Barack Obama, Fearmonger And Demagogue Extraordinaire Gutting America’s Credibility With His Lies

When Obama was lying and making false promises to shove his so-called “stimulus” boondoggle through Congress, the Wall Street Journal wrote:

“President Barack Obama has turned fearmongering into an art form. He has repeatedly raised the specter of another Great Depression. First, he did so to win votes in the November election. He has done so again recently to sway congressional votes for his stimulus package.”

History now proves that everything Obama said about his $862 billion (actually $3.27 TRILLION, according to the CBO) was false.  Not only did unemployment not stay under 8%, as was promised, but in fact unemployment actually went HIGHER than Obama said it would have if we hadn’t ever done his incredibly stupid and incredibly wasteful porkulus to begin with!

But early in his presidency, Obama learned that he could get what he wanted if he fearmongered a situation and demonized his opponents enough.  And whether he was lying while his opponents were telling the truth was of little import.

As I (along with a few million other conservatives) pointed out, Barack Obama was lying and fearmongering the economy when he repeatedly claimed that the United States would default on its debt if we didn’t pass a debt ceiling hike (which he would only allow to pass on his terms, of course).  The facts said otherwise.  Republicans filled the airwaves pointing out that Obama was lying and that the United States could and would continue to meet its obligations to its debt.

Now we find out that Obama KNEW he was lying when he has repeatedly talked about default:

Obama to Banks: We’re Not Defaulting
By Charlie Gasparino
Published July 25, 2011

While officials from the Obama Administration raised their rhetoric over the weekend about the possibility of a debt default if the debt ceiling isn’t raised, they privately have been telling top executives at major U.S. banks that such an event won’t happen, FOX Business has learned.

In a series of phone calls, administration officials have told bankers that the administration will not allow a default to happen even if the debt cap isn’t raised by the August 2 date.  Treasury Secretary Tim Geithner says the government will run out of money to pay all its bills, including obligations to bond holders. Geithner made the rounds on the Sunday talk shows saying a default is imminent if the debt ceiling isn’t raised, and President Obama issued a similar warning during a Friday press conference after budget negotiations with House Republicans broke down.

While the negotiations to craft a budget remain at an impasse, Republicans and Democrats on Monday began crafting their own plans to cut spending that could lead to an agreement to raise the debt ceiling. It’s unclear if a broad agreement can be reached any time soon, but even if a deal is struck, a complicating issue for lawmakers and the administration is the possibility of a downgrade to the US debt rating, which would cut the triple-A rating on the nation’s debt to a lower level.

Major ratings firms — namely Standard & Poor’s and Moody’s — have said even if the country raises the debt ceiling and doesn’t default, there’s a strong likelihood that the triple-A bond rating will be cut to double-A unless a budget can be crafted that results in $4 trillion in savings, the result of the massive debt load the country has accumulated in recent years. The nation’s outstanding debt is more than $14 trillion.

A senior banking official told FOX Business that administration officials have provided guidance to them that even though a default is off the table, a downgrade “is a real possibility for no other reason than S&P and Moody’s have to cover (themselves) since they’ve been speaking out on the debt cap so much.”

This guidance is a big reason why Wall Street has largely dismissed the possibility of default, and though the markets have been jittery amid the talk of default, they haven’t imploded as would be the case, many economists fear, if the nation missed a payment on its debt.

The banking official said the administration understands that if there were to be a default, it would likely spark another financial crisis.

“They also know they can pay the debt with cash on hand,” this official told FOX Business. The Treasury collects around $2 trillion in tax revenues, and is scheduled to pay out $200 billion in interest to bond holders. In order to meet its obligations to contractors, social security recipients and others, the administration would have to raise another $1 trillion either through cuts, higher tax revenues, the issuance of debt or a combination of all three.

Congressional Republicans believe that the Administration is raising the possibility of a default as a way to ramp up pressure on Republicans to agree to a budget deal that includes tax increases, which they oppose.

A Treasury spokesman said that “when we exhaust our borrowing authority, as we will on August 2nd, there is no way to guarantee that we will be able to pay all of our bills. Any suggestion to the contrary is simply false.”

Even without a default, banks expect some market turbulence if the triple-A sovereign-debt rating is cut, sources tell FOX Business. While bank officials do not believe there will be a “catastrophic” effect to a downgrade, that’s not to say there won’t be negative ripple effects, notably to bond deals and derivatives priced off triple-A-rated  Treasurys.

