• The Heritage Network
    • Resize:
    • A
    • A
    • A
  • Donate
  • Morning Bell: The Audacity of Failure

    In April, while campaigning in Pennsylvania, Vice President Joe Biden promised the American people: “I’m here to tell you, some time in the next couple of months, we’re going to be creating between 250,000 jobs a month and 500,000 jobs a month. … We caught a lot of bad breaks on the way down. We’re going to catch a few good breaks because of good planning on the way up.” And for a while it looked like Biden was a genius. In May, the Labor Department reported that nonfarm payroll employment rose by 290,000 the previous month and in June they reported that the U.S. economy added another 431,000 jobs. President Barack Obama’s “good planning” was working! But then the next report showed the U.S. economy lost 125,000 jobs in June and then the August report found another 131,000 jobs were lost in July. Today the Labor Department released the September jobs report, showing nonfarm payrolls decreased again by 54,000 and that the nation’s unemployment rate rose to 9.6%.

    By every objective measure, President Barack Obama’s economic stimulus package has been a complete failure. When President Obama was selling his stimulus plan to the American people, he promised it would save or create 3.5 million jobs by the end of 2010. At the time, employment stood at about 134.3 million, according to the Labor Department’s most commonly used measure. That established an Obama jobs target for December 2010 at 137.8 million. According to the latest jobs report, total U.S. employment stood at 130.3 million in August, which means the cumulative Obama jobs deficit stands at 7.5 million.

    Despite the mounting evidence of failure, the Obama administration is still completely unapologetic. Defending her tenure as chair of the President’s Council of Economic Advisers, Christina Romer told journalists at the National Press Club Wednesday: “The current recession has been fundamentally different from other postwar recessions. … Precisely because such severe financial shocks have been rare, there were no reliable estimates of the likely impact. To this day, economists don’t fully understand why firms cut production as much as they did, and why they cut labor so much more than they normally would, given the decline in output.” But after first admitting that the experts don’t understand the current crisis, she then confidently asserts:

    It is clear that the Recovery Act has played a large role in the turnaround in GDP and employment. In a report that Jared Bernstein and I issued during the transition, we estimated that by the end of 2010, a stimulus package like the Recovery Act would raise real GDP by about 3½ percent and employment by about 3½ million jobs, relative to what otherwise would have occurred…. The nonpartisan Congressional Budget Office, CEA’s own estimates, and estimates from a range of respected private sector analysts suggest that the Act has already raised employment by approximately two to three million jobs relative to what it otherwise would have been.

    Got that? Romer first admits that her magic Keynesian formulas were completely useless in predicting how bad the recession would be, and then she turns right around and uses those exact same formulas to justify the success of the stimulus. If that bootstrapping weren’t audacious enough, Romer then went on to claim that “the United States still faces a substantial shortfall of aggregate demand” and that “structural changes in the composition of our output or a mismatch between worker skills and jobs” having nothing to do with continued high unemployment. So instead of changing course, Romer wants us to double down with a second round of economic stimulus.

    How much more stimulus does the Obama administration want to spend? Romer wouldn’t say, and the White House is desperate to avoid calling any new action “stimulus,” but The Atlantic’s Megan McArdle has crunched the numbers and come up with a ballpark size of how big the original economic stimulus package would have to have been if we take the left’s Keynesian economics as gospel: “Full employment is perhaps 4.5-5%. If we assume that stimulus benefits increase linearly, that means we would have needed a stimulus of, on the low end, $2.5 trillion. On the high end, it would have been in the $4-5 trillion range.”

    Even the Obama administration doesn’t want to add another $5 trillion to our $13.5 trillion national debt. That is why the Obama administration is pushing a $921 billion tax hike set to take effect on January 1, 2011. There is only one word for proposing $981 billion in taxes to pay for trillions in failed stimulus spending in the midst of 9.6% unemployment: audacity.

    Quick Hits:

    Posted in Ongoing Priorities [slideshow_deploy]

    72 Responses to Morning Bell: The Audacity of Failure

    1. Ron Derry NH says:

      The problem in America is apparently our college programs are designed around proving and mimicking agenda's not discovering truths about reality.

      The Keynes based ideology is designed around fleecing worth so that the upper crust can control their share while depleting societal worth in an endless charade of inflation and deflation so value can never be understood by even those managing the game. We have reached the point where financial policies have out run the game at hand. It is no wonder that no one in the administration understands what they have done .

