Posts Tagged ‘depression’

For The Factual Historical Record: Democrats Pushing To Take America Off Fiscal Cliff (Which Won’t Stop Democrats From Falsely Blaming GOP)

November 26, 2012

This fiscal cliff talk is rather interesting to me now that I have a more detached perspective.

I truly believe America is going to collapse now.  I also truly believe that by the time the Republicans get another chance to sweep into power in 2014 (as they did in 2010) it will be far too little and far too late.  I think Americans voted this month to die by national suicide.  And, yeah, I think it serves us right if we implode.  That said, I happen to live here.  My family lives here.  We’ve got children to think about.  I don’t want to suffer and I don’t want any of my family to suffer.  So I’m in that position of believing something is going to happen and that we deserve to have it happen on the one hand, with the realization that not only I but my family will be harmed when it does happen.

The result?  I’m no longer praying for America, or for the wisdom of our leaders or for the wisdom of the American people.  They were fools when it mattered most and I realize they will continue to be fools as it matters most.  At the same time, I’m certainly not praying or hoping for a fiscal implosion that will send America reeling into a depression that will make the Great Depression look like a lovely walk on a sunny beach.  I’m someone who views this as an outsider; I live here, but it has nothing to do with me.  And I’m focusing on claiming my citizenship in heaven more and worrying about my citizenship in America less.

I’m not overly exited about it or overly worried about it.  I already know that Americans have reached that depraved condition in which they demand to be parasites off of someone else’s success until there are no more hosts to parasitically leach off of while borrowing half of everything they recklessly spend until we collapse and the beast comes.

It’s really more an interesting academic question: what precisely will be the mechanism by which the Antichrist comes and Democrats worship him and take his mark?  What will be that final card that gets pulled from the house of cards we call our economy that will send the entire system down the drain so the beast can come riding in on his white horse – as he is depicted in Revelation chapter 6 – to save the day?

But I have seen so many naked lies pass for truth, and I’m at least going to try to document some of those lies at the moment when it matters.

Such as this one: Democrats – that’s right, DEMOCRATS – have been calling for us to go off the fiscal cliff if they don’t get exactly what they want.  And Republicans – that’s right, REPUBLICANS – are shocked by the callous willingness of the Democrat Party to allow implosion and the suffering that will result from that implosion.

From the überliberal Washington Post:

Democrats threaten to go over ‘fiscal cliff’ if GOP fails to raise taxes
By Lori Montgomery,
Jul 16, 2012 01:00 AM EDT

Democrats are making increasingly explicit threats about their willingness to let nearly $600 billion worth of tax hikes and spending cuts take effect in January unless Republicans drop their opposition to higher taxes for the nation’s wealthiest households.

Emboldened by signs that GOP resistance to new taxes may be weakening, senior Democrats say they are prepared to weather a fiscal event that could plunge the nation back into recession if the new year arrives without an acceptable compromise.

In a speech Monday, Sen. Patty Murray (Wash.), the Senate’s No. 4 Democrat and the leader of the caucus’s campaign arm, plans to make the clearest case yet for going over what some have called the “fiscal cliff.”

“If we can’t get a good deal, a balanced deal that calls on the wealthy to pay their fair share, then I will absolutely continue this debate into 2013,” Murray plans to say, according to excerpts of the speech provided to The Washington Post.

READ: Everything you need to know about the fiscal cliff

If the tax cuts from the George W. Bush era expire and taxes go up for everyone, the debate will be reset, Murray is expected to say. “Every proposal will be a tax-cut proposal,” according to the excerpts, and Republicans would no longer be “boxed in” by their pledge not to raise taxes.

“If middle-class families start seeing more money coming out of their paychecks next year, are Republicans really going to stand up and fight for new tax cuts for the rich? Are they going to continue opposing the Democrats’ middle-class tax cut once the slate has been wiped clean? I think they know this would be an untenable political position.”

Murray’s address, set to be delivered at the Brookings Institution, is meant to influence both the Nov. 6 election and the lame-duck legislative session in November and December, when the fiscal cliff will be at hand and the fight over taxes will be in full throttle. Regardless of the election’s outcome, President Obama and the current Congress will be in office for the session.

The speech comes less than a week after Obama assured Hill Democrats during a White House meeting that he would veto any attempt to maintain the Bush tax cuts on income over $250,000 a year, according to several people present. It also echoes the dismissive response by Senate Majority Leader Harry M. Reid (D-Nev.) to Republicans seeking to undo scheduled reductions in Pentagon spending that even Defense Secretary Leon E. Panetta has said would be “devastating” to national security.

During the White House meeting, Obama never directly addressed whether he is prepared to let the new year arrive without taking action to avoid the cliff. According to the excerpts, Murray will say Monday that she hopes an agreement can be reached before then: “Democrats are willing to compromise. We just need a partner.”

Still, Democratic lawmakers emerged from the meeting invigorated for the year-end battle to preserve the Bush tax cuts solely for the middle class.

Senate Minority Leader Mitch McConnell (R-Ky.) has lambasted the Democrats’ position as an “outrageous ultimatum.”

“At a moment when the American people are reeling from the slowest recovery in modern times . . . and just five months away from the economic body blow that will result if tax rates spike, as scheduled, on January 1st, the president’s solution is to take more money away from the very business folks we are counting on to create the jobs that we need,” McConnell said in a speech Thursday on the Senate floor. “Naturally, Republicans oppose this. The way we see it, nobody should see an income tax hike right now.”

A risky strategy

The term “fiscal cliff” refers to the sharp drop in the 2013 budget deficit that would result from policies in current law. Thanks to a deal Obama cut with Republicans in 2010, the Bush tax cuts — and dozens of other tax provisions — are set to expire in December, raising taxes for virtually every U.S. household next year.

Meanwhile, during the debt-limit showdown last summer, lawmakers approved a plan to implement $110 billion in automatic spending cuts next year. A legislative “supercommittee” appointed to find an alternative deficit-reduction strategy disbanded without reaching agreement.

Republicans say Democrats are responsible for the impasse, noting that GOP members on the supercommittee offered to raise revenue through an overhaul of the tax code.

“We were on the record saying we would agree to a conventionally scored tax increase if they would clear out the tax code, make it fairer, flatter and simpler and begin to take us off the road to bankruptcy on entitlements. And they weren’t willing to do it,” said Rep. Jeb Hensarling (R-Tex.), the GOP supercommittee chairman.

[...]

Here is a link from the Fox News article: “Democrats Willing to Let Country Fall Off ‘Fiscal Cliff’ Over Bush-era Tax Cuts“:

Senate Democrats appear willing to use your paycheck to play political hardball on taxes unless Republicans agree to President Obama’s plan to raise taxes on America’s top earners.

A top Senate Democrat warned Monday that, if Republicans don’t relent, her caucus is willing to let all the Bush-era tax rates expire at the end of the year — in effect threatening to let the country fall off what many in Washington call the “fiscal cliff.”

That cliff is approaching at the start of 2013, when the Bush tax cuts are set to expire and billions of dollars in automatic spending cuts — spawned by last summer’s debt-ceiling debate — are set to take effect. Lawmakers on both sides of the aisle are hoping to shift around those spending cuts to spare key areas like defense, and to temporarily extend the Bush tax rates for at least some Americans. Some have warned a failure to do so could send the nation back into recession.

But Sen. Patty Murray, D-Wash., indicated Democrats are willing to let the deadline pass in order to better their negotiating position.

“So if we can’t get a good deal, a balanced deal that calls on the wealthy to pay their fair share, then I will absolutely continue this debate into 2013 rather than lock in a long-term deal this year that throws middle-class families under the bus,” she said in prepared remarks for a speech she plans to give Monday afternoon at the Brookings Institution. Murray is head of the Democratic Senatorial Campaign Committee, the campaign arm for Senate Democrats.

[...]

Which party has clearly offered compromises?  The Republican Party, which has repeatedly said at the very highest levels (including at the level of GOP presidential nominee Mitt Romney during his campaign along with John Boehner and the entire Republican leadership) to allow tax revenue increases by ending many tax loopholes that favor the rich or simply by capping the exemptions at a certain dollar level such as $50,000.  This would raise nearly as much revenue as what Obama called for.

What has Obama offered by way of “compromise”?  Well, he is now demanding DOUBLE what he demanded the last time.  His starting position was to hike taxes on the rich whose investment and job creation is vital to economic growth, and his current position hasn’t changed so much as a tiny smidge.

Somehow, in this age when we are getting ready to worship the Antichrist and take his mark on our right hands or our foreheads if we want to participate in the economy in any way, shape or form, that’s “compromise.”

Meanwhile, the Republicans – who have now offered massive compromise – are “obstructionists.”  Because in this age right before the beast comes not going along with absolutely EVERYTHING the liberals want is “obstructionism.”

“Balance” is letting the Democrats have everything they demand.  “Balance” is threatening economic terrorism and blowing up America if they DON’T get absolutely everything they demand.

My goal was to document this reality.

Because if we go off the cliff, it is a documented historical fact that one party and only one party publicly advocated for going off the fiscal cliff.  And that is the Democrat Party.