So Obama was privately trying to say one thing to the bondholders to reassure them while publicly saying the exact opposite thing to fearmonger the crisis.

Does it make you feel better to know that Barack Obama is not a profoundly stupid man, or does it make you feel worse to know that he is so dishonest and so cynical that he would actually deliberately fearmonger his nation – and push credit agencies to seriously consider downgrading U.S. credit given the president of the United States’ own constant warnings that the U.S. would default on its debt – in order to push his rabidly leftist agenda???

Here’s Obama’s tax-cheating Treasury Secretary Timothy Geithner predicting the US would default on its debt while ideologically trying to demonize Republicans for said default:

“Speaking to a New York audience, Geithner said that Republicans would bear responsibility for the first debt default in the nation’s history if they insist they will not vote for an increase in the $14.3 billion borrowing limit unless they win approval of a House Republican budget plan.

“If Republicans try to impose that plan on this country as a condition for raising the debt limit, then they will own the responsibility for the first default in our history, with devastating consequences,” Geithner said in a speech to the Harvard Club of New York” (by Pallavi Gogoi in the Associated Press, 5/18/2011)

Here’s the SAME tax-cheating Obama Treasury Secretary Timothy Geithner assuring that the US would NOT default on the debt due to Republicans, as he had falsely claimed would happen:

“It’s not going to happen,” Geithner predicted, amid a warning from US ally Britain that “right-wing nutters” were posing a bigger threat to the world economy than the eurozone crisis.

And now let me return to a statement from the credit agencies that is highly illustrative:

A senior banking official told FOX Business that administration officials have  provided guidance to them that even though a default is off the table, a  downgrade “is a real possibility for no other reason than S&P and Moody’s  have to cover (themselves) since they’ve been speaking out on the debt cap so  much.”

So why are the credit rating agencies seriously considering downgrading American credit?  Because they “have to cover themselves since they’ve [that’s Barack Obama, Timothy Geithner and numerous Democrats] have been speaking out on the debt cap so much”

The sheer cynical depravity of Barack Obama and his administration and his entire Democrat Party is simply beyond astonishing.

Who are the people who are most playing with fire?  Republicans have been saying PUBLICLY the truth even as Barack Obama and his top officials repeatedly lied and fearmongered and demonized.  And the credit agencies had to listen to Barack Obama’s public lies and take what he was saying into account.

If America’s credit rating is downgraded – which is actually now likely – Obama will demonize Republicans for it.  But OBAMA WILL BE THE REASON.  HIS REPEATED PUBLIC STATEMENTS, ALONG WITH THE STATEMENTS OF HIS TOP OFFICIALS LIKE TIMOTHY GEITHNER, WILL HAVE FORCED THE RATING AGENCIES’ HANDS.

During the 1995 budget battle, the debt ceiling was not raised for something like five months, and there was no serious talk of reducing America’s credit worthiness.  Why?  Because Bill Clinton did not resort to the despicable degree of fearmongering that Obama has.

What should Obama have been telling the world?  That no matter what happened, the US could and would continue to pay its primary obligations and that there would be no default under any circumstances.

But what are we getting?  Here’s an example from the White House Communications Director on July 26:

WH Communications Director Dan Pfeiffer: “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.”

Pfeiffer spoke to CBS News Radio on Tuesday morning.

Because of dishonest fearmongering like this, the credit agencies are duty-bound to downgrade our credit rating.  If you were a credit evaluator, wouldn’t YOU listen to such official pronouncements of doom?

I’m sure I’ll be quoting myself in the months ahead.  But if – or more likely when – the United States AAA credit rating is downgraded, it will ALL be on Barack Hussein Obama.   HE is the president, and HE is the one who made all the false and demagogic and fearmongering statements that lenders repeatedly heard him make.

I’ll also point out one final fact: Barack Obama’s presidency has been an abject failure.  He took a bad situation and he made it far, FAR worse.  He has nothing – NOTHING! – to run on but demonization of his opponents.  On my view, Obama is literally hoping for the very worst outcome for America so he can blame Republicans for it with yet more lies and more demonization and more fearmongering.  Because that’s pretty much his only hope of getting re-elected.

Advertisements

Tags: , , , , , ,

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

w

Connecting to %s


%d bloggers like this: