In Ryan Lizza’s New Yorker profile, Rahm Emanuel says:
“They have never worked the legislative process,” Emanuel said of critics like the Times columnist Paul Krugman, who argued that Obama’s concessions to Senate Republicans—in particular, the tax cuts, which will do little to stimulate the economy—produced a package that wasn’t large enough to respond to the magnitude of the recession. “How many bills has he passed?”
[]
Now, my view is that Krugman as an economist is not wrong. But in the art of the possible, of the deal, he is wrong. He couldn’t get his legislation.”
The stimulus bill was essentially held hostage to the whims of Collins, Snowe, and Specter, but if Al Franken, the apparent winner of the disputed Minnesota Senate race, had been seated in Washington, and if Ted Kennedy, who is battling brain cancer, had been regularly available to vote, the White House would have needed only one Republican to pass the measure. “No disrespect to Paul Krugman,” Emanuel went on, “but has he figured out how to seat the Minnesota senator?” (Franken’s victory is the subject of an ongoing court challenge by his opponent, Norm Coleman, which the national Republican Party has been happy to help finance.) “Write a fucking column on how to seat the son of a bitch. I would be fascinated with that column. O.K.?” Emanuel stood up theatrically and gestured toward his seat with open palms. “Anytime they want, they can have it,” he said of those who are critical of his legislative strategies. “I give them my chair.”
Krugman responds (via email):
Eh. The question is why Obama didn’t ask for what the economy needed, then bargain from there. My view is that Collins et al would have demanded $100 billion in cuts from whatever they started from; and that’s not the case he answers.
Why Lizza didn’t allow Krugman to respond to Emanuel’s outburst and confront him with this argument in a 5200 word article remains a mystery.


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Krugman’s on fire!
I’ve heard Krugman’s sentiment echoed (in a good way) ratchere at fdl.
PBO – Ya listenin’?
Krugman has been just wonderful for a long time. What I’ve been wondering about since the stimulus requested was not big enough is how Republican-lite Emanuel, Summers, etc (and perhaps Obama) really are. The stim they got must be the stim they wanted. Everyone knows the first rule of any bargaining is to start high. Surely, Rahm knows that so why do they think they can do this on the cheap?
i dont know shit about economics but i understand dr krugman perfectly! he was good on stephanopolis’ program this morning….. in my economically bereft opinion ;o)
Even Obama admitted that he should have left all the tax cuts out at the beginning and then let the Rethugs take credit for putting them ‘back’ in. So…why is Krugman wrong?
He’s not. And Rahm…well, he may know about working in the House – but he’s not and never has been a Senator. The House is not bound by that ridiculous 60-vote so-called filibuster. And yes – Obama had to compromise with some Republicans to get it passed. He would have had to whether Franken was there or not. Or whether Kennedy was able to come or not. Or even if both of them showed up. The Dems are STILL one short of enough votes to pass this crap.
So stop whining – and get to work and figure out how to get the stuff done while at the same time making the LEAST amount of compromises to get the job done.
Juslin !
Yes, Krugman was very good. The last time I saw him on MSNBC, he looked fatigued and seeing him so energized today was a good thing.
That comment by Obama was a back handed slap to the Repugs.
Yes, but when negotiating – it is a well-known tactic that if you know the opposition really wants something and it happens to be something you want as well, let them argue for it and then ‘compromise’ with them to get it. You win. And they can claim credit. They then think they won – and are hopefully less likely to challenge other stuff since they ‘won’ their thing and are now willing to ‘let’ you have something in return.
An additional thing left out for the prior Rahm Post:
The way Rahm avoided any contact with his 5th district constituency by announcing his ‘Rahm on your corner’ appearances less than 12 hours in advance, reducing the odds of actually encountering a working constiuent.
(Siun helped ambush him once;)
I think Nate had a good analysis of Obama’s strategy back before Obama was even inaugurated. Re-reading that post from Jan 9, Nate described what was going to happen pretty damn well.
ding! but here’s the thing…. i think obama understands the politics.
so my best guess is that obama’s advisors (see larry summers) aren’t telling him what the economy needs.
Just an aesthetic comment about Rahmbo:
Anybody who use the phrase “the art of the deal” in a non-ironic
or non-snarky (sorry, David Denby) way should have to spend
the rest of his life massaging Donald Trump’s scalp.
Krugman is right. We should be talking about what is needed for the economy. The problem is that Republicans are pig ignorant about the economy and the Democrats are only marginally better. So while Rahm and Collins are wheeling and dealing over irrelevancies the economy continues to sink.
Rahm Emmanuel the Frank Costanza of the West Wing. Now that we’ve had the “Airing of Grievances” are we next to hear of how Rahm invited Krugman to the WH yanked off his jacket and declared “This ain’t over until you pin me Krugman!” Oops forgot Rahm would have added “…you fucker!”
Haven’t we had enough tough guys in the WH? What’s in the water of that place? That 495 beltway circles a shit hole of egos, and that’s how we got here, thanks a lot Oh Wise Men.
Realism vs Pragmatism are going to do battle. Stim 2.0 will be here by the 4th of July.
This is better than the battle of Narcissism vs Alcoholism that structured the debate over the last eight years. Draining the delusional pond isn’t pretty.
Just make them actually filibuster, Rahm. They would not last a day.
I think the answer to Krugman’s quesion is easily deduced: during Obama’s soundings in his meetings with members of both parties, he was told that he’d get the support needed to pass a “bipartisan” stimulus bill – and the GOP flat-out lied. It’s a shame Rahm won’t fess up to being misled, because that would let the people know that the President’s agenda has to move left in order to get to his (and Rahm’s) beloved “bipartisan” compromises in the future.
