Economics Does Not Allow a Free Lunch, Mr. President

Pajamas MEdia ^ | August 3 | Victor Davis Hanson

[AJKauf]

I think the natural tendency of the US economy to rebound from recession, coupled with the enormous inflationary forces of borrowing another $2 trillion, will result in some sort of a brief economic recovery. But almost immediately we will be hit with a number of consequences that are now rarely voiced. Likewise the new ‘reset’ button foreign policy has a similar tab to come due. What to watch for the next year:

Taxes. Talking about new taxes in 2009 and paying them in 2010/11 are two quite different things.

Not long ago I tried to explain to an Obama supporter that he belonged to the targeted 5%, who, as an elite taxpayer, had “made out like a bandit under Bush”, was obligated to “spread the wealth around” a bit, and should prove his patriotism by paying more. But it was a hopeless task: most well-off Obama supporters simply do not believe that their marginal tax rates are going up, that they may have to pay a health care surcharge, that the income caps of the FICA payroll tax will come off, subjecting much of their income to steep social security taxes, and that their state income tax in California is now over 10%....

[ClearCase_guy]

So it will be quite interesting to see how the Obama elites react when they soon discover that they will have about 30-40% of their income to operate on.

The answer is obvious. I was speaking with a neighbor the other day and lamenting the fact that all our major industries have been turned upsidedown -- cars, banking, insurance, healthcare, food. My neighbor shook his head sadly and said, "Yeah, having the wrong guy in the White House for 8 years really screwed us, huh?"

[Boardwalk]

This speaks to the power of the media who did nothing but trash Bush for 8 years. The stimulus bill was ripe to pass after all of the money we “wasted on the war in Irag.” At least now Americans are getting the money. /s

[griswold3]

Your neighbor thinks AlGore would have made better decisions?
While GW did not stand up to the ‘progressives’ like I thought he should have, he did give me the breif window of opportunity to prepare for this depression.

The Barbarians are within the walls.
Let the looting begin.
Keynes is dead.
Long live the depression!

[easttennesseejohn]

And the white guilt media who protected this dedicated black liberationist marxist are now crowing because the stock market, perhaps a wee bit manipulated by BO’s elitist pals(like Soros, Pritzker, Lewis) reflect a healing economy, as joblessness, and lost consumption and lost tax revenues go up making the deficits even worse than projected. Doesn’t Meacham, the biggest kiss ass of all at Newsweek, see things not improving? Doesn’t he read his own circulation reports? Rather than to admit their mistake, they’ll go down with the ship? How moronic can they get? These guys can’t predict the number of cars in a 1 car funeral right and their divergance in growth figures, revenue figures and hence deficit figures increases, the worse it will get and the more it will cost. 2010 is our last chance. Democrats and RINOs must go, even if they gave you everything you ever wanted. The elitist political class has betrayed us for power and wealth. This can not be allowed to stand if we want to retain our liberties as free human beings. Really, it’s that bad.