Tag: economics

Pssst! Hey Liberals! Sarah Palin knows what she's talking about!

As I am sure you all know Sarah Palin wrote in the Washington Post, an Op-Ed about the purposed Cap and Trade legislation.

Government Palin Writes:

There is no shortage of threats to our economy. America’s unemployment rate recently hit its highest mark in more than 25 years and is expected to continue climbing. Worries are widespread that even when the economy finally rebounds, the recovery won’t bring jobs. Our nation’s debt is unsustainable, and the federal government’s reach into the private sector is unprecedented.

Unfortunately, many in the national media would rather focus on the personality-driven political gossip of the day than on the gravity of these challenges. So, at risk of disappointing the chattering class, let me make clear what is foremost on my mind and where my focus will be:

I am deeply concerned about President Obama’s cap-and-trade energy plan, and I believe it is an enormous threat to our economy. It would undermine our recovery over the short term and would inflict permanent damage.

American prosperity has always been driven by the steady supply of abundant, affordable energy. Particularly in Alaska, we understand the inherent link between energy and prosperity, energy and opportunity, and energy and security. Consequently, many of us in this huge, energy-rich state recognize that the president’s cap-and-trade energy tax would adversely affect every aspect of the U.S. economy.

There is no denying that as the world becomes more industrialized, we need to reform our energy policy and become less dependent on foreign energy sources. But the answer doesn’t lie in making energy scarcer and more expensive! Those who understand the issue know we can meet our energy needs and environmental challenges without destroying America’s economy.

Job losses are so certain under this new cap-and-tax plan that it includes a provision accommodating newly unemployed workers from the resulting dried-up energy sector, to the tune of $4.2 billion over eight years. So much for creating jobs.

In addition to immediately increasing unemployment in the energy sector, even more American jobs will be threatened by the rising cost of doing business under the cap-and-tax plan. For example, the cost of farming will certainly increase, driving down farm incomes while driving up grocery prices. The costs of manufacturing, warehousing and transportation will also increase.

Of course, as if right on cue, every liberal in America is laughing at her and is saying that she is an idiot; and that she is trying to stay in the spotlight and so forth. Well, guess what? Not too long ago; on March 5, 2009. My own home paper, The Detroit News, wrote a similarly written editorial, basically saying the SAME THING. The Article itself is now offline, and you have to pay to get it. But luckily for me; I blogged about it.  The Article says and I quote:

President Barack Obama’s proposed cap-and-trade system on greenhouse gas emissions is a giant economic dagger aimed at the nation’s heartland — particularly Michigan. It is a multibillion-dollar tax hike on everything that Michigan does, including making things, driving cars and burning coal.

The president is asking for a system of government limits on carbon emissions. The right to emit carbon would be auctioned off to generate revenue for more government spending programs.

The president’s budget projects receipts totaling $646 billion through 2019 from the sale of these greenhouse gas permits.

The goal, according to the president’s budget outline, is to reduce greenhouse gas emissions such as carbon dioxide to 14 percent below 2005 levels by 2020.

Doing so will drive up the cost of nearly everything and will amount to a major tax increase for American consumers.

Such a tax will hit the Midwest particularly hard, which is why House Minority Leader John A. Boehner, R-Ohio, told the New York Times, “let’s just be honest and call it a carbon tax that will increase taxes on all Americans who drive a car, who have a job, who turn on a light switch, pure and simple.”

The carbon tax will be paid by energy companies, manufacturers and public utilities, who will pass the cost on to their consumers. Michigan will be especially targeted. It gets 60 percent of its electric power from coal plants, and the state’s economy is still reliant on heavy manufacturing such as car and truck assembly and auto parts production.

Michigan will lose as carbon tax money is shifted to states with a greater presence of high-tech and service businesses.

The proposed tax would take effect in 2012 and has the very real potential to throw the nation back into recession, if indeed the expected recovery has arrived by then. It’s impossible to raise costs for such basics as manufacturing and energy production by more than half a trillion dollars over a decade and not have the effects felt across the economy.

