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  • Morning Bell: The Obama Economy is Failing

    Celebrating his first 100 days in office, President Barack Obama told the American people: “One hundred days ago, in the midst of the worst economic crisis in half a century, we passed the most sweeping economic recovery act in history…One hundred days later, we are already seeing results.” And he’s right, we are. Unemployment has risen to 9.5%, stocks fell to their lowest level in 10 weeks on Tuesday, and consumer credit delinquencies have hit a record high. Responding to the obvious failure of the Obama administration’s $787 billion stimulus package, some liberals in the House and Senate are calling for a second (really the third, when you count President Bush’s 2008 effort) stimulus. How big of a second stimulus? Center for Economic and Policy Research co-director Dean Baker told Politico: “To my mind it’s pretty obvious we need another stimulus package, probably a lot bigger than the last one.”

    To be fair, the Obama administration itself is not yet ready to admit their first $787 billion stimulus package failed. Both Vice President Joe Biden and Obama Council of Economic Advisers member Austan Goolsbee recently said it was premature to discuss crafting another stimulus. But outside adviser to President Obama Laura Tyson told an audience in Singapore yesterday that the stimulus package was indeed “a bit too small” and that the administration should consider a second effort. According to Bloomberg, Tyson then stressed that “[t]he U.S. needs to communicate its determination to reduce the annual shortfall once the economy recovers.” Unfortunately, the Obama administration is sending no such credible signals.

    Not that Obama hasn’t tried. First he held a “fiscal responsibility summit” the week after signing the largest single-year increase in domestic federal spending since World War II. Then he ordered his cabinet to identify $100 million in budget cuts, and proposed his own $17 billion in program terminations and reductions. He has even promised to try and resurrect the completely ineffectual PAYGO rules, but made it clear they would not apply to his own health care spending. Informed observers have not bought any of these shenanigans. The numbers don’t lie, and here is the story they tell:

    Ignoring Obama’s lofty rhetoric and focusing on the hard numbers, investors are demanding higher interest rates to soak up the tremendous flows of debt coming out of the Treasury. This will mean higher interest rates for consumer loans, mortgage loans, business loans, etc. The debt-based Obama economic stimulus plan has become a major drag on economic recovery, just as expected. Looking at Obama’s housing rescue effort the Washington Post reports today: “More recently, long-term interest rates have increased as generalized investor panic has given way to a more specific worry: that the huge U.S. budget deficit is unsustainable and may set off high inflation. In other words, rising deficits are canceling out at least some of the Fed’s efforts to keep mortgages cheap.”

    The President and the Congress must realize that world investors will not be swayed by new budget rules or other posturing. They want to see the economy strengthen while the deficit comes down now, and fast. The solution is to set aside all the new spending proposals and start cutting spending fast. Otherwise we’re going to have double digit unemployment for a long time to come.

    Quick Hits:

    • As House Democrats work to finalize their healthcare overhaul discussion draft, sources say CBO has individually scored provisions of the legislation that together approach a total of $1.5 trillion.
    • Senate Majority Leader Harry Reid (D-NV) on Tuesday ordered Finance Chairman Max Baucus (D-MT) to drop a proposal to tax health benefits and stop chasing Republican votes on a massive health care reform bill.
    • Obama administration attorney Jeh Johnson told a Senate hearing yesterday that Guantanamo Bay detainees who are acquitted by civil or military courts may still be imprisoned indefinitely.
    • A minority report by the House Committee on Oversight and Government Reform released yesterday found that the housing bubble and financial crisis can be traced back to federal government intervention in the U.S. housing market.
    • The Foundry, including the Morning Bell, can now be accessed via your Amazon KindleClick here for details on how to take the conservative news and analysis of Heritage with you wherever you go.
    Posted in Ongoing Priorities [slideshow_deploy]

    58 Responses to Morning Bell: The Obama Economy is Failing

    1. Dr Duncan Druhl, Fra says:

      Will we ever know exactly how much money the FED has printed to "stimulate" the economy?

      Perhaps, but only as the US taxpayers realise that they are fully on the hook for this inexperienced president's misjudgements and payback of campaign debts. I don't think anybody is sufficiently publicising the hog-wild money printing that is going on and its likely impacts, though some have brought up images of the Weimar Republic and wheelbarrow loads of paper to buy a loaf of bread.

      It is sad that the US administration has decided that the Zimbabwe economic model is better than that of Adam Smith and Ludwig von Mises; sad for the American people and businesses not favoured by the Mugabe-act-alike president.

    2. Mark Y Durango,Co says:

      Only a liberal can like a comunist

    3. Howard J. Wooldridge says:

      Ron Paul was correct. We can not keep troops in 120 countries. Do we keep aircraft carriers afloat in the Sea of Japan which means we close more hospitals in the USA?

      We are broke and no one wants to reduce our standard of living… As even Republicans say, 'just borrow a few more trillion.'

    4. Michael - New York N says:

      On November 4th, the day after the anointed one was elected; the Dow was 9625.28, unemployment at 7.4%, the deficit at $450 bn. The DJIA yesterday was 8162.60, unemployment at 9.5% [not including people who are off the unemployment rolls and have stopped looking], and the deficit at $1.8 trillion. Mr. Obama should take note of his abject failures. Those numbers under George W look good, as this administration drives this country bankrupt. The dow is down 15%, unemployment up by 28%, and the deficit has increased by 311%.

    5. Brad Raffensperger, says:

      Washington, please don't give us another stimulus plan. It just adds to the deficit and is part of the something for nothing cycle that is not fruitful. Instead why don't we rebuild America with new industry with incentives to build new facilities with new machinery. Let investors, entrepreneurs and businesses expense their entire costs for new investment in new plant buildings, new plant machinery and equipment if the equipment is made in America. It would stimulate American equipment manufacturers, particularly those in the mid-west, it would give us new manufacturing capacity with the latest technology which would increase our productivity. This is along the lines of Reagan's plan in the early 80's. America benefits from a strong manufacturing base and this proposal would work towards that end.

