Skip to comments.Obama's Economic Model Is a Failure
Posted on 06/02/2012 3:52:01 PM PDT by Innovative
The Keynesian government-spending model has proven a complete failure. It's the Obama model. And it has produced such an anemic recovery that, frankly, at 2 percent growth, we're back on the front end of a potential recession. If anything goes wrong -- like another blow-up in Europe -- there's no safety margin to stop a new recession.
And that brings us to the grim May employment report, which generated only 69,000 nonfarm payrolls. It's the third consecutive subpar tally, replete with downward revisions for the two prior months. It's a devastating number for the American economy and a catastrophic number for Obama's re-election hopes. All momentum on jobs and the economy has evaporated.
Barack Obama doesn't get this, but businesses create jobs. And firms have to be profitable in order to hire. Yet the president is on the campaign trail criticizing Mitt Romney by degrading the importance of profits. Huh?
Without profits, businesses can't expand. And if they don't expand, they can't hire. And if they don't have profitable rates of return, they're not going to attract new capital for investment.
In fact, all the countries around the world should move to the supply side with lower tax rates to spur economic-growth incentives. Europe, China and Latin America ought to go back and read Ronald Reagan's speeches and examine his actions when he faced a similar crisis 30 years ago. It would be an hour or two well spent.
(Excerpt) Read more at realclearpolitics.com ...
What is O(bama)’s case?
It’s sure not the economy
“Every president who wins re-election has such an argument. Reagan 1984: “I’ve brought America back.” Clinton 1996: “I’ve turned the economy around while shrinking the deficit.” Bush 2004: “I’m keeping America safe.”
The presidents who don’t win a second term seem to base their campaigns on an argument against the other guy. Carter 1980: “Reagan is a madman.”
The Obama team must know that they can’t prevail solely with a negative assault on Mitt Romney, but really, what is the positive case? “
Absolutely, however it will still never go away!
Why do they keep misspelling Kenyan?
If a country has a balanced budget it can get a short term stimulus out of borrowing to fund make work projects. But when you already owe trillions you cannot get a bounce by sucking another trillion dollars out of the private economy in order to pass it through the bureaucrats and put it back into the private economy. Deficit spending has already used up any stimulus effect you might have otherwise obtained. Borrowing money to fund a “stimulus project” is just like trying to fill the pool by dipping water out of the deep end and pouring it into the shallow end.
I love Kudlow’s Sat. radio show. 10 AM-1 PM on WABC. He has a lot of great guests. Very worthwhile.
The libtards don't care. They will never give up a model that is compatible with statism.
I normally like Kudlow, and I like his CNBC show 7 ET. But, he was a big Liz Warren fan back in the day....like 09. Tsk tsk Larry.
Great chart. Its author should also add the Heritage Foundation’s “Index of Economic Freedom.” It isn’t a pretty picture on the communist’s watch...it’s degraded 100% from what he “inherited” from Bush!
12 11 10 09 08 07 06 05
10 9 8 6 5 6 5 5
“...is a failure.”
My only comment: NSS...no sh** sherlock
It sure won't!
25 years ago, we had Ronald Reagan, Johnny Cash, and Bob Hope.
If you can't appreciate the pure beauty of the violin after hearing this, something's wrong with your ears.
Or you can get raw with these strings.
How about this gamechanger from America's Got Talent (which they SHOULD have won).
Either way, the violin is sweet yet lethal.