President Obama has just created a panel to figure out how to get our debt under control.  Even when he makes a decision, such as this one, it is to pass the buck to someone else to do the heavy lifting.  His attempt to overhaul health care turned into the Harry and Nancy Show.  Obama campaigned and gave speeches while Pelosi and Reid shut out the Republicans and created the bill that could not be passed.  Obama is now trying to put lipstick on that pig, by calling for a bipartisan meeting.  But instead of starting over and getting ideas from everyone, they are basically going to pick over the stinking corpse of the bill that the Democrats could not get passed.  It is obvious that the real objective is to either get some Republicans to sign on or to use the meeting as a club to beat the Republicans as the “party of No.”

Stop Me Before I Spend

This president can’t seem to control himself and he finds that he painted himself into a corner.  If he tries to raise taxes on those who make less than $250,000 per year he will be breaking a major campaign promise.  If he stops spending on his own, he will lose the left which is about the only support he has remaining.  So he calls in Alan Simpson and Erskine Bowles to co-chair a committee charged with making the president a tailor made fig leaf, to allow him to cut spending and raise taxes, while shrugging his shoulders and saying, “I can’t go a gainst the excellent advice of this august commission.”

If he wants to cut spending, he can just cut spending.  He doesn’t need a commission to do so.  How about an across the board spending freeze, except for national defense, until the the economy grows enough to balance the budget and not with gimmicks like increasing discretionary spending now 24% and then saying you will freeze that same spending for the next threee years?  How about freezing government hiring?  How about returning $500 billion in unspent stimulus money and $400 billion in repaid TARP money, plus interest, to the Treasury?  Don’t hold your breath.  That would require someone with executive experience who knows how to make a decision, rather than deliberating, like a legislator.  Sarah Palin comes to mind, as does George Bush (I & II), Bill Clinton, Ronald Reagan.  These experienced executives knew how to put together a budget and make decisions.  Chris Christie in New Jersey was just sworn in last month as governor and he immediately identified the problem as too much spending and got to work cutting it back.  All that President Obama seems to know how to do is talk. 

If we start advertising now, we may get enough resumes to review to find a replacement by 2012.

For nearly eight years we heard the left scream, “Bush Lied!” over the decision to invade Iraq.  One decision and the same refrain repeated over and over again.  Where is the scrutiny of the truth police where President Obama is concerned?

In his State of the Union address he took the unprecedented step of calling out the Supreme Court and encouraging his minions to give that rebuke a standing ovation.  Shameful.  This is not to say that Obama cannot criticize other branches of government, but there is a time and a place.  When Joe Wilson called out “LIAR!” during a previous speech by President Obama he was roundly criticized and rightly so.  Not for the criticism, but for the time and the place.  Joe Wilson called the president to apologize.  Did Obama do the same?

The timing of the act was bad enough, but the accusation he made was not true, as Samuel Alito could be seen saying, if you can read lips.  In the midst of his constitutional duty to report to Congress on the State of the Union, he uses a blatant lie to attack his guests. But that wasn’t all.  His speech was sprinkled throughout with falsehoods, not least of which was his statement on jobs.

Counting the Uncountable

To try to put a positive spin on his porkulus bill, he had to make up a statistic that no reputable economist can endorse, “jobs saved”.  In his State of the Union speech and on the Sunday morning talk show circuit, Obama and his team talked about 2 million jobs created or saved. But they weren’t all on the same page, some said 1.8 million, but regardless it is blatant dishonesty.

Jobs created is a real statistic.  As a small business owner I can tell you that when you hire someone there are a number of government agencies that you have to report it to and you have a deadline in which to do so.  There is also some paperwork involved when you eliminate a job.  But I have never, never had to report to any agency when I thought about eliminating a job and then changed my mind.  After all wouldn’t that be the definition of a job saved?

If I never thought about eliminating the position, then the job is not “saved” it just continues to exist.  If I thought about eliminating the position and did so, it would not be a job “saved” it would be a job eliminated, no?  So it is this two step process of thinking about the action and then not following through that could reasonably be thought of as a “job saved”.  How do you measure that thought process?  Hiring someone is an observable action.  Eliminating a job is an observable action.  Saving a job are two related thought processes not externally observable, they can only be “reported” by the decision maker and it cannot be independently verified.  Is that the kind of statistic upon which you want your government to base billions of dollars in spending decision?   The only added feature of Obamanomics is that some money changes hands.  Money that comes from you, dear taxpayer, and goes to the businessman.  Can you see why such a statistic is ridiculous?

