All that follows was written a few weeks before Obama’s re-election in 2012. It was inconceivable that he would be re-elected following his first term in office, and the miserable response to what he termed the worst depression since the 1930’s. His policies and his associates have managed to drag out a slow recovery till the end of his second, unfortunate term of office.
Comparing Obama with former presidents is a futile and pointless effort. However, he is on the same path as that followed by Col. George Custer at the battle of Little Big Horn. He has dug in his troops for the last stand, and all that remains is his final battle. What’s left from Custer’s battle is his horse, Comanche, on display at the University of Kansas Museum in Lawrence, a survivor because Indians knew and respected horses. If only Obama knew and respected America. Our president does not respect the courts, the states, the congress, the constitution, or America’s future, which he is close to destroying.
While Washington is almost as broken as Little Big Horn, Barack has very little time to do something right. After that his goose will be cooked by any one of several republican nominees who will tar and feather him and ride him out of town on a rail. He might avoid this last stand if he did what nobody believes is in his DNA; he could do something right for America for a change. Three major changes are prescribed.
Change #1: Change from Parasite to Capitalist
Rather than to remake an entire country brick by brick, the first step is to accept Putin’s accusation that America has become a country of parasites. Particularly our government has become parasitic through decades of spending and borrowing until debt virtually equals our nation’s annual productivity (GNP). Those we send to Washington seem little different from the many who represent us in state and local governments. While it has been said that all politics is local, the closer one gets to DC the more it resembles a feedlot. For miles around the stench is unmanageable, and the only hope is for the wind to change direction and blow the smell in another direction.
This great country is built around capitalism, free markets, open competition, and over the last few decades international trade. Those folks who understand the opportunity to get ahead are able to become first generation millionaires through diligence and hard work. This is the magnet that attracts immigrants to our shores in droves. Any president who demonizes wealth, as Obama is doing, is killing the goose that lays the golden egg.
The American dream is knowing that one may benefit from ones own effort. Obama’s dream is that one may benefit from the effort of others, a parasite in an entitlement society and the economic system. The American dream is based upon individual effort and personal responsibility. The Obama dream is one of sharing communal wealth by claiming what others earn. Obama’s only concern is his own re-election, not what’s good for the country. He is certainly not good for America.
The simpleminded notion that the rich are not pulling their weight in America is ignorant, fraudulent, political propaganda designed to attract voters for Obama’s next election. Class warfare through blaming millionaires and billionaires as a key part of America’s problem is dangerous for society and economically misguided. Every pension fund in the country rests upon the strength of their investments, primarily in American business and industry. The well-being and future of these funds rests solidly on a healthy economy. When the economy is sluggish these funds of all retirees suffer.
For far too long our elected federal officials have believed that spending money was their primary function. Washington represents a pot of gold waiting for those with needs to come forward and stake their claim. Our politicians and bureaucrats have built a complete system in which huge amounts of money can be shoveled out the door on the say-so of a single member of congress, an earmark. Unfunded mandates, entitlements, and presently rule making by bureaucrats in the executive branch require limitless streams of cash to support everybody’s pet projects. It has become a no-holds-barred grab-bag of cash free for the taking with virtually no tracking responsibility. Waste, fraud, and abuse are the tip of the federal iceberg when considering the torrent of legal expenditures floating just below the surface.
We are no longer an isolated market protected by two huge oceans. Our markets are fueled through energy and vast national resources. Under Obama our federal government is on a collision course with the fundamentals of our capitalist system. Freedom is the motor which drives investment decisions, yet every decision of the Obama administration puts a damper on investing in the country. The always temporary tax rate and cost of health care for businesses and individuals are two major items in the calculation.
Following Putin’s parasitic analogy, the economy is the host, and the government is the parasite. Every dollar extracted by the parasite weakens the host. When government and politicians as parasites extract more and more nourishment, the host becomes weaker and eventually dies. America is at the point financially where the government has extracted as much from the host as possible, and is feeding its ravenous appetite on borrowed money because the host is tapped dry.
In today’s government, borrowed money has a huge overhead as 40% of every borrowed dollar is paid in interest on the front of any so-called stimulus. The return of confidence in the economy would work best if the government simply got out of the way, and allowed the free markets to work.