    6. Robert T. Davis says:

      YOUR MINORITY REPORT ON HOW BARNEY FRANK AND CHRIS DODD DESTROYED THE AMERICAN ECONOMY IN THE NAME OF PANDERING FOR VOTES IS EXCELLENT. YOUR RESEARCH STAFF IS THE BEST AND YOU ARE DOING AMERICA SUCH A GREAT SERVICE. KEEP UP THE GOOD WORK!

    7. Steve, Michigan says:

      Please, please folks. Write your senators and representatives in your own words and tell them "no new stimulus." If there is money available for stimulus then the only proven way to use it is to give deep tax relief to the productive elements of society, corporations and high earners. Employment and, paradoxically, tax revenues will bloom as capital flows back into the marketplace from all over the world. Obama is taking us down the path of a lengthened and deepened depression, and we all know what the last one did to world peace. This is the issue of our times: Will history record that we pushed the world into another conflagration by intentionally running our economy, and that of the rest of the world, into a ditch? All for the sake of disproven social and economic experiments? Not to excuse what the Nazis did, but their program probably would not have gotten traction with average Germans had policy makers in Europe and here freed the national economic engines from interference and brought the depression to a quick end. Instead, it dragged on for ten years.

    8. Michael W. Cook, Mem says:

      Dear Sirs,

      An additional concern may arrise in that approximately 9.5 million retirees may consider re-entering the work force out of necessity. It seems that this may be worth a closer look.

      Best wishes,

      Michael W. Cook

      CEO & Chief Investment Officer

      SouthernSun Asset Management

    9. Richard Anderson, H says:

      R.E. "Minority Report", Of course it was the Government, more specifically Clinton, and his 1998 Community Reinvestment Act!

      That act led to the Sub Prime loans, and also one Franklin Raines a cronie of Clinton's as CEO of Fannie Mae looted it by cooking the books, so the Democrats could use Fannie as their Personal Cash Cow! Fannie Mae and Freddie Mac both bought millions of sub prime loans, Wall Street packaged the sub prime loans into "investment vehicles" and later "Investment Derivatives"! All back by worthless loans! When the Real estate market took a dump, as it does from time to time, the whole house of cards fell down!

      Rich

    10. Jeff, Florida says:

      Let me see now, if I have this correct the Democrat Obama economic stimulus plan is to spend more to get out of the economic crash. So, if I take my Mother's credit card and pay off my credit card, I can now go and charge on my credit card again until I have reached my limit again. Good plan Dems!

      What is wrong with the brains of Democrats? Are they so incapable of understanding the only way to help the economy is to put money back into peoples pockets with tax breaks.

    11. Richard Cancemi, Arl says:

      Socialists exploit crises when they occur or they make them happen. The Democrats(socialist majority) created a major crisis collapse via forcing banks to issue sub-prime mortgages and abusing Fannie Mae and Freddie Mac by guaranteeing what they knew they couldn't deliver. Why?

      They foster fear and panic by crying "crisis" at every occasion and the public wants to be "saved". Obama, the new "messiah", steps in and promises to bring salvation to all. His true intention is to destroy Capitalistic America and replace it with a New(old)Social Order and subsume our independence to One World.

      He is a liar and a traitor, a con man with flim flam schemes, who serves some other master or masters and is not serving America's best interests!

      He needs to be impeached!

    12. Eddie MacIsaac, San says:

      Obama is a failure……

      he can’t even spell strategy, or pronounce it properly without a teleprompter;

      his strategy on the economy is a resounding failure;

      his strategy to get the Arabs to accept Israel is a resounding failure;

      his strategy to produce more jobs and economic growth is a resounding failure;

      his strategy to keep the unemployment rate at 8% is a resounding failure;

      his strategy to save GM and the auto industry is a resounding failure;

      We don’t need his strategy for Afghanistan.

    13. Steve, Michigan says:

      Thanks Duncan Druhl from France! It may well be that our only hope to avoid disaster is for Europe to lead, since our government seems intent on following the Weimar, Zimbabwe, Roosevelt, Carter approach. Fellow Americans, hold onto your seats. It's going to be a wild ride.

    14. Ralph Stas, Delray says:

      You are focusing too much on the stimulas plan. I see the economic problems as the result of more than 15 years of irresponsible spending and programs initiated by the government, and the elimination of manufacturing base in the USA, resulting in the loss of millions of manufacturing jobs. This resulted in massive redistribtuion of wealth and income.

      Additionally the american people and businesses have been spending well beyond their means, resulting in massive debts, while banks allowed the credit to get out of control, as well as the sub-prime mortgages all encouraged by congress.

      Businesses and people have been far too dependent on credit to run their homes and businesses, due to the extremely competitive pressures which drove down profits and forced further use of credit resources, resulting in slower loans payments and growing defaults. Addin the sub-prime mortgages and it is no wonder we hit a crisis last September, although politicians knew about this for some time before.

      Now our glorious politicians want to spend more money by attacking the synthoms, and conceal the fact that the unemployment rate is actually 17% and businesses and people do not have the liquidity to meet their obligations, hence the banks are not lending.

      Another round of stimulas will most likely be used by companies, to help their balance sheets. more than creating jobs.

      In order to create jobs by the private sector, the economy must grow by at least 3.5% or more. The recovery is based on 70% consumer spending, unfortunately the debts are so large that the consumer has stopped spending to reduce their debt, which has deliberately been misinterpreted as savings.

      Stimulas will be used by consumers to reduce debt and possibly purchase only essentials.

      WE all have allowed the materialistcs habits to consume us and finally dur the debt hole so deep that we can't get out, without a lot of pain, now our glorious politicians want to dig deeper.

      INSANITY

    15. Randall Doc Fleck, F says:

      Your reporting on this issue (and others) is as right-wing-bias as it can be. Shame on you for failing to report all the facts involved and for failing to place a proper amount of blame for our current economic situation on the previous Republican policies of the Bush administration.