The nation’s gross domestic product contracted at an annualized rate of 3.8 percent in last year’s fourth quarter — the worst economic record in nearly three decades. Is this really a good time to be talking about a carbon tax? How will such talk impact investment decisions?

Obama promises to use some of the revenues for tax relief for certain workers and some of the rest for subsidies for alternative energy. But that won’t make up for the damage this huge new tax will do to the economy, especially in Michigan.

So, maybe, perhaps maybe, Sarah Palin is not as stupid as these liberals want to make her out to be. At least, she right on point about this Cap and Trade Legislation. It would raise taxes and be a job killer for Michigan and yes, for the rest of the Country.

Others, Yes, Including idiot liberals who are mocking her: The Fix, The Atlantic Business Channel, The New Republic, The Huffington Post, Washington Wire, The Daily Dish, The Hill’s Blog Briefing Room, Ezra Klein, Boston Globe, Hot Air, Right Wing News, PERRspectives, PoliGazette, The Strata-Sphere, Wake up America, Moe Lane, The Note, The Daley Gator, Democratic Strategist, Zandar Versus The Stupid, NY Daily News, The Politico, The Swamp, NewsBusters.org, No More Mister Nice Blog, Gawker, Gathering of Eagles: NY, Sister Toldjah, YID With LID, Macsmind, Classical Values, GOP 12, Stop The ACLU, TBogg, American Power, Real Clear Politics, Green Inc., Gateway Pundit, Cold Fury, PoliBlog, Balloon Juice, Latest Open Salon Blog and Left in the West

Think the Mortgage Crisis is over? Think Again; round two is coming!

The Market Ticker has the ugly details.

(H/T to Freedom Phoenix)

John Stossel takes on Liberal Propagandist Michael Moore

I happen to like John Stossel; because he dares to take on the Liberals. Not in a mean or nasty way. But by simply stating the truth.

He writes about Michael Moore’s latest Movie:

Michael Moore has been working on another documentary.  This time, he’s taking on capitalism:

“The wealthy, at some point, decided they didn’t have enough wealth. They wanted more — a lot more. So they systematically set about to fleece the American people out of their hard-earned money.”

How ridiculous is that?  The wealthy, and everyone else, almost always decide that they don’t have enough wealth.  People ask their bosses for raises.  We invest in stocks hoping for bigger returns than Treasury Bonds bring.  “Greed” is a constant.  The beauty of free markets, when government doesn’t meddle in them, is that they turn this greed into a phenomenal force for good.  The way to win big money is to serve your customers well.  Profit-seeking entrepreneurs have given us better products, shorter work days, extended lives, and more opportunities to write the script of our own life.

He goes on…:

Moore also fails to understand is that it was not “capitalism” run amok that caused today’s financial problems.   In reality, it was a combination of ill-conceived government policies and an overzealous Federal Reserve artificially lowering interest rates to fuel a bubble in the housing market.  Then it was government that took money from taxpayers and forced banks to accept it.

Moore ought to understand that, because he makes a good point when he says his movie will be about “the biggest robbery in the history of this country – the massive transfer of U.S. taxpayer money to private financial institutions.”

That is indeed robbery.  It sure doesn’t sound like capitalism.

Nope, sounds more like socialized Healthcare or simply Socialism in general; to me.

Mike Tennant writing over at Lew Rockwell’s Blog chimes in:

According to the press release you linked, Chris, “Moore has made three of the top six highest-grossing documentaries of all time,” which presumably means he has accumulated a great deal of wealth.  Apparently, since he continues to foist his so-called documentaries on an unsuspecting public, Moore has decided that he doesn’t have enough wealth.  He wants more–a lot more.

Like most anti-capitalists, Moore has no problem personally profiting from his own endeavors while demonizing other successful persons and attempting to have them dispossessed of their wealth.  The good news is that Moore ultimately has to answer to the marketplace and thus may find himself begging for work from the very people he now condemns if enough of his audience members wake up to the fact that he’s a charlatan and stop shelling out their increasingly scarce cash for his celluloid propaganda.

