Posts Tagged ‘Morganthau’

April 8 CNNMoney Headline: ‘Jobless Claims Soar’

April 9, 2010

Let’s see: new home sales plunge to their lowest levels since 1963, while jobless claims soared to the highest levels seen since December 2008 (when Obama was routinely comparing the economy to the Great Depression).

Clearly, everything is just going swimmingly under Barry Hussein.

Jobless claims soar
By Chavon Sutton, staff reporterApril 8, 2010: 11:59 AM ET

NEW YORK (CNNMoney.com) — The number of Americans filing for unemployment insurance for the first time jumped last week, according to government data released Thursday.

There were 460,000 initial jobless claims filed in the week ended April 3, up 18,000 from an upwardly revised 442,000 the previous week, according to the Labor Department’s weekly report. […]

The report also said that 4,550,000 people filed continuing claims in the week ended March 27, the most recent data available. That figure, the lowest level since Dec. 20, 2008, was down 131,000 from the preceding week’s 4,681,000 claims, and below the 4.63 million economists expected, according to Briefing.com.

The 4-week moving average for continuing claims was 4,648,250, a decrease of 36,000 from the preceding week’s revised average of 4,684,250.

Continuing claims data exclude people whose benefits expired or those who have moved to state or federal extensions. It reflects those filing each week after their initial claim until the end of their standard benefits, which usually last 26 weeks.

The numbers forced the Associated Press to trot out their favorite Obama-apologist adverb.  They said “jobless claims increased ‘unexpectedly.’

Last week Obama was trumpeting government unemployment numbers that did not budge the 9.7% unemployment rate as if all his asinine policies had somehow been vindicated:

“Today is a promising day,” Mr. Obama told workers assembled inside Celgard LLC, the Charlotte, N.C.-based company that makes parts for high-tech batteries. “We are beginning to turn around. More Americans are now getting up, getting dressed and going to work.”

But however the government did its calculations, private payrolls actually fell in March.

The illusory numbers Obama trumpeted were front-page headlines for the major media.  But then the usual “unexpected” revisions come, and the liberal propaganda machine suddenly loses interest in the story.

Meanwhile, underemployment, which many economists view as the “real” unemployment measure, increased to 20.3%.  When people give up looking for work, or finally give up and settle for a job far beneath their potential, they “fall” off the jobless rolls.  We could actually have Great Depression unemployment levels, and still show artificially low unemployment numbers. Discouraged workers who give up are not counted in official unemployment statistics, and over a million unemployed workers aren’t being counted.

The fact is that a total of 6,130,000 workers had been unemployed for 27 weeks or more in December 2009, the most ever since the data were first collected in 1948, and more than double the 2,612,000 unemployed for a similar length of time only a year ago.  Does that sound like Obama is succeeding???

People said of the Great Depression: “It wasn’t so bad if you had a job.”  FDR kept optimistically promising that relief was just around the corner.  Meanwhile, his policies prolonged the depression by seven years until finally even his own Treasury Secretary said:

“We have tried spending money. We are spending more than we have ever spent before and it does not work. And I have just one interest, and if I am wrong… somebody else can have my job. I want to see this country prosperous. I want to see people get a job. I want to see people get enough to eat. We have never made good on our promises… I say after eight years of this Administration we have just as much unemployment as when we started… And an enormous debt to boot!” – Henry Morganthau, FDR’s Treasury Secretary, May 1939

In April 1939 unemployment was 20.7%.

Obama keeps telling us how magnificently we are recovering, and the dinosaur lamestream media keeps reporting it as if it were true.

Meanwhile he keeps piling on shocking and totally unsustainable deficit levels that will ultimately implode the U.S. into a Great Depression unlike anything we have ever seen.

But under Obama, unsustainable is the new normal.

When we  finally awaken to our sobering senses, we will find we have been led by the nose and duped by lies.

