It does not take a pollster, partisan or psychic to see a harbinger of things to come in Massachusetts voters’ choice of a Republican to fill Ted Kennedy’s Senate seat. If Barack Obama’s next three years in the White House are anything like his first, he will surely be a one-term president.
And for black America, that’s the good news.
Because if history is any guide, the truly awful news is that the smart money is on Sarah Palin to replace Obama in the White House.
Foreshadowing a Palin presidency is a perfect, gathering storm of economics, politics and tribalism, which is not to suggest that Obama is an innocent bystander in his reversal of fortune. It is certainly true that he inherited a capsized economy. But his administration has done little to right the ship. And no president can survive double-digit unemployment and 30,000 foreclosures a month for long.
“But what about Ronald Reagan,” the skeptics are no doubt asking now, “who was saddled with a deep recession in his first term, yet bounced back to win reelection in a landslide?” The difference is epic: Reagan’s poor-performing economy was stalled; Obama’s is broken, and despite all the sanguine media talk of a recovery, the crisis shows no signs of abating anytime soon.
Even before the recession hit, there were more maids, cashiers and waitresses in the United States than factory workers, and, when inflation is accounted for, workers have not had a raise in almost 40 years. The trillions of taxpayer dollars showered on Wall Street has produced record profits and fat bonuses, but has done nothing to loosen clogged credit lines. Lending in October of last year was down nearly 15 percent from the previous year—and the White House refuses to launch a New Deal-like jobs program, or provide any substantive relief to borrowers who are in over their head on mortgages, student loans or credit cards.
According to a recent Bloomberg News poll, only 8 percent of consumers say they plan to spend more in 2010, and with the circulation of cash slowing to a snail’s pace, you don’t need Paul Krugman to answer this question: If nobody’s lending, and nobody’s spending, how does your economy grow?
In fact, the economic crisis that is most comparable to the current situation is not the Great Depression, or the 1981 slowdown, but Japan’s decade-long recession that began with the bust of its real-estate bubble in the early ‘90s.