Mike is right on point; that is exactly how the socialists in America are. The Socialist left wants to preach to America, how evil, rotten, nasty and no good the evil capitalist system is; all the whole pocketing a profit from their lectures, Movies and the books that they just happen to make a profit at.  It is more of that “Yea for me, but Nay for thee”, type of mentality and outright hypocritical nonsense that the Far Socialist left is known for.

The troubling thing about it, is this; these knuckle-headed socialists basically control the Democratic Party and it’s message.  Hence my reasoning for not wanting anything to do with them or their Party any longer.

Give me Capitalism, Freedom and Liberty or Give Me Death!

Others: Wake up America

How’s that stimulus working out for you Barry?

Apparently not too well it seems.

The Washington Post (!) Reports:

Five months after Congress approved a massive package of spending and tax cuts aimed at reviving an ailing economy, the jobless rate is still climbing and the White House is scrambling to reassure an anxious public that President Obama’s prescription for economic recovery is on the right track.

Yesterday, Obama took time out of his first presidential trip to Moscow to defend the $787 billion stimulus package, arguing that the measure was the right medicine at the right time. “There’s nothing that we would have done differently,” he told ABC News

So, beings the Democratic Party’s proverbial teeth chattering session, where they realize, “Uh-Oh, we messed up! Now how do we fix it?”

Back in Washington, senior Democrats on Capitol Hill were nervously contemplating whether additional government stimulus spending may be needed to pull the nation out of the worst recession since the 1930s. Senior administration officials acknowledged that the effects of the stimulus package have been overshadowed by an unexpectedly sharp drop-off in employment since the measure passed in February. But they reported that only about $100 billion has so far been spent and that as increasingly large sums flow out of Washington, the program is on pace to save or create 600,000 jobs over the next 100 days.

“It is clear from the data that there needs to be more fiscal stimulus in the second half of the year than there was in the first half of the year,” White House economic adviser Lawrence H. Summers said. “Fortunately, the stimulus program designed by the president and passed by Congress provides exactly that.”

Leading economists agree that the most powerful effects of the stimulus package have yet to be felt. But even if the measure lives up to Obama’s expectations, it would barely offset the 433,000 jobs the nation lost last month alone, and the resulting employment would represent a drop in the bucket compared with the 6.5 million jobs lost since the recession began in December 2007.

“Just 130 days out on the adoption of a very, very major effort to get the economy moving, certainly I don’t think we can make a determination as to whether or not that’s been successful,” House Majority Leader Steny H. Hoyer (D-Md.) said yesterday. But, he said, “I think we need to be open to whether or not we need additional action.”

Oh Yes! We just poured a couple generation’s worth of money into a Economic system that is basically; on it’s face, is broken and does not work. This did not work, so, we’re going to basically pour money into that same broken system and see if we can make the economy recover. Rolling Eyes

If anything this ought be a lesson for the Democratic Party that Keynesian Pump Priming, just does not work. But you think that the Democrats would learn that lesson? No. Because they’re dumb! Silly

Of course, the Republicans are a bit more smarter about this:

Republicans, meanwhile, pounced on news that the unemployment rate increased to 9.5 percent in June and accused the Democrats of sinking the nation deeper into debt to finance an economic recovery package that has failed to save American jobs. Noting that the Obama administration predicted earlier this year that stimulus spending would keep the unemployment rate under 8 percent, Rep. Eric Cantor (R-Va.), the No. 2 Republican in the House, said, “I think any objective measure would indicate there’s a failure when you have a commitment of nearly $800 billion in taxpayer funds and you have the type of job loss we’re experiencing.”

With many economists forecasting that the jobless rate will continue to climb — and is likely to stay above 10 percent through much of next year — Republicans vowed to make the 2010 midterm election a referendum on Obama’s stewardship of the economy. “I think they’re going to have some significant problems,” said Sen. John Cornyn (R-Tex.), who leads the GOP campaign operation in the Senate, “and I view those as opportunities for us.”

