Friday, December 19, 2008

Possible Pitfalls In Barack's Way


Bush did not see 9/11 coming, and neither did I, before I go on some Bush-as-stupid rant. But you could argue dictatorships have always struck at America. Japan was a dictatorship when Pearl Harbor happened. The Cold War was a clash with another dictatorship, the Russian kind. You could have argued that since the Arab world is a large swathe of dictatorships, it was only a matter of time before America got hit. You could also argue that unless China moves towards political reform and ultimate plurality Taiwan could some day become a hot flashpoint between the two giants.

For now I am trying to look ahead for Barack. What could go wrong? You could argue what could go wrong has already gone wrong. This financial hole is really, really huge. America has to fix this, and America has to make sure Bin Laden inspired people don't end up exploding a dirty bomb somewhere. And that does not have to be in America. They do it for global media attention. Any big city would work just fine for them. It is another thing that any such act of mass murder is going to generate a major backlash against them in the Arab world itself. And I really hope they are nowhere close to getting their hands on the material needed for the task. And I don't feel bad imagining the scenario. It is better to think and prevent than to exhibit ostrich behavior.

So what could be some of the pitfalls Barack could face over the next eight years? Here are some of my guesses.

(1) A Stimulus Package That Is Too Little Too Late

Minus the stimulus package, this country will head into a deep recession, and that in turn will lead to a global recession. At that point not even a two trillion stimulus will work. Sure, this piles onto the already huge debt and deficit. But when the building is on fire, you don't try to save on water.

(2) A Second 9/11

The Al Qaeda is as resilient as ever. America should have stayed focused on Afghanistan and Pakistan, it should not have got distracted in Iraq. When the whole world is its stage, expect that organization to think of newer ways to create "spectacular" attacks. Mumbai was the latest strike. It likes big cities. And it has not forgotten America. Actually it never stopped trying. A second 9/11 in the current economic climate would have a huge negative multiplier effect. Bin Laden, the business student, thinks more about money than about material harm.

(3) No End To Iraq War

If the Iraq War is not ended, and the war expenses are not drastically cut, the current bailout and the stimulus package are going to look really, really expensive in a few years. That war has to be brought to an end at the earliest responsible time.

(4) Unbalanced Budgets As Far As The Eyes Can See

I think Barack has about five, maybe six years to end up with a balanced budget. With a Democratic hold on the White House and the Congress, the tribe is going to find it hard down the line to not go back to the tax and spend liberal ways. If Barack can't check that, the opposition party will find fuel to take back the reins of power. They might still come strong even with balanced budgets, but unbalanced budgets as fas as the eyes can see will really hurt the country going forward. You are swiping credit cards of children not yet born.

(5) Another Russian Misadventure?

It could be the Russians, or it could be some third rate Third World dictator. You can always expect some unexpected flashpoint on the globe. Every president has had that. What will be Barack's such flashpoint? I don't know.

(6) Universal Health Care Without Health Care Sector Reform

Just throwing money at the problem would be the wrong way to go about it. More money is needed, sure, but that is not the only thing needed. You got to bring the costs down also for the currently insured. The market forces need to be brought into greater play.

In The News

Apple shocks world, reveals it is a huge corporation Macworld
Obama Announces Final Cabinet Picks
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ABC Online
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AllAfrica.com
Calif. unemployment rate jumps to 8.4 percent
BusinessWeek
Storm cuts power, brings wintry misery to Midwest
The Associated Press
Wash. crash leaves bus, wheels dangling over I-5 The Associated Press
U2’s First Album in 4 Years to Be Released in March
Bloomberg

Stocks Rise on Auto Bailout New York Times
'Deep Throat' Mark Felt Dies at 95
Washington Post
Feds to lend $13.4 billion to automakers CNN International
Nepal may declare emergency in face of power crisis:Prachanda Press Trust of India
Anand launches chess academy in state`Bihar Can Produce A Lot Of ... Times of India
Obama Relies Heavily on Congressional Democrats to Fill Key Posts Wall Street Journal Blogs
Obama economic stimulus to be worth 775 billion dollars: report AFP
Senators get briefing on Jindal Medicaid plan Forbes
Obama Team Assembling $850 Billion Stimulus Washington Post
Caroline Kennedy: I'm a 'Clinton Democrat'
Newsday
Nepal doubles daily power cuts ABC Online
Franken opens first lead in Minn. Senate race The Associated Press
Iraqi shoe thrower wins hearts in Iran CNN
Violence to escalate after Hamas ends ceasefire with Israel Xinhua
Clinton's donor list spans the globe Los Angeles Times
WiMax: Not dead yet CNNMoney.com
WiMAX rumbles on, but not to New York City Examiner.com
Bachchans' Unforgettable tour in India NDTV.com
Paulson Urges Release of Next $350 Billion From TARP Bloomberg
US Treasury Paulson: Auto Plan Uses Last Of Available TARP Funds CNNMoney.com
New York City Prepares for Snowfall as Air Traffic Is Delayed Bloomberg
The rise of the Netbook CNET News
Green Battery Startup Starts Small New York Times
Yahoo Limits Retention of Search Data New York Times









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