      Monetary worth leveraged against imaginary theories will always trigger a reality check. We are at that reality check where government spending, fed policies and currency printing has diminished the ability of the economic environment to find true worth…..the thing that floats the intire economy is what companies are willing to risk to gain profitable production in relationship to what people THINK they need to survive.

      Once that connection is severed the hopeless game of falsifying worth starts to slow the collapse. We have extended the collapse, deepened the fall and used up valuable resources wasting money bribing voters into a false security…..when all the stimulus cushions are used up we will still need to re-establish true worth…or be enslaved by social mandates with an ever increasing totalitarianism to preserve the defrauding.

      The ever decreasing confidence in the frauds in Washington is proving that a reality check, a collapse to the base survival needs is on its way. No one in Washington can get their heads around the word VALUE. When government is so obscenely out of touch with reality , then all their phony equations are nullified by the peoples reality when the masses can no longer see the value of the government costs.

      One course of action is for the government is to SEE their mistakes and cut back the other is to enforce their desires with more tyranny and more forced payments to their causes…..you can guess with out doubt the Obama administration and the Dem/progressives such as Pelosi and Reid will choose to enslave before they admit how ignorant they are being.

    2. Adele GS - Indiana says:

      Thank you for straight forward, honest, journalism.

    3. Carol, AZ says:

      Thank you for the excellent fact base article.

      I just the POTUS speak on the National News and one quote that stick with me:

      "We are global leader for markets."

      He neglected to add, for imports.

      Nothings has changed

      .We are supporting 3rd world counrties around the world importing all their junk.

      Small Buss. will be hit once again for increase taxes, farmers, and 34, million American out of work? Another stimulus package and the politcized term once again.

      "Our economy has takened another down turn. "

      VOTE IN NOVEMBER AMERICA!

    4. Drew Page, IL says:

      It is not surprising to find that Christina Romer learned her economics in the the State of California, where the ability to pay for governmental policies was never considered important in the implementation of those policies.

      If an $800 billion Stimulous bill didn't generate any new permanent jobs (except perhaps in the federal government) then the correct logic of course would be to spend another $800 billion to hire even more government workers. If China will play ball and keep buying up our debt, pretty soon everyone can work for the government and the unemployment goes away. Everyone could then join SEIU and demand and receive big salaries, free health insurance and huge pensions, with 6 months of vacation every year. China shouldn't mind paying for that should they?

    5. KB in PA says:

      Oh, I believe there is another word word for proposing $981 billion in taxes to pay for trillions in failed stimulus spending in the midst of 9.6% unemployment: CRIMINALITY. In fact, I'm not sure TREASON would not be another.

    6. Mary.... WI says:

      Audacity is a great word to describe the sentiments of the American people. I'm sure folks could come up with some other words to describe the tax increases coming next year.

      60 days until the elections. Allot of damage can be done before the expiration of the current term for incumbents. I'm praying they don't make foolish decisons that can only further harm what little is left of this country. But democrats are like the little bully down the street…….they WILL get even if they lose their seats before the end of the year….that you can bank on.

    7. Jeff McDonald, Santa says:

      I would say that Obama has committed many offenses from misuse of campaign funds (and violation of the rules for receiving such funds) to pure extortion (the $20 Billion from BP) violated bankruptcy law by giving Unsecured Bondholders (the UAW) 50% on the dollar and Secured Bondholders 20% and should be impeached. However the prospect of Joe Biden is just as bad economically (maybe Obama has him as VP to avoid impeachment!). So, this is just a note to remind everyone that impeachment of Obama should be a reality IF the voters elect conservatives this November 2. Election of conservatives will also get rid of some evils already passed and possibly the elimination of budgetary hogs such as the Dept. of Education and the EPA, who is making decisions based on Ideology. not fact. So, vote for your conservative candidate on November 2 and maybe we will have a chance to fill the hole Obama has dug, not deepen it as Obama is sure to do.

    8. Blair Franconia, NH says:

      Well, we can put Barack Obama and Joe Biden in the unemployment line in just 2 (two), years. As David Letterman recently said: "Barack Obama just got back from his

      sixth vacation. He'll have plenty of time to take vacations once his one term in office is over." Who are the presidents who served only one term in recent years? Lyndon Johnson, 1964-1969, Jimmy Carter, 1976-1981, and George H.W. Bush, 1989-1993.

