, especially as compared to the budget Obama is going to propose, and that the Democrats will pass through the Senate, if they ever get around to doing their job, and obeying the law. Ryan’s budget will actually, over the long run, reduce federal spending substantially below the long-term, postwar, historical average of 20% of GDP. Moreover, what even conservatives have not realized, Ryan’s long-term spending savings do not come from spending cuts proposed far into the future. They come from the long-term effects of the entitlement reforms proposed to be adopted now, which is very different. 

Walter Russell Mead, "Life After Blue: The Middle Class Will Beat The Seven Trolls":

At the same time, we are likely to see a continued relative decline in the costs of basic manufactured goods and foodstuffs relative to the price of services. Automation and globalization are contributing to the commoditization of manufactured goods. IT is also making raw materials easier to source and acquire (think of the role of IT in making hydraulic fracking and horizontal drilling possible, opening the door to another generation or more of relatively cheap fossil fuels). IT will promote a continuing redesign of manufactured products in ways that reduce the amount of raw materials needed to produce cars, refrigerators and other goods. Food prices have been falling relative to the price of manufactured goods for two hundred years during the industrial revolution; it’s likely that manufactured goods will show the same pattern going forward.

This means that even if money wages remain relatively stable, purchasing power will grow for most of the people in the new economy. We can also expect declines in the cost of many of the services that the middle class needs—like education and health care, where IT has the potential to improve outcomes and reduce costs at substantial rates over long periods of time.

Businss Insider, "Meet the Echo Boom: the 80 Million People Who Will Save the American Economy":

But the "Echo Boom" generation — the sons and daughters of Baby Boomers — are too numerous to be kept down.

There are 80 million of them, and they're out to save the American economy.

Matt Ridley, "The Greening of the Planet":

Did you know that the Earth is getting greener, quite literally? Satellites are now confirming that the amount of green vegetation on the planet has been increasing for three decades. This will be news to those accustomed to alarming tales about deforestation, overdevelopment and ecosystem destruction.

Finally, Jennifer Rubin, "The left protests: GOP is cheery!"

After years of saying Republicans are the angry party or the party of no, you’d think they would be pleased to hear them turn to education reform, health-care alternatives, immigration reform and other quality-of-life issues. But now it is the left that is grumpy and trying furiously to convince voters there is nothing there. Unfortunately for the lefty bloggers, it’s hard to conceal the outbreak of substance on the right.

Comments

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kyle8

Optimistic? Perhaps in the long run, but I see a whole lot of pain in the near future.

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