Which One Is It Mr. President?  Mr. Biden? Anyone?

Let’s pretend for a moment that “jobs saved” is a real statistic.  If the president has a figure in his head of 2 million jobs created or saved, and for the aforementioned reasons the number of jobs created is a hard number reported to some agency, then the number of jobs saved should be a matter of simple math.  2 million minus the number of jobs actually created equals the number of jobs saved.  So why not report it as such?  100,000 jobs created and 1.9 million jobs saved, for example.  Why lump them together?  Because when you lump them together its harder to tell how big of a lie the president is telling.

Stimulus recipients previously reported that they had directly “created or saved” 640,329 jobs by Sept. 30, but their filings were criticized after it emerged that some people had reported saving jobs when they had actually spent the money on pay raises or paying employees who were not in danger of being laid off.

In December, the White House Office of Management and Budget changed its guidance, telling recipients they should start counting every worker whose salary was funded with stimulus money, rather than guessing whether the jobs would have existed in the absence of the federal plan. Opponents of the program accused the administration of “moving the goal posts” to make the plan appear more successful. — Wall Street Journal, Latest Stimulus Report Fuels Jobs Pressure, Feb. 1 2010

So companies using stimulus money to give people raises was counted as jobs saved!  We have 10%-17% of our workforce idled and taxpayers are being fleeced to give people raises and this administration is calling that successful policy.  When do we start firing people in this administration?  How about Janet Napolitano?  How about Eric Holder?  or are we saving their jobs too so that the numbers look good?  The other reports are just as galling: $1000 purchase of a lawn mower is credited with saving jobs;  using stimulus money to purchase boots with each boot (left and right) being counted as a job saved because someone had to make the boots; stimulus money going to create jobs in Congressional districts that do not exist.  Does anyone have any confidence that this administration has a clue about how to run a government?  This is beyond embarrassing.

The Next Stimulus

But fear not, since the first stimulus was so successful, President Obama is teeing up the next one, but don’t worry this one is only $100 billion.  Doesn’t that just make you feel warm all over?

When you are waiting for someone an hour can seem like a long time, but when you really want to accomplish something an hour is really not that long.  Here are some things you can’t do in an hour:

1. Run a marathon
2. Watch a feature length movie
3. Read a novel
4. Watch a baseball or football game
5. Make a good batch of chili

However there are some things that you can accomplish in less than an hour, such as:

1. Eat a doughnut
2. Watch a M*A*S*H re-run
3. Walk a mile
4. Take a shower
5. Brush your teeth
6. Take out the garbage
7. Change the oil in your car
8. Order and pick up a pizza
9. Check your e-mail
10. Complete the interrogation of someone named Umar Farouk Abdulmutallab, who tried to blow up a plane using a bomb in his underwear

That’s right #10 was completed in 50 minutes before the FBI decided to read him his Miranda rights and put him into the criminal justice system.  You will probably not be surprised to find out that he soon had a lawyer who advised him to stop speaking to the FBI.  So now if they want him to divulge any information they will have to go the plea bargain route up to and including setting him free.  Aren’t you glad we got rid of Bush and Cheney?  I mean, seriously, don’t you feel safer?

What Did He Know?

Does anyone believe what the Obama administration is telling us that they got everything they could out of this 23 year old novice in 50 minutes.  The kid was definitely talking, so why stop him?  He just got back from Yemen and probably had a wealth of information to give up.  He belongs in Guantanamo.  Are we not, as Obama finally admitted, at war?  Or are we at war, but just not with this guy?  (And by the way, Obama has been in office a year now so why hasn’t he captured Osama bin Laden?  During the campaign he snorted that McCain wouldn’t even follow him to his cave, as if Obama had the address).

Regardless of your position on “enhanced interrogation techniques” and let’s just say you put those aside.  You want to keep this guy where you can interrogate him again and again.  Where you can work to gain his trust, and where you can corroborate other information you find until he has been in your custody so long his information is stale and no longer of use.  Here’s a little secret for the Obama administration… it takes longer than 50 minutes.

An Embarrassment of Incompetence

Close on the heels of Janet Napolitano’s blundering at the helm of the Department of Homeland Security we have this astonishing exchange between Chris Wallace of Fox News Sunday and White House Press Secretary Robert Gibbs, as reported in the Washington Examiner by Byron York:

On “Fox News Sunday,” host Chris Wallace asked White House spokesman Robert Gibbs whether President Obama was informed of the decision to read Abdulmutallab his Miranda rights before or after it was done. Gibbs avoided the question, saying, “That decision was made by the Justice Department and the FBI, with experienced FBI interrogators.” Gibbs stressed that “Abdulmutallab was interrogated and valuable intelligence was gotten as a result of that interrogation.”