    9. Lee Birkhead, Heber says:

      great and accurate artical with one exception. audacity is not very descriptive. arrogance won't work either. I prefer insanity or maybe stupidity. but I actually don't think they are nearly as stupid as they think we are, but then I guess the majority did excersize our lacking of brain power 18 months ago. are we waking up yet?

      thanks again and keep up the good work. lee

    10. Glynnda White, Orlan says:

      The article is informative but not a surprise. Anyone who has taken an economics class understands the inherent flaws of Keynesian theories…..it is amazing to me that Romer even admits the use of such theories even though they are obviously in play in the administration's economic policy…….very sad that we have put such obvious incompetents in charge of our nation

    11. Robert says:

      Newsflash, the government is not doing anything (worthwhile). And that makes them different from the average corporation, state, city, or school district how? Millions of people sitting in cubicles playing with keyboards, waiting for someone to do a better powerpoint slide show, and thinking that it will actually accomplish something, Corporations lose millions (some lose billions) of dollars and they continue to pay loser executives millions of dollars for losing. Recently, a baseball team hired a consultant to help with their bankruptcy. They said he was an expert in these situations – and that 5 out of 8 companies (where he worked) went BANKRUPT. And THAT is how we measure success today.

    12. Steve daSilva, Rocka says:

      The first "stimulus" didn't completely ruin us, so what would a communist hell bent on taking out the U.S.A. do? Try to get another "stimulus" through, and "HOPE" that will be the final nail in the coffin of our Democratic Republic. It's obvious to even the casual observer now. Boy i can't wait for the inflation, can you?

    13. KLIMAX Baltimore, Ma says:

      IMPEACH NObama before he destroys what is left of OUR Country !!! Do OUR Representatives in Washington really have a collage education ???!!! They sure act like they struggled to get out of high school !!!!

    14. Chris says:

      B-b-b-but, just imagine how muc WORSE it woudl have been if we did (strawman alert!) "nothing" like "some people" suggested….

      ….and if a solar flare melted all the ice on the planet….

      ….and if a moon-sized Extincion Level Event asteroid impacted the Earth….

      ….and if the Earth was flung out of its orbit into deep space….

      ….and….

      ….and…

      ….so since all that didn't happen, we've probably saved at least ONE job,until 2012, at least, sort of…

      So, isn't it just wonderful, peachy keen and all that? Yes?

      ****crickets***

    15. Lloyd Scallan (New O says:

      NO, it's not "audacity". It's deliberate lies and distortions. Everyone (including HF) had better understand what exactly was ment when the Obama political lackeys said "they will do or say anything to pass their agenda". If any Obama lackey would not tow the line and parrots exactly Obama deceptions, they would not be one of his lackeys. We had all better recognize these socialist and Marxist are not capable of speeking the truth. They must continue their farce

      in hopes of completing the destruction of America before the people rise up and stop them. Nothing Obama or his followers regurgitate is to be believed.

    16. James - Longdrycreek says:

      Obama and his "crack" economic team do not understand? Or want to understand?

      Stuck in a rut?

      Off to teach a new generation strategies that do not work in business or government?

      What a hoax!

    17. Hondo69, Austin, TX, says:

      Audacity of Arrogance pretty much sums it up and could very well be the title of the next Obama autobiography, which would bring the total to what, 4? I expect that to be published right after "There's One Born Every Minute".

    18. J Schultz says:

      The issue is one of needing to know the rules of the game… on taxes, carbon emissions, union card check, health care – companies are not going to make investments in people, plant and equipment until there is more consistency and less redistribution of wealth going on. This administration is totally out of touch with what is necessary to turn the economy around… I just hope in November the Republicans can do a better job.

    19. Scott Boise ID says:

      Governments don't create jobs – not "real" ones anyway. Republicans/democrats don't create jobs. Only the private sector creates economically meaningful jobs. Of course Biden's comments are a joke. But as long as we continue to believe that either party can "fix" our economy we're in trouble. Government cannot "fix" anything. Getting government out of the way, thereby allowing the economy to heal and repair itself is the key. An subtle distinction, but an important one.

    20. MICHIGAN says:

      I DONT UNDERSTAND WHY OUR GOVERNMENT IS NOT BEING PUNISHED FOR SPENDING ALL ARE MONEY., TRIPS FOR VACATIONS, GIVING FORIENERS MONEY THAT THEY SHOULDNT, PASSING LAWS THAT SHOULDNT BE PASSED. WHEN ARE PRESIDENT IS NOT DOING THE RIGHT THING, WHO I SAY WHO STEPS IN AN SAYS MR PRESIDENT I THINK YOUVE DONE ENOUGH DAMMAGE.

