Jul 11 2011

Playing Politics With Failed liberal Policies

Published by at 7:36 am under All General Discussions

The great recession of 2008 was caused by the failure of liberal social policies. The left imposed a financially reckless effort to increase the home ownership in this country to include the lower middle class and the poor. The naive liberal policy solution was to lower the earning and responsibility standards for home buyers to basically a breathe test on a mirror. This delusional effort did provide unprepared and unready people access to millions of first-time homes, as well as for middle class folks to buy homes well beyond their financial capabilities.

The fact this plan lined the pockets of big real estate, big banking and big mortgage companies was a nice side effect of all this sincere do-gooding.

But the entire pile of risky and outright bad loans was the fault of liberal policies run amok.

The answer to this disaster from the left who came into power in 2009 was another round of naive and reckless liberal policies. It was the ludicrous idea of trickle down government largesse. Sadly for everyone who DOESN’T work for the government, it meant the Feds continued to sap the life blood from the nation’s weakened economy. The results were painfully obvious to many of us. Extended lousy employment, stagnant wages, lost home values (as the market hit from the recession went from temporary to permanent) and mountains of generational debt.

Another liberal fiasco on a grand and painful scale.

So where are we now with the government out of money and facing harsh choices? Back to naive and reckless liberal policies – also known as do-gooder ideas wrapped in economically ignorant fantasies. The latest plan from the left is higher taxes and more debt (which is why they want to raise the debt ceiling, so they can dig a larger financial hole):

After weeks of debate, Obama may have a tenuous hold on the political high ground as he takes on a more visible role, urging party leaders to set aside ideology to trim an estimated $4 trillion from the deficit over the next decade.

Obama’s political strategy since his party loss the midterm elections has been to portray himself as a reasonable man in partisan Washington,

Well, his strategy has failed along with his party’s reckless policies of the past. His political sense is about as busted as his common sense. But then he is not a creature of Middle America anymore.

His proposal, which he has said would bring certainty to an economy constrained by anxiety over the nation’s fiscal condition, would involve spending cuts to agency budgets, including the Pentagon’s; ending the George W. Bush-era tax cuts for the wealthiest Americans; and …

Obama once knew this was fiscal madness:

“First of all, he’s right. Normally, you don’t raise taxes in a recession, which is why we haven’t and why we’ve instead cut taxes. So I guess what I’d say to Scott is – his economics are right. You don’t raise taxes in a recession. We haven’t raised taxes in a recession.”

en masse last year. We clearly only need enough debt ceiling increase to limp through to January 2013. And we don’t need a gold plated cane to get us there.

10 responses so far

10 Responses to “Playing Politics With Failed liberal Policies”

  1. joe six-pack says:

    I thought that President Obama saved us from falling off an economic cliff back in 2009. You remember, the cliff that President Bush and the Republicans drove us to.

    Here we are, just 2 years later and we are on another economic cliff? Is it possible to blame President Bush and the Republicans for this again?

  2. MerlinOS2 says:

    Banker fought the CRA and flat told government don’t do this they are not credit worthy and we can’t resell the mortgages in the secondary market.

    So congress pushed Fannie Mae and Freddie Mac to do just that and the Clinton forced banks to do the loans if they wanted to expand or merge.

    When they felt the time was right Schummer kicked the legs out from under IndyMac (now a Soros owned entity) by leaking a report on them starting the financial meltdown just on schedule.

  3. MerlinOS2 says:

    Remember the proving grounds for what would happen with all those subprime loans was Superior Bank which failed and was run by Penney Pritzker who was the Obama campaign finance chairman.

  4. dhunter says:

    Good post AJ.
    I just hope the RINO herd doesn’t show up and bail out the disaster in the Whitehouse.

    OBLahBlah is desperately trying to shift blame for his nonrecovery, “recovery” to the evil Republicans knowing full well he has not an icicles chance in hell of getting any entitlement reforms through the Democrat Senate!

    This Hawgwash is merely talking points or lies to be able to say the irresponsible republicans blocked real reform.

    What would be really irresponsible would be for republicans, specifically Boehner to believe Barky is acting in good faith and with good intentions and compromise.
    Boehner is delusional if he thinks this President has any intention of cutting any social programs.

    This spending spree was designed to force the repugs to raise taxes to fund the socialist agenda.
    They had better not, else 2010 will look like a walk in the park compared to the bloodbath in 2012 for the RINO herd.

    My biggest fear is some grand compromise with all kinds of promises of future cuts in exchange for raising taxes and fees now, and Boehner, McCain, McConnell et al getting just enough sguishy Repugs to vote with the Dems and guarantee four more years of Obama rule by czars, fiat, agency mandate and ignoring the courts and constitution.