When we collapse – notice I don’t say “if” – it will be because of reckless Democrat spending that everybody with a soul knew was utterly unsustainable.  It will be because the Democrats figured out how to successfully demagogue the lowest and basest nature of the American people.  It will be because Democrats have successfully baited and switched the American Dream of becoming independently successful with the Marxist Dream of government redistributionism.  It will be because we turned out backs once and for all time on the notion that we grow when we provide incentives for people to work harder and to invest more and to take more risks and instead punished the people who work harder and invest more and take more risks.  All that said, I believe that Democrats will be successful again: when the system crashes Democrats will exploit that collapse THAT THEY CAUSED to take complete control of the government.  Because hungry, terrified people – particularly given the fact that they are bad people – will demand the government step in to help them.  And that will be the moment that America fulfills the dreams of socialists ever since Karl Marx by truly officially embracing socialism.

It’s all so close now.  And it will take so little to trigger the coming collapse.

Update, 11/27:

And guess what?  Now EVEN MORE DEMOCRATS ARE WILLING TO THROW AMERICA INTO A DEPRESSION TO DEMONIZE THEIR WAY INTO GETTING WHATEVER THE HELL THEY WANT:

More Democrats Willing to Go Over ‘Fiscal Cliff’ Monday, 26 Nov 2012 04:21 PM By Stephen Feller

A growing number of Democrats say they are willing to let the country go off the fiscal cliff if a deal cannot be reached by Jan. 1 that raises taxes on the top two percent of earners while protecting costly entitlement programs.

Their theory in this game of chicken with Republicans is that it will be easier in January to lower taxes for 98 percent of the country while finding the best possible parts of the federal budget to cut — in line with long-held goals of the nation’s liberal party. They also think they’ll be in a better position to save most, if not all, of massive entitlements like Medicare as well as pet projects.

The fiscal cliff, originally created to force a legislatively-appointed supercommittee to make significant cuts to the federal budget, is roughly $500 billion mix of budget cuts and tax increases.

It includes the expiration of the Bush-era tax cuts and Obama-era payroll tax cut, massive cuts to the military and jobless benefits, and a decrease in Medicare reimbursement rates.

This will send tax on bond interest to 44.6 percent from 35 percent; on capital gains to 25 percent from 15 percent and on dividends to 44.6 percent from 15 percent, Forbes magazine pointed out Monday.

The average family will pay an extra $2,000 to $3,000 in income taxes if Congress fails to reach an agreement before the Bush tax cuts expire on Jan. 1, according to the Congressional Budget Office.

The economy would shrink by 0.5 percent, the CBO has found.

Experts have consistently predicted that the overall economy would take a massive hit if the country goes over the cliff, likely sending it into recession. Still, since July, Democrats increasingly have made the case that it wouldn’t be so bad.

Led by Sen. Patty Murray, D-Wash., Democrats have pushed the idea that the cliff is not as bad as the hype, with it being more of a “slope” than a “cliff.”

Pentagon cuts, they say, would be phased in, and the tax hikes, including the payroll hike, could also be slowed. If this happens, according to The Center on Budget and Policy Priorities, there would be a few weeks at the beginning of 2013 for a deal to quickly be reached.

Sen. Charles Schumer backs Murray, also saying that Democrats can’t cave in. He and other Democrats believe that Obama won a mandate for increased taxes with the presidential election.

“[President Obama] campaigned on it clearly,” the veteran New York Democrat said on “Meet the Press.” “He didn’t back off it.”

Also weighing in on Monday in a New York Times Op-Ed was billionaire investor Warren Buffett, who has said he think the country will be just fine going over the fiscal cliff.

While it’s not ideal, the founder of Berkshire Hathaway thinks that Obama must be willing to keep pushing for higher taxes on the wealthy, even if it triggers the automatic onset of tax increases and spending cuts on Jan.1.

The U.S. economy, he said, can weather it for a month or two. “We’re not going to permanently cripple ourselves,” Buffett told CNN last week.

Buffett shrugged off the Congressional Budget Office’s warnings that failure to address the fiscal cliff by Dec. 31 could lead to a recession.

“We have a very resilient economy,” said Buffett, a long-time Democrat and staunch Obama supporter. “The fact that [lawmakers] can’t get along for the month of January is not going to torpedo the economy.”

But even as some Republicans waver on taxes, others have renewed the call for no tax hikes.

“A tax increase never created a new job in this country,” Rep. Tom Price, R-Ga., said on “Fox News Sunday.” “It doesn’t make any sense to us to raise taxes on job creators in this time of economic challenge.”

And House Speaker John Boehner, R-Ohio, has said raising tax rates will stymie job creation. But he also said he is willing to raise revenue through tax reform and by eliminating “loopholes” in the tax code.

House Majority Leader Eric Cantor, R-Va., has not said whether he would vote for tax increases.

“A lot has been said about this pledge,” Cantor said on MSNBC Monday morning, referring to the popular no-tax pledge pushed by anti-tax activist Grover Norquist.

“I will tell you when I go to the constituents that re-elected me, it is not about that pledge, it really is about trying to solve problems,” Cantor said. “And as we know, this election we just went through is very much about, number one, what are we going to do to reclaim a momentum in this economy? How do we get us back to that? And, two, how do you solve a problem?”

Senator Jeff Sessions of Alabama, the senior Republican on the Senate Budget Committee, echoed Cantor, saying in an interview that reforming the outdated tax code could stir up new revenues without raising tax rates.

“We need to create growth, which creates jobs, not damaging growth by huge tax increases,” Sessions told Fox News.

A CNN/ORC International poll released Monday shows a solid majority of respondents — two-thirds — supports the Democratic stance that any agreement should include a mix of spending cuts and tax increases. Of that total, Republicans favor such an approach by 52 to 44 percent.

Even if effects of the cliff felt by Americans could be held off temporarily, the markets may not fare so well.

“Markets are going to go into an absolute tailspin, and I don’t think we want to risk that, especially with leadership right now trying to find a deal,” said Gabriel Horwitz, director of the economic program for Third Way, a centrist think tank. “I think the market reaction is going to happen immediately.”

“Rather than stop the country from going over the fiscal cliff and preventing the expiration of the 2001 and 2003 tax relief, they are prepared to Thelma-and-Louise the American economy right over the cliff,” said Sen. Orrin Hatch, R-Utah, the top Republican on the Finance Committee. “That is an astonishing admission.”

William Galston, a senior fellow in governance studies at the Brookings Institution, told CNN that Murray’s form of brinksmanshipis best avoided.

“To be sure, no one believes that non-agreement by December 31 would be the end of the story. After a period of finger-pointing, discussions would resume,” Galston wrote last week in a New Republic opinion piece. “But equally, no one knows how the failure to reach agreement before the end of 2012 would affect the dynamics of the negotiations.”

In addition, “we can be reasonably sure … that national and global markets would react adversely and that businesses, which are already retreating from planned investments in new plant and equipment, would become even more uncertain and risk-averse.”

Murray said in July, and again after the election in November, that without increasing taxes for some Americans, Democrats would balk at any deal Republicans propose.

By waiting until January to cut taxes for the bottom 98 percent, rather than increasing taxes for the top two percent, it may be easier for Republicans to support the concept – based on timing and semantics, Murray and other Democrats seem to think.

“We can’t accept an unfair deal that piles all of this on the middle class and tells them they have to support it,” Murray said on ABC in November. “We have to make sure that the wealthiest of Americans pay their fair share. If Republicans, many of whom were elected after campaigning against tax hikes, won’t agree, Democrats shouldn’t blink… We’ll start over next year and whatever we do will be a tax cut for whatever package we put together. That may be the way to get past this.”

While many Republicans are now saying that they’d be willing to violate Norquist’s pledge under the right circumstances, removing the spectre of actually voting to raise taxes would make it easier for them, she surmises.

Sen. Lindsey Graham said on ABC this Sunday that the pledge was not his major concern, as long as Democrats offer cuts to entitlements and other drains on the budget alongside the tax hikes.

“I will violate the pledge, long story short, for the good of the country, only if Democrats will do entitlement reform,” Graham said.

House Minority Leader Nancy Pelosi, D-Calif., told ABC that it’s not her “role to go to the table with a threat… I think it’s my role to go to the table with some ideas, to be receptive to what we can come to agreement on.”

However not all Democrats agree that the threat of going over the cliff should not exist.

Sen. Jay Rockefeller, D-W.Va., and Sen. Tom Harkin, D-Iowa, have circulated a letter demanding that Obama start negotiations at a 1-to-1 ratio of spending cuts to revenue increases, putting them in line with many in the party who want to see a harder line taken by Democrats.

Increasing federal revenue is the most important part of any negotiation, and though a deal before reaching the cliff is ideal, Rep. Peter Welch, D-Vt., joined many others in his party and said waiting until January may be the best option.

“If the Republicans can’t see their way to significant additional revenues targeted toward the people who are best off and targeted toward passive income and other things like that, then we’re better off going over the cliff and readdressing this with a better Congress in January,” said Rep. Peter DeFazio, D-Ore. “And we would have plenty of time to fix it.”

.

 

As We Stare Into The Abyss Of A Great Depression, Let Me Ask You: WHO WAS RIGHT?

August 9, 2011

This is actually the concluding paragraphs of an article I wrote yesterday, but I thought the question merited its own title:

Let me ask you something. I’ve said repeatedly that Barack Obama – the president of God damn America and the symbol of God’s wrath on this nation until this disgrace leaves office IN disgrace – would lead us into a Great Depression with his reckless and depraved spending. Meanwhile, Obama, the Democrat Party and the left said that Obama would lead us unto a glorious recovery.