    16. Steve Jelinek says:

      Let's get the phones heated up early on this one. Call your two U.S. Senators and your labor unions now! Let them know how you feel about the Cap & Tax Pollution bill. This bill will drive U.S. manufacturing abroad where there is no EPA thus creating more global emissions. It is only two phone calls to your Senators. I am calling them every day; I trust you will do the same.

    17. Nancy Clyatt Ocala, says:

      I am a conservative who is disillusioned with both parties. We have moved away from the very values that made us great. We are like frogs being boiled alive and doing little to save ourselves as our silence has given consent. Hold politicians feet to the fire! No more stimulus….no more government mandates….no more Frank and Dodd….no more nationalization of corporate America. Wake up America and GET INVOLVED before your eyes glaze over in death….. of the great republic called America!

    18. Mark, Wisconsin says:

      Are the obama economic policies failing? To coin a phrase from the anointed one himself… You can put lipstick on a pig (TARP, obamacare and the Carbon Tax..oops I meant Cap and Trade) but you still have a pig!

      Common sense would dictate that if you find yourself in a hole, the first thing you should do is stop digging, and in closing I would to say to our House of Representatives and Congress regarding the upcoming 2010 elections, When you wallow with pigs, expect to get dirty.

    19. Tricia, Arizona says:

      According to Acorn,SEIU, and this president, he has not failed at all. This situation was what he was aiming at from the start.Wake-up America, wake-up!!!!! I wonder what's up in Russia, really. I'm really worried for this country.

    20. Bob Veigel, Arlingto says:

      Obama is just one big failure. He hates America, is an angry individual and is doing all in his power to destroy our Nation. Some notable person like Sarah Palin (who the press and left and Democrats hate) must stand up, shout out and tell the people just what a piece of un-American trash we have in the White House along with his gangster administration. And I would say all of this at the dinner table, and would hope that Obama was there to listen. Someone needs to challenge this person before America is no longer recognizable as the home of the brave and the land of the free.

    21. Ken-Santa Barbara says:

      Only a liberal can like a communist? There is no proof nor means to prove that ridiculous comment. I remind you that the first recipient of the Ronald Reagan Freedom Award was M. Gorbachev. "In order to receive the award, the potential recipient must "have made monumental and lasting contributions to the cause of freedom worldwide," as well as "embody President Reagan's lifelong belief that one man or woman truly can make a difference."

      Mr.Cook you speak of a startling fact brought on by far more than the 100 days of this administration. It has been years in the making. I am in partial agreement with the gentleman above from AZ. The beginnings WERE with Clinton. The untenable fact is that it was NOT Clinton cronyism but years of deregulation of the banking and investment industry that has pushed us to the precipice of uncertainty. Please do more to understand the facts rather than what you hear or heard or read in one article

      The best way to help an economy is to manage it properly all the way along. I think that Alan Greenspan has helped to put much of the impropriety into perspective. The free market isn't free to everyone folks. It has and continues to be manipulated by someone or something that it appears many amongst us here can't and don't want to understand. The pity is that the hatred heaped and nurtured here on one man and the push figures that this publication feeds its readership is not helping to bring us to do the one important task that is our destiny.

      We have ceased to be one nation,a republic, INDIVISABLE, pledging liberty and justice for all. In the scheme of things we appear to be working too hard at being divisive, fear and hate mongering, impish immature beings bent on blaming a party and a man and/or woman, rather than the nature of the decision making process and the minority who hold the true power to make those decisions.

      A great republican once said…. A house divided against itself cannot stand……He was speaking about this nation.

      It holds true today.

    22. David Barth, CFA, Ju says:

      The economy has worsen since BHO stopped screaming "Crisis" constantly until the Non-Term Limited Congress gave him the power he thrives on. Now that we are piling debt, taxes, controls, regulations, etc. on business what is going to be the catalyst to change this stagnated economy? The morphing of the Web with cell phones and all other methods of communications have met the pinnacle of adding value.

      What is next looks to me is a lower standard of living as we cannot support our future debt service. With an entitlement generation I see a possibility of great social unrest.

    23. Nelia, AZ says:

      Steny Hoyer, Democrat from Md, laughed when asked if congress would be allowed to read the health care bill before voting on it, saying if they read it they wouldn't vote for it.

      Our people in congress are making a mockery out of their vows to serve. What ever happened to government for and by the people?

    24. Len, Alexandria,KY says:

      Why are Cretins allowed to live and vote in Congress…. Have the Dimic RAT led Congress gone totally off the farm???

    25. David Sayers, NC says:

      Obama and his band of keystone cops have been clueless from the start. All they are interested in is taking from the productive to give to the non-productive,that will keep their voter base happy and in this way they get to keep their sorry selves in office. Dr. Charles Stanley in his daily devotional Enter His Gates writes for July 8,"Those who chose roles in our nation's government during colonial days did so on the noble basis of public service. Compensation was small,and recognition was not the determining motivation. How interesting that our notion of public service has eroded through the centuries. Now those elected to govern are usually motivated by greed or power. Once they are in office,their energies are focused on the maintenance of their position,not service to their constituency." These so called represenatives in congress and the white house do not have the heart of a servant. They are filled with the want for money,power and the purpose of changing this American into something it was never intended to be. Lets give all of them a big surprise come election time. As the old saying goes"throw the bums out". Read Matt.23:11

    26. ella quinn n.c. says:

      Randall, the bush adiminstration is not to blame for this mess it is obama.