    21. Patricia Potts, Fair says:

      When Obama wrote his book… Audacity Of Hope,,, he made certain to snag that title before one of us could use it. And now, the book is selling under "Cheap Books" with free shipping.

    22. Richard Cancemi, Arl says:

      I am so sick and tired of hearing the b. s. that this administration shovels at us.

    23. Norm Klevens says:

      In the face of failure, the fearless leader blames Bush, the congress and the Republicans. Football polls at work, along with the upcoming season can bet which one of the three will be used in the next Air Force One speech. [he flies everyday including tomorrow to Detroit to confab with his union boss]. John Kennedy, Ronald Wilson Reagan and yes, even George Bush knew what works and in fact it did take the congress to pass the tax cuts that all three authored. The Gipper's cuts and reductions made Clinton's presidency; he just won't admit it. Bush's cuts took the bite out of the 9 1 1 attacks. Revenue to the treasury sky rocketed when Reagan's finally took effect. Romer must wear rose colored glasses. The formula she uses is not equal on both sides of the page, as was said here, when she asked her audience to take a double view of the same side of the coin. As a campaign trick we can look forward to the kinds of tax cuts, in the coming months that, not only come with strings, but are superficial [like the mufflers that Kent Conrad spoke about a few years ago] like a $3,000 tax break to do an employee hire. One would think that the Business Summit held at the white house a few months ago would bring forth some ideas, from the non union participants, that can be implemented today. Obama's target is those business owners who make 250K so I am not holding my breath for an action that will have a real positive affect. Personally I think the state of the economy is exactly what was planned by Obama. Its just that its having an adverse affect, from a democrat standpoint, during the mid term election season; a temporary inconvenience for this president. The proof; they are planning for a lame duck session to pass the remaining arrows into the economy.

    24. Gary jeffries, Holly says:

      At times, they are not even on the same page. They are Raised, and Educated, to be as "Near Perfect Liars", as possible. Nothing Oslama Hussein has done is working. And, the "Bush Slamming" should be over! This guy had been in office for almost 20 months, and done Nothing, EXCEPT BANKRUPT ALL OUR GRANDCHILDREN! We all know they are "Fudging" the numbers, but even with that, and the entire media on their side, we can't get the "Real Story" on anything, except what we see.

      Remember,,, thsi PRESIDENT spent more on a B.S. Stimulus, that cost more than a 7 year war, that he was totally against, and still did not give the proper praise, in a proper way.

      The guy is a Loser, and we MUST CHANGE CONGRESS & THE SENATE, IN NOVEMBER! Keep our CONSTITUTION IN ORDER, WITH A BALANCE OF POWERS!

    25. Gary jeffries, Holly says:

      The Audacity,,,,, Harly scratches the surface!

      This "Want A Be movie star should have done just that. At least in Hollywood, he could not cause all the damage he is creating. There, he could play any part he wanted. GET OUT OF POLITICS, MR. OBAMA. You accomplished what you set out for, to be the First, Black Man, to become President. Now, Please, just go away!

    26. Matt, Idaho says:

      audacity – I usually ascribe this word in a positive context. What you describe is not audacious but imbecile or conscious stupidity. If you are a poker player or futures trader you never, never double down on a lost position. That's how you destroy institutions like Barclays Bank or Orange County etc. It is time to throw off the kid gloves and start naming these people for what they really are: cretins.

    27. Chuck, Lorton, VA says:

      Since we're offering alternatives to the article's word "audacity" for what's going on, how about "stupid"? Or how about "insane," i.e., doing the same thing over and over again and expecting a different outcome.

    28. Tom Florida says:

      Audacity,for sure. Criminality positively. Planned destruction of the USA and deliberate attack on its people to denigrate the capitalist system and help force socialism and destruction of the free USA so the imposter in the white house can be the one world leader he is groomed to be; with the USA gone in a government of trilateral Mexico, US and Cananda, then of the Unites Nations and one world. Pray for the USA

    29. KC - New Mexico says:

      Again, real leadership in our current administration is lacking. Jobs have been added due to stimulus money if one counts the governmental jobs (or the jobs funded by the tax base). It is the private sector that keeps things running. The adiministration has crippled the private sector with the pending tax increases, health care, and added regulations.