Change #2: Stop Killing Jobs
In many professional fields the primary rule is often “first do no harm”. Obama and his merry men have done everything in their power to kill jobs directly, or delay the creation of jobs through bureaucratic regulation and foot-dragging. One of the first laws passed under Obama was an increase in the minimum wage. Pelosi managed to exempt her own Pacific companies from the influence of this increased cost, but the net effect was to put a premium on new hires. This stupid law makes it more difficult for prospective employers to hire more young folks, the primary victims of the current recession.
Obama’s moratorium on oil drilling in the Gulf set the stage for crippling the nation’s energy industry. Bureaucratic delays in permitting have slowed down the production of new energy sources. Borrowed government stimulus money goes primarily to new technologies which interfere with normal market influences. Government subsidy of ethanol is a diversion of food for fuel and diverts cropland from other markets.
Government interference with operation of the Boeing plant in South Carolina adds additional uncertainty to an international manufacturing contractor, and delays hiring thousands of workers, one of the few bright spots in the current economy. Subsidies for battery technology is blowing money into a failing market, and is supported by the sale of an insignificant number of electric cars.
Trade agreements promised three years ago remain on the big round desk in the White House, while trade with these countries is shifted from us to others. Killing our exports kills jobs as readily as a moratorium on drilling in the gulf.
Obama’s Affordable Care Act will kill most jobs in the health insurance industry as soon as all of its parasitic provisions become law. Killing jobs short term, and long term appears to be the primary strategy of the Obama administration, which fits nicely with many of the executive departments in Washington. If this is not a deliberate attempt to kill the American Dream, the result is the same.
Change #3: Accept the limited role of all governments
While government has a limited role in providing a temporary safety net for workers, our current governments believe those who become unemployed should have the same lifestyle as those who work. Current unemployment may last almost two years, and may be supplemented by food stamps, housing, health care, and other necessities. With government support for housing alone, which is reported as costing as much as $2500 per month for a family in Connecticut, the question becomes why should anybody work? When working supports a lower lifestyle than doing nothing, the industrious, conscientious and hard workers begin to question their own wisdom.
Government support of individuals is provided through multiple departments in our sprawling bureaucracy. I have seen a manufacturing plant closed on a Friday because the folks on welfare (?) with jobs in the private sector (?) had to stand in line to apply for or collect their unemployment compensation (?). The level of fraud and chicanery in government support programs is beyond belief. Very few individuals in or out of government are aware of the many opportunities to receive a handout by signing your name, a violation of federal law. I have seen individuals who would work the minimum number of weeks (?) to qualify for unemployment benefits. They also understood exactly how many weeks they could live on those benefits until they had to go back to work again. When the benefits stopped they went back to their usual line of work.
We have arrived at a time when the federal government is an insurance company for all free market swings. General welfare, as in the Constitution, has expanded to include every basic need for free. For those who are entitled, there is no longer a premium to be paid, as the government underwrites every contingency. Currently the government is proposing to protect home ownership by delaying foreclosure for non-payment from three months to a year. This additional interference with the market will only delay the correction in the housing market, and allow free-loaders to remain in tax-payer or bank-owned homes without making any mortgage payments. Why shouldn’t everybody have free housing?
Many state constitutions have iron clad provisions that prevent them from engaging in competition with businesses in the private sector. Our federal government has taken over several free markets through insurance of normal banking functions. Federal guarantees have allowed the government to assume almost complete ownership of home mortgages, flood insurance, and under Obama, student loans. If student loans go the way of home mortgages, eventually all loans will be forgiven, and transferred back to the taxpayer. Under this system, all students who “can not afford to go to college” will be able to go to any college of their choice free of charge. Illegal students will have top priority in the name of diversity.
The behavior of the crowd in Washington is reminiscent of the three monkeys, see no evil, hear no evil, and speak no evil. Wherever you look in DC, a government out of control is clearly apparent on every corner. Our representatives no longer represent the hard working folks that sent them there, and the bureaucrats who are shoveling money out the door genuinely believe they are performing their jobs to the best of their ability. Washington is a progressive disease which will kill America’s golden goose unless the sick system at its core is brought to its knees.