    27. A. Terranova, Ormond says:

      Many of you have written to express your ideas, concerns and indignation regarding our disintegrating economy. Not many have offered a common sense way out of the massive destruction caused by so much taxing, spending, pandering, lobbying, lying, cheating and stealing by those in power today and yesterday. Many are to blame including those who believe, and still believe, they are "entitled" to receive benefits they are not entitled to. When policies favor a select group of Americans at the expense of another(powerful unions); when government robs Peter to pay Paul; when the "redistribution of wealth" (which is tantamount to stealing) becomes commonplace; when huge amounts of money from lobbyists are thrown at politicians for the sole purpose of enriching those politicians and buying their votes; when governing means "pay-back" to those who supported your presidential campaign at the expense of the entire American populace; when lying about programs and bills the administration wants to cram through Congress without anyone in Congress being able to even read them and when the Commander-in-Chief says one thing, does another and then blames a prior administration when things aren't going well, it's time to step back and do the following: DO NOT SUPPORT ANY POLITICIAN, INCLUDING THE PRESIDENT, WHO DOES NOT MEET AND LIVE UP TO THE U.S. CONSTITUTION AND VOTE THESE PEOPLE OUT IN 2010 AND AGAIN IN 2012. Make it unequivocally clear that you intend to do this and make sure you advise your family and friends to do the same. Otherwise we will have only ourselves to blame. Mr. Obama intends to make us impoverished for this simple reason: If everyone is the same, that is – poor, and the welfare rolls expand exponentially, then we will all be beholden to the federal government for sustenance while at the same time expanding the voter base so that liberals (better known as "progressives") will ALWAYS be re-elected.

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    29. Wallyblu, Zion, IL says:

      The way it's going we will have to immigrate to Russia if we want to see some form of capitalism.

    30. Judy Moody, Villa Ri says:

      Has no one thought that as smart as BO is he is drowning our country in debt for his own purposes. He knows that what he is pushing won't work and has never worked so someone better start looking at his real agenda. The country is bankrupt and we get hit again and maybe they will make him king!

    31. Ron, Derry NH says:

      Of course it is failing!!

      Here is how monetary equilibrium works.

      Some one makes a product that fulfills a need, the shopper buys it if it produces a profitable value in time or work, he then uses that gain for further advancements in self, society and time.

      Here is how economic equilibrium is lost; A merchant or a worker or in-fact a money lender exerts more pressure or value that they are worth to maintain a real worth to those buying. This creates a large swing in the pendulum called recessions as time is needed for each change to come back to what civilization can adjust to or decide its worth.

      How these changes can be increased and made erratic is a government, trade organization or monetary interest finds a way to take more value than they can achieve through market pressures and forces their payments away from economic friction devices to insure profits based an extorted flow not a market measured worth. Thus the pendulum swings wider to compensate having been held back by altered forces.

      What Obama should have done was create more friction points to reduce extortion by the money lenders and borrowers and allowed higher interest rates to cover the reckless lending without capital to back it up. What he did instead, and congress since the repeal of the Glass/Steagall act, was to create more protection and extortion using Government coercion of value on top of not creating a leverage point to protect the consumer.This creates a larger gap between real value and price afford-ability.

      He has in fact increased the problem trying to protect the rich at the expense of the entire countries set value. We now must re-establish worth which is proportionate to the percentage of money being circulated against how much inflation, time and work it will take to establish the new values. Harder still as the consumer is being forced out of market decisions with every passing law that he invents.

      The Fed and the government have caused an invention of worth through phony increased money supplies that will surely devalue every asset in this country because the size of the pie is shrinking to finds its true shape and they are slicing it smaller to protect more of their interests thus starving out the solution.

      Every effort to reduce economic friction that would normally decrease the value of worth on fixed objects, deflation, will cause inflation but will protect tax flow temporarily.

      What Obama is being convinced to do is to support inflation, devalue the money supply and keep the percentage of cut for the money lenders and the government the same which is really stealing more value than earned and weakening the dollar and the people every inch of the way.

      When you choose to protect a segment of the economy to preserve a non market achieved value you automatically put economic pressure on the value of the people earning it. Obama is willing to sacrifice American workers values to finance his agenda. This has nothing to do with stimulus.

    32. Lee-White Tanks AZ says:

      This article, although well written and correct, suffers a common malady with many of the current writings about the economy. It suffers "the Doe in the headlights" syndrome.

      Like nobody really saw this coming. Obama didn't really mean what he told us during the election, none of this "socialism" was really apparent in his agenda.

      I don't want to sound like I am "carping", I just wish I didn't feel like shaking so many people and asking "what was so mysterious in what he had to say (and write), who he hung out with, and who were his mentors and backers that you didn't really see and understand what was "going down"

      PC is Thought Control

      LEE

    33. TO'G--oHIo says:

      Many of you may want to read the WSJ article on Fri/Sat, ie the 7/3 Weekend edition. The article on the 'back' page of the OpEd was about McNamara. He was the ultra-technocrat. In short, if 'we'(the Elite) can just herd these unwashed cats(us:the Proles), 'we' can make everything just al-right!

      See ObamAramaism, Congress, and Czars, etc, ad nauseum–Ivy League (never had a real job) TechnocRats telling us unwashed, tho somehow 50% of us idiots make enough $$$'s to support the 'dream society', that we're too stupid to make our own decisions.

      It's called Socio-FASCISM. Let's see where Socio-Fascism works: Has it worked in CLE, CHI, Atlanta, LA, SF, CALIFORNIA!, Phoenix, Denver, DC, Miami, Boston, name the city/state…anywhere? Answer: NO.

      Socio-Fascism has to be fought with everything we have. We support 50% of the US population as it is. It has to end. Enough IS Enough. It's time to stand against Soros and ACORN and the DemoRat-Socio-Fascist machine. It's time to take back and make real the Constitution of the United States. It's time to make real the meaning==FREEDOM FOR ALL–ALL. It's time to FIGHT.

    34. Jeff, Florida says:

      Sermon from a church in Virginia recently. Gen 47: 13-27

      Good morning, brothers and sisters; it's always a delight to see the pews crowded on Sunday morning, and so eager to get into God's Word. Turn with me in your Bibles, if you will, to the 47th chapter of Genesis; we'll begin our reading at verse 13, and go through verse 27.

      Brother Ray, would you stand and read that great passage for us?… Thank you for that fine reading, Brother Ray.. So we see that economic hard times fell upon Egypt, and the people turned to the government of Pharaoh to deal with this for them. And Pharaoh nationalized the grain harvest, and placed the grain in great storehouses that he had built. So the people brought their money to Pharaoh, like a great tax increase, and gave it all to him willingly in return for grain. And this went on until their money ran out, and they were hungry again.