Hopefully, the Republicans will frame these opportunities properly. Of course, their track record here as of late, has not been too good.

Meanwhile, in the reality sector:

Despite the deepening pain of the recession, many Democrats in the White House and on Capitol Hill yesterday counseled patience. They said it would be extraordinarily difficult to win approval for more spending on the economy when Obama is pursuing a host of other expensive initiatives, including a $1 trillion expansion of the nation’s health-care system. And they argued that the current stimulus package should be given a chance to work.

The stimulus was designed to deliver a gradually stronger push to the economy through the end of next year. It contains about $499 billion in new spending and about $288 billion in tax cuts for working families, businesses, college students and first-time home buyers.

When the measure passed, the nonpartisan Congressional Budget Office predicted that about a quarter of the money would be spent by year’s end, and that about 75 percent would flow by the end of 2010. So far, economists said, spending appears to be on track.

According to administration estimates, about $158 billion in new spending had been committed to specific projects by the end of June, but just a fraction of that money — about $56 billion — had been delivered to struggling state governments, unemployed workers and other recipients. An additional $43 billion had been left in the pockets of individuals and businesses through uncollected taxes, much of it the result of Obama’s signature Making Work Pay tax credit for working families.

Those figures track closely with estimates by Mark Zandi, chief economist for Moody’s Economy.com, who calculates that the government made $242 billion in stimulus funds available for various purposes through the end of June and paid out about $110 billion. In a recent analysis, Zandi predicted that “the maximum contribution from the stimulus should occur in the second and third quarters of this year,” when it will add more than three percentage points to overall economic growth.

“It’s pretty much according to plan in terms of the payout and in terms of its economic impact. This is in the script,” Zandi said. The problem, he said, is that “the economy has been measurably worse than anyone expected,” with a surprisingly sharp “collapse in employment and surge in unemployment” that caught most economists off guard.

“That’s why the administration’s forecasts have been so wrong,” he said.

None of this surprises me in the least. I warned on this blog long ago that this would happen. But, of course, you have the Democrats spinning this, and very hard too:

The White House continues to predict that the stimulus package will save or create 3.5 million jobs by the end of next year. Zandi predicts it will fall short of that, producing about 2.5 million jobs — still a significant impact.

Whatever the number, Democrats are hoping it will be enough to convince voters that Obama is leading them out of the economic wilderness.

“I think the president was very clear that things were going to take a long time to turn around,” said Rep. Chris Van Hollen (D-Md.), who leads the Democratic Congressional Campaign Committee in charge of electing Democrats to the House. Republicans “are making the argument to the American people that doing nothing would have been the best policy. And I don’t think people will buy that. . . .

“The measures we have taken have certainly prevented things from getting much worse.”

According to what figures? Because the charts I have seen, say otherwise:

stimulus-vs-unemployment-june-proj-dots

What this chart shows is that unemployment was far higher with the stimulus plan, than it would have been, if Team Teleprompter would have just left well enough alone.

What this means to me personally is this; I will most likely be unemployed until like 2010 or longer. Thereby making myself impossible to he hired anywhere, because I haven’t worked in so long. Which is just wonderful. Rolling Eyes

Thank you President Bambi Teleprompter for ruining America, you feckless idiot! Angry

Others:  Hot Air,  

Heh: Liberals are now whining about increased food prices

TOO FUNNY!:

Until recently, whenever we went to the farmers’ market, we would lug home $50 pork roasts and $14 gallons of milk. We would spend over $100 on food that might not last more than three days. Sometimes we’d shop on Saturday morning and have nothing to make for dinner on Monday. I shrugged this off as one of those oddities of New York life, like getting a ticket because your neighbor put out his trash on the wrong day. But the $35 chicken made me reconsider. Buying sustainably raised beef and sustainably squeezed milk and sustainably hatched poultry is a way of life that, these days, I just can’t sustain.