I’ve been pointing out since December 2008 right after Obama was elected that we would be staring into the abyss of a Great Depression due to this evil man’s failed policies. I pointed out in that article that the Great Depression began with a market tank, followed by a series of failed liberal-progressive policies that were like sugar for a diabetic; at first things seemed to get better, and then we had the real crash. You look at what I wrote in that article and tell me that we aren’t right on schedule.

We have the worst economy since the LAST time a failed socialist ran it into the ground in the 1930s. Surprise, surprise.

Let me point out that as early as October of 2008 I was pointing out the FACTS that CEOs “went as far as to say that “some of his programs would bankrupt the country within three years, if implemented.” Let me point out that I pointed out that same fact again in February 2009 after Obama’s foolish and wicked policies started taking shape.

Who was right? And who has been totally full of CRAP from the getgo?

Conservatives have been right again and again and again and Democrats have continued to demonize us even as their own failed policies have kept failing just like we said they would.

Why didn’t Obama’s stimulus plan work?  Because the government sucking money out of the productive marketplace and squandering it has NEVER worked.  And so surprise surprise, a little over a year after Obama’s destined-to-fail Keynesian spending binge was implemented, economists acknowledged that it had failedJUST LIKE WE CONSERVATIVES SAID IT WOULD TO ANYONE WHO WOULD LISTEN TO REASON.  And about that same time investors were starting to scream that Obama was pathologically anti-business.  But liberals said “We don’t need no stinkin’ business.” 

History repeats itself when fools don’t pay attention to it.  And America in 2008 was a nation of fools.  We elected a man who represented the policies that created and sustained the Great Depression.

And as I’ve been warning over and over, we’re going to pay dearly for it.

Don’t get me wrong here. We’re going to have a sucker’s rally at some point. BECAUSE THERE ARE A LOT OF STUPID PEOPLE.

Democrats ran both the House and Senate since the November 2006 elections when unemployment was 4.6% as Nancy Pelosi and Harry Reid and the Democrats took over Congress.  Most Americans have no idea whatsoever that the LAST budget that Republicans passed (and I note that it has been 833 DAYS since Democrats have bothered to pass a budget) had a deficit of only $161 billion dollars.  Democrats have since utterly skyrocketed our reckless deficit spending into the trillions of dollars.  And all the while they have done nothing but blame and demonize Republicans.

I made a point in an article I wrote recently:

Now, let’s just say for the sake of argument that you were watching the Democratic National Convention in August of 2008 and came to the belief that the mainstream media coverage was so blatantly biased and dishonest that Barack Obama was going to win the election. And you had a vision of the sheer smackdown that would happen in this “God damn America.”

So you made an appointment with your portfolio manager and told her you wanted to cash out all of your stock holdings so you could put your investment nest egg into silver and gold.

What do you expect your portfolio manager would say? Do the words, “This is a big mistake. Trust me, the stock market is not going to collapse. The average gains of the stock market invariably outperform gold indices. Blah blah blah.” The bottom line is that if you pull your money out of the fund she manages, she’s not going to get any more of your money.

Well, the fool who did that would have bought all kinds of silver at about $13 an ounce and gold at about $825 an ounce. And that fool would have more than doubled his money while everybody else lost their shirt, then got part of their shirt back if they played the game right, then lost their shirt again.

I describe that individual who bought silver and gold because he truly believed Obama would be a total disaster who would create a second Great Depression and put America into food riot conditions (and see I was saying that after the Obama victory in November 2008).

And so “the fool” bailed out of the economy of the most evil man who has ever led this country and bought the only thing that made any sense to buy if he was right.

And who was right?

“The fool” who bet against Obama bought gold at $825 an ounce and that same gold is worth over $1,700 an ounce as of COB Monday.  That fool bought silver at about $13 an ounce and that same silver is worth nearly $40 an ounce Monday.  Then that fool went to bed and woke up this morning and saw that gold was saying good morning to him at $1,770 an ounce.  And silver was down slightly from the previous day so he’d only tripled his money from the day he bought the stuff by the pound.

Who was right?  The fool who bet Obama was a fool or the downgraded president who has now been factually proven wrong a ten thousand times times ten thousand times???

[Update, 8/9/11]: The above was written on August 8 and pulished early this morning; what follows is written in the hindsight of the market rebound today.

Well, I knew we’d get a sucker’s rally, and we sure got a sucker’s rally today.  After plunging to its sixth worse loss ever, the Dow rallied to its eleventh greatest gain ever.  I didn’t think we would see such a rally so quickly and I certainly didn’t think the Fed would throw this kind of a hail Mary pass by announcing that already rock-bottom interest rates would remain the same for two years.

Obama and his teleprompter showed up yesterday and neither one of them had any plan or any clue as to what to do. Fortunately, I suppose, Ben Bernanke DID have a plan. It’s not QE3, but it’s kind of like a QE3; basically, by enabling the banks to borrow money at near zero percent interest, banks (which were absolutely CLOBBERED in yesterday’s bloodbath) can make a ton of money by loaning that same money at a higher interest rate.

This was virtually the only trick the Fed had left.

The risk of this dramatic and basically UNHEARD of two-year freeze on rock-bottom interest rates is summed up in a very short paragraph expressing the concerns of the three Federal Reserve heads who voted against Bernanke’s aggressive move:

“Fisher and Plosser have warned repeatedly that the Fed risks stoking inflation or another asset bubble by keeping money too easy for too long.”

This seems to be the right point to state that we haven’t had dissent at the Fed since November 1992.

So why do the three Fed heads disagree with this policy?  Basically,  they understand that the artificially low interest rates created by the Federal Reserve are a rigged game.  The co-owned Federal Reserve, banks, and Wall Street firms benefit from the policy, while people who are trying to save money lose out because the artificial interest rates simply do not honestly reflect the weakening dollar and the rising prices we are clearly seeing all around us.  It amounts to a tax on savers and a subsidy for spenders.  Here’s an article on that gimmick by a writer pleading with Bernanke to allow interest rates to reach their market equilibrium well before his ploy today.

And artificially low interest rates also clearly increases the risk of an asset bubble (e.g., that’s what blew up our economy in 2008 with said “asset” being real estate) because it incentivizes people to increase their debt load far beyond what they can afford.

Ultimately, what Ben Bernanke did was kick the can down the road.  Because in two years (hint: AFTER Obama is up for re:election) we’re going to HAVE to see a spike in interest rates that will absolutely slaughter both the bond markets AND the stock markets.  We always selfishly think that whatever crisis we have now justifies setting up an even worse crisis later, just as we always foolishly believe that in a couple of years we will have developed the will to embrace tough choices that we clearly don’t have the will to face now.

A year ago now I pointed out that:

An increase in the money supply is rather like an overdose of drugs. And in this case the effect of the overdose will be hyperinflation. Basically, the moment we have any kind of genuine recovery, our staggering deficit is going to begin to create an ultimately gigantic inflation rate. Why? Because we have massively artificially increased our money supply beyond our ability to actually produce real wealth, and that means that money will ultimately be devalued. There’s simply no way it can’t be. If simply printing money solved financial problems, the government could just mail everyone several million dollars, and we could all retire. The problem is that more money chasing a limited supply of goods simply pushes up prices higher and higher without doing anything to solve the underlying economic problems. If we have a recovery, with increased economic activity, there will be increased demand on the money supply, forcing an upward climb in interest rates as a means of controlling the currency. And then we’ll begin to seriously pay for Obama’s and the Democrat Party’s sins. Paradoxically, the only thing preventing hyperinflation now is the recession, because people aren’t buying anything and therefore aren’t competing for those limited goods.

What I am essentially saying is that the government’s constant monkeying around has created a dilemma: as long as we remain in recession conditions, things will continue to suck as we slowly grind along.  But if we actually start to experience a real recovery, we’re going to very quickly get a crippling punch in the gut as the interest rates we’ve been holding down for FAR TOO LONG begin to rise in an out-of-control manner.  I’m not talking about “politics” or “economics” when I say this: it is simply the grim reality of physical math on a balance sheet.

The Bernanke move will ultimately hurt us badly.  Just not today.

Meanwhile, nothing else has changed.  The horrible fundamentals of our economy and the greater world economy are still just as horrible today as they were yesterday.  Europe’s sovereign debt crisis is still spiralling out of control. with France and England joining Italy and Spain as being both broke and “too big too bail”; and nothing whatsoever about our ravaged and dysfunctional economy has changed in any way, shape or form from the moment that the market began to take off after the Fed announcement.

In explaining its move today, the Fed wrote:

Information received since the Federal Open Market Committee met in June indicates that economic growth so far this year has been considerably slower than the Committee had expected. Indicators suggest a deterioration in overall labor market conditions in recent months, and the unemployment rate has moved up. Household spending has flattened out, investment in nonresidential structures is still weak, and the housing sector remains depressed. [...]

Consistent with its statutory mandate, the Committee seeks to foster maximum employment and price stability. The Committee now expects a somewhat slower pace of recovery over coming quarters than it did at the time of the previous meeting and anticipates that the unemployment rate will decline only gradually toward levels that the Committee judges to be consistent with its dual mandate. Moreover, downside risks to the economic outlook have increased. [...]