Wallace pressed. “But we now find out he was interrogated for 50 minutes,” he said to Gibbs. “When they came back, he was read his Miranda rights and he clammed up.”

“No,” Gibbs answered. “Again, he was interrogated. Valuable intelligence was gotten based on those interrogations. And I think the Department of Justice and the — made the right decision, as did those FBI agents.”

“Let me just press one last question,” Wallace said. “You really don’t think that if you’d interrogated him longer that you might have gotten more information, since we now know that Al Qaeda in Yemen — ”

“Well, FBI interrogators believe they got valuable intelligence and were able to get all that they could out of him,” Gibbs said.

“All they could?” Wallace asked.

“Yeah,” Gibbs said.”

The Joke is on You

Joe Biden just held a press event to reveal how he was going to help the middle class.  The man who has a hard time reaching into his own pocket for more than $1 a day in charity to give to his fellow man, has no problem reaching into your pocket and give the fruit of your labor to someone else.  It’s a win-win.  It doesn’t cost Joe Biden and it helps him keep getting elected and drawing a salary that you pay for.

Here is what he revealed:

1. Nearly Doubling the Child and Dependent Care Tax Credit — in an economy that has over 10% unemployment this administration is focusing on helping those who already have a job and income.  I’m all for tax cuts, but not targeted cuts.  Cut income tax rates and jobs will be created.  I don’t believe this administration knows how to aim anything well enough to hit a target
2. Limiting a student’s federal loan payments to 10 percent of his/her income above a basic living allowance — the administration is concerned about how much debt students leave college with.  Does it have any concern about how much debt they are piling on everyone, not just college graduates?  Biden pointed to the average indebtedness of around $25,000 for college graduates.  The federal debt is about $35,000 for every man, woman and child in America, not just college graduates and this administration shows no signs of stopping it.
3. Creating a system of automatic workplace IRAs — government first got involved in retirement with Social Security.  That system is bankrupt and this administration has no interest in fixing it.  When Republicans floated the idea of taking a portion of the Social Security payroll tax and diverting it to higher return private savings, the Democrats savaged them.  So the Democrat solution is to ignore the bankrupt Social Security system and start telling business what to do.
4. Expanding tax credits to match retirement savings and enacting new safeguards to protect retirement savings — again with Social Security bankrupt, they want to put more tax dollars into retirement.  How different is this than the Republican plan to take what exists and allow it to get better returns than the paltry rate it currently gets within the Social Security system? The difference is that the Republican plan wouldn’t cost anything extra.  The Democrat plan will either increase payroll taxes or increase the deficit.  Surprise!!!
5. Expanding support for families balancing work with caring for elderly relatives –I thought the Democrats had fixed this with “end of life counseling” in their health care plan, coupled with bringing back the Death Tax next year.

Fumbling and Stumbling

The way to create jobs is to let the job creators keep their money to invest in their business and expand.  Small business owners are stuck waiting to learn how much all of Obama’s social re-engineering is going to cost them and until they know that, hiring is the last thing they will do.  The only thing this administration seems to know how to do is bash business and spend money and the more they spend the longer the recover will take.  They are now planning another stimulus plan to follow the last stimulus plan that didn’t work, and the deficit continues to grow and grow and grow.

President Obama wants to create a bipartisan panel to recommend how to reduce the deficit.  He gives the back of his hand to bipartisanship when it comes to workable solutions to real problems, but he loves bipartisanship when it gives him political cover to make unpopular decisions.  All of his supporters love to say that experience doesn’t matter and that President Obama is the smartest guy in the room.  If that is true, he should not be afraid to propose bold spending cuts and shrinking government and be smart enough to explain it to Congress on his own.  If he does so, I am sure many Republicans would support him and vote for it (and almost all Democrats vote against it).  But he wants it both ways, he wants Republicans to yield to tie spending cuts to tax increases and put the package to an up or down vote.  He will then take that on the campaign trail to tell the world how Republicans voted for tax increases.  If you don’t believe me, look to history.  George Herbert Walker Bush, of the “no new taxes” pledge, got Congress to agree with spending cuts in return for a tax increase.  Bill Clinton clubbed him to death, like a baby seal, with that pledge and then enjoyed Bush’s restraint upon Congress on the spending side to generate budget surpluses.  Let President Obama take the lead.  Wasn’t that why he was elected?  Because he was a different kind of leader?  So, lead away.

