The Return of Malaise

On the evening of July 15, 1979 I was driving my VW back to my home in San Diego and I listened to President Jimmuh Carter give his infamous "malaise" speech. Although he never actually used the word "malaise", that word became associated with the speech and Jimmuh thanks to the tone of his message to America. It was so depressing it almost made me want to drive off an overpass. America as we once knew it was over. (If you don't believe me or don't remember it, you can read it here.)

Our new president is taking some lessons from Jimmuh, and not good ones. His language, which inspired hope during the campaign, now inspires fear:

From crisis to catastrophe. Off a cliff. Dark, darker, darkest. Mortal danger of absolute collapse. Armageddon.

President Obama and top Democrats on Capitol Hill are deploying these and other stark predictions of doom and gloom to push through their economic-stimulus package. In terms not heard in Washington since the late 1970s under President Jimmy Carter's watch, the new president has sought to terrify Americans into supporting the $800 billion-plus bailout bill.

While President Bush was accused shortly after taking office in 2001 of "talking down the economy" - and for saying the economy was "slowing down" - Mr. Obama is using ever-heightening hyperbole to hammer home his message. But the strategy brings great risk for the "Yes, We Can" man, who just three weeks ago told America in his inaugural address that despite "a sapping of confidence across our land," his election meant Americans had "chosen hope over fear."

"Mr. Hope has to be careful not to become Dr. Doom," said Frank Luntz, a political consultant and author of the book "Words That Work: It's Not What You Say, It's What People Hear."

"The danger for him is using the Jimmy Carter malaise rhetoric, particularly for Mr. Obama, who was elected because people thought he was the solution. There's only so much negativity they will tolerate from him before they will feel betrayed," Mr. Luntz said.

Brad Blakeman, a senior aide to Mr. Bush from 2001 to 2004, said the new president's language is immature.

"It's not presidential. An American leader needs to be hopeful and optimistic - and truthful. Everything he says is parsed; everything he says is searched for deep meaning. When he goes to 'DefCon 5' on the economy and says that we're on the brink of catastrophe, it's absolutely insane."

With his fiery rhetoric, the new president runs the risk of terrifying consumers and investors, which could depress the economy even further. While the economy is bad, it is a far cry from Great Depression levels, when as many as 30 percent of Americans were unemployed, compared with the 7.6 percent now.

Every president must walk a rhetorical tightrope when talking about the economy, a lesson Mr. Bush learned quickly, being bashed just after taking office for delivering somber news. The United States was just entering a mild recession - it had been in one, it turns out, for about nine months - and the new president said so.

I wrote on the same subject recently. Markets which rely on consumer confidence will suffer if the leader does not inspire that confidence. Right now Obama seems more intent on stoking fear. That's not good for anybody - except maybe the Democrats who are hoping to use that fear to pass their massive explansion of goverment programs.

Ah, it all makes sense now...