Tuesday, July 06, 2010
Obamanomics VS. Reaganomics
"Few Americans realize that President Reagan’s economic policy won the cold war by rejuvenating capitalism. Members of the Soviet Academy of Sciences, with whom I spoke in Moscow during the Soviet Union’s final months, agreed that it was President Reagan’s confidence in capitalism, not his defense buildup, that caused Soviet leaders to lose their confidence..." (source)
As the stories of looming economic collapse seem to come now with more regularity, the layman has no idea how much is real, how much is to sell papers and how much of what happens on Wall Street will effect us. What we do know is Obama's misery index is growing. Everyone I talk to these days has been laid off, let go, filing chapter 13 or chapter 7...or in fear that any of the aforementioned could happen at any time.
"Robert Prechter, the market forecaster and social theorist, who is in another league entirely. Mr. Prechter is convinced that we have entered a market decline of staggering proportions — perhaps the biggest of the last 300 years.
If Robert Prechter is right, one market analyst said, “we’ve basically got to go to the mountains with a gun and some soup cans.” (source)
The Man and I have made ourselves as immune to this impending doom as we could. We have NO debt. We did away with ALL of our credit cards. We have no car loans (I only believe in buying used cars). We pay for things with real money and if we don't have it, we don't buy it. We've been successfully existing this way for almost 6 years.
I wish my government could do the same. Why can't my government do the same? Yes, we make sacrifices. My kids don't have their own laptops or the new iPod Touch like many of their friends...but that's a small sacrifice not to be beholden to anyone the way this country is now beholden to Red China.
Obama blames Bush for the economy. Fine. Say it's ALL Bush's fault...it was all Carter's fault and Reagan managed to turn it around brilliantly. Why hasn't Obama managed to do the same in a year and a half. And it's not like it's on the way because it's gotten WORSE. Only 10% of the stimulus money has been spent. How is money NOT SPENT stimulating anything? Criticize supply side economics all you want, but if Obama would have cut taxes, the people would have spent far more than 10% of the money...