Which is to say that 1) Growth has been “considerably slower” than expected; 2) Labor market conditions have deteriorated substantially; and 3) Household spending has “flattened” (actually it has tanked); and 4) The housing sector remains depressed (and is literally more depressed than the Great Depression).

Anybody who believes that today’s Fed action or the stock market’s immediate reaction to it is simply a fool. The very reason the Fed even resorted to this dramatic and risky move was because things truly suck, and are expected to remain terrible until at least 2013.

The Fed, essentially in desperation, is now going to attempt to force bond yields to remain low while trying to keep stock prices high – which they define as “price stability.”  This entire process will in fact virtually REQUIRE the Fed to do a QE3 (which they did not feel they could do now because it was far too early after just-ended QE2), according to analysts from CNBC.  And the Fed is simply not worried about inflation at this point because they think they have bigger fish to fry.

When they get to the QE4 point – which QE3 itself will guarantee just as the ending of QE2 itself guaranteed QE3 - they will simply forgive their own debt and the system will run amok until it completely crashes due to hyperinflation.

I know I make all this sound so cut and dry that, if I’m right, any fool ought to be able to see what I’m describing and avoid the pitfall I predict.  And so it is easy to conclude that I simply can’t be right. 

I don’t doubt that the thinkers at the government and the Fed and Wall Street who are making these ruinous decisions are well familiar with the history of hyperinflation (e.g. the Weimar Republic or Africa); and they know the dangers of their policies.

But there’s another attribute these decision-makers have in addition to their pathological refusal to accept responsibility when they can kick the can down the road and make the future pay for their actions now instead; and that attribute is hubris.  Which is to say they reason, “Yes, that problem always happened before when a government did what we’re doing now, but we’re smarter.  And we have computers.  And so what happened to everyone else who did what we’re doing now won’t happen to us.”

And the thing about computers that has always been true is garbage in, garbage out.  The economic models these thinkers are plugging into their computers are filled with preconceptions that are in fact basically the same preconceptions that failed so wildly in the Weimar Republic.  And it doesn’t matter how many digits to the right of the decimal point your computer can calculate; when your assumptions are wrong, your model will turn out wrong.

By the way, “the fool” who bought so much gold was quite happy today.  That is because there is no point saving money, and the only two basic options are to risk your money in risky equities or to buy gold; so gold will continue to increase in value, baby.

They talk about “fool’s gold” (iron pyrite), which fools think is real gold.  But real genuine gold has the property of revealing fools in another way: consider that gold has spiked twice since 1970: during the misrule of the fool Jimmy Carter and now during the misrule of the fool Barack Obama:

What I said back in May seems to remain true: “Everyone But Obama And Obama’s Fed Knows That Prices Are Rising Drastically.”  And given our massive and wild market fluctuations the picture I provided in that article continues to describe Obama’s roller coaster economy:

As an American Thinker article correctly predicted shortly after the national disaster a.k.a. the Obama victory in 2008: “Hang on, this will be a rough period ahead.”

Who was RIGHT?

[Update, 8/10/2011]: Oh, oh.  It looks like that wild roller coaster ride is going DOWN the steep track again.  The DOW was down 520 points – more than erasing the gains from the previous day and putting the kibosh on the television talking head narrative that we were about to enter better days because the Fed had saved us.

I didn’t know we’d go up 430 points yesterday on the Fed’s hail Mary.  I didn’t know it would tank 520 today on the most radical market roller coaster in my lifetime.  But I know that Barack Obama will fail and bring America down with him unless the people stand up and STOP HIM.  This is God damn America now under Obama.  And God damn America is going to go down hard unless we stand up and repent of the evil that is the Obama agenda.

And that “fool” who bet that Obama would wildly fail is thrilled with his bet that Obama would ruin America, with gold soaring to over $1,800 an ounce today.

Newsflash: 43% Of Tea Party Caucus “Terrorists.” Versus 49% Of Entire Democrat Party.

August 2, 2011

The vile diatribe from the left that the tea party people are “terrorists” is another example of the fact that if you are a Democrat or a liberal, YOU ARE A LIAR WITHOUT SHAME.

We were told that the tea party was “holding America hostage.”  They were like “terrorists.”  They were “suicide bombers.”  Etcetera etcetera etcetera.

Even Vice President Joe Biden called the tea party “terrorists.”

Vice President Joe Biden joined House Democrats in lashing tea party Republicans Monday, accusing them of having “acted like terrorists” in the fight over raising the nation’s debt limit.

Biden was agreeing with a line of argument made by Rep. Mike Doyle (D-Pa.) at a two-hour, closed-door Democratic Caucus meeting.

“We have negotiated with terrorists,” an angry Doyle said, according to sources in the room. “This small group of terrorists have made it impossible to spend any money.”

Biden, driven by his Democratic allies’ misgivings about the debt-limit deal, responded: “They have acted like terrorists,” according to several sources in the room.

I pointed this out yesterday as the vote THAT THE OBAMA WHITE HOUSE SAID WAS ESSENTIAL TO SAVE AMERICA FROM A GREAT DEPRESSION was going down.

Today, after the dust has cleared, we learn that 43% of the “right wing” “terrorist” “suicide bomber” “Hezbollah” “hostage taking” House tea party caucus voted for America to have the Great Depression.  BUT 49% OF THE ENTIRE DEMOCRAT PARTY WANTED THE SAME GREAT DEPRESSION.

And for the official record, THAT IS A HELL OF A LOT MORE DEMOCRAT TERRORISTS THAN REPUBLICAN TERRORISTS, you depraved, immoral, liberal jackass media propagandists.

Even the New York Times acknowledges the tea party really wasn’t quite so “terrorist” after all:

But almost three-quarters of Republicans voted in the affirmative. And even the Tea Party came around in the end. By 32-to-28, members of the Tea Party Caucus voted for the bill, despite earlier claims — which now look like a bluff — that they wouldn’t vote to raise the debt ceiling under any circumstances.

These results seem to suggest that Mr. Obama left something on the table. That is, Mr. Obama could have shifted the deal tangibly toward the left and still gotten a bill through without too much of a problem. For instance, even if all members of the Tea Party Caucus had voted against the bill, it would still have passed 237-to-193, and that’s with 95 Democrats voting against it.

By your own twisted standards, The Democrat Party is the official party of terrorism in the United States.  And THAT IS EVEN WHEN COMPARED TO JUST THE TEA PARTY CAUCUS.

The average Democrats is even more “radical” and “extremist” than even THE most radical and extremist element of the Republican Party.

And Democrats – as is proven again and again and again – are the worst kind of hatemongers and liars on a daily basis.

Demonic Democrats Compare Republicans To ‘Terrorists’ For ‘Obstructing’ Debt Ceiling Vote. LOOK HOW DEMOCRATS ARE VOTING!!!

August 1, 2011

Here we are.  Tomorrow is the deadline.  According to the Obama White House on July 26:

“We are seven days away from an unprecedented financial event in this country’s history. One that could potentially put us towards a depression because the House Republicans, led by Speaker Boehner, are unwilling to compromise one inch.”

Let’s see.  Get out my calender.  There are 31 days in July.  That means the date for the Great Depression begins …. tomorrow!

Now, one party has been pretty consistent about comparing the other party to terrorists:

Vice President Joe Biden joined House Democrats in lashing tea party Republicans Monday, accusing them of having “acted like terrorists” in the fight over raising the nation’s debt limit.

Biden was agreeing with a line of argument made by Rep. Mike Doyle (D-Pa.) at a two-hour, closed-door Democratic Caucus meeting.

“We have negotiated with terrorists,” an angry Doyle said, according to sources in the room. “This small group of terrorists have made it impossible to spend any money.”

Biden, driven by his Democratic allies’ misgivings about the debt-limit deal, responded: “They have acted like terrorists,” according to several sources in the room.

This utterly vile and one-thousand percent hateful and demagogic tactic is ALL over the place at the Democrat Party and the mainstream media propaganda machine.

But here we are.  Tomorrow we go into the Great Depression according to the Obama position.  Obama is either lying – which means he should be impeached – or he is pointing out that the Congress MUST agree to this deal that is now on the table or … we … will … all … PERISH.

And who are the actual terrorists?  Oh, I see Michelle Bachmann.  Check.  And I see Jason Chaffetz.  And then oh my God the rest of the terrorist who want to plunge America into the next Great Depression are ALL DEMOCRATS.  Lo and behold the TERRORIST DEMOCRATS outnumber the terrorist Republicans 11-2 on a must-pass vote backed by Barack Obama and Harry Reid.

There’s this:

75+ of the “Progressive Democrats”-AKA Socialist Faction of the Democrats in the HOUSE are outright saying they will NOT vote for the BIPARTISAN bill, along with the Democrat BLACK CAUCUS and then “Progressive Democrats” in the SENATE; so, where is that article CNN, ABC, CBS or MSNBC?

So there are just ALL KINDS OF TERRORIST DEMOCRATS who are voting to send America into the GREAT DEPRESSION – and that according to the Obama White House.

And Nancy Pelosi isn’t even bothering to TRY to whip a deal to influence Democrats to vote yes on a bill that Obama says we need to prevent the Great Depression!!!