“I do solemnly swear that I will faithfully execute the Office of President of the United States, and will to the best of my Ability, preserve, protect, and defend the Constitution of the United States.”  – Presidential Oath of Office,  Constitution of the United States of America, Article II, Section I

“Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech, or of the press, or the right of the people to peaceably assemble, and to petition the Government for a redress of grievances.” — Constitution of the United States of America, First Amendment.

“This ruling strikes at our democracy itself,” Mr. Obama said, adding: “I can’t think of anything more devastating to the public interest. The last thing we need to do is hand more influence to the lobbyists in Washington, or more power to the special interests to tip the outcome of elections.” — NY Times, January 25, 2010

Last week in Citizens United v. Federal Election Commission the Supreme Court struck down a provision in the McCain-Feingold campaign finance reform bill that prohibited “electioneering communication”, that is, broadcast ads that name a federal candidate within 30 days of a primary election or within 60 days of a general election.  It is what I and many others dub the “Incumbent Protection Act”, because it tips the scales heavily in favor of incumbents who have the name recognition, and the communication power of their office as an advantage in an election.  In addition, the 30 days or 60 days are when many voters really start paying attention.  Our elected representatives love to talk tough about reform, but that reform typically ends up making it harder to replace them.

Obama Weighs In

As the above quotes demonstrate, President Obama’s job is to uphold the Constitution.  The Constitution protects free speech.  So why is President Obama attacking a Supreme Court ruling that protects Free Speech?  Is that what he is supposed to be doing?  Instead he says it “strikes at democracy itself.”  He doesn’t mention that it also lifts restrictions on the speech of unions that typically favor the positions of his party.  Perhaps that is because with the Obama administration unions have extraordinary access to the White House. From January to July, White House logs show that Andy Stern, President of the Service Employees International Union (SEIU) visited the White House 22 times, more than anyone else in the visitor logs.

If President Obama is truly concerned about the influence of lobbyists, it does no good to drive them out of advertising on TV into personal visits to the White House.  Of course, the president would be selective in who has an audience with him.  If you really want to reduce the number of lobbyists, then reduce the reasons for them to lobby.  If, for example, you want to reduce the lobbying effort of the giant agricultural corporation Archer Daniels Midland, then get the government out of the business of ethanol subsidies, farm subsidies, and shut down the federal Department of Agriculture.   Lobbyists will call on Washington less, if they have less to call about.  Shrinking the federal government will reduce the number of lobbyists and their influence, reduce the deficit, help balance the budget, and make the government more manageable so that we can reduce or eliminate waste and fraud.

Supreme Court Justice John Paul Stevens blasted the Supreme Court’s 5-4 decision saying that the ruling is not grounded in the writings of the Founding Fathers.  His argument being that certain groups could have their speech curtailed and only individuals had their speech protected.  Justice Antonin Scalia wrote a separate concurring opinion to address Stevens argument.  In part:

“I write separately to address JUSTICE STEVENS’ discussion of “Original Understandings”… This section of [Stevens'] dissent purports to show that today’s decision is not supported by the original understanding of the First Amendment. The dissent attempts this demonstration, however, in splendid isolation from the text of the First Amendment. It never shows why “the freedom of speech” that was the right of Englishmen did not include the freedom to speak in association with other individuals, including association in the corporate form. To be sure, in 1791 (as now) corporations could pursue only the objectives set forth in their charters; but the dissent provides no evidence that their speech in the pursuit of those objectives could be censored….

The [First] Amendment is written in terms of “speech,” not speakers. Its text offers no foothold for excluding any category of speaker, from single individuals to partnerships of individuals, to unincorporated associations of individuals, to incorporated associations of individuals–and the dissent offers no evidence about the original meaning of the text to support any such exclusion. We are therefore simply left with the question whether the speech at issue in this case is “speech” covered by the First Amendment. No one says otherwise.” – Antonin Scalia, concurring opinion in “Citizens United v. Federal Election Commission

Newly seated Justice Sonia Sotomayor voted against free speech.  I always marvel when people who succeed against tough odds attack the very principles of this country that allowed them to succeed.  The Bill of Rights was designed to protect against the tyranny of the majority by defining certain rights of every individual that could not be infringed upon.  It is one reason why people around the world fight to come here for a chance to succeed.  Because they know that these principles will allow them to do so if they have the drive to succeed.

