A Rising Tide Lifts All Boats…
…And a sinking tide will wreck all ships. That’s what the current state of economic affairs is within our country. While Obama and Geithner publicly discuss plans to bailout the financial sector and foreclosure “victims”, the vagueness of their discussions has led to the dissolution of stock values, which is affecting not only America, but the world.
Today, Ben Bernanke discussed the current “severe” state of the economy, and how the combination of TARP 2.0 and the Fed’s monetary role will allow our economy to recover later this year. This caused excitement in the markets and the Dow soared. Hopefully when I take a look at my boat of mutual funds, they will also increase in value.
We, conservatives, prescribe to the notion that some ships will sink and ruin. That’s the natural environment of market forces. It’s how the captains of those ships rebuild a new, more improved ship that will survive the next storm. It is difficult for some of us to understand why rational people would want to bail out failing financial institutions and people that bet wrong on investments. The ad hoc approaches have not done wonders so far for the American economy.
The Porkulus law doesn’t look like it’s going to help either. What they’re doing is pumping water into dry lands to those with broken ships. In the meantime, they’re draining the little water I’m floating on now and the future sea my children will be floating on. Extending unemployment, reinstituting the “welfare queen”, taxing my business and income, and providing disincentive to invest will drain the remaining sea of our economy. Regarding the foreclosure situation, the tide is already low and ships are already wrecked. Pumping water into the situation will not revive sunken ships.
Why not helping those that are already afloat? Can’t Captain Obamahab give us with floating ships additional tools to help improve them? Cut my taxes so I can improve my ship, which will allow me to hire more workers and court people to invest in new projects. This will help keep others afloat without taking away from our future. What Obama doesn’t know is that all low tides fill in eventually. It isn’t done by irrational men filling it, but by natural forces.