Larvatus Prodeo

There’s probably literally millions of reactions to Barack Obama’s inauguration on the intertubes today, so I wanted to try to highlight some more specific articles and posts which raise some interesting issues which might otherwise get lost in the crowd. [The text is here.]

Two of the more pressing questions since the election in November have been how Obama will respond to the global financial crisis and from what political position he will seek to govern. Both, in a way, have been answered, but hardly definitively. It’s worth observing in passing – and the point is a crucial one for us here in Australia – that the selective invocation of the mantra “there’s only one President at a time” means that we know very little about what the new administration’s stance on global financial regulatory issues and the governance architecture of the world economy will be. Such decisions as are taken – and paths not taken – will probably be of more lasting moment than how effectively and quickly his fiscal stimulus works to turn around America’s domestic economy. But, in that regard, the addition of tax cuts to the infrastructure investment proposed in his domestic package (to corral in some congressional Republican support, or so it’s being framed) reflects a debate about the composition of any stimulus which is important, and to some degree being played out, in our own context as well. Here, I was intrigued to see Andrew Leonard at Salon’s How The World Works blog suggest that a passage in the Inaugural address shows Obama has come down on the Keynesian side of the argument. (And to see Leonard compare Obama’s eloquence with Keynes’, to the former’s detriment.)

Continue reading ‘The Obama inauguration: some interesting links’