I agree, an excellent article. The main thrust, though, seems to be "This is a terrible time to start any business exposed in any way to US retail. We won't have sane economic policy until at least the 2012 elections."

  My message to entrepreneurs has been, “It’s coming soon to a theater
  near you.” You know – the “butterfly effect” on a local and tangible
  basis. Consumers hurting in Detroit or Biloxi will not continue to
  spend money they don’t have and income they’re not earning. It will
  impact retail. It will impact brands. These companies advertise. On
  your tech platforms. These consumers buy iPads, iPhones,
  Androids. You’re counting on them for up-sells to your app. For buying
  virtual goods. You need consumers – they’re 70% of the economy.

  Trouble is – they don’t have jobs. Those that do still have too much
  debt. Their 401k ain’t what it once was and it just got whacked
  again. They still have too much personal debt. And the equity in their
  house isn’t rising. They’re doing what economists call
  “de-leveraging,” which means spending less, saving more.

  ************************************************************************

  Maybe the stock market drop will bring some clarity to congress. Maybe
  it will bring some bi-partisan spirit to solving the nations
  problems. Maybe. But evidence seems to the contrary. Right now people
  seem to be angling more around November 2012. And that sure sounds a
  long way away to me.

I don't think he's saying 2012 will bring sane policy - he's saying that people are hoping the 2012 election will break the gridlock on policy.

Maybe sane economic policy will win out, maybe it won't. (In my opinion, either way: the reduction in uncertainty is likely to improve the investment environment)

Indeed, quite the refreshing change from the usual petty punditry.