      We need to get government out of the private sector, we need to reduce the size of government by a significant percent, we need to ensure those who are receiving benefits/entitlements from the government are returning this benefit with volunteer work around their communities, and we need to stop funding the illegals in this country since they do not pay taxes.

      We are headed in the wrong direction – both at the state level and federal level. I certainly hope the American voter will wake up and vote for those who will represent and really care about this country instead of themselves.

    30. JPR, San Jose, CA says:

      The CA Governing model, SPEND AND TAX now lives on in DC. The result in CA is Bankruptcy, the highest taxation, 12% unemployment and the worst State credit rating costing more millions. We need a turn around in CA and DC!

    31. Timpclimber Provo, U says:

      This economic report by the White House economic advisors is smoke and mirror reasoning at its worst. I would begin to trust them if they just said our predictions were wrong and we need to change our strategy. They have not and will not practice good old cowboy philosophy, when the horse is dead you don't just change saddles or when you're in a hole, stop digging. We must stop spending what we don't have and work on reducing entitlements.

    32. Ed, NJ says:

      So when I tell my boss (the Citizens of the USA in their case) that I don't know what I'm doing, I GET FIRED !!!! Especially if I deceived him in the first place in order to get the job.

      So, how do we get these bozo's fired without waiting another 2+ years?

    33. Butch Ackman, Austin says:

      She's right on one account, "this downturn is different". In the past we had a buffer of industries that could pick up the loss of those unable to compete in the world market. Friends, we are out of industries to lose. However, there are some who are waking up, such as Congressman Wolf of Virginia (R), who introduced in late July, legislation to "Reconstitute Reagan's Project Socrates". It worked miracles for us then by helping us regain military and commercial (microelectronics) superiority and resulted in two decades of high tech job creation plus the end of the cold war. It's real and we are on our way to doing it again. Stay tuned.

    34. Garry Holt El Paso, says:

      While I would like to place total blame of the unemployment level on BO, the major issue surrounding unemployment is the exodus of jobs from the US to A/P and eastern block countries in search of cheap labor. While corporate boards have pushed this exodus, it has really been driven by wall street and their continuing short term strategy mindset that has driven our manufacturing base to a shadow of it's former self. And if anyone out there believes this country can survive economically without a strong manufacturing base either has their head buried in the sand or is a government employee. Manufacturing is what made this country strong. And we have seen what the erosion of our manufacturing base is doing to our country. Our balance of trade is a great indicator which no one seems to be concerned about. It addition to cheap labor the other thing that looks attractive to coporations is getting away from the adversarial relationship that government has for business. For some reason, the liberals of this country think corporations are the bad guy so they should be taxied without limits and make it extremely costly to do business with all the requirements and regulations placed on corporations today. What they fail to realize is those corporations have fueled our economic growth by provided jobs, and essentially funded the US healthcare industry by providing insurance to employees. Guess what, no employees, who is going to support healthcare? Oh, I forgot. Our government is. And that is just one of the intangibles the libs overlook. As someone said during the campaign, "I never got a job from a poor person." Hopefully it is not too late to turn this nightmare around before we become another third world country.

    35. Chuck Mayo, Californ says:

      I'm not an economist but it doesn't take one to understand that the present administration has created a toxic environment for business which is why all their programs are failing!

    36. toledofan says:

      I think that we are seeing, first hand, the total meltdown of the Democratic Party and the destruction they are willing to impose just to retain power and influence. Another stimulus isn't only audious, it is proposterious and maybe could even be considered treasonist? But we all know the long term negative effects will be felt for many years and will create dire consequences not only our economy but on our freedoms as well. All of this in the guise of creating a socialism that we know doesn't work anywhere else. I know that if we froze spending and got serious about fixing all the entitlements that have gone south, we'd be in a better position. We can only hope we can derail the train in November, if we don't we may be in worse shape that Custer was at his last stand.

    37. Margaret Mueller, Ro says:

      Please note that Ms. Romer is returning to her post at UC Berkeley to teach our best and brightest young minds. If, she is oblivious to the cause of the down turn, "To this day, economists don’t fully understand why firms cut production as much as they did, and why they cut labor so much more than they normally would, given the decline in output," and continues to espouse the failed Keynesian economic theory —– what does that portend for the future?

      We're going to have generations of gradutates from UC Berkeley and other elitist institutions who are taught the Utopian models of Keynesian theory without the reality of its abject real-time failure. Only the sorry state of our system of higher education would welcome the return of Dr. Romer and her monumental record of failure, and allow her to continue practicing their profession.

