The Liberal Economy
Over the last few months Americans have realized that the American economy will not be roaring back anytime soon. As as result, liberals in power and liberals who voted those liberals into power are quick to blame the Republican Party, especially George W. Bush, for the ills of today. Nevermind the Democrat party has controlled both the House of Representatives and the U.S. Senate since the end of 2006.
Yet it should be clear that the policies of the left should bear the brunt of the blame for America's current situation. Barack Obama has been in power for a year and during that time has enjoyed a congressional majority of members from his own party rarely seen in American politics. The House of Representatives has 256 Democrats and only 178 Republicans. In addition, the U.S. Senate has 60 members who are either Democrats or are left-leaning independents, while only 40 members are Republican.
Such a power disparity has allowed the left to control economic policy. This control resulted in the $787 billion dollar "stimulus" plan, the cash-for-clunkers program, and bailouts of large banks and the automobile industry. Each of these programs has been an unmitigated disaster.
In February 2009 Congress and President Obama promised the stimulus would prevent American unemployment from reaching 8.0%. However, not only did unemployment race past 8.0% after the stimulus was passed, unemployment climbed to 10.0%. Now, almost one year since passage of the stimulus, unemployment has not improved and the country is $787 billion more in debt. The stimulus is yet another example in American history of failure by government to create and sustain jobs.
The cash-for-clunkers program gave a $4,500 subsidy for giving up a car that was fuel inefficient for a newer model that supposedly was more fuel efficient. The result was a boon for the car companies, at least in the short-term when consumers realized that they could use $4,500 from their neighbor (using the federal tax collectors as an intermediary) to buy a new car. However, Congress only allocated $1 billion for the program. That limit was met in a matter of days as consumers clamored to exchange their old cars for new ones using someone else's money. Congress, thinking this transfer of wealth a success, quickly allocated another $2 billion. The result was even further destruction of perfectly good cars and a complete waste of $3 billion.
But that failure was tiny compared to the decision by the Obama administration to bail out most of America's financial institutions and the formerly mighty car companies General Motors and Chrysler with hundreds of billions of taxpayer dollars. This decision saved the companies in the short-term, but has done nothing to turn around the American economy. And, as usual, the American taxpayer is stuck with the bill.
Over the last year the members of the American governing elite, today dominated by the left, have demonstrated that their policies are not only ineffective but are destructive to the American economy. It should be clear by now that increasing government spending, expanding the federal debt by the trillions, and bailing out select companies does not serve to expand an economy. Until the American people understand that and start electing those who know that private enterprise, not government, is the best and only way to create lasting wealth, people like Barack Obama and Congressional liberals will continue to implement policies that erode the greatest economy in the history of mankind.
Any comments or questions can be received at whyyouareaconservative@gmail.com
~ The Conservative Guy
Yet it should be clear that the policies of the left should bear the brunt of the blame for America's current situation. Barack Obama has been in power for a year and during that time has enjoyed a congressional majority of members from his own party rarely seen in American politics. The House of Representatives has 256 Democrats and only 178 Republicans. In addition, the U.S. Senate has 60 members who are either Democrats or are left-leaning independents, while only 40 members are Republican.
Such a power disparity has allowed the left to control economic policy. This control resulted in the $787 billion dollar "stimulus" plan, the cash-for-clunkers program, and bailouts of large banks and the automobile industry. Each of these programs has been an unmitigated disaster.
In February 2009 Congress and President Obama promised the stimulus would prevent American unemployment from reaching 8.0%. However, not only did unemployment race past 8.0% after the stimulus was passed, unemployment climbed to 10.0%. Now, almost one year since passage of the stimulus, unemployment has not improved and the country is $787 billion more in debt. The stimulus is yet another example in American history of failure by government to create and sustain jobs.
The cash-for-clunkers program gave a $4,500 subsidy for giving up a car that was fuel inefficient for a newer model that supposedly was more fuel efficient. The result was a boon for the car companies, at least in the short-term when consumers realized that they could use $4,500 from their neighbor (using the federal tax collectors as an intermediary) to buy a new car. However, Congress only allocated $1 billion for the program. That limit was met in a matter of days as consumers clamored to exchange their old cars for new ones using someone else's money. Congress, thinking this transfer of wealth a success, quickly allocated another $2 billion. The result was even further destruction of perfectly good cars and a complete waste of $3 billion.
But that failure was tiny compared to the decision by the Obama administration to bail out most of America's financial institutions and the formerly mighty car companies General Motors and Chrysler with hundreds of billions of taxpayer dollars. This decision saved the companies in the short-term, but has done nothing to turn around the American economy. And, as usual, the American taxpayer is stuck with the bill.
Over the last year the members of the American governing elite, today dominated by the left, have demonstrated that their policies are not only ineffective but are destructive to the American economy. It should be clear by now that increasing government spending, expanding the federal debt by the trillions, and bailing out select companies does not serve to expand an economy. Until the American people understand that and start electing those who know that private enterprise, not government, is the best and only way to create lasting wealth, people like Barack Obama and Congressional liberals will continue to implement policies that erode the greatest economy in the history of mankind.
Any comments or questions can be received at whyyouareaconservative@gmail.com
~ The Conservative Guy
posted by The Conservative Guy at
10:42 PM
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