‘The Forgotten Man’ Demands Unfavorable Comparison Between Obama And FDR

February 18, 2010

From Wise and Frugal Government:

History Repeating Itself and Not in a Good Way

Do yourself a favor and get a copy of Amity Shlaes’ The Forgotten Man, A New History of the Great Depression. Barack Obama’s presidency and his economic policies are placed in context once you read Shlaes’ account of FDR and his policies. Written in 2007, there is no way Shlaes could have manipulated the similarities.

Consider this account of the Roosevelt Administration in 1937, four and a half years after the New Deal was introduced and the economy refused to budge. She refers to this time as “a depression within the Depression. “
“…the Economist would conclude…that the United States “seemed to have forgotten, for the moment, how to grow.”

Yet Washington was doing all the wrong things. Officials in the capital seemed arrogant, obsessed with numbers, and oblivious to the pain the nation was suffering. People were angry that Congress and the president had recently raised taxes. With business so hard, why make it harder?” (2)

Sound familiar? Shlaes continues with a story of the treasury secretary giving a speech before the Academy of Political Science during this time:
“There had been a national emergency in the past, the secretary told listeners. But now it no longer existed. The secretary then went on to conclude that the country must now “continue progress toward a balance of the federal budget.”

A member of the audience laughed out loud in shock. The remark seemed so much at odds with the painful reality of that November.

…Washington had already made thousands of efforts to help the economy, yet those efforts had not brought prosperity.” (3)

Policy is not where the similarities end. “Roosevelt offered rhetorical optimism, but pessimism underlay his policies. …Roosevelt cared little for constitutional niceties and believed they blocked progress. His remedies were on a greater scale and often inspired by socialist or fascist models abroad.” (6)

And finally: “The problem was their naivete about the economic value of Soviet-style or European-style collectivism–and the fact that they forced such collectivism upon their own country.” (7)
Arm yourself with historical fact. Read The Forgotten Man. For as Jefferson said, “If a nation expects to be ignorant and free in a state of civilization, it expects what never was and never will be.”

Sure sounds familiar to me.

I mean, “rhetorical optimism” sounds a lot like “hope and change.”

The basic premise of Amity Schlaes’ The Forgotten Man is one shared by economist Robert Higgs, namely, that the paralyzing uncertainty over the FDR administration’s strategy actively discouraged business from investing or hiring as they struggled to respond to the government’s numerous and simultaneous counterproductive policies.

This is something that has been going on since Obama took office.

Some recent articles I’ve written on this area (all having numerous supporting resources):

Obama’s Backdoor Taxation And The Coming Consequences Of Obamanomics

Obama Bank Restructure Attacks Market, Terrifies Investors, Hamstrings Economy

VIA CNBC: ‘Many Firms Reluctant To Hire Because Of [Democrats’] Taxes, Rules’

Obama Job Summit Deliberately Snubs Primary Job Creators

Liberals Say Recession Behind Us While Small Businesses Go Belly Up

Obama Continues Rampant Dishonesty With Stimulus ‘Jobs ‘

Why Is American Unemployment Under Obama Rising Faster Than In Other Countries?

Even Liberals Realizing Obama Has Been Total Bust At Creating Jobs

China Alarmed By Obama’s Deficits, Shocking Irresponsibility

Miniumum Wage Increase Means Maximum Employment Decrease

Tax Increases on ‘Rich’ People Planned by Democrats Would Hit Over A Million Small Businesses

An important article for consideration is this one:

Obama Administration Admits It Will Leave Unemployment Higher Than It Found It

because it jives so well with what history told us about the result of FDR’s policies as told by his very own treasury secretary:

“We have tried spending money. We are spending more than we have ever spent before and it does not work. And I have just one interest, and if I am wrong… somebody else can have my job. I want to see this country prosperous. I want to see people get a job. I want to see people get enough to eat. We have never made good on our promises… I say after eight years of this Administration we have just as much unemployment as when we started… And an enormous debt to boot!” – Henry Morganthau, FDR’s Treasury Secretary, May 1939

In April 1939, for the record – a full six years and change after FDR assumed office – unemployment was still at 20.7%

Some Liberal Historical Revisionism Corrected

February 17, 2010

I got an all-too typical comment today posted to an article I wrote:

“What would you rather do? live in depression or try to get out of it? seriously, im tired of hearing these idiots saying that Obama is the worst president.. and comparing him to Hitler… and guess what??? The New Deal helped America last time. What makes you think that it isnt going to this time?”