The Democrat Party has passed ZERO bills to save America from THE GREAT DEPRESSION.  Barack Obama – who told us that we were in danger of the Great Depression if someone didn’t save us – offered ZERO leadership to SAVE US.  And thank God for Republicans who actually passed THREE bills whose votes saved America from the Great Depression that terrorist Democrats (again, that according to the Obama White House) voted to plunge America into.

It never ceases to amaze me just how despicably dishonest and blatantly morally EVIL Democrats are.  Democrat radical extremists outnumber the fringe Republicans at least a dozen to one, and yet these lying demonic hypocrites routinely demagogue the side of rationality as “extremists.”

I listened to Caifornia Democrat Rep. Karen Bass, who said the Democrat Party was planning to wait for the vote to begin because the Democrats want to see the Republicans have to stand up for this bill.  That’s because Democrats are cowardly, slanderous, vile, backbiting, undermining, demagogic cockroach scum who live to let others lead so they can demonize them for trying to do the right thing.

[Update] As of this moment (3:53 PST), 129 Republicans have voted yes ON A BILL THAT WILL PREVENT THE GREAT DEPRESSION compared to 12 Democrats.

[Update 3:55 PST] Now it’s 137 Republicans wanting to avoid a Great Depression compared to 15 Democrats.  47 Democrats are terrorists who want to plunge America into the Great Depression.

[Update 3:59 PST] Now 148 Republicans are joined by only 19 Democrats who aren’t terrorists and who voted against the Great Depression.

[Update 4:00 PST] Gabrielle Giffords – who knows a thing or two about terrorism now – showed up to vote for the bill.  Unlike most of her terrorist Democrat party.

[Update 4:02 PST] Now 153 Republicans who have voted not to have a Great Depression have been joined by only 19 Democrats.

Update 4:03 PST] 160 Republicans don’t want a Great Depression.  Only 21 Democrats feel the same way so far.  57 Democrats are terrorists.

[Update 4:05 PST] 97 Democrats still haven’t voted, proving that what Karen Bass said was in fact correct; Democrats had a strategy to make sure their moral superiors voted and put themselves on the line.

[Update 4:06 PST] The vote just passed with overwhelming Republican support [i.e. Republicans who voted to save America from the Great Depression].

You want to see a terrorist?  You want to see someone who wants a Great Depression?  Just look at the Democrat Party.

The way Democrats held back on such a critical vote is simply cowardly beyond compare.  If you are a Democrat, you are simply a craven human being.

We need moral courage and leadership now more than at any time in our nation’s history, and we have been cursed with Democrats.  The Democrat Party has taken the spirit of its messiah, Barack Hussein Obama, who voted “present” 130 times as an Illinois Senator rather than stand up and LEAD.  From the New York Times, December 20, 2007:

The record has become an issue on the presidential campaign trail, as Senator Hillary Rodham Clinton of New York, his chief rival for the Democratic nomination, has seized on the present votes he cast on a series of anti-abortion bills to portray Mr. Obama as a “talker” rather than a “doer.” [...]

An examination of Illinois records shows at least 36 times when Mr. Obama was either the only state senator to vote present or was part of a group of six or fewer to vote that way.

In more than 50 votes, he seemed to be acting in concert with other Democrats as part of a strategy.

And consider going on four years later Obama is STILL an abysmal failure of leadership even according to Hillary Clinton:

“Obviously, she’s not happy with dealing with a president who can’t decide if today is Tuesday or Wednesday, who can’t make his mind up,” a Clinton insider told The Daily. “She’s exhausted, tired.”

Now consider the entire Democrat House of Representatives basically acting like 193 Obamas.

I’ve said it often before: this is God damn America.  This is a leaderless, rudderless ship about to plunge into an iceberg and sink.

More Americans Than Ever Think America Heading Into A Depression (Thanks Obama!)

July 6, 2011

We keep hearing the mainstream media repeat the Obama narrative that Obama saved America.  Really?

He’s made everything WORSE, not better.  And most Americans KNOW it.

Poll: Record-high number think country headed into depression
By JENNIFER EPSTEIN | 6/8/11 12:06 PM EDT

A record-high of nearly half the country fears the economy is careening  toward a depression, helping push President Barack Obama’s approval rating down by six points  in just the last two weeks, according to a new poll.

The president’s approval rating stands at 48 percent in the CNN/Opinion Research Corporation poll released Tuesday, down from 54 percent in late May in the same poll. His disapproval rate rose three points to 48 percent.

Obama’s approval among Democrats has dropped three percent to  82 percent and is dipped five percent among independents to 42 percent.

Obama’s dropping numbers come as Americans’ fears that the country is headed  into another Great Depression are higher than they’ve ever been in the CNN poll.  In all, 48 percent of those surveyed said another great depression is likely in  the next 12 months, while 41 percent said the same in 2009 and 38 percent said  so in 2008. A slight majority – 51 percent – said they don’t think the economy  will plunge into a deep depression.

But while Americans are voicing concern that the economy is getting worse and  plunging toward a depression, Obama said Tuesday that he’s “not concerned about a  double-dip recession.” Job growth in May totaled 54,000 jobs, far fewer than the  economy has create for several consecutive months, but Obama said it’s not yet  clear if last month was “a one-month episode or a longer trend.”

If it turns out to be a longer trend, it could be detrimental to Obama’s hopes of reelection.

Fifty-one percent of those surveyed said that the economy is extremely important in determining their votes  for president, while 41 percent said it is very important. Unemployment is  second on the list of issues that respondents said are key to their voting  decisions, with 45 percent saying it’s extremely important. Other issues  including the deficit, terrorism and illegal immigration are extremely important  to smaller proportions of those surveyed.

The poll was conducted June 3-7 and surveyed 1,015 adults. The error margin  is plus or minus three percentage points.

Combine the fact that more Americans than EVER BEFORE believe America is heading into a GREAT DEPRESSION with this Gallup finding and explain to me why this fool has any chance whatsoever of getting re-elected beyond the fact that we may have become the nation of sheep and fools that our ancestors feared:

Gallup: In No Month of Obama Presidency Has Majority Believed Economy Improving
Tuesday, July 05, 2011
By Terence P. Jeffrey

(CNSNews.com)Barack Obama has now been president for more than 29 months, yet in none of those months has a majority of Americans believed the nation’s economy is getting better rather than worse, according to the Gallup poll.

In fact, in no month of Obama’s presidency has belief that the economy is getting better exceeded 41 percent among American adults, a peak it reached in April 2010 and again in January 2011.

In the most recent three day-period reported by Gallup—July 1-July 3—only 31 percent of Americans said they believed the economy was getting better. Meanwhile, 63 percent said they believed it was getting worse.

Each day, Gallup asks approximately 500 American adults a simple question: Do they think that economic conditions in the country as a whole are getting better or getting worse? Gallup then regularly publishes the most recent three-day average percentage for each answer, while periodically publishing the monthly averages.

While 41 percent is the highest percentage of Americans who told Gallup they believed the economy was getting better during any month of the Obama presidency, there have been some three-day periods in which a somewhat higher percentage told Gallup they believed the economy was getting better.

However, since the three-day period ending on Oct. 15, 2009, according to day-by-day data released by Gallup, the percentage of Americans who said in any three-day period that they believed the economy was getting better peaked at 46 percent on Dec. 30, 2009-Jan. 3, 2010.

The last time as many as 40 percent of Americans said they believed the economy was getting better was in the three-day period that ended on Feb. 16, 2011.

In June, belief that the economy was getting better never rose higher than 34 percent in any three-day period.

That’s right.  There has never been so much as a SINGLE month that the American people have EVER believed Obama was making the economy better.

This is truly the days of the Failure-in-Chief.

Obama is the most cynical demagogue since Hitler.  If he manages to get re-elected, it will be for one reason and one reason only: the American people have become depraved and perverted, and depraved and perverted people believe lies and cannot understand the truth.

‘Transparency’ In Action: Obama Blocks Media To Conceal Failures

July 8, 2010

Let’s see.  Hope?  No freaking way.  Change?  Yes, but it’s really, really BAD change.  Even die hard and hard-core liberals like Robert Reich and Paul Krugman are predicting that Obamanomics are leading us into a double-dip recession IF we’re lucky enough to avoid a depression. Transparency?

Ooh, boy.

Afghan violence is soaring.  Obama’s own handpicked general is saying that the president is overwhelmed and unprepared, and that his civilian leadership team is a bunch of incompetent clowns.  All the evidence indicates that Obama is massively failing in Iraq.

What should he do?

Well, he should do the same thing in Afghanistan that he’s going to do about all his calamitous failures in the Gulf of Mexico.

He’s going to make sure that the media doesn’t have a chance to report the truth about what a failure he is at everything he touches.

Obama is going to clamp down on senior military commanders’ access to the media.  Oh, that directive has NOTHING to do with the McChrystal fiasco, just as my writing this article on Obama banning the media has nothing whatsoever to do with the new media ban policy.

From the Wall Street Journal:

WASHINGTON – Defense Secretary Robert Gates on Friday issued a directive to all senior Pentagon military and civilian officials saying their dealing with the media “has grown lax” in recent months and ordering them to get approval for all engagements with the press through his office.

The directive, a two-page memo signed by Mr. Gates, comes just days after Gen. Stanley McChrystal was fired as commander in Afghanistan for intemperate remarks made to Rolling Stone magazine. The existence of the directive was reported by the New York Times and a copy was obtained by The Wall Street Journal.