    38. Randy Dutton says:

      Completely lost to economists is how new regulations and increased debt increase business risk, and inhibit business optimism and stifle job creation. The progressives will collapse this economy to suit their fantasy world.

    39. Doug Elmer, Nevada says:

      Biden is about as much a genius as Al Gore is a global warming expert.

    40. Bernard Mulvaney Fos says:

      Your commentary this morning prompted me to reread a portion of Niall Ferguson's ASCENT OF MONEY and Michael Lewis' THE BIG SHORT. The most appropriate quote is probably from Lewis on p. 229. Steve Eisman in referring to Greenspan's role in the subprime meltdown said: I FEEL SORRY FOR HIM BECAUSE HE IS A GUY WHO IS REALLY SMART AND BASICALLY WRONG ABOUT EVERYTHING. Roemer's backward look and solution reminded me about how badly 'informed' people missed what people like Eisman and Mike Burry with common sense could clearly see. The Leo Tolstoy comment from 1897 which opens Lewis' book is also on target: "The most difficult subjects can be explained to the most slow-witted man if he has not formed any idea of them already; but the simplest thing cannot be made clear to the most intelligent man if he is firmly persuaded that he knows already, without a shadow of doubt, what is laid before him"

    41. sue maxwell, Provo, says:

      I agree with Lloyd. He knows what he is doing and he is out to destroy our country and make us subserviant to the UN. Not only that, years ago I heard Herbert Philbrick speak; he was a double agent for the FBI in the American Communist Party. When he was in the highest cell they suddenly changed their policy of takeover from gradual socialism to a total overthrow. At that point he was asked to expose them.

      For some reason, I reread his book, I Led Three Lives, before the election. When I heard Obama speak, I know exactly what was going to happen- an overthrow. I have never seen a President ruin this country, and do it so quickly. I though Roosevelt was bad, but this man wastes no time. Two more years of him would be disastrous, considering that he just took a long list of our "human rights offences" to the UN. He has a world agenda, and is going to destroy us. He despises us. He is a crook, a liar, a thief, and a Marxist. It is so obvious, I don't know how people miss it.

      I get so many political emails that I am getting so I am weary of reading them. I would like to see him impeached and the rest thrown out.

    42. Bernard Rosenberg says:

      When will the American peoplewake up and realize that this man who was elected president is a con man. The legislators ( House Reps and Senators) dont give a darn what is good for Americans, only what is good for themselves.They have no shame, no moral rules that they follow no integrity. They would look lie to you any time they can.

      They have the gall to take money from the American people, and pass bills that they never read nor had any idea what they voted on.

      It is criminal.Yet not one American has the gall to challange this behavior in court.

      The longer Americans condone this behavior, theye longer it will be embedded in stone that that such behavior is LEGAL.

      THIS IS NOT A LAUGHING MATTER..

      Our Federal govermnment is not FOR the people,. It is AGAINST people.

    43. Alan says:

      What can we say?

      The professed experts with a collective decades of educational experience and a further collective hundreds of years of real world (I use this term loosely, it can be debated) still cannot understand the machine called the economy. We must face facts that our economy is not a tightly coupled collection of gears, rods and valves, but an amalgamation of ten of millions of Americans each acting individually with zero regard for John Maynard Keynes or Christina Romer's models, assertions or propositions. These people have demonstrated they cannot control such a machine and the best they can do is struggle to understand it based on past observations yet still have no idea how to predict outcomes on same.

      As with the meteorological profession, the best they can offer is a 50/50 guess.

      Despite the failed model of Soviet Union's 75 year disastrous dalliance with socialism, acknowledging the failure of the centrally planned model is stubbornly resisted. It is a purely theoretical model which is incapable to adaptation to the reality of a society of individuals. We can only accept that free market capitalism and its respect for the individual is going to restore the health of the republic far more effectively than the corrosive policies of statism we have labored under for too long.

    44. Eric Thomas says:

      You write:

      By every objective measure, President Barack Obama’s economic stimulus package has been a complete failure.

      And yet:

      - the respected economic analysis company IHS Global Insight estimates that the stimulus created 2.2 million jobs through June 2010

      - the respected economic analysis company Moody's Analytics estimates that the stimulus created 2.7 million jobs through June 2010

      - the non-partisan Congressional Budget Office estimates that the stimulus created between 1.4 million and 3.3 million through June 2010, with the midpoint estimate of 2.4 million

      - respected economists Mark Zandi and Alan Blinder estimate that the stimulus will create 2.7 million jobs through 2010

      And remember, it was "create OR SAVE," so your arithmetic using absolute levels of employment is very misleading. But you knew that, now didn't you?

