Skip to comments.Kudlow, Santelli: Dollar Devaluation Creating 'Fašade' Bush/Obama Economic Policies Are Working
Posted on 10/31/2009 3:43:32 PM PDT by Rufus2007
Now that the Obama administration is attempting to take a victory lap on the U.S. economic recovery, claiming the $787-billion stimulus passed earlier this year was what did the trick, despite a cost of $160,000 per 'stimulus' job, as ABC's Jake Tapper pointed out, it has come at the cost of the U.S. dollar.
Since then, the stock market has rebounded nicely. The Dow Jones Industrial Average (DJIA) is off a March low of 6,547 points, even topping the 10,000-mark recently. But what has caused this nearly 50-percent jump? According to CNBC's Larry Kudlow - loose monetary policy by the Federal Reserve, with low interest rates, has made it possible for the markets to rise, with the 'loose' money going into the market.
"The funny thing is, Steven, it has gone into stocks - I mean the stock market guys ... there's no real multiplier for the economy, right?" Kudlow said on his Oct. 30 CNBC program. "But it has gone into stocks and the stock market crowd wants to see the Fed to keep pouring the money in no matter what happens to the U.S. dollar."
(Excerpt) Read more at newsbusters.org ...
Inflated stock market value=illusion of improving economy.
The Bush-McCain-Paulson bailout sucked!
Ferguson, Rogoff: Bloomberg Surveillance Panel
Rogoff and Niall Ferguson from this past Weds on Bloomberg, it runs about one hour but the message is clear.
Excellent extended panel discussion that brings many threads in the financial media together.
Hussein blew through that, added, another $787B on top of it, and THEN submitted a $4 TRILLION budget....all before he adds on OBAMACARE AND CAP'N'TAX!
I blame Bush for $350B....but the rest of it falls on HUSSEIN.
These idiots always crow about the 50% jump in stocks since March, but never fail to mention it came on the heels of a much larger decline since November 2007, which was engineered to get the liar in chief installed.
And 0bama would not have the $350 billion if Bush had not signed the bailout bill into law.
...but the rest of it falls on HUSSEIN.
And 0bama would not have the $350 billion if
The 110th & 111th United States Congress, let’s not forget the majorities of Democrats signed onto it first
Quit trying to deflect blame.
If Bush had vetoed the bailout and then Congress had over-ridden his veto, I might understand, but as it is, Bush and company were willing participants in the perpetration of the financial services bailout.
I couldnt agree more. Rabs pinged me this one.
I am guessing that we are soon near the point where the dollar drops faster than the stock market rises, if not already there. Is the suckers market rally over??? One hell of a rally.
Yes, Bush is a sleaze for signing, but Congress did start it
Why doesn’t anyone talk about the C-Span Kanjorski interview, when he talked about $550 BILLION being taken out of the market in a matter of hours in September of 2008??? It seemingly scared the sh*t outta Bush and forced his hand into the initial “stimulus”, thinking there was going to be economic collapse.
And we ALL know a similar incident happening with the British market not so long ago...same M. O.(see my tagline...)
“....fail to mention it came on the heels of a much larger decline since November 2007, which was engineered to get the liar in chief installed.”
Not that I disagree with the concept of an “engineered” stock market decline; the timing was just TOO perfect to enable ongoing disaster that is Obama, but if the stock market can truly be manipulated (by a relatively tiny group of individuals), why in the hell would ANY of us EVER invest in it again?
It did but it never became law. Democrats took it apart and improved it. Obama, Reid and other Democrat Senators gloated what a great job they did on a rotten bill.
...and Congress was able to pass it only because McCain went along with it, suspending his campaign to deal with the “crisis”. Had McCain made a stand against TARP, it might not have garnered enough GOP support to pass. And he may have won the election.
Remember that the market was only down to 6700 for a couple days and rebounded, as it had been beat up unreasonably in a mini-panic. This so-called run up is not much at all compared to the peak in 08.
In this regard, Obammie the Commie is more like FDR than most are aware.
Hoover tried to inflate and centrally manage his way out of a fairly mild recession. It created a bubble, as it always does.
FDR ridiculed Hoover’s policies, made “Hoovervilles” the centerpiece of his campaign, and won the election.
He then adopted all of Hoover’s economic policies but put them on steroids, causing the Great Depression.
In all of this, Obammie the Commie has followed FDR down the same destructive path.
The difference this time around, though:
1. We no longer have the manufacturing capacity to “produce” our way out of this depression.
2. We no longer have the credit rating needed to “borrow” our way out of this depression, which never works anyway but rather makes the hangover all that much worse.
3. Our dollar no longer has the reputation that it once had and the world is trying to move away from it.
Anyone with a basic understanding of economics and history cannot honestly conclude that either those currently in charge (and those pulling their strings) are either the dumbest cadre of dunces any government has ever seen or that they are all causing the destruction of the American economy deliberately.