Posted on 01/24/2014 6:32:25 PM PST by Kaslin
Throughout his economically-troubled presidency, Barack Obama's governing strategy has been one of political distraction: Blaming his failures on others in an attempt to convince enough Americans that he's not at all responsible for an underperforming, jobless economy.
His latest, duplicitous shell game is to raise the issue of income inequality, which he blames on heartless business people and Republican lawmakers who refuse to buy into his dubious, job-killing plan to raise the nation's minimum wage and enact a bundle of new big-spending programs to help the unemployed.
He's trying to shift our attention from the real reasons behind the growing income gap: weak economic growth and the nationwide dearth of full time jobs. These are the issues he campaigned on in 2008. But now he says it is long term, income inequality, not jobs, that is "the defining challenge of our time."
And the liberal news media has bought into his sleight of hand side-show, producing a rash of stories about low-income Americans to prove that his new diagnosis is the right one.
The Washington Post ran a front page story Thursday, with the ominous headline: Climbing economic ladder as hard as ever, study finds." It said a group of academics led by a Harvard economist has discovered the real reasons behind "income inequality."
It found that children growing up in the U.S. today were "just as likely -- no more, no less -- to climb the economic ladder as children born more than a half century ago."
In short, that study concluded that if you are growing up poor today, "you appear to have the same odds of staying poor in adulthood that your grandparents did."
It was the sort of study that the White House must have been cheering, because it fit right into Obama's blame-shifting strategy.
But wiser economists who know better say that poverty and lower incomes are the symptoms of the disease that Obama and the Democrats never talk about: a relentless, sub-par, job-cutting, under-invested, over-taxed economy.
Perhaps no economist has focused more on Obama's failure to lift our economy out of its chronic lethargy than Peter Morici, a University of Maryland School of Business professor who doesn't pull his punches.
In a bluntly-worded analysis this week -- that should be read by network news reporters who swallow Obama's economic clap-trap and then regurgitate it on the nightly news -- Morici lays out what Obama and his administration refuse to acknowledge.
"Inequality is replacing the American dream because the U.S. economy, thanks to Washington's mismanagement, is underperforming," Morici writes in his latest broadside.
In other words, our lackluster, job-starved economy isn't caused by the rich, big business, Wall Street tycoons or by Congress's reluctance to spend ever more money. If $3.5 trillion a year in federal spending hasn't improved the U.S. economy, another trillion more in higher taxes won't do it, either.
On the contrary, higher taxes and more government are not the solution to the high unemployment that plagues our country, they're the problem. The cost of creating jobs is being driven up by harmful tax rates and government regulation, Morici says.
"Simply put, the bureaucratic quagmire created by complex and ineffective business regulations makes it easier to produce in Asia than in America. The highest corporate tax rates among major industrialized countries make the cost of investing here too high," he writes.
In many other ways, Obama's big spending agenda over the last five years has contributed to income inequality, he says. Government subsidized loans have driven up tuition costs. And Obamacare "is making health insurance more expensive for many middle class families and driving up the cost of health care. That makes income disparities worse, not better."
As for Obama's latest attempt to convince the base of his party that businesses like Walmart are the cause of income inequality, Morici replies:
"A slow-growing economy is the cause of increasing inequality. The best way to reverse [this] is to clear a path for investment and entrepreneurs... streamline regulations, simplify and cut taxes, open up offshore energy production... and make exports and jobs America's No. 1 foreign policy priority."
Don't let anyone tell you that lower corporate tax rates -- which are now at 35 percent -- will worsen the deficit.
A full employment economy that is growing at 5 percent and producing its own energy would increase federal tax revenues, he says.
But Obama's record on economic growth is a poor one, and not showing any long term evidence that it will get any better. Yes, the economy grew by 4.1 percent in the third quarter, but the lives of the long term unemployed are not measured in three-month periods, but in years and better incomes.
Obama's depressed economy has been slumbering in the 2 percent range, year over year, far too slowly to lower the unemployment rate to 6 percent anytime soon.
At the midpoint in Ronald Reagan's presidency in 1984, we saw quarterly economic growth rates of 8.5 percent. The monthly number of jobs being created was measured in the hundreds of thousands.
Obama's economy created 74,000 jobs in December, many of them part time, and Gallup reported last week that only one in four Americans said they were "satisfied with the way things are going in the U.S. at this time."
Meantime, the president and his advisers are frantically searching for new excuses to convince Americans that the persistently weak, jobless economy is not his fault. And a band of liberal economists are now coming up with studies to help him make his case.
But the American people are not fooled and neither is Peter Morici. Obama's programs and policies are to blame for this dreadful economy that has plunged millions of our fellow citizens into lives of quiet desperation.
It’s a laughable spectacle waiting for people to dare to call B.S. on. In the meantime those who do not dare are ALSO a laughable spectacle.
It looks as though we are going to be presented with a number of Stalinesque show trials of conservatives and Republicans. The whirlpool spins more rapidly as you get closer to the drain.
Obama-care failed because of FNC, talk radio and Tea party,
They gave it bad Karma with their critical talk.
There’s much more to the absurdity of anyone associated with this administration talking about “Income Inequality” than just the fact that the economy isn’t thriving under Obama’s leadership.
By artificially keeping interest rates at zero so that the Federal Government’s debt service doesn’t become unmanageable the Federal Reserve is destroying any possibility of average working people growing their savings and creating capital for new investment and growth. At the same time the “Quantitative Easing” (money printing) is flooding the stock market, creating a bonanza for wealthy investors.
I wish Obama would tell the Muslims to quit clinging to their religion and their guns.
ALL left wing philosophies involve distractions. Most right wing folks continue to follow the distractions to our demise.
Odumbo is failing all by himself and needs no help for anyone, including Fox News or Rush Limbaugh. He will never accept responsibility for anything and when confronted, “he doesn’t know a thing about it”.
The man is the most inept president this nation has ever known and I sincerely hope he will be the last.
Some think that he wants to be the last president too....
I'm pretty sure that wasn't your intended gist, bit it seemed so alined with the lawlessness of Zero and his minions.
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