      • Conn Carroll Conn Carroll says:

        Eric-
        All of the "respected" economic analysts you cite "estimate" the stimulus' impact using computer models. No real data is used. The results are 100% dependent on the biases and assumption made by the models programmers. They are 100% subjective. If Mark Zandi wants his computer model to show that the stimulus he staked his economic reputation on created 2.7 million jobs than that is exactly what his model will show. But it has absolutely nothing to do with objective reality.
        The only objective way to hold the stimulus accountable is to look at the actual job numbers. And by that metric the Obama stimulus has been a complete failure.

    45. Laurie Hawaii says:

      The tyranical mongrels don't even care if they get re-elected because they are stealing so much money with their "under the table" deals that the corruptocrats are all set for life with trillions of our dollars. The crooks are in bed with George Soros and all the other foreign crooks so that they can take over the world. Let us understand sooner than the poor Germans did, the Chinese and the Russian people , BEFORE WE SUDDENLY FIND OURSELVES WITHOUT HOMES, FOOD AND IN 'CAMPS.' WAKE UP AND VOTE THEM OUT.

    46. Stan W. says:

      From his campaign on, BO has made it clear that's it's his way or no way. Nothing is ever his fault. We were given the wrong information? It was worse than we thought? We didn't have all the facts? It could have been a lot worse? GWB was his whipping post. Almost 2 years later, he's trying it again and finding out it's a lot harder sell now. You can micro analyze unemployment all you want. At 9.6%, it's on the way up again. Another .1 or .2 percentage jump and the mid terms will be a debacle. I'm waiting to see how it goes?

    47. Pingback: Put the millionaires’ tax money to good use – Washington Post « BIGJUNCTION.INFO

    48. Ted Stein says:

      I agree. Keynesian economics is inadequate to replenish the 8.6 million jobs lost through Trickle Down economics. Since 150,000 net new jobs per month are required to meet the minimal demands of new entrants to the workforce, can you imagine the unemployment rate if we cut spending and put the government drones, and those retirees still working, on the unemployment rolls.

      Further, the decline of unions means lower wages and higher profits. I'm not against profit. I'm not for redistribution of income. However, at some point, job creation incentives need to trump EPS. A great deal of that "trickle" ends up in yachts and homes in Belize.

      It is clear to me that everyone at the Heritage Foundation is a "real' American, but few if any are "real" economists.

    49. Michael L Morgan,D.S says:

      As apparent in most of the bureaucratic "We're …..here to help you(snicker, giggle)"

      programs, the "stimulus", had at once, several objects, including (but not limited to) scratching certain "friends", expanding the bureaucratic tentacles, camouflaging the takovers, stashing credits (aka "money") for later uses, and appearing to do something positive, but by such amorphous means, no-one could tell what actually was taking place…. Now, many may respond, "Oh that's crazy"(& I concur!) or "They wouldn't do that!"… but in point of fact, "that" is what "they" did, & are doing!! If they quack, fly, flock, nest, migrate, feed, & reproduce like ducks, does that mean they are salmon? Such is similar to the logic of deniers of reality! Glenn Beck's Restoring Honor gathering was right on point: blessings! M

    50. Denise, Utah says:

      I agree with Garry. Corporations DO NOT pay taxes. They just pass the taxes down to the consumer by increasing prices. The US has one of, if not the highest corporate taxes on the planet. The progressives ( I hate that word because they are not progressive at all. They are regressive. They will tax and spend until we are all sharing the poverty and they have established ultimate power and control for themselves) think that the answer to all problems is more and BIGGER government. It's no wonder that most democratic leaders in Washington have NEVER worked a private sector job. The majority of them are lawyers sucking the life blood out of the system. I say lets ALL go green this November and recycle congress. Vote conservative! No more Republican/Democrat bickering. Vote out the career politicians!

    51. Dexter60, San Franci says:

      Many excellent points and also those in the comments as well.

      Wrt economics, there was more sense in the heads of an untutored 18th century French peasants than with those self-proclaimed ‘leaders’ put in positions as our representatives and as protectors of our Constitution. That not only can be corrected, it will be corrected. Many of us started with nothing and can manage.