      So when they went to Pharaoh after that, they brought their livestock – their cattle, their horses, their sheep, and their donkey – to barter for grain, and verse 17 says that only took them through the end of that year.

      But the famine wasn't over, was it? So the next year, the people came before Pharaoh and admitted they had nothing left, except their land and their own lives. "There is nothing left in the sight of my lord but our bodies and our land. Why should we die before your eyes, both we and our land? Buy us and our land for food, and we with our land will be servants to Pharaoh." So they surrendered their homes, their land, and their real estate to Pharaoh's government, and

      then sold themselves into slavery to him, in return for grain.

      What can we learn from this, brothers and sisters? That turning to the government instead of to God to be our provider in hard times only leads to slavery? Yes. That the only reason government wants to be our provider is to also become our master? Yes.

      But look how that passage ends, brothers and sisters! Thus Israel settled in the land of Egypt , in the land of Goshen . And they gained possessions in it, and were fruitful and multiplied greatly." God provided for His people, just as He always has! They didn't end up giving all their possessions to the government, no, it says they gained possessions!

      But I also tell you a great truth today, and an ominous one. We see the same thing happening today – the government today wants to "share the wealth" once again, to take it from us and redistribute it back to us. It wants to take control of healthcare, just as it has taken control of education, and ration it back to us, and when government rations it, then government decides who gets it, and how much, and what kind. And if we go along with it, and do it willingly, then we will wind up no differently than the people of Egypt did four thousand years ago – as slaves to the government, and as slaves to our leaders.

      What Mr. Obama's government is doing now is no different from what Pharaoh's government did then, and it will end the same.. And a lot of people like to call Mr. Obama a "Messiah," don't they? Is he a Messiah? A savior? Didn't the Egyptians say, after Pharaoh made them his slaves, "You have saved our lives; may it please my lord, we will be servants to Pharaoh"?

      Well, I tell you this – I know the Messiah; the Messiah is a friend of mine; and Mr. Obama is no Messiah! No, brothers and sisters, if Mr. Obama is a character from the Bible, then he is Pharaoh.

      Bow with me in prayer, if you will.

      Lord, You alone are worthy to be served, and we rely on You, and You alone. We confess that the government is not our deliverer, and never rightly will be. We read in the eighth chapter of 1 Samuel, when Samuel warned the people of what a ruler would do, where it says "And in that day you will cry out because of your king, whom you have chosen for yourselves, but the LORD will not answer you in that day." And Lord, we acknowledge that day has come. We cry out to you because of the ruler that we have chosen for ourselves as a nation..Lord, we pray for this nation. We pray for revival, and we pray for deliverance from those who would be our masters.

      Give us hearts to seek You and hands to serve You, and protect Your people from the atrocities of Pharaoh's government.

      In God we Trust

    35. TREVOR MERCHANT BRO says:

      RE YOUR QUESTION , STATEMENT AND OR COMMENT , IS IT A SURPRISE AND OR STRANGE THAT THIS CURRENT SITUATION OF THE ECONOMY WOULD BE SO . IN MY CASE THE ANSWER IS A RESOUNDING NO . TIME WILL NOT PERMITS AND OR ALLOWS FOR ME TO BE BROAD AND EXPANSIVE WITH THE SETTING FORTH OF MY ARGUEMENTS OF KNOWLEDGE BEING POWER AND THE SHARING OF KNOWLEDGE I WILL REPEAT FOR EMPHASIS KNOWLEDGE TRUTHFULL IS EMPOWERMENT . TO QUOTE ,UNQUOTE . THIS IS EVEN MORE SO COMPELLING WHE IT IS IN REGARDS TO THE CURRENT AND OR PRESENT SOCALLED THE PRESIDENT OF THE UNITED STATES OF AMERICA BARACK OBAMA THE MESSIAH , MESSIANIC ARROGANT BRAGGADOCIAC NON ACHIEVER SEPERATE AND APART FROM EARNING A LAW DEGREE WHICH THERE ARE MORE THAN THREE MILLION AMERICANS AS SUCH THEREIN NO MORE IMPORTANT TO BARACK OBAMA AGAIN ONLY BECAUSE OF THE RICH WEALTHY POWERFUL INFLUENTIAL MONEY MAKERS OF THE DEMOCRATIC PARTY LIE-BERALS MAINLY WHITE WHOM HAD GIVEN AND PROCURED TENS UPON TENS OF MILLIONS OF DOLLARS SO THAT HE BARACK OBAMA WAS ABLE TO PURCHASE THE OFFICE OF THE PRESIDENCY OF THE UNITED STATES OF AMERICA THROUGH THE AVENUES OF THE MONEYTARY AMOUNT COMPARING TO JOHN MCCAIN . THE CORRECT AND TRUE STATEMENTS ARE IN THE PUBLIC DOMAIN WALL STREET ALONE WITH THE MONEY CLASS OF GOLDMAN SACHS OTHERWISE CALLED GOLDMINE SACHS J.P MORGAN CHASE MORGAN STANLEY , CITIGROUP, THE CITADEL INVESTMENTS HEDGE FUND AND DO NOT FORGET THE CONVICTED CRIMINAL FOR INSIDER TRADINGS WITH THE FINANCIAL INSTITUTION OF SOCIETE GENERALE IN THE DOMAIN OF FRANCE YET STILL HE IS ABLE TO OPERATE AND INVEST FREELY AND OPENLY IN THE UNITED STATES OF AMERICA RESULTING WITH HE MAKING HUGE PROFITS IN THE SUM OF BILLIONS OF DOLLARS YEARLY A SIGNIFICANT AMOUNT OF WHICH HE THE SPENDS AND FUNDS THE ENTITIES OF THE ULTRA RADICAL LIE-BERAL LEFTWING OF THE DEMOCRATIC PARTY HIS NAME IS GEORGE SOROS ONE OF THE TOP FIVE HEDGE FUNDS MANAGER ON A YEARLY BASIS . THEN FINALLY BARACK OBAMA THE MESSIAH TO THE FOURTH ESTATE THE MAIN STREAM MEDIA OF THE CORRUPT FRAUDULENT SOCALLED THE PRESS AND OR JOURNALISM WITH THE NUMBER ONE COMPANY FIRM AND OR INSTITUTION GLOBALLY FOR TENS OF YEARS NAMELY THE GENERAL ELECTRIC CORPORATION FOR SHORT .G.E WITH IT?S MEDIA DIVISION AND THE NUMBER ONE NETWORK TELEVISION OF NBC UNIVERSAL .MEDIA DIVISION WITH MBC NETWORK AND THE MSNBC CABLE CHANNEL 23 IN NEW YORK CITY BEING SOLELY AN ARM AND PRIMARY MEDIA OUTLET FOR PROMOTING INDOCTRINAIRING AND DISEMINATING PROPOGANDA FALSEHOOD FRAUDULENT AND INCORRECT INFORMATION TO THE AMERICA PEOPLE HOW ELSE COULD JOHN MCCAIN AND OR ANYONE ELSE SURVIVE . IN FUTURE DRAFTS I WILL CONTINUE WITH THIS TRUTHFULL KNOWLEDGE I THANK YOU SINCERELY TREVOR MERCHANT WEDNESDAY JULY 08.2009 BRONX NEW YORK CITY