Despite the timing, Geoff Morrell, the Pentagon press secretary, said it had been in the works for months before Gen. McChrystal’s firing. “This memo was written well before that,” Mr. Morrell said. “He thinks the department has been much too cavalier with its handling of the press.”

Now, you’d THINK they’d just admit the obvious and say, “That McChrystal thing was a real disaster, and we need to try to prevent something that disgraceful from happening again.”  But this is the most pathologically dishonest administration in history.  It’s like they have a perfect record on lying, and they’re not going to break it by telling the truth now.

This just goes back to Rahm Emanuel’s “Never let a crisis go to waste” mindset.

This is an administration that is so hostile to actual transparency that it has actually closed workshops on government openness to the public and blocked the press from attending transparency and accountability board meetings.

On front after front, this is the most opaque administration ever.  They block themselves off from media accountability even as they pat themselves on the back for their transparency.

This is the kind of administration that claims that it is advancing the will of the people when they are cynically defying and misrepresenting the will of the people.

It’s a constant pattern.  Just today, the Government Accountability Office (GAO) reported that Obama has utterly failed at transparency regarding the massive porkulus boondoggleWhat a shock.

In Afghanistan, Obama prevents the military from open access to the press, which means that the military can’t tell us how shockingly incompetent Obama is as commander-in-chief.

So it shouldn’t be a surprise that Obama would deal with his failure in the
Gulf of Mexico the same way he’s handled everything else.  He has been so pathetically incompetent that there’s a pretty damn good argument that he is stopping the cleanup efforts on purpose.

White House Enacts Rules Inhibiting Media From Covering Oil Spill
By Noel Sheppard
Created 07/03/2010 – 11:28

The White House Thursday enacted stronger rules to prevent the media from showing what’s happening with the oil spill in the Gulf Coast.

CNN’s Anderson Cooper reported that evening, “The Coast Guard today announced new rules keeping photographers and reporters and anyone else from coming within 65 feet of any response vessel or booms out on the water or on beaches — 65 feet.”

He elaborated, “Now, in order to get closer, you have to get direct permission from the Coast Guard captain of the Port of New Orleans. You have to call up the guy. What this means is that oil-soaked birds on islands surrounded by boom, you can’t get close enough to take that picture.”

You’ve got CNN and Anderson Cooper – both of whom lean reliably to the left – having this to say about Obama’s “transparency”:

“This time, however, we’re not talking about BP. We’re talking about the government, a new a rule announced today backed by the force of law and the threat of fines and felony charges, a rule that will prevent reporters and photographers and anyone else from getting anywhere close to booms and oil-soaked wildlife and just about any place we need to be.”

[...]

We’re not the enemy here. Those of us down here trying to accurately show what’s happening, we are not the enemy. I have not heard about any journalist who has disrupted relief efforts. No journalist wants to be seen as having slowed down the cleanup or made things worse. If a Coast Guard official asked me to move, I would move.

But to create a blanket rule that everyone has to stay 65 feet away boom and boats, that doesn’t sound like transparency. Frankly, it’s a lot like in Katrina when they tried to make it impossible to see recovery efforts of people who died in their homes.

If we can’t show what is happening, warts and all, no one will see what’s happening. And that makes it very easy to hide failure and hide incompetence and makes it very hard to highlight the hard work of cleanup crews and the Coast Guard. We are not the enemy here.

We found out today two public broadcasting journalists reporting on health issues say they have been blocked again and again from visiting a federal mobile medical unit in Venice, a trailer where cleanup workers are being treated. It’s known locally as the BP compound. And these two reporters say everyone they have talked to, from BP to the Coast Guard, to Health and Human Services in Washington has been giving them the runaround.

We’re not talking about a CIA station here. We’re talking about a medical trailer that falls under the authority of, guess who, Thad Allen, the same Thad Allen who promised transparency all those weeks ago.

We are not the enemy here.

Everybody who cares about reality, and everybody who cares about truth, is Obama’s enemy, Anderson.

Obama has a lot to hide.  He’s got a lot to be ashamed of.  He’s failing on so many levels at the same time that no one can even keep track of them all.  The Gulf spill – already the worst in history – could be such a disaster that we might literally be in a “You can’t handle the truth!” moment.  Obama is now the worst president in American history even according to the standards the Democrats used against Bush in 2004.  And all he can do on the economy is keep blaming Bush and keep telling the same failed lie he’s been telling since the American people were stupid enough to hand him the keys to the White House.

All I can do about the Fascist-in-Chief is say those four words: I told you so.

Obama’s Plunging Polls Correspond To America’s Plunging Economy

July 31, 2009

President Obama’s biggest calender item yesterday was his scheduled “having a beer” with his good friend Henry Louis Gates and the man that both Gates (directly) and Obama (indirectly) called a racist, Sgt. James Crowley.  By sitting down for a beer, Obama was attempting to turn the giant turd he laid at his fourth prime time news conference in six months (which is how many George Bush gave in 8 entire YEARS btw) into a gold-plated turd.

I hope the three men clink their glasses to Obama’s plummeting poll numbers and America’s plummeting economy while they pondered why ‘Skip’ Gates is such a bigot and why Barry Obama acted so stupidly by claiming the Cambridge police “acted stupidly.”

Rasmussen has Obama at a -12 approval rating measuring the difference between those who strongly approve and those who strongly disapprove of his presidency; and he is now at only 48% approval – a far cry from his halcyon days of being in the high 60s.  Only 34% of likely voters think the country is headed in the right direction.  And 49% believe America’s best days have come and gone, versus only 38% who think the country will improve.

The hope that once swelled the hearts of Obama voters is fading fast – especially in the swing states he needs to win to have any chance at either future re-election or even current relevance.  “Hope and change” now means, “I hope I still have some change left in my pocket at the end of the month.”

As U.S. recession bites, Ohio hopes fade for Obama
Thu Jul 30, 2009 11:12am EDT
By Nick Carey

TOLEDO, Ohio (Reuters) – Hope and jobs are in short supply in Ohio eight months after President Barack Obama won the recession-battered state in the 2008 election with promises of a better future.

“People were looking for a savior to get us out of this mess and that’s why they voted for Obama,” said Jeff Fravor, 55, a retired train conductor on his way to breakfast on the outskirts of Toledo.

“I’ve nothing against Obama personally, but he’s new to the job and ‘hope’ won’t fix this mess.”

Candidate Obama delivered his message over and over again in Ohio, a politically diverse battleground state that often decides presidential elections. Obama went back to the state last week with an approval rating below 50 percent.

A Quinnipiac University opinion poll released on July 7 showed the Democratic president’s popularity in America’s seventh most populous state had fallen to 49 percent from 62 per cent in May. Even worse for Obama, 48 percent said they disapproved of his handling of the U.S. economy, with 46 percent approving.

The reason for the poll drop? Rising unemployment.

The downturn has pummeled Ohio’s manufacturing base.

“As jobs have gone away, that has created a true focus here on job creation,” said Andrew Doehrel, head of the Ohio Chamber of Commerce. “People look at what’s been done on a federal level in terms of bailouts and stimulus and they see that this has not equated to anything more than lost jobs in Ohio.”

Ohio has not been the state hardest hit by the U.S. recession that began in December 2007, but it is not far off.

Unemployment in the state of 11.5 million people reached 11.1 percent in June, compared with the national rate of 9.5 percent, making it the seventh highest rate in the country. Michigan was first with a rate of 15.2 percent.

TWICE THE UNEMPLOYMENT

Ohio’s unemployment has nearly doubled from 5.7 percent in January 2008. That is not a good start for Obama in a state with 20 electoral votes that could be vital for his re-election effort in 2012.

“It’s not a surprise Obama’s numbers have fallen here and they’ll continue to go down as long as jobs keep being lost here,” said Jim Rokakis, treasurer for Cuyahoga County, which includes Cleveland where unemployment hit 10.1 percent in June. “Americans always want a quick fix to problems, but they are going to relearn patience this time round.”

Toledo in northwest Ohio has been especially hard hit by the recession, in particular because of the auto industry-related plants that dot the area.

“Obama set expectations too high here and six months later, things haven’t got better, so some people are losing hope,” said John Johnson, branch manager of the Southeastern Container Inc plant in nearby Bowling Green, which makes plastic bottles for Coca-Cola Co..

Johnson said he had to turn away qualified workers from auto-related plastic companies seeking work. “When people are out of work for a long time, they become very impatient.”

Unemployment hit 14.2 percent in June in Toledo, a city of about 315,000 people. Many of the roads in and out of the city are in a poor state of repair and many downtown stores have closed down. Manufacturing brought the city wealth, so plant closures have taken a heavy toll.

‘DEPRESSION’

“We’re not just in a recession here, it’s a depression,” said Toledo Mayor Carty Finkbeiner. “This downturn has left Ohioans wondering if we’ve lost our place in the sun.”

According to a midyear survey from real estate service company CB Richard Ellis Reichle Klein, Toledo’s retail vacancy rate hit a record level of 14.6 percent.

“Everybody is having a hard time just existing right now,” said Bob Shelley, 72, who runs Shelley Rubber Stamp & Sign Inc for his father in downtown Toledo. “All businesses have been hit, so everybody’s giving everybody a break right now.”