“The Obama administration’s $75 billion program to protect homeowners from foreclosure has been widely pronounced a disappointment, and some economists and real estate experts now contend it has done more harm than good.” – New York Times, January 2, 2010

“The Treasury Department publicly maintains that its program is on track. “The program is meeting its intended goal of providing immediate relief to homeowners across the country,” a department spokeswoman, Meg Reilly, wrote in an e-mail message.” — same article, NYT

Hot on the heels of Janet Napolitano’s performance at the Department of Homeland Security, that things worked just swell and then, er, no it was a catastrophic failure, we have another example of this administration’s ineptitude.  Let’s not let the marketplace work by flushing out the bad loans, have banks face up to the reality of their bad lending decisions, allow housing prices to reach a market level, all in a reasonably short time, no, let’s get another massive, taxpayer funded program in place to gum up the works and drag this out for years. 

A Habit of Ignoring History

In 1929 Hoover mishandled the economy in a similar way bringing in the leaders of major industries and jawboning them to keep up production even in the face of falling demand so that jobs would not be lost.  The businesses went along until that policy hit their financial statements in the form of plunging profitability.  Stock prices fell sharply and more disasterous policies followed, first by Hoover and more by Roosevelt.

In 1920-21 there was a very steep and serious recession.  However, companies cut wages and government didn’t interfere.

“The annual unemployment rate peaked at 11.7 percent in 1921, but it had fallen to 6.7 percent by the following year, and was down to an incredible 2.4 percent by 1923,” Murphy writes. “That is how a market with flexible wages and prices quickly corrects itself after a Fed-induced inflationary boom.”

Roosevelt’s policies followed Hoovers’ with more and more government interference.  Throughout the Great Depression the programs didn’t work, government grew tremendously leaving us saddled with that legacy.  On the other hand Reagan in the 1980s pursued a policy of cutting taxes and shrinking government.  Roosevelt needed World War II to end the Great Depression, Reagan ushered in 25 years of unprecedented economic growth.  Which one does Obama choose to follow?  That’s right, Roosevelt.  Brilliant!

Inexperience on Full Display

President Obama rides into town with no executive experience, but with wondrous rhetorical skills and a hard left agenda.  He jams through a stimulus package that doesn’t stimulate.  His security policy is to undo everything that worked under Bush to keep us safe.  One of the first things Janet Napolitano does is  release a report saying that the real threat is from our returning military that might become right wing zealots,  Meanwhile Islamic terrorists, correct that, isolated extremists, continue to plot to kill us.  Now the New York Times points out that the Emperor’s mortgage program, Making Home Affordable, has no clothes.

“Whatever the merits of its plans, the administration has clearly failed to reverse the foreclosure crisis.” — NYT

When asked by a Congressional Oversight Panel what the administration was going to do in the face of this lasting not a year or two but for many years into the future, Treasury Secretary Tim Geithner said:

“What to do about it,” he said. “That’s a hard thing.” — NYT

Sounds like the seeds of another government program to fix the other government program.  Just like FDR did all through the 1930s.  Trying to stop the market with government programs is like trying to stop the tides.  You may divert it and you may end up with water in places you didn’t want it, but you are not going to stop it.

I am sure you all recall the video played ad nauseum starring the Reverend Wright railing against America defending itself.  It now seems to accurately describe the results of the new hope and change administration.  After his worldwide apology tour, and banning the term “War on Terror,” replacing it with the limp “Overseas Contingency Operation,” so that, like his presidential campaign, no one would know what he actually meant or stood for, his own chickens are coming home to roost.

Actions Have Consequences

The left used to attack the Bush administration’s approach because being tough on terrorists only served to aid them in their recruiting.  Maybe so, but I am less concerned about lines of recruits in Afghanistan than crazed terrorists in New York.  Obama’s apology tour shows his weakness and as the terrorist mindset abhors weakness, it encourages attacks.  So what would you prefer, attacks on American soil, or an uptick in recruiting on the other side of the world?

War vs. Law and Order

Bush recognized the War on Terror for what it was, a direct attack on the United States and our way of life.  In a war, you go after the enemy, you don’t wait for him to come to you.  You take prisoners and hold them, until the conflict is over.  You dismantle their ability to wage war.  It is aggressive and proactive.  It is the way America has prevailed in wartime.

The Obama approach is Law an Order.  Each act is seen as separate an isolated and as a crime to be investigated and prosecuted after the fact.  First responders are more important than the first wave of Marines.  To quote today’s Wall Street Journal:

Brian Jenkins, who studies terrorism for the Rand Corporation, says there were more terror incidents (12), including thwarted plots, on U.S. soil in 2009 than in any year since 2001. The jihadists don’t seem to like Americans any better because we’re closing down Guantanamo.

