As Bad as the Depression? If Only

Paul Krugman: We have to worry about jobs, not the deficit

(NEWSER) - The US made a terrible mistake last year by not spending enough money on the economic recovery, and it's on track to repeat the error on a larger scale this year, writes Paul Krugman in the New York Times . Deficit hawks were allowed to overrule those concerned about job creation, and the results can be seen in today's sputtering recovery and lousy unemployment numbers . Now is not the time to be obsessed with "fiscal austerity," he warns. It's the same mistake policy-makers made in 1937 that prolonged the Great Depression. More»

Savage cuts when governments should be spending will prove the fatal blow

(NEWSER) - Paul Krugman uses the D word today, arguing that we're now in the early stages of a third depression. It may turn out to be more like the Long Depression of the 19th century than the dreaded Great Depression, but that's not going to offer much succor to the legions of unemployed who are likely to stay that way for years to come. And it's a failure of policy, he adds, with world leaders scrambling to assert "fiscal responsibility" when they should be boosting spending to promoting recovery. More»

Republican Party lacks opposition bump usually accompanying hard times

(NEWSER) - Americans are bummed about the economy, but that hasn’t given Republicans the usual opposition party boost in Washington . “The mood in America may be blue, but attitudes toward Washington are just jet black,” a pollster tells the Wall Street Journal . Some 58% of respondents think the economy will continue to fester, up from 52% last month. But folks would still rather have the Dems in control after midterms, 46% to 38%; those numbers were 43% to 40% in September. More»

Cemeteries report brisk sales of late

(NEWSER) - People struggling with bills and other earthly concerns are unloading burial plots at a fast clip. One Florida cemetery made as many “buybacks” in the first half of this year as in all of 2008, another in Ohio reports a similar spike, and ads are plentiful on funeral property websites across the country. Plots “could pay for utility bills and living expenses,” a broker tells the Wall Street Journal. “They’re not thinking of the future.” More»

(NEWSER) - Families appear to be putting off that baby until economic conditions improve, the New York Times reports. The birth rate fell 2% in 2008 compared to 2007, and the trend looks to be continuing into 2009. “It’s the recession," a sociologist says. "Children are the most expensive item in every family’s budget, so it’s a good place to cut back when you’re uncertain about the future.” More»