This actually happened on Friday, but I didn’t get around to reading it until today. The Wall Street Journal, as conservative an editorial page as there is, actually praised Barack Obama for his strong dollar statements at a town hall forum in Ohio. Quoth the Journal:
This ought to be a bigger story. In linking the dollar to oil prices, Mr. Obama is pointedly at odds with the Bush Administration and Federal Reserve, both of which blame high commodity prices on supply and demand, despite falling demand due to slower global growth. Fed officials — in particular, Vice Chairman Donald Kohn — have expressly rejected any strong link between the dollar’s collapse and the oil price surge since last August.
This conveniently absolves the Fed and Bush Treasury of responsibility for the consequences of what has been their destructive and all but explicit dollar devaluation strategy. If the Illinois Senator rejects greenback debasement, that’s the best news to date about Obamanomics.
Not exactly a ringing endorsement but, considering the source, high praise indeed. For what it’s worth, Obama and the Journal are right. Bernanke has done a good job thus far containing the Housing Crisis/Credit Crunch, but inflation is on the march, and it’s spreading around the globe (despite the recent decline in the price of oil). It’s soon time for him to begin hiking rates. This will help control prices and help Bernanke find balance in fighting the many ills afflicting our economy.
In any case, maybe the Wall Street Journal has begun to see that Obama is this country’s best bet for the future. It is frightening to think of the impulsive and disorganized John McCain in charge of the world’s largest economy. I imagine the editors of the Wall Street Journal must sometimes realize that same fear.