Kudlow’s Money Politics

Gas Prices & Consumer Spending

“Two thousand and seven was the year of the ‘R word’ ‘” recession. How many times did you hear a network reporter drone on about how high gas prices are about to ‘hit the consumer,’ predicting that retail sales must eventually drop in response to $3 gas? If you watch network TV, the answer is quite a lot. But weeks, months, and quarters went by and strong consumer-spending habits showed little sign of abating. Meanwhile, gas prices have held near historical highs. We got to the end of a whole year of high gas prices and the consumer never quit and the economy never went into recession.

The recessionistas have been disproved, although they’ll never be discouraged. They will continue their dirge starting, well, today. Through 2008 they will ask, ‘When will high gas prices kill the consumer?’ And the answer will remain the same: never…” – My pal Jerry Bowyer on gas prices and consumer spending (Gas Bags) over at NRO.

Larry Kudlow — Larry Kudlow is CNBC’s senior contributor. His new book is JFK and the Reagan Revolution: A Secret History of American Prosperity, written with Brian Domitrovic.

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Politics & Policy

March Mailbag

1. In response to this post, about the Fed and fiscal stimulus: “So are you saying that deficit spending is a free lunch because the Fed will keep inflation from happening? You say [extra government spending] won’t ‘raise economic output’ but what’s the harm of it if you’re right?” I see at least ... Read More


For your amusement, I hope, I’ve done a Jaywalking episode. It begins with a bit of the overture to Semiramide -- a Rossini opera I reviewed from the Met last week. Then I get into Russia and, after a while, China. The Marriott company fired an employee for “liking” a tweet by a Tibetan independence group. ... Read More

Campaigns for World Down Syndrome Day Go Viral

As World Down Syndrome Day approaches on Wednesday, several campaigns supporting those with the condition have taken over the Internet. Fifty mothers of children with the condition put together a viral video of them and their children singing along in the car. The video helped the children and their mothers ... Read More

Viva l’Italia?

Italy has just had elections, with very interesting results. I wanted to talk with Alberto Mingardi, which I have. He is one of the leading classical liberals in Italy -- the director general of the Bruno Leoni Institute, in Milan. (Mingardi himself is Milanese.) He is also an authority in arts and letters. In ... Read More