In 2008 Paul Krugman was one of Obama’s fiercest liberal critics prompting, back then, pieces like this from Newsweek:
Paul Krugman has all the credentials of a ranking member of the East Coast liberal establishment: a column in The New York Times, a professorship at Princeton, a Nobel Prize in economics. He is the type you might expect to find holding forth at a Georgetown cocktail party or chumming around in the White House Mess of a Democratic administration. But in his published opinions, and perhaps in his very being, he is anti-establishment. Though he was a scourge of the Bush administration, he has been critical, if not hostile, to the Obama White House.
In his twice-a-week column and his blog, Conscience of a Liberal, he criticizes the Obamaites for trying to prop up a financial system that he regards as essentially a dead man walking. In conversation, he portrays Treasury Secretary Tim Geithner and other top officials as, in effect, tools of Wall Street (a ridiculous charge, say Geithner defenders). These men and women have "no venality," Krugman hastened to say in an interview with NEWSWEEK. But they are suffering from "osmosis," from simply spending too much time around investment bankers and the like. In his Times column the day Geithner announced the details of the administration's bank-rescue plan, Krugman described his "despair" that Obama "has apparently settled on a financial plan that, in essence, assumes that banks are fundamentally sound and that bankers know what they're doing. It's as if the president were determined to confirm the growing perception that he and his economic team are out of touch, that their economic vision is clouded by excessively close ties to Wall Street."
His columns in the run up to the election were extremely critical of Obama and his campaign
But this morning with the hindsight of nearly eight years Paul Krugman has come to a conclusion I think many Democratic voters and people around the world share:
I know that it’s hard for many people on both sides to wrap their minds around the notion of Obama-as-success. On the left, those caught up in the enthusiasms of 2008 feel let down by the prosaic reality of governing in a deeply polarized political system. Meanwhile, conservative ideology predicts disaster from any attempt to tax the rich, help the less fortunate and rein in the excesses of the market; and what are you going to believe, the ideology or your own lying eyes?
But the successes are there for all to see.
He cites an economy rescued:
We’ve gained 10 million private-sector jobs since Mr. Obama took office, and unemployment is below 5 percent. True, there are still some areas of disappointment — low labor force participation, weak wage growth. But just imagine the boasting we’d be hearing if Mitt Romney occupied the White House.
Healthcare legislation that is working despite the protestations of the opposition from within and without of his party:
fewer people than expected signing up on the exchanges, but fewer employers than expected dropping coverage, and more people signing up for Medicaid — which means, incidentally, that Obamacare is looking much more like a single-payer system than anyone seems to realize. But the point is that reform has indeed delivered the big improvements in coverage it promised, and has done so at lower cost than expected.
On financial reform he succinctly answers the criticism being currently raised in the Democratic primary by stating that while the banks weren't broken up excessive leverage has been scaled back thus reducing what he and most economist agree had been the greatest threat to the economy and the result as apposed to the arguments made by opposition? Job growth.
I think his conclusion holds a lesson for those that hold out for purity in face of reality especially given his past record of criticism, this is what Paul Krugman finds after “learning from Obama”:
The 2008 election didn’t bring the political transformation Obama enthusiasts expected, nor did it destroy the power of the vested interests: Wall Street, the medical-industrial complex and the fossil fuel lobby are all still out there, using their money to buy influence. But they have been pushed back in ways that have made American lives better and more secure.
The lesson of the Obama years, in other words, is that success doesn’t have to be complete to be very real. You say you want a revolution? Well, you can’t always get what you want — but if you try sometimes, you just might find, you get what you need.
As a result he says Obama will emerge as a hugely consequential president; more so than Saint Reagan of Freidmania. Therein lies the lesson of Obama, one that should be headed.