Forget that Obama has saddled the economy with trillions in new taxes and regulations. Forget that he wants to shove Obamacare on the nation’s employers and terrorize the medical community. Forget that he’s adding more to the debt than all other presidents combined. Forget that he’s allowed too big to fail to get even bigger, that he’s done nothing to stabilize the housing market, and that inflation is out of control. Yeah, forget all that. The real reason the economy sucks is because. . .
(1) Corporate America is “sitting on vast piles of cash.” Yep. Although conditions are clearly right for Corporate America to be out there starting new businesses, launching new products, hiring like crazy, and making America the economic powerhouse it was meant to be, this cabal of Romney supporters simply refuse to do any of that.
Politico notes that according to the Fed, private companies are sitting on $2 trillion in cash. Reuters puts the number closer to $5 trillion. So why aren’t they spending that money on hiring people? Well, apparently, these evil business types site uncertainly, which Politico defines as there being “no guarantee there will be enough consumer demand to buy the product because not enough jobs are being created to put more money in people’s wallets.” Politico calls this a real “chicken and egg problem.”
Now think about this. What Politico is saying is that it is impossible to break out of a recession because business can’t hire people until they know the recession is over, but the recession can’t end until business starts hiring. If this is true, then how did we overcome the dozens of prior recessions the country faced? The fact of the matter is that the real uncertainty which bothers business is that Obama has imposed an incredible amount of new costs on businesses and consumers, and those costs aren’t known yet because of the way he did it, i.e. they are uncertain. No one in their right mind would commit to expanding their business if their costs could double any day or if consumers might find themselves socked with dramatically higher taxes and healthcare costs at any minute. That’s the real heart of the problem.
(2) Evil Congress wants to raise everyone’s taxes! They also want to slash spending, especially military spending. Yeah, right. Forget that Obama has been the one pushing for both things. Forget that the Democrats refused to negotiate the budget deal in good faith. Forget that Obama is the one who demanded the military cuts as part of the budget deal. Yeah, forget all of that and then you can blame the Congress because they have been unable to overcome the Democrats to stop these things.
It’s funny how Politico can miss the obvious. They actually worry that the nation is headed toward a “fiscal cliff” when these trillions in tax hikes and spending cuts will kick in on January 1, 2013 and they attack the Republicans for playing politics with this and for now leaving town on recess. They go back to the old MSM canard of calling the Congress “dysfunctional.” Yeah, ok, and who is to blame here? Nothing the House does gets passed in the Senate. Harry Reid won’t even bring Republican bills to a vote. Heck, he wouldn’t even allow Obama’s budget to be brought to a vote. And it was Reid and Obama who have been playing politics on the Bush tax cuts, first refusing to extend them long term and now using them for class warfare purposes. And it was Reid and Obama who pushed the idea of automatic spending cuts as part of the debt deal because they refused to agree to any responsible cuts. So if this is bad for Obama, it’s a problem of his own making.
(3) The evil central bankers around the world have refused to print more money! This gets rich. Politico notes that the Fed has a dual mandate to fight inflation and to “do whatever it can to boost employment” -- that’s actually not true, the dual mandate is to fight inflation and encourage growth, which is not the same thing as employment. Then they whine that all the Fed is doing is fighting inflation “despite no signs of any inflation.” Wow. First, inflation is soaring. Food and fuel inflation has run anywhere from 12% to 25% under Obama, not to mention that quality and quantity has been cut to try to mask price increases. It’s only if you look at official inflation, which excludes the things which inflate that you get to around 2%. Secondly, the Fed has done amazing amounts to promote growth. For one thing, it’s kept interest rates near historic lows since 2008. For another, it’s pumped vast amounts of new money into the economy through several rounds of quantitative easing. So what exactly hasn’t the Fed done?
Politico also blames Europe for being a drag on the world economy and the European Central bank for doing nothing to help. Total ignorance. They also specifically blame the Germans for not bailing out the other European countries, as if Germany was obligated to pay off the debts of Greece. Should we be paying Mexico’s debts?
ConclusionThis is low-grade economic idiocy and it’s premised on “facts” that are simply untrue. What interests me the most, however, is the attitude. The economy is bad because those evil capitalist who need to be put up against the wall have consciously tried to make us look bad and didn’t continue to do the things capitalists do when we started attacking them. The Fed owes us jobs and needs to keep spending to help Obama. Those lousy Europeans have sabotaged us by not fixing their damn problems and paying off debt that doesn’t belong to them. And that Congress. . . damn them, they didn’t overcome Obama’s policies enough to prevent Obama from being bitten in the ass by them.
Talk about whiny and talk about having NO grasp on reality. Do we really ever want to implement a policy put in place by people who think like this?
P.S. Don't forget, it is Star Trek Tuesday at the film site.