	Generational Dynamics
	Forecasting America's Destiny ... and the World's

\| HOME \| WEB LOG \| COUNTRY WIKI \| COMMENT \| FORUM \| DOWNLOADS \| ABOUT \|

Generational Dynamics Web Log for 19-Jan-08
As economy sinks, Congress rushes to pass a fiscal stimulus package.

Web Log - January, 2008

As economy sinks, Congress rushes to pass a fiscal stimulus package.

We're seeing the first signs of "regeneracy" of civic unity.

This is something I've discussed on this web site a number of times, but now we're beginning to see it actually happen, at least on this one issue.

As America entered a generational Crisis era in the last few years, Washington has become increasingly unable to govern. What passes for debate in Congress has been incessant bickering, misstatements of fact, truly moronic political speeches, and out and out lies by politicians who act like nothing so much as clowns.

Now these politicians are beginning to feel a level of anxiety and panic, as it becomes clearer and clearer that the economy is headed for a tailspin. This has caused a big change in attitudes and behaviors of large masses of voters and politicians that what is needed is a "fiscal stimulus package" -- a law or set of laws that will provide direct federal government payments to whoever the lawmakers want.

From an economic point of view, this differs from what the Fed does in the way the money is provided. The Fed has a very rough tool -- controlling interest rates, and allowing banks to borrow money. That's called "monetary" policy. But what Congress is now doing is called "fiscal" policy. Congress passes a law that says: Hand out money to whomever we say.

Of course there isn't total unanimity. The Republicans would prefer to provide money through a tax rebate. The Democrats would like to target the money through food stamps and unemployment benefits. But there is wide agreement that something of this sort must be done, and must be done quickly.

On Friday's PBS NewsHour with Jim Lehrer, one subject of discussion was the shock that everyone felt that there was so much unanimity.

Senator Chuck Shumer <font face=Arial size=-2>(Source: PBS)</font>

Senator Chuck Shumer (Source: PBS)

First, a sound byte and video from Senate Democrat Chuck Shumer, chairmon of the joint economic committee:

"I'm gratified. I have seen an unusual amount of desire to cooperate on this issue, on both sides of the aisle, and on both ends of Pennsylvania Avenue. So I think there's an understand of urgency. And if you talk to Chairman Bernanke, speed is of the essence. If we're to twiddle our thumbs and wait till May or June, it may be too late. I think if we avoid any of the ideological fights, we could actually pass something so that it would take effect by March 1."

Then, in the studio discussion that followed, Jim Lehrer asked, "By March 1, there could be a consensus economic stimulus package in law?" Pundit Mark Shields, syndicated columnist, responded thus:

"I really think there could, Jim. This is not political posing. What Chuck Shumer said is true. Talking to Democrats, they've rarely seen in the entire Bush administration the level of willingness to cooperate, the openness on both the part of Roy Blount in the House, and John Boehner as well as Chairman Bernanke and Secretary Paulson, and the White House itself. I think their attention is concentrated by the fact that their could be a political hanging if the economy does go south. So I think there's some self-interest in this, but it is a remarkable level of cooperation."

Pundit Mark Shields <font face=Arial size=-2>(Source: PBS)</font>

Pundit Mark Shields (Source: PBS)

Actually, this isn't the first time we've seen these levels of cooperation in the last few years. After the 9/11 attacks, there was broad consensus on the war in Afghanistan. Then, throughout the discussions during 2002, there was almost equally broad consensus and overwhelming support to begin the ground war in Iraq. The consensus on the Iraq war has faded, of course, but it was extremely prominent in 2002 and early 2003.

From the point of view of Generational Dynamics, we're seeing the first signs of the "regeneracy." This word is used in generational theory to refer to a time the political bickering stops, and the country unifies around its leader. It's called the "regeneracy" because it's the time in the generational cycle when national and societal unity is regenerated, and the country is unified once more.

This will not be the last event that will serve as a catalyst for a regeneracy. There are, unfortunately, much greater shocks yet to come -- a major stock market crash, and some kind of military disaster, perhaps a terrorist event on American soil or a military disaster overseas. These catalysts will completely move the country toward a unified goal of survival, and preservation of the American way of life, and we will be led into the Clash of Civilizations world war. (19-Jan-08) Permanent Link
Receive daily World View columns by e-mail
Donate to Generational Dynamics via PayPal

Web Log Pages

Current Web Log

Generational Dynamics Web Log for 19-Jan-08 As economy sinks, Congress rushes to pass a fiscal stimulus package.

Web Log Pages

Generational Dynamics Web Log for 19-Jan-08
As economy sinks, Congress rushes to pass a fiscal stimulus package.