BO’s Raw Deal: Obama’s Two Year Recession and Two Year Hyperinflation–Hopeless & Small Change!

Posted on November 26, 2008. Filed under: Blogroll, Climate, Communications, Economics, Employment, Energy, Immigration, Investments, Law, Politics, Regulations, Resources, Security, Strategy, Taxes, Technology, Video | Tags: Bailouts, Barack Obama, criminal aliens, Economics, election of 2012, FairTax, Federal Reserve, fiscal policy, flat tax, government spending, hyperinflation, illegal immigration, monetary policy, Raw Deal, Recession, Socialism, Taxes |

Another freaking Bailout…

the Government causes most of our problems…

President-elect Barack Obama’s Raw Deal of investment–read more government spending, more deficits and more taxes– will result in a recession lasting upwards of 24 to 30 months.

Obama’s answer to every problem is a new or bigger government program and more and more bailouts.

Government spending takes time to implement– a year or more before it has any significant impact on the economy.

After two years of recession and higher unemployment rates the economy will be heading into a hyperinflation as a direct result of bailouts creating money or credit in unprecedented amounts–too many dollars chasing too few goods and services.

When this happens the Federal Reserve will slam on the brakes and institute a contractionary monetary policy with higher and higher interest rates.

In summary Obama Raw Deal consists of stomping on the gas pedal of government spending and leaving it there for two years followed by two years of slamming on the brakes by raising taxes.

The Federal Reserve will accommodate the Raw Deal approach until inflation rears its ugly head.

Then the Federal Reserve will also slam on the brakes and raise interest rates.

The election of 2012 will result in some real and needed change and a conservative/libertarian Presidential candidate to stop BO’s Raw Deal–the audacity of socialism–a wrecked economy!

The message will be restoring the American Dream with:

A FairTax or flat income tax
Lower capital gains taxes if there is flat income tax.
Lower business income taxes if there is flat income tax.
Repeal of higher gasoline taxes and repeal of any cap & trade laws
Cutting government spending
Eliminating many Federal Government Departments
Securing the borders and stopping all illegal immigration and the criminal aliens removal(CAR) and deportation to country of origin.
Stiff fines and imprisonment for any business or union that employs criminal aliens or has members that are criminal aliens

Background Articles and Videos

Jolting’ the Economy

By Thomas Sowell

“…The Great Depression of the 1930s was in fact the longest-lasting of all our depressions.
Government policy in the 1930s was another bipartisan disaster. Despite a myth that Herbert Hoover was a “do nothing” president, he was the first President of the United States to step in to try to put the economy back on track.
With the passing years, it has increasingly been recognized that what FDR did was largely a further extension of what Hoover had done. Where Hoover made things worse, FDR made them much worse.
Herbert Hoover did what Barack Obama is proposing to do. Hoover raised taxes on high-income people and put restrictions on international trade, in order to try to save American jobs. It didn’t work then and it is not likely to work now.
Perhaps the most disastrous of all the counterproductive policies of the federal government was the National Industrial Recovery Act under FDR, which set out to do exactly what the politicians today want to do — micro-manage businesses.
Fortunately, the Supreme Court declared that Act unconstitutional, sparing the country an even bigger disaster. …”

http://www.jewishworldreview.com/cols/sowell112508.php3

Obama’s Pro-Growth Economic Team?
A liberal-conservative consensus?

By Larry Kudlow

“…Here’s my thought on his team. Summers, Geithner, and Romer will all recommend no tax hikes in a recession. Maybe for Keynesian reasons; maybe a nod to supply-siders. Obama talked about a liberal-conservative consensus. But what’s especially encouraging is the appointment of Ms. Romer, who easily could serve as CEA head in a Republican administration (just like Geithner could have been McCain’s Treasury man).

About a year and half ago economist Don Luskin sent me a long article about taxes by Christine and her husband David Romer, who were writing for the National Bureau of Economic Research. From the introduction: “The resulting estimates indicate that tax increases are highly contractionary. . . . The large effect stems in considerable part form a powerful negative effect of tax increases on investment.”

Later in the article, the Romers write: “In short, tax increases appear to have a very large, sustained, and highly significant negative impact on output.”

That’s what makes the Romer appointment so interesting. In fact, there is no question that Obama’s economic team is right of center. All three are market-oriented. They’re also pro-free-trade. Hopefully Summers and Geithner maintain the Robert Rubin King Dollar policy of the Clinton years. And if Ms. Romer can stop tax hikes, that will help the greenback even more.

At a minimum, both Romer and Geithner could have served under Gerald Ford or George H. W. Bush. But they may be more pro-growth than that. Romer’s study of the damage of tax hikes on the economy and her emphasis on investment are right on target. In a New York Times story, a former Treasury colleague of Geithner’s says, “he’s no liberal.” As for Summers, while he has been mau-maued by Democratic feminists and some of the unions, he is a tough, clear-headed thinker who has for years tried to merge Keynesian and supply-side policies. No mean feat.

Now here’s the rub: all this talk about a $700 billion stimulus package. I hate to be the one to pull the plug, but government cannot spend our way into prosperity. The wish list of Democratic spending initiatives includes short-term tax rebates, massive new transportation bills, even more education money, exotic green-technology spending, a big-government embrace of health care, and heaps of cash for UAW-Detroit carmakers. None of that will stimulate economic growth. …”

http://article.nationalreview.com/?q=M2U1ZDA2YTBkYzNhNTA4YWU2YWJmM2U0NzNlZjUwMzI=

Press Conference: Obama Chooses Economic Team

Peter Schiff on Forbes

Economic Failure: 10% Unemployment, 20% Hyper Inflation Martial Law Coming Soon!!

Obama Economic Team Comes Together

Obamanomics: A Recipe for Disaster!

Obama’s welfare program and spending bonanza

OBAMA’s TAX PLAN – Penn & Teller and gang return to comment on Barack Obama’s socialist plans to turn the United States into a Marxist wasteland! FEATURING Plumber, Joe Wurzelbacher. * Vett Barack Obama, NOT Joe the Plumber! ***

Gerald Celente on Fox Business predicting revolution, riots and civil unrest in America

Five most laughable words Obama has spoken as president-elect

By Michelle Malkin

There’s a lot to choose from, I know. But these five snort-worthy — no, gag-worthy — words from Barack Obama’s radio address over the weekend will be hard to beat:

“A government that spends wisely.”

http://michellemalkin.com/2008/11/24/five-most-laughable-words-obama-has-spoken-as-president-elect/