If the dream is
won
Though
everything is lost
We will pay the
price
But we will not
count the cost
This will be long. Read
through to the end, or at least be sure to read the end. It will make you sad.
John Mauldin has written two pieces on the coronavirus in
the last few days – including a mid-week letter, the first I ever remember
receiving from him in more years than I can remember; let’s call these his
dream regarding a national response.
Without radical action (some of
which is already happening, some places, but not enough), this pandemic could
cost many lives and potentially launch an economic depression. I am not
exaggerating when I say this. I really mean it.
It is the radical action that will cause the depression
(well that, and all of the money pumping of the last decade), not the virus.
…we have to treat this situation
not as an emergency, but as a battle that could turn into a war. World War C.
I am guessing that by “C,” he means coronavirus. It would be better if he thought of “C” as
the vitamin. Along with sunshine, vitamin
D-3, and zinc, it will do far more to alleviate this flu than any governmental
lockdown.
Bluntly, this is going to cost more
than a few trillion dollars.
Says the man who for a decade or more has made a great living
blasting government deficits as the big risk to society. Actually, it will cost about $20 trillion per
year, because that is what it will take to replace the now comatose US GDP.
We will pay the price of whatever the governments (federal
and states) want to incur; but who will count the cost in lives destroyed – not
just disrupted – by the draconian measures put in place?
From his second letter,
The
Beacons Are Lit, March 20, 2020 (the reference is to the lighting of the
beacons in the film version of Tolkien’s
Lord of the Rings: Return of the
King (
video):
Today in the real world, we also
face a dark, implacable, powerful foe. It is a microscopic virus that we now
know is a threat, a very serious one. We in the United States have just seen
the beacons. The warning travelled not just a few hundred miles but around the
world: from China and Korea, to Italy and Spain, and now here.
The beacons are lit. How will we
answer?
We will answer like madmen, consumed by a mad disease.
Mauldin points to his experts, for example:
Dr. Scott Gottlieb is not some
crazed liberal. He is a physician and public health expert who was appointed
FDA commissioner by President Trump.
Because only crazed liberals have reason to expand
bureaucratic power, so I guess this guy is OK?
Note, both of those were on the
reliably conservative WSJ editorial page.
Because conservatives are not known to act like crazed
liberals? If these “conservative” characteristics
are meant to confer credibility, Mauldin has been asleep ever since Robert Taft
left this world and the Senate at the same time.
I’m saying this strongly because as
recently as this week, I’m still hearing from lots of readers who don’t
get it. I won’t give examples.
Mauldin is talking like a crazed liberal. If you disagree with him, it isn’t because
you see things or interpret facts differently than him; it is because you “don’t
get it.” Still! I am surprised that he didn’t drop a “let’s
get on the right side of history, you deplorables” somewhere in here.
The US lost 2,996 lives on
September 11, 2001. We thought that was enough to go to war.
And “we” were wrong about that decision (just as we were
wrong about Vietnam, Iraq, Afghanistan, Syria, the war on drugs, the war on
poverty, the war on the family, etc., etc., etc.).
Every major traumatic and cataclysmic event
in the United States in my lifetime – and for decades before – is
due
to a lie or false narrative.
The measures we must take to save
lives necessarily mean shutting down large parts of our consumer-driven
economy. People are losing jobs and businesses are losing revenue.
He is willing to pay the price (actually, to force you to
pay the price); the cost to those whose lives will be destroyed is irrelevant. No problem.
The government can print the money.
Just ask Mauldin:
We need to sustain the economy for
however long it takes to beat down the virus. That’s going to mean massive
fiscal stimulus spending—multiple trillions of dollars’ worth. We are going to have to do for everyone
the kind of things we have long done for natural disaster victims—emergency
grants, subsidized loans, exemptions from rules, and more.
For everyone!
Now, do the math: no one is working; therefore, nothing is being
produced and no taxes are being paid. At
the same time, everyone must be subsidized. There is no way to square this circle – it is
impossible. Who will do the
subsidizing? Not with digits, but with
real goods and services?