But the Obama Administration is currently considering releasing prisoners held in Guantanamo to Yemen.  How long do you think it will be before they are back on the front lines trying to kill us?

Add to the mix the Obama administration’s, or should I say Eric Holder’s, decision to try the 9/11 terrorists in a civilian court.  Holder’s testimony before Congress justifying his decision was painful to watch how he had no credible justification.  Don’t forget to give  Umar Farouk Abdulmutallab, his Miranda rights and get him a good lawyer. Let’s pretend his claims to be associated with al Queda is just tough talk and braggadocio.

The reality is that whenever America fought a war and politicians pulled punches (e.g., Viet Nam) we lost.

Things are Working Swell

Janet Napolitano, Obama’shead of Homeland Security had this to say, according to the New York Times

“The system has worked really very, very smoothly over the course of the past several days,” Janet Napolitano, the Homeland Security secretary said, in an interview on “This Week” on ABC. Robert Gibbs, the White House spokesman, used nearly the same language on “Face the Nation” on CBS, saying that “in many ways, this system has worked.”

How chilling is that?  What exactly does she mean by the system worked?  She refers to the number of organizations that were alerted after the fact.  How about notifications before the fact?  How about listening to the terrorist’s own father who reported him to the U.S. Embassy in Nigeria.  How about denying him a visa?  Or is Napolitano too busy adding funeral homes to her list of organizations to notify after the fact?

Where’s Obama?

If there’s a chance Chicago might get the Olympics, don’t worry, Obama’s on a plane to give it the old presidential push!  If there’s a Nobel Prize to pick up, Obama is your man!  If there is a terrorist attack on our country, hey, don’t bother me I’m on vacation in Hawaii.

Some pundits on the news pointed out that President Bush didn’t speak out against the shoe bomber, Richard Reid, for several days, so cut Obama some slack.  The problem is that no one doubted for a minute that Bush was engaged in the War on Terror, some even saying he was obsessed.  Well that obsession kept us safe for seven years.  In less than one year we have had Fort Hood and now this airline bombing.

Furthermore, why is Eric Holder making such a monumental decision regarding trying the 9/11 terrorists in New York?  Why isn’t this Obama’s decision?  Just like so much in this administration, Obama campaigns and gives speeches, and Nancy Pelosi, Harry Reid, Eric Holder make policy decisions on their own.

Here’s to the Heroes

The heroes in this case were a Dutch citizen and the flight attendants, who subdued the terrorist and extinguished the fire.  To quote again from the Wall Street Journal:

The lesson here is the same as Flight 93 on 9/11 and shoe-bomber Richard Reid, which is that civilians willing to act in their own self-defense are a crucial part of “homeland security.”

May I suggest that the statists drop their efforts to weaken the 2ndAmendment?  As part of  “homeland security” we may need to bear arms like at no time since the Civil War.

Let’s say you were having a problem with your knee.  So you go to the doctor and tell him your problem. The doctor examines you and says he has to act quickly.  He says you need an operation and if you have it, you will experience some mild pain for a brief time, but if you don’t  the pain will get worse.  How bad you ask?  On the pain scale, designed by Andrea Mankoski, you are currently at a 6, described as, “Can’t be ignored for any length of time, but you can still go to work and participate in social activities.”  He says without the operation you will probably reach a 9, “Unable to speak.  Crying out or moaning uncontrollably — near delirium.”  With the operation you will probably peak at 8, “Physical activity severely limited; you can read and converse with effort; nausea and dizziness set in as factors of pain,” but then things will progressively improve.  The pressure he is putting on you to decide is intense, so you give him the go ahead.

The good doctor performs the operation and as he predicted the pain does get worse, but it doesn’t stop.  You are beyond delirium, you are reaching level 10, “Unconscious.  Pain makes you pass out.”  Your medical proxy, demands the doctor tell her what went wrong.  The doctor shrugs and says it was worse than anybody thought, but then says the surgery is working better than expected. ”What the hell did you do in that surgery, you screw-up?” your proxy demands.   The doctor, just smiles, and turns on his heel ands walks away, leaving your proxy standing there sputtering, desperately trying to find the words to express her disbelief and outrage.  When she finally regains her composure, standing there all alone, she reaches for her cell phone to call a malpractice attorney.