There were reasons I fell into the habit of spending more money in one morning at the farmers’ market than some people spend on an engagement ring. These farmers — whom I began to imagine driving new BMWs once they got back upstate — were doing good work. They stayed away from pharmaceuticals, so we didn’t have to worry that we were feeding Dexter and his baby brother, Elliot, stray hormones or antibiotics. We had never been strict about buying organics, but we liked apples from orchards that didn’t apply pesticides with a fire hose. And apart from that infamous chicken, most of the products from the farmers’ market were grand on the dinner table. The question was: How much grandeur could we afford?

via Cooking With Dexter – The New Chicken Economy – NYTimes.com.

Liberals think it is bad now; wait till the hyper inflation hits, no thanks to “The One’s” failed stimulus plan.

(H/T and Thanks to Mere Rhetoric)

Oh Lovely: Warren Buffett says U.S. Economy In "Shambles"

But do you think this will change “The One’s” way of doing things? No.

Video:

The Story:

In a live interview on CNBC today, Warren Buffett said there has been little progress over the past few months in the “economic war” being fought by the country. “We haven’t got the economy moving yet.”

While the economy is a “shambles” and likely to stay that way for some time, he remains optimistic there will eventually be a recovery over a period of years.

via Warren Buffett to CNBC: U.S. Economy In “Shambles” .. No Signs of Recovery Yet – Warren Buffett Watch – CNBC.com.

Next time some idiot liberal tells you that Obama is going to “Fix” the economy. Show them this posting. The reality is, that Obama is not fixing anything at all.

Oy!: You'd think they would learn; perhaps not….

Think the Democrats will learn from their prior mistakes, and won’t make them again?

Perhaps not:

(Reuters) – Two U.S. Democratic lawmakers want Fannie Mae and Freddie Mac to relax recently tightened standards for mortgages on new condominiums, saying they could threaten the viability of some developments and slow the housing-market recovery, the Wall Street Journal said.

In March, Fannie Mae (FNM.N)(FNM.P) said it would no longer guarantee mortgages on condos in buildings where fewer than 70 percent of the units have been sold, up from 51 percent, the paper said. Freddie Mac (FRE.P)(FRE.N) is due to implement similar policies next month, the paper said.

In a letter to the CEO’s of both companies, Representatives Barney Frank, the chairman of the House Financial Services Committee, and Anthony Weiner warned that a 70 percent sales threshold “may be too onerous” and could lead condo buyers to shun new developments, according to the paper.

The legislators asked the companies to “make appropriate adjustments” to their underwriting standards for condos, the paper added.

In an interview with the paper, Weiner said the rules have “had a real chill on the ability to get these condos sold,” at a time when prices of condos have fallen enough to attract potential buyers.

via Fannie, Freddie asked to relax condo loan rules: report | Reuters.

This is the same sort of stupidity that got us into the mess that we are in now. You would think that the Democrats in question would learn from their prior mistakes. So much for that idea. :roll:’

Of course, when you’re dealing with a party, that has been taken over by people, who are essentially Communist-lite in nature. What do you expect?

Is America turning Japanese?

This comes via Reason.tv:

Article mentioned in this video is Here

Cue the Music!

Unemployment Soars higher than expected and the Dems solution is throw more money at it!

But of course, is that not what Democrats always do? When a problem arises, they throw more money at a problem and exert more Governmental Control over it; thinking that will fix it?

Anyhow, here is the story; The Voice of America reports:

The White House says America’s employment picture is worse than the Obama administration had anticipated just a few months ago. The somber admission follows the latest jobless report showing the highest unemployment rate the United States has seen in more than 25 years.

U.S. unemployment jumped a half percent in May, to 9.4 percent prompting this comment by Austan Goolsbee, a member of President Barack Obama’s Council of Economic Advisors:

“The economy clearly has gotten substantially worse from the initial predictions that were being made, not just by the White House, but by all of the private sector,” said Austan Goolsbee.

Economists point out that the current jobless rate is already higher than the hypothetical rate that was used to calculate the health of banks and other financial institutions in so-called “stress tests” earlier this year. And, the upward unemployment trajectory is expected to continue in coming months, even if the overall economy begins to recover.

