With a Nobel Prize in the subject, you’d expect The New York Times’ Paul Krugman to know his stuff when it comes to economics. (Though, of course, after Barack Obama received a Nobel Prize for the mere “hope” he’d do something meaningful, it definitely took some of the luster off the honor.) Unfortunately, Krugman’s extreme partisanship too often colors his rational thinking. For example, the man believes that the media was biased against Hillary, not Trump, for crying out loud.
One could walk through a number of predictions Krugman’s gotten dead wrong in the past, but his gaffes are the funniest when proven wrong immediately… like on election night.
While the stock market officially closes at 4PM EST, in the middle of the night as election returns rolled in, the futures market was alive and hectic. The Dow Jones Industrial Average was down an astounding 800 points when a Trump presidency started looking certain. It was a decline in the market from which we may never recover, predicted Krugman that night.
If by “never” Krugman meant within the next eight hours, he would’ve been right. By the time the markets opened, all the major indices recovered nearly all their overnight losses, and as we reported yesterday, the Dow Jones closed just a fraction of a percent off its all-time high.
Since then, as the Gateway Pundit’s Jim Hoft notes, out of 23 days since the election, the Dow has reached all time closing highs 15 of these days! On another five of these days the Dow landed at its second highest close ever up to that date!