Economic Stimulus Surgery

Dr. Obama told us, upon taking office, that we desperately needed a stimulus package or the unemployment rate would continue to rise.  He said without a stimulus package, the unemployment rate would rise to 9%, if we did NOTHING!  His able assistants, Harry “the Healer” Reid, and “Nurse” Nancy Pelosi, slammed through the $787 billion package.  We were saved!  Unemployment would not rise above 8% before starting to fall.  But there isn’t a happy ending to this fairy tale.  The unemployment rate rose past 8%; it rose past 9%; it rose past 10%.  So when Dr. Biden steps to the microphone and says the stimulus is working better than expected, why isn’t someone putting a straight-jacket on him and carting him off?  Why isn’t someone pointing out that the stimulus may have actually made the problem worse?  Team Obama said themselves that it would have been better to do nothing. The unemployment rate would have peaked at 9%.  Why are they getting  pass?

Non-stimulating Stimulus

Look more closely at the stimulus, which we now have had time to do.  Extending unemployment benefits does not create jobs.  Giving teachers a raise, does not create jobs.  Spending 80% of the stimulus funds so far in the Department of Labor, the Department of Health and Human Services, and the Department of Education doesn’t speak to job creation.  It speaks to a sop to their union backers and the creation of their impossible to measure metric “jobs saved.”  Only $4 billion so far has gone to the Department of Transportation and their “shovel ready” projects.  Even these, while a help to construction workers, doesn’t do a thing for laid off bank tellers, software engineers, or FedEx employees.

The Obama administration is spending us into oblivion,  while pouring gasoline on to the unemployment fire with their ill conceived and basically botched stimulus plans.  What is needed are tax cuts that will allow the market to direct the resources where they will do the most good and get the economy moving again.  Instead Obama is taxing and spending our way to economic disaster. What we need is a sharp curtailment in government spending and to shrink the size of the federal beast. Is there a good economic malpractice trial lawyer out there?

There was a commercial not too long ago where a young man looked out his window to the village green where a bundle of money had just fallen.  He calls his wife/girlfriend over to show her.  She suggests running down and getting it, but he says, no, let’s wait.  Next you see a frizzy headed guy down on the green who screams, “MONEY!!!!”  In seconds, people came out of the woodwork and scoffed up all the money while the young couple looked on.

The image of that commercial popped into my head as I considered the job summit being led by President Obama.  To me, the young couple represented the government pondering how to direct the economy to achieve this specific goal or that.  The mob on the green was the free market.  While the government dithers over what kind of legislation to write, which special interest groups to pay off to pass it, how to develop incentives to get private industry to do this or that, if they would just cut taxes and get out of the way, the free market would get to work creating jobs where they are needed, not where some bureaucrat thinks they should go.

Uncertainty

The biggest cloud overhanging this economy is uncertainty.  The Obama administration is slamming through enormous changes: a $787 billion Porkulus package, cap and trade, health care.  Businesses look at this combined with the accumulation of massive government debt, tax increases rather than cuts (yes letting the Bush tax cuts expire is a tax increase, not just the expiration of tax cuts as Speaker Pelosi tries to spin it) and they don’t know what hiring that extra employee is going to cost, let alone what it will cost to keep the employees they already have.  So they don’t hire until the dust  settles and they can calculate the impact.

“Tax incentives for job creation are “worthy of further consideration,” he said, while adding that the administration is also set on making a big push in the area of green jobs.” – President Obama at Jobs Summit

“Worthy of further consideration”?  Since conservatives have been calling for tax cuts for a year now, this kind of statement in Obama-ese translates thusly, “I have to make a nod to the right, to acknowledge that I heard them, but it ain’t happening.”  Couple that with the “big push in the area of green jobs.”  We are in the midst of the scientific scandal that the “settled science” of man-made global warming could be the greatest hoax since Bernie Madoff, and Obama wants a big push in the area of green jobs.  What if that area collapses because the urgency that Al Gore has been screaming about is no longer urgent?  It’s government planning on the order of Soviet five-year plans or Mao’s Great Leap Forward programs.  It harkens back to Jimmy Carter’s giant Synfuels project that was going to convert coal into oil, until oil prices fell and the project imploded, but not before billions of tax dollars were poured into that rat hole.

How Simulating!

If you listen to Joe Biden, the stimulus plan is working better than expected.  But let’s take a closer look.  As of about three weeks ago only $120 billion of the stimulus money had been spent. (So why is Congress looking at another stimulus with over $600 billion left to spend in the first one?)  Of that money, 80% went to the Department of Education, Health and Human Services, and the Department of Labor.  What about all the “shovel ready” projects?  Only about $4 billion has gone to the Department of Transportation.  Feel better?