    36. Mike Rapkoch, Billin says:

      First, before people start kicking and screaming and calling me a heartless barbarian, please understand that I am deeply sympathetic to the plight of each and every person who has been driven into unemployment because of the economic mess. Anyone who has ever lost a job, regardless of the reason, feels the fear, uncertainty, and loss of income with its attendant anxieties about feeding the family, keeping the house, meeting obligations, etc. So please, if you must call me heartless for stating economic facts at least avoid the typical "he doesn't know how it feels" response. I do know how it feels and it feels awful.

      Nonetheless, and regardless of the cause of the present situation, economists know, if they have paid attention to macroeconomics, i.e. that branch of the subject that deals with real world facts rather than mathematical prognostications that are meaningless.

      Now to the direct point. Setting aside all questions of whether another trillion dollar stimulus package will do anything to boost the economy, the fact is that absent ruinous tax increases for everyone (anyone who swallows the leftists tripe that a trillion dollars can be paid by taxing only the rich, ((whoever they may be?????)) does not understand simple addition and subtraction. Therefore, since we can't tax our way out, and since our creditors (many of whom, e.g., China are also our mortal enemies) are already nervous about our ability to pay, the only "solution" is to fire up the printing press.

      The result? Inflation. Inflation at minimum as high as in the Carter years (30-40%) and likely much higher. There is only one ill that will inexorably destroy an economy and that is inflation. Inflation needs to be properly understood. Inflation does not mean higher prices, although that is one of the consequences. Inflation means the devaluing of the currency to the point where it becomes valueless. This is not mere academic theorizing. Spend just 10 minutes on Wikipedia reading about the inflation in Weimar Germany just before WWII. Consider the political effects of inflation–you'll see the face of Adolf Hitler. Shoot, just look at the mid-late 1970s in this Country where people were so unnerved by the loss of value of the dollar that they bought gold in enormous quantities driving the price of a troy ounce above $800.00.

      In Weimar Germany the problem was easily blamed, by the Nazis of course, on the Jews who, Hitler claimed, were responsible for the Treaty of Versailles. He also pointed the finger at Germany's enemies from WWI. His solution, fed by the dread and poverty of the citizens, was conquest and the extermination camps.

      Roosevelt had his own approach. Knowing full well that his "New Deal" was more than a failure but a disaster he steered the Nation into a World War which, as has been well proven, was the true boost (through private industry selling airplanes, etc. to the government but at least offering genuine work). I guess from Roosevelt's perverse perspective the price, 500,000 American troops dead on foreign soil, was a trifle.

      All of which leads to the question–what will the fanatic and his buddies in Congress dream up this time? At the rate these geniuses (None Dare Call It Treason) are dismantling the nation's military the only solution may be unconditional surrender to a slave state–there are lots to choose from.

    37. Mike Rapkoch, Billin says:

      I have to comment on something Trevor said. I have a law degree which only serves to prove that anyone can get a law degree!

    38. j.r. charlotte nc says:

      well mr bama has really put us in a pickle, supporting all the bad guys while spending the tax money like we have a bottomless well full of money, but what can you expect, give one a inch and he will take a mile and the sad thing is that the american people are just sitting on thier thumbs watching him go round the world on our nickle

      jr

    39. Ronnie B Albuquerque says:

      Please remember Who lied to you.

      Who would not ask the tough questions.

      Who would not answer the easy questions.

      Who said this was our only choice.

      Who said this or that will fix everything.

      Who told us what investments we need for our furture.

      Try to remember those names so we can wish them well in their new careers in France or Russia etc .Where do we send thieves?

    40. Pingback: The Obama Economy is Failing « Conservative Thoughts and Profundity

    41. Roger S., MA. says:

      Ken, you're so far off the mark that I have a hard time deciding whether yours is just the typical liberal siliness, or you in fact intend to mislead the not so careful reader. However the case, you use the usual liberal tactic of first offering a red herring, and then setting up a straw man to "eat" said herring. To make it "slide", you offer a dollop of relish in the form of a stolen concept. Since today you must have been in a generous mood, you even offer an onion or two. (Veggies are supposed to be good for you, right?) Let me see if I can show you "the error of your ways"?!

      First, the red herring: "The best way to help an economy is to manage it properly all the way along." No kidding? But, how best to accomplish that? Ah, therein lies the debate!

      Next, the straw man: "The free market isn’t free to everyone folks. It has and continues to be manipulated by someone or…" No fooling? Of course it's not free: you are required to offer goods or services or payment. If you don't have any of those things, you're not "in the market", by definition. Of course it's "manipulated", properly in the sense that a market's participants TRADE their various offers among each other, which determines a price, cost, and standards-level which needs to be met or exceeded to insure further participation or the privilege of entry. But that, I suspect, is not what you meant, or is it?

