Mr Obama wishes to be president of a country that does not exist. In his fantasy US, politicians bury differences in bipartisan harmony. In fact, he faces an opposition that would prefer their country to fail than their president to succeed. [my emphasis]

Yet all is not lost. In particular, the US and German governments retain substantial fiscal room for manoeuvre – and should use it. But, alas, governments that can spend more will not and those who want to spend more now cannot. Again, the central banks have not used up their ammunition. They too should dare to use it. Much more could also be done to hasten deleveraging of the private sector and strengthen the financial system. Another downturn now would surely be a disaster. The key, surely, is not to approach a situation as dangerous as this one within the boundaries of conventional thinking. [my emphasis]

He doesn't realize he's getting pummeled. He thinks this is all still a genius strategy to capture centrists by compromising on every single little thing. He is not trying to put on an appearance of weakness to lull his opponent into a false sense of complacency. He doesn't even realize he is being weak. He's the one with the false sense of complacency. As he's getting knocked around the ring, he thinks he's winning.

These guys in the Obama camp are in for a horrible, rude awakening. Sometime in the next year, they are going to blink and realize they are lying flat on their back on the canvas. Then as they finally stumble up, they'll realize they should have started fighting 11 rounds ago. Then a panic will set in, but I'm afraid it will be too late by then.