But never fear your Government is on the case! They are going to do, what Government has always done; especially Liberal Governments. They going to throw money at the problem! Woo Hoo! 🙄

The Barack Obama Apologist, Politico reports:

President Barack Obama is announcing Monday that he is ramping up stimulus spending exponentially in the next three months, allowing the administration to “save or create” 600,00 jobs — four times as many as during the first 100 days since he signed the bill.

The spending plans include National Parks, summer youth jobs, veterans’ medical centers, police and teachers.

Obama will make the announcement during a late-morning Cabinet meeting, when Vice President Joe Biden will present a Roadmap to Recovery, which the White House calls “an Administration-wide effort to accelerate implementation of the American Recovery and Reinvestment Act in its second 100 days.”

“As a result of this accelerated pace of activity, over 600,000 jobs are expected to be created or saved by the Recovery Act in the second 100 days,” compared with roughly 150,000 in the first 100 days, the White House said.

While the administration is sensitive to criticism that stimulus spending has been too slow, a new Gallup Poll shows danger in the other direction. For the first time, a majority of respondents disapprove of Obama on the issue of “controlling federal spending” (51 percent to 45 percent), compared to the 67 percent who view him favorably overall.

Here’s what the “Magic One” is going to do with all that money:

  • Enable 1,129 Health Centers in 50 States and 8 Territories to Provide Expanded Service to Approximately 300,000 Patients – Department of Health and Human Services
  • Begin Work on 107 National Parks – Department of the Interior
  • Begin Work on Rehabilitation and Improvement Projects at 98 Airports and Over 1,500 Highway Locations throughout the Country – Department of Transportation
  • Fund 135,000 Education Jobs Including Teachers, Principals and Support Staff – Department of Education
  • Begin Improvements at 90 Veterans Medical Centers across 38 States – Department of Veterans Affairs
  • Hire or Keep on the Job Approximately 5,000 Law Enforcement Officers – Department of Justice
  • Start 200 New Waste and Water Systems in Rural America – United States Department of Agriculture
  • Begin or Accelerate Cleanup Work at 20 Superfund Sites from the National Priority List – Environmental Protection Agency
  • Create 125,000 Summer Youth Jobs – Department of Labor
  • Initiate 2,300 Construction and Rehabilitation Projects at 359 Military Facilities across the Nation – Department of Defense

Here’s the problem; The President or more specifically our wonderful Government is going do all these wonderful things with money that we don’t even have; because we are barrowing it all from China. After all, did not the President say that we are broke? Yes, he did!

Quotable Quote:

In a sobering holiday interview with C-SPAN, President Obama boldly told Americans: “We are out of money.”

C-SPAN host Steve Scully broke from a meek Washington press corps with probing questions for the new president.

SCULLY: You know the numbers, $1.7 trillion debt, a national deficit of $11 trillion. At what point do we run out of money?

OBAMA: Well, we are out of money now. We are operating in deep deficits, not caused by any decisions we’ve made on health care so far. This is a consequence of the crisis that we’ve seen and in fact our failure to make some good decisions on health care over the last several decades.

So we’ve got a short-term problem, which is we had to spend a lot of money to salvage our financial system, we had to deal with the auto companies, a huge recession which drains tax revenue at the same time it’s putting more pressure on governments to provide unemployment insurance or make sure that food stamps are available for people who have been laid off.

So we have a short-term problem and we also have a long-term problem. The short-term problem is dwarfed by the long-term problem. And the long-term problem is Medicaid and Medicare. If we don’t reduce long-term health care inflation substantially, we can’t get control of the deficit.

So, one option is just to do nothing. We say, well, it’s too expensive for us to make some short-term investments in health care. We can’t afford it. We’ve got this big deficit. Let’s just keep the health care system that we’ve got now.

Along that trajectory, we will see health care cost as an overall share of our federal spending grow and grow and grow and grow until essentially it consumes everything…

But yet, we are going to throw more money at the jobless problem. But we’re broke? Does anyone else see the problem with this picture?