Thursday, July 23, 2009

Joe Weisenthal notes the double standard of the expert/journalist complex

on comparing US to China policy reactions:
Pundits fall over themselves to heap embarrassing adoration on every move China makes.

-- China's stimulus is working magnificently, we're told over and over again. Ours is a big waste of money.

-- China's smart about locking up hard assets for the long term. We're dumb for trying to guess the future of energy.

-- China is going to kick our collective asses at building electric cars. When we try do that, we're "picking winners and losers."

-- Their centrally managed banking system is held up as an example of prudence and risk-aversion. Government involvement here, though, is doomed to "politicize" lending.

And on and on. We're not saying China isn't or is making smart moves right now. That's not the point. But if you believe that central planning is doomed to make dumb decisions, then there's no reason to think China's any better at it, just because their actions on energy (or whatever else) happen to be the flavor of the month.

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