President Obama's First Step: Reset Expectations

President Obama's First Step: Reset Expectations
Posted Nov 05, 2008 12:15pm EST by Henry Blodget in Newsmakers, Recession, Election
Related: ^dji, ^gspc, ^ixic

Langkah pertama Presiden Obama : Menegaskan Harapan
From ClusterStock, Nov. 5, 2008:

If President Elect Obama were the incoming CEO of a corporation, he would now be preparing for the first act of his tenure: A massive write-off of the mountains of rotted junk buried on the company's balance sheet and an announcement that recovery will take a long, long time.

Jika presiden terpilih obama sebagai CEO dari perusahaan, dia saat ini aka beriap untuk langkah awal dari masa jabatannya : Suatu yang tidak bernilai besar dari bukit sampah terkubur pada kesimbangan lembar perusahaan dan mengumumkan bahwa perbaikan membutuhkan waktu yang lama.

This flush would clear the way for several years of better than expected results. It would also take advantage of the new leader's one chance to blame the sorry state of the organization on his sorry predecessor.

Penmbilasan ini akan memperjelas beberapa tahun harapan yang di harapkan lebih baik. Juga akan membutuhkan keberuntungan peluang sang pemimpin baru untuk menyalahkan kesedihan organisasi negara pada kesedihan pendahuluan

President Obama began this process last night, in his victory speech, when he noted that restoring the country's health might take more than a term. In the next few weeks, he should go well beyond this:

* The deficit will be more than $1 trillion a year for several years
* The country needs a massive new fiscal stimulus
* The housing market will continue to decline through at least 2010
* Interest rates and taxes will eventually have to rise (after the economy stabilizes)
* Weak corporations have to be allowed to fail
* Millions of homeowners will lose their house
* Unemployment will probably rise to 10%
* The government simply cannot "bail the country out" -- not because it lacks the will, but because it lacks the power

In short, Obama needs to acknowedge reality, erring on the side of overstating the problems and challenges, and he needs to prepare the country for several tough years. Because if he doesn't, within six months of his taking office, the country will have forgotten all about the prior administration and will instead be blaming everything on him.