And I dropped a load of bricks on it as follows:

Let me take your whining in order:
1) You hypocrite: you were just FINE with eight years of hysterical Bush derangement syndrome, in which George Bush was equated with Adolf Hitler about a billion times.
Bush=Hitler

Bush=Hitler

Bush=Hitler

Bush=Hitler

You leftwing slimebags were all over yourselves comparing George Bush to Adolf Hitler.   But now all of a sudden it’s just inconvenient for you to recognize that “Nazi” stood for “National Socialist German Workers Party.”  Now you progressive liberal socialists don’t want to wear the shoe that should have been on your own damn foot all along.

Your self-righteous indignation only works in one direction, doesn’t it?

2) You seriously should quit being ignorant and learn something, such as “FDR’s policies prolonged Depression by 7 years, UCLA economists calculate”  (and see this CNN Money article as well, which links to one of Cole and Ohanian’s papers).  If you read The Forgotten Man you’d have a very different view of FDR. If you read New Deal or Raw Deal you’d have a very different view of the New Deal.

Heck, if you just paid attention to what FDR’s OWN TREASURY SECRETARY SAID you’d have a very different view:

“We have tried spending money. We are spending more than we have ever spent before and it does not work. And I have just one interest, and if I am wrong… somebody else can have my job. I want to see this country prosperous. I want to see people get a job. I want to see people get enough to eat. We have never made good on our promises… I say after eight years of this Administration we have just as much unemployment as when we started… And an enormous debt to boot!” – Henry Morganthau, FDR’s Treasury Secretary, May 1939

In April 1939, by the way, unemployment was 20.7%

Which pretty much puts the kibosh on the myth that FDR got us out of anything. What allowed us to get out of the depression was World War II. If we’d counted on FDR’s policies, we’d probably STILL be in the Great Depression.

But you have your propaganda and your ideology. What else do you need?

You might want your government to pay people to dig a hole, then pay other people to fill it back up again.  With the new modern method of cutting a giant hole in the road, doing a crappy job repaving it, and then having to fix potholes over and over forever after.  But that doesn’t mean the increasingly large majority of Americans who are turning against Obama want such stupidity.

Not that Obama really gave us any shovel ready jobs to begin with.

For what it’s worth, the Obama White House is actually acknowledging that Obama will leave unemployment higher than it was when he took office.

Democrat Senator Evan Bayh, who was so sick of such economic stupidity he’s getting out of politics, put it this way:

“[I]f I could create one job in the private sector by helping to grow a business, that would be one more than Congress has created in the last six months.”

Here’s the video of Senator Evan Bayh:

Senator Bayh understands that the Obama administration has sacrificed all credibility regarding its utterly failed stimulus.

And according to a New York Times/CBS poll, a whopping 94% of the American people agree with Bayh.  Only 6% of Americans believe Obama’s massive porkulus has created jobs a full year after going into effect.

To the extent that Obama’s porkulus actually has created any jobs, it has created far too few and at far too high a cost to taxpayers’ children’s children’s children’s children.  As I demonstrated, the White House’s own numbers only claim 595,263 jobs at a cost of $272 billion.  Which comes out to an astronomical $456,941 per job.

And at that rate, we can’t AFFORD for Obama to “create” any more jobs.

So when it comes to your wrongheaded thesis that the New Deal got us out of the Great Depression, that’s what makes me think “that it isn’t going to this time” when it comes to Obama’s New Deal Part Deux.

It’s decades past time that we shoved a wooden stake into the heart of liberal myths once and for all.

Another liberal myth that needs exploding is the far newer lie about who was to blame for imploding our economy in 2008.