Not the smartest Ivy Leaguer running the show
I would love to know where Obama and company learned Economics.
I hold a bachelor’s degree in Economics and Business from a relatively small (some may call higher end) liberal arts college, and I look at all that Obama has proposed and done, and am shocked at how he thinks this economy is going to improve. I will list some of the policies below.
1. Taxes – It’s been proven time and time again, that when taxes are cut, those that are paying the majority of taxes (damn those evil rich folks), the money that they have in their pocket goes out and buys better things, which goes to the manufacturers of those better things, which then lets those manufacturers hire people at good competitive wages, which those people use those wages to buy goods and services that they desire and need, and the circle continues and continues to a point where we have a productive economy, the whole time a percentage of the economy is paying taxes. Now when taxes get raised, or are expected to raise (letting tax cuts expire), those that are paying the taxes (again damn thos evil rich folks), stop spending the better things, the manufacturers of those things lose money, and hence fire workers, those workers are now not buying the goods and services they need, and you get what we have now of a 9.8% unemployment rate and going higher.
Cap and trade (the no energy, energy proposal)- How do people do any job in this country now. I am a computer geek, my place of employment probably uses a real large amount of electricity to keep our networks up and running so that we can support an maintain our client’s networks, now you are going to make the price of keeping those networks go up, because the electricity supplier is going to have to make someone pay for the fact that the electric use of my company, may push the supplier over the cap and therefore they are going to have to buy the carbon credit from somebody to keep producing the energy. This leaves only one option for my employer which is to cut the only thing that they can control, and my job goes bye bye so that they can keep the lights on, because if they don’t they get sued by the client for breech of contract.
Also on this front, when we had the tech explosion, and went from using punch cards and dumb terminals, to using PCs and Cisco Routers, and the servers running Microsoft Windows NT, and the Internet, I maybe wrong, but I don’t remember Bill Gates, Steve Jobs, or the head of Cisco asking the government to fund their work on an unproven technology until they got it working, but this is exactly what the wind energy folks, solar energy folks, and I don’t know the unicorn fart energy folks are asking us to do. Sorry, if I were to look at a profit loss statement or a business plan as a private citizen see that company x wouldn’t be worth a pint of my urine let alone an investment of my cash, why should the govenment use my tax money to invest in that.
Spending-Now I hear the govenment complain that credit is not flowing and businesses are not getting loans, and people aren’t getting mortgages, but I know one group that is getting all the credit in the world right now, and thats the Federal Government to the tune of $1.8 Trillion dollars. A simple look at supply and demand would tell me that if out of all the money that can be supplied for credit could be counted, I am sure 1.8 trillion getting taken out of that lowers the supply for everyone else, which should naturally raise the price of the remaining supply of available money to loan for everyone else, and add to the fact that now you are going to scream if a bank makes a loan that may lower their capital, it is no wonder to me why credit is not getting out to businesses and people, even if they are the most responsible, credit worthy people in the world.
Now again, I don’t have a Ph.D in Economics or Politics, but even with my lowly Bachelor’s degree I can tell that this economic policy would make most of my economic professors puke. So I have to ask where did the economic education for this administration come from a real place of higher learning or Romper Room