      Enter the stolen concept: "free" is an adjective that may have several meanings, as in free from…, or free to…, but generally is thought to imply a lack of coercion. Combined with "market", as in "free market(s)", its useage constitutes the idea of a market free from coercive influences by entities operating from the outside, causing its participants to commit or omit actions which, uncoerced, would have been different. That could be an earthquake in Japan wiping out Toyota and leaving all those in the market dealing in new Toyota automobiles with some massive hurt. That could also be a new law forbidding import of foreign automobiles. You "package" these three very different kinds of "market participation" into one. To wit, natural disasters, government induced disasters, and normal market participation barriers are all the same thing to you! Put another way, if any given market (or all markets) could in any event deny you your (presumed) "rightful" participation, then you see no harm in getting your "Big Brother" to help you out a little; what's the difference?!

      So, that's your "pitch": Since no market is truely free anyway, then the gov. might as well control it, and if it does that right in the first place, we get a properly managed economy to begin with, but if it doesn't, well, then the government will just have to refine and or increase its controls. Did I miss anything?

      You omit what is by now common knowledge, that no market on earth has ever functioned well under such conditions. It didn't work for Hoover. It didn't work for FDR. Nor for LBJ, nor Jimmy Carter, nor Clinton. Every time it's been tried, it only got the economy deeper into trouble, often after a period of seeming improvement. It's like bending a paperclip back and forth. Eventually, it breaks. So, I repeat: No market on earth, ever!

      Oh, yeah, lest I forget the "onions":

      First, the argument from authority: (twice) 1.If even good ole "Gorbi", the former arch-Communist, can get a Ronald Reagan (the former arch-Capitalist) Freedom Award, all this Socialist liberal interventionist stuff can't be all that bad!

      2. Even Alan Greenspan (the arch-monetary policy-expert) said……

      Next, the argument from "guilt": "The pity is that the hatred heaped and nurtured here on one man and the push figures that this publication feeds its readership is not helping to bring us to do the one important task that is our destiny." Do you really think that this special pleading for the "poor guy in the WH, it's not really his fault, others were first in 'crime', so why do you hate him, it's uncharitable…" will sway anyone here to ignore that he used, every device available to him to ramrod his nomination (remember what he/they did to Hillary), every PR gimmick imaginable to hide his inexperience (remember his quick trips to Berlin and Irak), every and any platitude spoken or gestured to project the image of a "savior" who can solve everybody's problems ? To ignore that he asked for the job, mostly under false pretense?

      Last, not least, the argument from "patriotism": "We have ceased to be one nation,a republic, INDIVISABLE, pledging liberty and justice for all. In the scheme of things we appear to be working too hard at being divisive, …..on blaming a party and a man and/or woman, rather than the nature of the decision making process….". A noble sentiment. Some truth to it as well, but not as much as you would like us to believe: We were a republic, once. Beginning about a century ago, we began to lose our way, we started to become a big-time statist democracy, with "Big Brother" interfering ever more frequently in every aspect of life. Clinton and Obama are the (hopefully not temporary) end to this development, but it really started big-time under Wilson and Hoover, reaching its past highpoints under FDR and LBJ. If this was a horrible misdevelopment away from the original American idea, then a forced unity to maintain it will not solve the problem, but will become a part of the problem, interfering with the need to cut BB back to a non-toxic size.

      If you're so patriotic, then why come to this blog with a string of phoney arguments in support of a development that any bright 4th grader good at fractions would likely find unworkable. To my mind, the true patriot, though tempted, should n o t say, "my country, right or wrong", but would say, instead: "It's my country. It's in trouble. Let's go find the cause and fix it. The 'unity' will take care of itself, then."

      David Sayers, Ron from Derry NH, A. Terranova, I couldn't agree more. Any current or prospective politician should be put on notice now, that if, come next election, he cannot properly explain at the very least the meaning and intent of the original constitution and Bill of Rights, that he/she will not be (re)elected. During the campaign, all questions will need to address how his/her stand on any issue is justifiable in light of that original content and intent. This sort of "investigation" needs to be pursued right down to the level of city council or mayor, or maybe even dog-catcher. It's a sorry state that this seems to be about the only legal avenue we have left to stop this craziness.

      And, should that result in a number of unfilled seats, all the better. Too many cooks, you get spoiled broth.

      To be remembered: "That government governs best which governs least." Henry David Thoreau. Tells us today's issues aren't so new, that the debate is never fully settled.

    42. Henry` says:

      Get Obama Impeached for having a Fork tounge. Too many lies and half truths.

    43. Barb -mn says:

      That is a sermon the people of the world needs to hear.

      Thank you, Jeff.

      Put that together with what Trevor wrote and people can come to the understanding… if they choose.

    44. Dennis A. Social Cir says:

      I know that I can not borrow myself out of debt, I can not see where obama thinks that we can spend our way out of debt. I do not believe the dems and obama have any idea where they are going with the economy. If they have their way we will no long be the USA, but will be taken over by a foreign country because we can not pay our debts. PEOPLE THIS COUNTRY CAN NOT AFFORD THIS SPENDING, WE HAVE TO MAKE OUR CONGRESS KNOW THEY WORK FOR US. WE HAVE TO STAND UP ON OUR ON TWO FEET AND MAKE OUR ON DECISIONS ABOUT OUR LIVES, NOT LET SOME IDIOT IN WASHINGTON MAKE THE DECISIONS.

    45. Steve, Michigan says:

      Trevor: While I think I may agree with some of what you have to say, it would be helpful if you laid it out in a more organized fashion. Maybe it's just me, but I had a hard time following your argument.

    46. J. White, south Jers says:

      With reagrds to the insanity of the idea of a "stimulus" pacakge- forcing us further into debt IS a sign of insanity. As my psychiatrist uncle told me: Insanity can be defined as doing the same exact things over and over and over again with the same outcome, but hoping for a different outcome. A "second" stimulus? Puh-leeze!!