I am pretty sure that an atmosphere of civil, reasonable, bipartisanship in policy negotiaions is what they meant by “change”, and the GOP simply won’t play. It’s not going to be that sort of change.
If you look carefully, or even carelessly, it’s apparent that Rahm’s thinking and modus operandi are quite Israeli. :o)
There’s an interesting game afoot, and the significant leak to the Times of the FY 2010 President’s Budget is part of it. I’m reasonably certain that the budget is the second stimulus package.
Now, Rahm needs to get a big hit of STFU and get to work with Grandma Nancy and Harry the Senate Shuffler and make sure the committees do their damned work and get budget bills that reflect the President’s interests ready to be passed on time. We’ll see how well he does making sure that Nancy and Steny whip the Democratic caucus on the House side, and that Harry gets some staff to work the rules for him to box Collins and Snow, to say nothing of Lieberman and Nelson.
Sometimes you find a turd in the toilet bowl; sometimes you find a turd in the punch bowl.
The moral of the story?
Rahm’s a turd no matter where you find him.
“Then the RAHM answered Krugman out of the whirlwind, and said, Who is this that darkeneth counsel by words without knowledge? Gird up now thy loins like a man; for I will demand of thee, and answer thou me. Where wast thou when I laid the foundations of the earth? declare, if thou hast understanding.”
Krugman strategy; figure what is needed, add some, negotiate.
Rahm strategy: figure out what is needed, give up some, negotiate
And I never could figure out what the logic was in compromising with that Carolina Johnny Whatshisname who never intended on voting for the package. Make Snowe, Collins, and Haggis come up with all these things. Horse trade ‘em one by one and you’d have more of watcha want at the post.
I think Krugman’s covered that before, too. Not too long ago, he asked rhetorically why several prominent economists, Roubini, et. al., weren’t in on the discussion of what was needed for a stimulus package.
In the end, Obama chooses his advisors. He needs to choose a bit more carefully.
Rahm, thankfully, will get nowhere near a Nobel Prize, unless the committee invents one for arrogance and political infighting. Since contestants would come from all over the world, even then, Rahm might remain an also ran.
Normal bargaining in the bazaar is to end with what you’re willing to pay, not to start there. Krugman is right. Obama, with Rahm at his elbow, asked for too little and bargained away too readily. They were like the naive westerner at a Chinese market, looking for the price sticker and getting out their fat wallets before the price had been struck. The surest way to pay too much or get too little I know.
Isn’t bargaining the thing that this twit Rahm is supposed to be good at?
What is the point of a Rahm Emmanuel if he can’t get even this thing right? I mean, yeah, of course, he’s a mental midget, but isn’t he supposed to be cunning and great at negotiating? Any kid who ever traded marbles or Pokemon cards would have better skills than Emmanuel displayed on the stimulus.
I think that’s the case, too. And it is the last time the thugs are going to get away with it. The negotiations are a repeated game, and if you fuck up the first move, you are fucked down the line. The thugs are going to learn that in spades as soon as we get our MN Senator installed. They are still in denial, as the Selby screed showed today. There isn’t any national republican party any more, just local parties, reduced to their southern and Appalachian core. Until they get a national party, they are doomed.
In the beginning he chose his advisers and I think they’re doing pretty well. My only serious questions are on Geithner’s plan. I’m also looking forward to reading about Obama’s budget plan.
We’re going to need our big brains, e.g., Krugman, Roubini, Billmon, Bill Clinton, … to get us out of this.
Thanks Jane.
I don’t understand why, after the Dems larded the House version of the Stim with tax cuts and that move generated NO Republican votes, they didn’t just scrap that crap bill and pull off the shelf one that they conveniently had waiting there for JUST such an occasion: one with NO tax cuts that they could then pass by the same no Republican votes, and send it on its merry way to the Senate.
Let the Senate have to bargain with THAT in conference!
I mean, sheesh, my DOG could figure out THAT bargaining tactic, Rahm.
If Rahm Emanuel is so Shit Hot with The Process, then he should know better than to tangle with someone as well-armed as Paul Krugman. By doing so, he has only served to make himself look even more clownish than he already is…if that’s even possible…
Shear genius analysis of the simple and most obvious.
Only no one else has really gotten it dialed in as well as you did.
Nice work. Print it, sell it, and make sure every US voting citizen see’s it.
Thanks, Scory.
Unless Obama is backtracking, backing up, leading them in slowly, step by step.
So the american public can see just how bad the GOP and its minions in both houses of congress, and across the land, really are.
It took us 40 years or so to let the GOP and all its hate continue to run our country and feed the smallest pea brains to suck up that hate.
It’s gonna take a while to undo all that . . . including sucking IN the GOP to one false step after another, so the smallest pea brains GET the fact that they’ve been screwed by their own they supported for 40 years.
I’m not dumping on Obama yet . . . I’m worried, skeptical but WTF, I was all that and MORE for 40 years, why the fuck should I panic in less than two months?
And don’t forget, we need to try and make sure the smallest pea brains KNOW that the GOP screwed them, as much as it screwed us.
Once EVERY one knows the GOP fucked us all . . . well, we got ourselves a new ball game, is what.
Until we GET the new game, the old game is being fought. And it’s gonna take a few more innings to KILL that old game . . .
Patience, people, patience. Up’s and down’s are gonna happen.
It’s only two months, and we’ve got decades to go to reshape and reshift this shit.
After all, the smallest pea brains are pretty tough to mold to any fashion we might fancy. And mold them we must . . . to secure a REAL change. One change we all want and need, or we as a species are kaput.