Shelley said he felt Obama had an overcrowded agenda.

“He’s trying to satisfy everyone at once and he’s trying to rush everything through Congress,” he said. “But if you rush like that, you’re bound to make mistakes.”

Angie Carter, 32, a market research analyst in downtown Toledo, said she voted for Obama and he just needed time.

“This is a recession and we live in a manufacturing state,” she said on a cigarette break. “It’s going to take time to turn it around.”

When touting his $787 billion stimulus package earlier this year, Obama cautioned that a recovery would take time.

The president also has time to recover in Ohio if jobs come back. Aware of its importance, he was there last week to tout his healthcare plans. The last candidate who won Ohio but lost the election was Republican Richard Nixon in 1960.

Rokakis said Obama’s speech in Cleveland on July 23 was no accident.

“Obama is a smart man and he knows how important Ohio is,”

The article portrays Obama as having said that recovery would take time under his stimulus.  It fails to mention that the Obama administration – in pushing the failed stimulus package through Congress – predicted that unemployment would rise no higher than 8% if his stimulus passed.

As bad as things are now, there is no realistic reason to believe they will get better.  Meredith Whitney, the Wall Street analyst who gained much credibility in predicting the mortgage meltdown, is predicting unemployment will rise to 13% or higher.

The date for a housing market recovery stretches to 2015.

Obama’s deficits are soaring to stunning levels.  Back in March the Congressional Budget Office estimated that Obama’s “huge annual budget deficits that would force the nation to borrow nearly $9.3 trillion over the next decade — $2.3 trillion more than the president predicted when he unveiled his budget request just one month ago.” And that mindbogglingly ginormous figure doesn’t include the trillion plus hole we would dig passing Obama’s health care plan.

As the Wall Street Journal’s Michael Boskin puts it:

Mr. Obama’s $3.6 trillion budget blueprint, by his own admission, redefines the role of government in our economy and society. The budget more than doubles the national debt held by the public, adding more to the debt than all previous presidents — from George Washington to George W. Bush — combined.”

Obama has blamed President Bush for the deficits, but not only has he racked up far more debt than did Bush, but as a Senator Obama actually voted for the very Bush-budget that Obama is now blaming on Bush – including the $700 billion TARP bailout.

It is also worth knowing that the federal government has exposed itself to $23.7 trillion in risks with its bailouts since TARP (which is turning out to be a thinly disguised anagram for “TRAP”).

Those massive deficits guarantee future economic pain, but recent developments are beginning to show that our future pain may already be here right now:

Weak Treasury Auctions Raise Worries About US Debt Burden
By: Reuters     Wednesday, 29 Jul 2009

The U.S. Treasury sold $39 billion in five-year debt Wednesday in an auction that drew poor demand, raising worries over the cost of financing the government’s burgeoning budget deficit.

It was the second lackluster showing in as many days,  convincing analysts that the stellar results of debt auctions just a few weeks ago were a fluke and that Thursday’s $28 billion seven-year offering could suffer a similar fate.

Under the weight of the ballooning deficit, the government has raised auction volumes and analysts now wonder whether the strain on the market is showing.

“Obviously everyone is inferring that tomorrow’s won’t be good either,” said James Combias, head of government bond trading at Mizuho Securities USA in New York. “Maybe you will see more interest tomorrow but I think the increase in the auctions and the size of them may be starting to have an effect. These are very large auctions.”

We are witnessing a terrifying unfolding scenario in which “Interest due on the debt could easily be $1 trillion toward the end of the next decade.”

Like the Texas Hold’em player who pushes every last dime into the center of a poker table, the federal government is now “all in” with its commitment to push the national debt to 50% of GDP. The Congressional Budget Office believes that the Treasury will have to borrow nearly $2 trillion this year. None of that is new news, but what is beginning to emerge is a picture of a government which has narrowed its options for improving the economy down to one. Either GDP turns sharply up next year or the deficit will become an unmanageable burden. The Treasury will have to default on interest payments if sharply raising taxes in 2010 and 2011 does not bring IRS receipts to historic highs. That would not appear to be likely with unemployment moving toward 10% and American corporate earnings badly crippled.

You may not know it, but your government under Obama has gambled this country’s future – and gambled poorly.  Obama believed his $787 billion stimulus – which was actually scored by the CBO to be $3.27 trillion – would stimulate big, but it has been a total dud.  And as we continue to pile on debt on top of debt on top of debt, and combine that with continuing high unemployment and low economic output, the result is insolvency and doom.  And it is already beginning to rush toward us like an enraged Kodiak bear.

Some are pointing at the seemingly recovering Dow Index to argue that the worst is behind us and that we are on the road to recovery.  As reported by Reuters:

No Economic Recovery in Sight, Only Inflation
Mon May 11, 2009 9:01am EDT

FORT LEE, N.J., May 11 /PRNewswire-USNewswire/ — The National Inflation Association yesterday released the following statement to its http://inflation.us members:

“Wall Street would like you to believe that the Dow Jones’ recent 33% rally from March’s low is due to improving economic fundamentals, but it is our belief this rally is due to nothing but inflation.

“Jobs data released on Friday shows that U.S. employers cut 539,000 jobs in April, the fewest since October. However, these numbers were artificially strong due to the U.S. government increasing their payrolls by 72,000, which included the hiring of about 60,000 temporary workers in preparation for the 2010 census.

“Government jobs are non-productive jobs that normally get paid for by taxpayers. However, because the U.S. already has a huge budget deficit with tax revenues likely to decline substantially, these jobs will be paid for through inflation. An increase in government jobs is not a sign that the economy is improving, but only a sign that we are digging our economy into a deeper hole that will ultimately lead to the U.S. dollar collapsing.

“Even Warren Buffett, who is a huge supporter of Obama and has defended his economic policies, said last week that with political leaders showing little inclination to raise taxes, the only way to pay for excess spending will be by inflating the currency and shrinking the value of the dollar.

The worst of the recession is not behind us. Nominally, anything can happen to the Dow Jones. If the Federal Reserve prints enough money, the Dow Jones could go back to 14,000, but it won’t mean anything if it costs $2,000 to fill your refrigerator with groceries.

Obama’s spending has put us into a genuine crisis: we are now in a situation where any recovery will be immediately followed by sharp increases in inflation, unless government either sharply raise taxes across the board (which will undermine the economy) or unless they sharply raise interest rates (which will also undermine the economy).  Both options are politically unacceptable.

You’d better be thinking about getting a wheelbarrow, because you’re eventually going to need to one to bring enough cash to the grocery store to buy your daily bread.

That was my long-winded way of saying that Obama’s polls are likely to drop to the point where angry villagers armed with pitchforks and torches start storming Castle Obamastein as the economy drops right along with his popularity by the end of his one-term presidency.

Pre/Post-Election Poll Craziness: Media Rewriting Its Propaganda

November 20, 2008

Okay.  Six weeks and one Presidential election apart.  Two articles reporting on two polls from the same source (CNNMoney): one titled “Poll: 60% say depression ‘likely’” and one titled “76% say Obama can fix economy – poll.”

Am I the only one who sees a contradiction?

Let’s backtrack a little bit.  Since election day, the Dow has lost 21% of its value, from 9625 on November 4 to today’s close of 7552.  It was 9525 on October 6, the day that 60% of Americans believed that a depression was “likely.”

The CNNMoney story from October 6 begins:

NEW YORK (CNNMoney.com) — Nearly six out of ten Americans believe another economic depression is likely, according to a poll released Monday.

And it ends:

And [Economic Cycle Research Institute director of research Anirvan] Banerji said that the increasingly grim view of the economy will by itself lead to cutbacks in spending by both consumers and businesses. That in turn will result in greater job losses and more economic pain.

“The fact that the majority of people believe we are going into a depression ensures that the recession will get worse,” Banerji said.

The market has lost over one-fifth of its value since Barack Obama was elected President.  That is a rather stunning display of a complete lack of confidence in his leadership and in his policies.  Such an abandonment from the market following a presidential election is historically unprecedented.  And we are supposed to believe that now 76% of Americans believe Obama can “fix” the economy?

Because Obama has done what, exactly?

First of all, I have to ask: is it THESE people who believe Obama can fix the economy?  Is it the nearly 60% of Obama voters who – on crucial issues such as which party has been in charge of the Congress for the last two years – are dumber than monkeys, but get to vote anyway?

It sure isn’t THESE people, investors or chief executive officers, the people who actually invest and who actually run things.  You poll the CEOs, and you find out that “74 percent of the executives say they fear that an Obama presidency would be disastrous for the country.”  You find out that CEO’s believe that “some of his programs would bankrupt the country within three years, if implemented.”

Barack Obama is being portrayed by the media as the new FDR, superintending the “new new deal.”  That should frankly terrify you, if you had a clue.

Let me tell you what’s going on here: exactly what I and others have been saying would happen.  The same media that has been demonizing the economy as a narrative device to attack Republicans will begin to assure everyone that things will be okay now that Barack Obama is in charge.  Most Obama voters didn’t know that Democrats have actually been in charge of both the House and the Senate for the past two years because the media didn’t want them to know that.  Widespread awareness of such a fact would have undermined the media narrative that Republicans were responsible for the tanking economy.  Better to run one story after another trashing Sarah Palin.