    The blood will truely be on republican hands then.

  5. dhunter says:


    This guy has it right.
    Two economies!
    Raising taxes now will only fill Democrat pockets and Union wages the rest of us will still suffer!

    Oh and it will guarantee Obamas re-election as the money flows to buy off voters.
    Starve the beast!

  6. WWS says:

    Over the last year, I’ve held a variety of stock in both my IRA’s and a personal account. They’ve done decently as the markets got stronger, but over the weekend, as I was kept up at nights thinking about where we are, I found that I had to do something that most every advisor will tell you not to do – I put in orders to sell everything I’ve got at market at the open today. I can’t shake the conviction that we’ve gone over that first big hill on the roller coaster, and that it’s all downhill from here – in a very big way.

    I haven’t felt this way since August of 2008, about 3 weeks before everything came apart that September. (In hindsight I should have seen that coming much earlier, of course.)

    It’s not so much the budget talks/fiasco – those were always destined to be a farce, but it will make a good trigger point/excuse for the reset that I think is on its way. The bigger
    problem is Italy, beginning to fall apart like Greece has. Italy’s not much of an economic player itself, but the reason it’s so important is that it means the contagion has jumped the firewall that the EU has tried to build around Greece. The simplest way to understand why Italy is cooked is that Government is responsible for 51.6% of the Italian economy. They are out of money, and can’t borrow any more, but if they cut spending
    like they have to unemployment goes to 50%, up from the 20% it’s at already. Endgame.

    And if Italy goes, the entire EU is going to fall very soon.

    “The problem with socialism is, eventually you run out of other people’s money.” – Margaret Thatcher

    for all the talk you are going to hear about the talks between Obama and Boehner this week, that is just the pimple on the world’s economic ass right now. People will pay a lot of attention to it, but there are so many bigger things all going wrong right now…

    and you know, maybe the market takes this in stride and goes back on up, I don’t know for sure. What I do know is that I sure don’t have the nerve to stay in this thing anymore.

  7. lurker9876 says:

    Here’s hoping Boehner will NOT cave in. Obama’s running the clock on this one and hopes to win this one.

    What is intrade saying on this one…who will emerge as the winner?

    Obama wants the Republicans to compromise…ok, Obama, where is YOUR compromise? Looks like you’re not compromising at all. The Republicans HAVE given you options.

    No, Obama wants to paint the Republicans as EVIL corporation lovers!

    dhunter, I think you’re right…sounds like Obama’s hurting for campaign donations. The fact that he’s NOT back on the road is telling.

  8. lurker9876 says:

    And the stuff that the liberals say on CNN and Fox News over the weekend just drives me nuts!

    Glassman said that we don’t need spending cuts but we do need the economy to grow. How the heck can the economy grow without spending cuts?

    Someone on CNN said this morning that we’re abandoning our last hope, keynesian. He hopes that the GOP is happy with the new austerity program.

    He was pretty wild eyed. He was on the split screen next to Ezra Klein.

    Does CNN really believe these guys????

  9. lurker9876 says:

    wws, too bad that I’m not yet old enough to withdraw my money out of the IRA account or paying a hefty penalty. I don’t know which I should sacrifice. I believe your prediction is correct.

    Obama and Congress are simply playing games. Sounds like Obama’s 11 am speech muddled the water even more with no new ideas. He’s trying to win back the Democratic party and get re-electeld. He won’t.

    Wonder what Soros’ next move will be after Italy…

    I just cannot wait for this whole thing to crash. Not because it’s a very bad idea and very harmful to everyone but because it’s necessary to force people to no longer kick the can down the road.

  10. dhunter says:

    WWS its a tricky wicket.
    I too am out of the market and have been since before the last tumble in 08 except for indexed annuities, which are no in the market but indexed to it.
    Trouble is there is hardly anywhere to go to get a return and stay liquid.
    The fed keeps printing money and at 2-4% we are not keeping up with inflation.
    I keep telling the wife more farm land but then if these clowns make gas too expensive no-one will farm it. I think we are being, I know were are being, purposefully driven to the brink and beyond and believe it is the plan to rid the country of our pesky constitution and redistribute the wealth.
    OBlah Blah said so and its the Won thing he said that I believe.
    Making us all slaves to government by indebtedness..
    With the debt they have piled upon us we are nearly there. Justa couple of years of Healthscare ought to finish it if Zippy doesn’t accomplish it by defaulting on the debt.