http://www.nytimes.com/2016/01/31/upshot/to-grade-presidents-on-the-economy-look-at-policies-not-results.html?ref=economy&_r=0
The New York Times article, To Grade Presidents on the Economy, Look at Policies, Not Results , argues against the presumably flawed idea that a presidents success is best measured against the economy of the correlating time frame. The idea presented by the author, N. Gregory Mankiw, who served as an economic adviser to George W. Bush, is that economic policy decisions last for years, not simply the length of term. Building on this, he additionally argues that because of these effects, each president, from their predecessor, essentially inherits economies. Mankiw conjures the example of Jimmy Carter, who oversaw anything but economic prosperity yet came into office with high inflation already a problem because of preceeding president Gerald Ford. Contrarily, he uses the example of Bill Clinton who was seen by many as the catalyst of a fruitful economy, though the dot-com failure and drop in Nasdaq composite index is not frequently associated to him. A well timed article, as political debate season arises, we are advised by Mankiw to look beyond economic growth, or lack thereof, beyond GDP, unemployment and inflation, and ultimately at their pursued policies.
I think that this is an interesting point to keep in mind. Sometimes results do not always occur immediately after a new policy is put in place. Presidential terms are usually only four years, after all. For presidents who inherit damaged economies, it is much more difficult to bring about change.
ReplyDeleteI concur, as can be seen in the 2008 financial crisis. Obama basically inherited the economy as it was, and many were quick to unjustly put the blame on him. However, what is unique about Obama's presidency is that he was able to serve two terms (8 years), so the results of the economic policies that he put into place are able to be seen now as he successfully led the U.S. out of the financial crisis.
ReplyDeleteYeah, good point. It seems that people want to give a pat on the back or place blame (usually the latter) on whoever is in office. Not willing to recognize the complexity of the whole system. It seems like the whole presidential campaigning is based on these ideologies that don't really have a basis on facts but conjurer up an emotional response reeling in supporters.
ReplyDeleteI actually find it quite interesting that popular music artist, Jermaine Cole, says this in a recent song: "They let a brother steer the ship and never told ’em that the ship was sinking." He of course is referring to Barack Obama and when he took office the economy was already doomed to collapse before he could try to do anything to save it. Even though he didn't have a chance to affect change, he was still blamed for the economic recession and negative aspects that came with it.
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