John McCain was portrayed as some kind of older-than-retarded out-of-touch fool for claiming that the fundamentals of the economy were strong when they were at a time when they were ACTUALLY FAR STRONGER THAN THEY ARE NOW (you know, before Obama got elected and the market lost over a fifth of its value).  But you will begin to see “here comes the sun” articles building up the economy now that the election is over and Democrats came out on top.

The media has been so blatantly biased throughout its election coverage that it is completely accurate to say that we are now in a propaganda state.  There is no possible way that Republicans can win in this media climate: whether you look at the Media Research Center, or at the Project for Excellence in Journalism (or again at their brand new study), or at the University of Wisconsin’s Wisconsin Advertising Project, there is widespread agreement with one longtime ABC journalist that the media is dangerously biased.  Pew Research discovered that Americans believe by a 70% to 9% margin that the media is biased in favor of Obama and against McCain.  The media now represents a fifth column of government – a propaganda wing – that attacks conservatives and celebrates and defends Democrats and their ideology.  Democracy is going extinct in the country that founded democracy, because no free society can survive such a climate of propaganda.

Are the two polls from CNN contradictory?  Of course they are.  But they are the product of two agendas: agenda #1 was to undermine confidence in the economy in order to get Obama and Democrats elected; agenda #2 is to reinforce confidence in the economy in order to help them be successful.

The problem is that the people who actually invest and who actually run businesses aren’t as stupid and naive as the brainwashed public that voted for Obama and a Democrat super-majority.  That’s why the smart money is bailing our of the economy like rats off a sinking ship so that they can actually keep what little profit they have before the Democrats can begin to start “spreading the wealth around.”

A Hope For Some Rare Awareness About The Economy

July 21, 2008

I was in a Wal Mart store a little while back, and got into an argument with an older employee with whom I have periodically chatted.

In that discussion, I discovered that the man was a Democrat, and a pretty liberal one to boot.

And I learned that he had a terribly flawed memory about the Clinton years.

His primary contention was that he had never seen the regional economy so bad. He told me, “When Clinton was president, I had no trouble finding work. But now this Wal Mart job is the best I can get.”

Well, to put it into six words: he’s wrong, wrong, and more wrong.

The Press Enterprise, Riverside County’s (and the Inland Empire’s) largest paper, had a front-page article on July 19 titled “Inland unemployment rate hits 8 percent, highest in 9 years.”

I didn’t have to pull out my calculator to realize that “nine years ago we were in the height of the Clinton presidency.

So why on earth was my liberal Democrat friend at Wal Mart so completely wrong?

Partially because that’s precisely what the media told him to think (you ever hear that sarcastic expression, ‘If I want your opinion I’ll give it to you’?).

John R. Lott did a study that demonstrated that the media viewed the economy through rose-colored glasses during the Clinton years even when the economy was in fact entering a recession. By contrast, we have been hearing the word “recession” for the better part of a year now under a Republican president even when the economy was actually growing and even though the economy is STILL not in recession according to the standard definition of the term. When Bill Clinton was president, the media largely saw even negative news through rose-colored glasses. By contrast, throughout the Bush presidency, the media has been hypercritical – as well as hypocritical – of virtually every economic development.

It is simply a demonstrable fact that the media have for years given Democratic administrations’ economic performance every benefit of the doubt, and given Republican administrations’ economic performance an unrelentingly critical review. Republicans aren’t angry that the media is portraying the economy as being in a recession; they are angry because the media subjectively and unfairly refuse to evaluate Democrat-managed economies by the same standards.

And when it comes to the economy, perception often becomes reality, because people who think that the economy is tanking will invariably begin to act in ways that subsequently cause the economy to tank. As one example, if people are continually told that the economy will worsen and the housing market will continue to decline, will they buy homes now, or will they hold off and wait for the market to further decline and lower prices further? But by waiting, they are actually contributing to the market’s actual decline.

So the same media that helps to create positive perceptions of the economy during Democratic administrations helps to undermine the economy during Republican administrations. They frequently resort to downright irresponsible reporting to do so. And when Democrat and former Clinton Labor Secretary Robert Reich used the term “DEPRESSION” to describe the Bush economy, he was going beyond even the irresponsible media and pandering to the very lowest form of demagoguery.

Is our economy really doing so terrible?

Just to demonstrate how horrifyingly irresponsible Robert Reich was in his prediction of a “Bush depression” on March 14, 2008, the VERY NEXT DAY the story emerged that the United States continues to have the best and most competitive economy in the world!

I hate to be rude, but Reich revealed himself for the vile little pandering and demagoguing rodent that he is. Yet rabid little rat or not, he continues to be paraded from elite media network to network with all the fanfare of an enlightened analyst who truly understands what is going on.

My liberal friend at Wal Mart assured me that the economy was always great under Clinton, and that Clinton balanced the budget. The fact that neither statement is true doesn’t matter. Today’s liberals are fitted with psychological filters designed to prevent truth from entering their minds.

First of all, Bill Clinton most certainly did not get off to all that great of a start as president. If he had, he wouldn’t have contributed to the greatest landslide in political history with a massive 52 seat swing in the ’94 midterm elections that put the Republicans in power for the next dozen years.

Furthermore, President Clinton – all ubiquitous media misrepresentation aside – most certainly DID NOT balance the budget. What he did was fiddle with the numbers to pay off the public debt by borrowing from the intergovernmental debt (particularly from the Social Security Trust Fund). The so-called “Clinton surplus” is simply a myth: The national debt continued to grow and grow and grow, and the last Clinton budget was $133.29 billion in the red.

And when President Clinton left office, he also left President Bush with an economy that was very definitely stumbling into a recession about as bad as the one we’re stumbling into now. He also left President Bush with Osama bin Laden (when he rejected a Somali offer to literally hand him over to us) and with an al Qaeda that was growing stronger and stronger after repeatedly attacking the United States throughout the Clinton administration.

Mansoor Ijaz, a member of the Council on Foreign Relations, wrote in the Los Angeles Times that:

Clinton’s failure to grasp the opportunity to unravel increasingly organized extremists, coupled with Berger’s assessments of their potential to directly threaten the U.S., represents one of the most serious foreign policy failures in American history.

Please don’ think that the vicious 9/11 attacks – which President Clinton could have nipped in the bud by taking out its chief leader and architect – didn’t massively hurt the U.S. economy. Yet a liberal media ensured that President Bush duly received all the blame for both the recession and the attack.

The Press Enterprise article points out that a year ago, the two-county unemployment figure was a reasonable 5.9%. If anything, we have Nancy Pelosi and her “commonsense plan” to thank as much as anyone for the dramatic increase that has taken place during the oversight of a Democratic-controlled House and Senate. But you can count on the fact that the media will never connect the economic downturn to the Democrat’s control of Congress the way they routinely connect President Bush to it.

What’s caused the dramatic negative economic turnaround in the last year?

Is it the sky-high increase in oil prices? I have written again and again that it is Democrats – and Democrats virtually alone – who deserve the blame for the current situation by refusing to allow us to act in a responsible way by drilling the oil we have right under our feet and right off our shores.

See my articles (in order from the earliest to the most recent):

Democrat’s ‘Commonsense Plan’ Revealed: Let’s Nationalize the Oil Industry

Blame Democrats for Sky-High Gas Prices

Democrats Block US Energy Independence, Send Gas Prices Soaring

Democrat’s Ideological Stand Against Domestic Oil Terrible for US Economy & Security

If You Want $12 A Gallon Gas, Vote for Obama and Democrats

Pelosi, Reid, and Obama: The Three Stooges of American Energy Policy

Is it the secondary market fiasco and the subsequent housing market collapse? While Republicans deservedly merit some of the blame, let us not forget that it was Democrats who demanded that poor and unqualified borrowers had to have access to home loans. And let us not forget that the principle political figures involved in the subsequent scandal have been Democrats (Former Fannie Mae Chairman and former Barack Obama key assistant Jim Johnson, Senate Banking Committee Chairman Christopher Dodd, Senate Budget Committee Chairman Kent Conrad headline the list among other prominent Democrats).

The media that would have left no stone unturned in launching exhaustive and well-covered investigations into Republicans in any kind of similar situation has conveniently allowed the Democrat’s scandal to vanish off the headlines. They continue to play the part – of Democrat apologist and enabler – that they have chosen for themselves all along.

And we saw an all-too typical example of Democrats and the media ganging up to harm the economy under a Republican administration. Sen. Charles Schumer unnecessarily notified the public of the impending federal takeover of IndyMac in California, creating the equally unnecessary lines and panic among account holders. And then there was the media flocking like vultures, breathlessly envisioning one worst-case scenario for the American economy after another.

Don’t you DARE try to claim that Democrats – who were so utterly consumed with investigating baseball players’ for allegations of steroid abuse and with repeatedly demonzing oil executives at one communist-type show trial “hearing” after another that they were entirely blindsided by the secondary market collapse – were one iota less to blame than the Republicans even at their worst.

And don’t you dare believe that Republicans under George Bush mismanaged the economy in spite of the Democrats’ best attempts to keep it rolling smoothly along. If anything, it was precisely the other way around.

My liberal friend is responsible for unquestioningly believing the liberal media spin rather than engaging in the critical thinking that would let him see the truth about the disinformation campaign going around all around him. Please don’t make the same mistake.


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