Republicans are Creating Considerable Uncertainty

[Donnachaidh]

http://economistsview.typepad.com/economistsview/2011/06/republicans-are-creating-considerable-uncertainty.html

Using Google to search for "uncertainty economy," choosing one of the many, many entries from Republicans on this topic pretty much at random, and then changing a few passages in a WSJ editorial gives:

The economy's biggest problems is that Republicans have erected the biggest overhang of economic policy uncertainty that anyone can remember.

One big difference between Washington and private markets is that politicians think everything they do is free-standing. Markets, however, combine all the potential costs of Washington's policies and then decide whether to invest, or not. Consider what private decision-makers see in their future:

They see Republican attempts to shut-down the government if they don't get their way on the debt ceiling. This creates a high level of uncertainty and hurts business investment. There are also demands to cut the deficit even though it will hurt the economy and job creation, and this adds to the uncertainty. Republicans say they are committed to rolling back financial regulation leaving financial markets very uncertain about their regulatory futures. That's not the path to a robust recovery.

More at the link --