Economic Watershed for U.S.

https://www.janereinheimer.com ^ | February 27, 2009 | Jane Reinheimer

[quintr]

Lots of stuff going on out there in the world. Tea Parties are going on all over the U.S. Unlike the tea party in Boston Harbor by the revolutionaries a couple of hundred years ago, these tea parties are being mustered by some pretty unhappy taxpayers who believe they've just about had enough! Enough with the bureaucrats. Enough with the fear mongerers. Enough with the congressionals they are calling "generational thieves" because the spending bills coming out of congress is going to create huge debts for generations to come.

Protesters at these tea parties are invited to bring tea bags and protest banners. Don't know what they'll do with all those tea bags. They'll figure out something, I'm sure.

The economic news is not good. Remember the last recession? The one that went from 1979 to 1983? If we thought that one was bad, this one will be worse, I fear. One of the big differences is that in the last recession, President Reagan was in the White House from 1981 to 1989. His idea to get us out of the recession was to initiate big tax cuts so that businesses could lead the way out of the economic debacle.

And it worked.

That's not happening during this recession. There's no way the White House is going to consider tax cuts. That's just not the way Democrats, especially liberals or progressives or whatever they're calling themselves these days, do business. The libs actually believe that raising taxes and printing more money will get us out of this recession.

Now, I'm not psychic, believe me. But I can tell you one thing. And it's as obvious as the nose on your face. Raising taxes is a business buster. And spending Chinese money is not going to help America right itself in this economic storm.

This liberal congress has been in power since 2006. They've had an opportunity for two straight budgets to get it right. And now a third budget is being offered up by a liberal White House, not a conservative one. And for the third year in a row, the budget is going to keep the economy bleeding in a river of red ink.

The DOW can't make up its mind what it wants to do. Right now it's trading at 7150. It may crash through the 7100 mark before closing today. It may just go below 7000. If not today, then one of these days soon.

So what might be at least a partial solution? Well, for starters, the White House and Congress could engage in solution rhetoric with the conservative Republicans. After all, when the Republicans had both the White House and Congress, the DOW was doing pretty good. That is, if you consider 12,000 DOWs as "good."

But that's not going to happen because it would mean being pro-business. And being pro-business means cutting taxes so that businesses can operate in a better economic climate. Businesses could then afford to hire more employees who would, in turn, pay income taxes.

If it's so obvious to me, there must be some flaw in the logic.

In the meantime, the congressionals say it's more complicated than that. The Wall Street gurus say it's more complicated than that. Well, maybe it's gotten too complicated.

If applying sound economic principles to the problem, like balancing the budget for instance, then it's gotten too complicated.

But the real problem is lingering out there in the shadows hoping not to be discovered. That little shadow has a name. Its name is "Politics." The politicians are too busy being political which is why the economists can't get to work in a political environment.

How do I know the politicians are being too political? Simple. If any one of the congressionals gave a hoot about the welfare of this country, they'd try to work together and come up with a solution that's best for the U.S.A.

They'd put aside the wrangling when a bill goes from the House to the Senate and the first thing that happens is the Democrats count noses to see if they can get cloture and call for a vote. Otherwise, there's all those senate speeches to sit through. And most of those speeches have to do with amendments in the House bills to pull earmarks out of the spending bills.

What the taxpayers don't see is that a lot of the amendments do get pulled out. If, for instance, I'm Senator XYZ and I want an amendment to pass for the removal of an earmark for tattoo parlors getting a machine to remove tattoos in, say, San Diego, and my amendment passes, then I just may vote for the spending bill.

But if there are a lot of amendments and the dollar amount changes, then the spending bill gets sent over to a conference committee that has both senators and representatives on it. If they can reach a compromise spending bill, it goes back to the House for a vote, then back to the Senate. But the dirty birds in the conference committee could very well put that tattoo parlor earmark back into the spending bill if they want to.

I won't vote for the package then. But no matter. Because when the compromise bill gets back to the senate floor, it only needs a simple majority, not a super majority like the cloture bill did. And the spending bill passes. With the earmark I didn't want in it.

That's the way your congress is working.

And the House just passes another $481 billion spending bill last week. That's different from the super trillion dollar budget the Obama sent over from the White House.

But it's deficit spending, folks. Where is this money coming from? I will tell you. The U.S. treasuries go on the international market for sale. Who buys them? Only one country has the money to do that. China. And China isn't too keen on U.S. debt right now.

Mainly because the Chinese probably have figured out what Wall Street figured out. This administration and congress doesn't know what it's doing with the economy. It's just in a continuous spending loop.

And that's why the conservatives are calling them generational thieves.

[Red Steel]

Obama is going to make your portfolio into "change"

Dow	7,088.18	-93.90	-1.31%
Nasdaq	1,381.95	-9.52	-0.68%
S&P 500	737.22	-15.61	-2.07%
10 Yr Bond(%)	3.0410%	+0.0630

[Williams]

It’s obcene that when the economy sets citizens back economically, government at all levels taxes them more to sustain itself.

[Digger]

Tea PARTIES when what is needed is **^&^% - Not a party. You really think that these insulated scum care about a bunch of sheeple standing around bitch’in?

[griswold3]

Does anyone have a good reason why the government won’t fix the financial industry FIRST? (Make a decision and then stand back, all this ‘engineering’ is making it worse!)
(rhetorical question)

[mo]

Too many still believe the faux poolitics Dem/Repub;

The Realpolitik is Washington/America. The rest of the country is beginning to figure it out.

[devistate one four]

We gotta start somewhere don’t we?

This is a good way to see who’s all in or just all mouth.

[TASMANIANRED]

He should have confiscated before he tanked the markets.

[genetic homophobe]

No. They’re laughing at us while they complete the communist coup. But I went to our Nashville “tea party” anyway. May want to drop off the radar soon as this thing really goes south. WTF?