      NOWHERE in the world has this childish insanity ever been suiccessful, this latest move by the Empty Suit is yet another step in his destruction of our nation which appears to be his goal. Even the arrogant Europeans whose behinds we saved several times since 1914, are moving towards rational forms of government.

      Because he is the major financial supporter [your and my money that he has gotten by "questionable means" of this fraud of a president; perhaps we should send Soros, back to Hungary for trial, if he, indeed, was an alleged Nazi collaborator….that would remove one source of money that supports this insanity. Then ban union support of this?

      The decent non-socialistic people of this nation have to remove from our governing bodies anyone who supports the Empty Suit and in 2012- not re-elect it. Time to get with it, folks, these writings will not do it unless, we begin to act TOGETHER. That's the hard part…

      As an aside, in conjunction with von Hayek's book "On the road to serfdom", perhaps, that institution will be resurrected upon the class of professional poor, people who sit with their hands out expecting those of those making the effort to "be successful" to feed and keep them without some form of compensation???

      May God forbid that!

    47. HSR0601 says:

      In regard to the stimulus investment, my understanding is as follows:

      1. The current surging fuel cost is overwhelming the market rally.

      And the pending clean energy bill might serve as a second stimulus package world-wide boosting private investments.

      2. People are so worried about losing their job, coverage, denial of treatment, which seems to increase bank deposit latetly. That means stimulus funding mainly goes toward bank deposit for a rainy day increasing jobless rate. It proves again that a healthy society yields better productivity, prosperity.

      It is time to 'Change' the notion of the public health as a fundamental human right and install 'a safety system for all' like all of the other industrialized nations, I think.

      3. The stimulus funding begins to mobilize just 11%, meanwhile, the auto industry has moved to its restructuring with the massive job-related impact.

      4. The pandemic swine flu has been hurting the global economy seriously.

      Thank You !

    48. Minister Robert S. K says:

      Perhaps Mr. Obama and his colleagues are true Christians, trying to model our country after the early church, wherein all money and property was owned by all and distributed as needed (for my liberal friends, this is what is known as sarcasm).

      If we follow the path that this administration has us heading on, I can foresee economic collapse on an unprecidented level, leaving the door open for government take over and intrusion in all aspects of our lives.

      I can see a day in the not too distant future where it will be a crime to speak one's religious beliefs openly, own property not subsidized by the government, protest government actions, and many, many other things protected by our constitution.

      "Saint" Obama is leading this country on a path of destruction, all on the pretense of builing us back up.

      He needs to stop apologizing to the rest of the world for our God given liberties, stop belittling the greatness of our brothers and sisters fighting for freedom all over the world, and, instead of pulling our troops from areas where they are making a difference, pull the government from areas where it is causing destruction.

      The Almighty's will and soverence will prevail in all of this, I have no doubt; however I do not personally believe that His will for our great country is to blindly follow this man down a path of destruction.

      Mat Almighty God bless us and keep us safe from all enemies, foreign and domestic, and keep all our men and women in the armed forces safe from harm as they carry the message of liberty for all throughout our world.

    49. Byren Stowe SLC, Uta says:

      Could someone please explain to me why I seem to be the only one who thinks it is beyond absurd to talk about another stimulus when the second one isnt even close to being spent yet?? Much less accounted for!! (Love this new era of transparency)

      Where is the outrage? Why is there not a call for accountability reguarding the first $800 billion? This is madness, absoloute madness..

    50. Byren Stowe SLC, Uta says:

      A. Terranova,

      You are RIGHT! VOTE THEM OUT! VOTE THEM ALL OUT AND KEEP ON VOTING THEM OUT UNTIL THEY GET THE MESSAGE!!!!

      Lots of people talking about term limits for congress and the generic reply is that they will never impose that on themselves. Guess what people, WE have the right to impose term limits on them by voting them OUT!! Lets get rid of our political deadweight, vote against the incumbents!!!

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    52. Barb -mn says:

      Steve from Michigan, Trevor's comment was a bit difficult to follow, but the gist is there.

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    55. Thomas Kust, Mobile says:

      How is it possible to condemn Obama's policies without also criticizing the past 60-odd years of US government policy too?

      The stimulus package is huge, but it is only tinkering at the edge without addressing the all-encompassing structural flaws at the heart of the American economic problem. Personal debt levels are out of control and consumer spending cannot be sustained at current levels. Prices remain at unrealistic levels and the balance of manufacturing and services does not support the flexibility in labour markets in all areas at the same time.

      Americas position in the world is evolving – unless waging aggressive war on all America's major trading partners is considered realistic then the people must reconcile themselves to accepting the responsibility to understand the problems which keeps 4 out of every 5 people on an income of less than $1 per day.

    56. Pingback: Economy.Healthcare.Hate Crimes.Amnesty.CIA/FBI « GOODNESS WORLD LIFE BLOG

    57. JMARK OVERLAND PARK, says:

      I find it disheartening and a disgrace that the religious right want Obama to fail. That is not very Christian at all. Running a campaign consisting of distortions, lies, half-truths and innuendo is counter to the Bible's command against "bearing false witness." This is anathema to Christ's teachings. Perhaps this is one of the reasons the unchurched will never darken the door of a church.

    58. terrileigh says:

      where were the christian leaders when the bottom fell out from the bush administration?the idea seem to be lets do nothing to help the president save our country and its working out for you .im very sad for this country and i am ashamed as well.we call ourselves christians and talk of charity over the oceans but its very difficult to understand a president that finally cares for the people of this country,instead we are confronted with with anger,no answers . this country with no one to help straighten things out.im sorry for you all,im sorry for the christians that believe what the word says and those that interprete the way that suits them.for a long while i have followed pastor stanley and i found out things that hurt my spirit,we have a very kind and good president and twisted words dont feel good to hear about him.no he is not perfect but by God he doing his level best considering the opposition he faces.

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