Jobs Summit Attendees

So who is meeting with President Obama at the jobs summit?  Well first let’s look at who was not invited:

• U.S. Chamber of Commerce — they have butted heads with Obama over health care and climate change policies
• National Federation of Independent Businesses

I don’t know about you, but I think they might have an idea or two about how to create conditions that let the free market create jobs.  As for the attendees:

• Service Employees International Union (SEIU) officer
• President of the American Federation of Teachers — a union of workers in a government run monopoly
• United Food & Commercial Workers International Union
• CEOs of some Fortune 500 companies

How many jobs do unions create, not occupy, create?  Think of the auto industry, steel industry, public K-12 education, the Postal Service, and government in general.  Do they bring images of thriving, vibrant, engines of job creation?  Or is the image more of the basket cases of the U.S. economy?  This is not a slight against the union workers themselves, but rather of their leadership who create so many restrictions on job rules to artificially create the need for more jobs.  There motto is: why have three people do the work, when you have five do it?

As far as big business is concerned, let me dispel the thought that conservatives and big business go hand in hand.  In many cases big business looks to cut deals with the government to protect their industries and markets from upstart companies.  They have gotten big and lethargic, rather than nimble and vibrant.  Small businesses create about 80% of the jobs in the U.S. and they didn’t have a seat at the table.

So was the jobs summit about creating jobs or just jive talk?  If you want a real jobs summit see what American Solutions was hosting in Cincinnati, Ohio and Jackson, Mississippi.  They actually discussed ideas that would work.

We have had several bubbles before, but if the Obama administration has their way, “you ain’t seen nothin’ yet.”  Currently the budget for the federal government is $4 trillion dollars.  That’s right, your federal government will spend approximately (which means probably more) $4 trillion in one year.  Of that amount $202 billion is interest on the national debt.  In an article in the New York Times today by 2019, a mere ten years from now, the portion of the budget directed to interest payments will be over $700 billion, or three and a half times what it is today.  Many people have trouble grasping how much a trillion dollars are, and within ten years we will be paying three-quarters of a trillion dollars just to cover the interest without paying off any of the principle.

Family Budget Analogy

We all understand the dramatic effects of too much debt, as the point has been driven home every day throughout this financial crisis.  Bankruptcy filings, home foreclosures, bailouts, all resulting from more debt than we can pay the interest on, let alone pay back the principle.  You see commercials on television every day for companies that will help you renegotiate your credit card debt, your mortgage, intervene on your behalf with the IRS.  None of those programs are available to the federal government as a debtor. 

Obama’s Out of Control Spending

The Obama administration seems oblivious to the problem.  As bad as it is they just keep on spending or want to spend more:

• Stimulus package — $787 billion.  Despite evidence that it is not working and widespread opposition from the American people, the Obama administration is simply declaring that it is working and we need to do it again with a second stimulus
• Cap and Trade — this is a program that will drive energy costs through the roof for no real benefit.  After all if, as is becoming more and more apparent, global warming is not man made then it cannot be stopped by man either.  Higher costs will lead to businesses closing down, laying off people, and generating less tax revenue from both the businesses and the individuals it laid off.  Result — an increase in the deficit.
• Health Care — another $1 trillion of IOUs piled on our children’s back and if Medicare’s history is any guide, these numbers are well below what will really happen.

The Truth About Government

The truth is that government doesn’t create anything.  They don’t generate income.  Everything that government has to spend comes from you and me.  The government takes it from us (or throws us in jail for tax evasion) and then spends it.  If they can’t get enough from us, they borrow the difference.  But somewhere down the line, that money has to get paid back.  A news report today said we have the opportunity to just write a check to the Treasury if we are concerned about the deficit and want to help pay it down!  Let’s see how many of Obama’s wealthy supporters sign up for that program.

Runaway Train

Our federal government is a runaway train and if we don’t stop it very soon and pare it back to the functions enumerated in the Constitution, we will get hit with a bubble so big, that there is no Hollywood screenwriter that could even begin to conceive of how to portray it.  $700 billion folks, that’s $2,059 in INTEREST for every man, woman and child in America.  Ask yourself this, if you are a family of four are you prepared to write a check for $8,235 to the federal government for interest alone?  You don’t get anything for your money, it just keeps your government from defaulting on what they already borrowed. This will be on top of your regular tax bill. And the next year you will have to pay it again and probably more.  It’s time to stop the madness.  It’s time to stop the spending.  It’s time to stop the expansion of government and start shutting down departments.  It’s what you would do at home in a financial crisis, it’s what a small business would do in a crisis.  This is a crisis that we can still get under control, but if the debt continues to grow to the point where we can no longer afford to pay even the interest, America will be a footnote in history.

Do I have your attention now?