      The revolution began within days of Obama taking office; as a lame-duck president, in these last few months he has shown that further damages are a real part of the agenda.

      The administration has declared war on the American people; but with an inadequate army, selected from those who do not know the real America.

      Corrections must not be long delayed to satisfy this suicidal and perverted minority.

      The people will restore Justice. The Truth cannot be denied.

    52. craig says:

      The one industry that is going full bore is the Obama Lie mill which is indeed working overtime!

    53. George says:

      Thank you obama for having my insurance premium go from $600.00 per mo to $800.00.

    54. Pingback: Gateway Pundit

    55. Carol, AZ says:

      Floyd Brown(listmanager@floydreports,com)

      This is the audacity for hope in America hope.Check it out.

    56. paul, the villages,f says:

      Reread tom from fl. He is exactly right.What Obama is doing is exactly what he is hoping to happen.He wants to destriy America and become ruler of our country

      eventually control the world.fortunately for us there are other idiots that have the same ideas.But it is up to us to stop the first part of his plan.We have to start by voting in November to change congress.If we don't this adminsitration will have so much power there may not be a presendental election in 2012.Look what Bloomberg has done in NY. He covinced the council to have another term.

      According to NY law he was only allowed to two terms.Chavez in Argentina tried it .Don't think Obama would't try if hes thinks he can get away with it.

    57. Pingback: Must Know Headlines 9.4.2010 — ExposeTheMedia.com

    58. Pingback: Obama Labor Dept Shill Praises Hugo Chavez; Venezuelan Responds — ExposeTheMedia.com

    59. TRSR says:

      In my opinion this is the greatest country in the world.Our economy is hurting. We have several big problems the main one is the man at the top.He has to many question marks and we cant get an honest answer he wont even acknowledge the flag.Now how about well fair.People get well fair benefits but they have money for alcohol and smokes. If every tax payer in the country would send 10 or 20 dollars and have it go to the national debt how much would that stimulate the economy.I bet a stay at home Mother with 5 or six kids manages there budget while the husband works she could run this country better than the BOZOS that are trying to ruin it

    60. MN J says:

      And now Romer is returning to her CA Professorship having provided bogus #s to an administration comprised of people who have NEVER created a job in their lives.

      Romer has her PHD and job security for life. She'll collect a very fat pension and then proceed to "teach" her students all the false dribble she bought from the current POTUS and his other economic, professorial advisers.

      I did hear from a college professor friend of mine that Romer actually WAS a proponent of tax cuts to help in recessions, had published a paper on them and referenced it on her website. However, once she had the opportunity to become one of the "in crowd" of leftist Dems, the paper was nowhere to be found and no longer referenced on her website.

      If Heritage is interested, this might be a very good project to trace.

      Frankly, she ought to be fired and have to work for the rest of her career.

    61. James Marsh, Honolul says:

      Maybe Keynes said it best:

      “The ideas of economists and political philosophers, both when they are right and when they are wrong, are more powerful than is commonly understood. Indeed the world is ruled by little else. Practical men, who believe themselves to be quite exempt from any intellectual influence, are usually the slaves of some defunct economist.”

      The slaves of some defunct economist! Guess who that might be.

      jbm

    62. carolina A. says:

      Everybody knows the economic crisis is a legacy of George nobrain Bush

    63. Leon Lundquist, Dura says:

      I think Obama was one of those kids in the back of the class that never understood math. Some people know how to add, some people know how to multiply, the Demo-crats think you can get by with subtraction to create wealth. That's nuts! Growth looks falsely good when compared with anemic growth, so they say "we caused growth!" Nonsense!

      It makes me sick, these lies. Obama jobs are pathetic. They put up ten thousand dollar sign to claim credit for projects. "Shovel ready" means we claim credit for work that has been underway (and funded already) and the workers are part time, just enough to goose the statistics and keep the workers off unemployment. These sickening, lying signs are everywhere on the roads as if to say the stimulus is working when it is not. If you were in business and faced with true gangsterism in Government, you would not be hiring and investing in this nasty mess. The proof that criminals are in control of America are everywhere, that is the big Why. These crooks are getting away with it!

      Batton down the hatches! It is the Storm Of The Century (including genuine evil).

    64. Charlotte O'Har says:

      Ah, but remember the Democrats' philosophy of what constitutes "to big to fail" and obviously all their programs fall within that category. Therefore, what failure?

      Charlotte O'Hara

    65. Pingback: There’s no shame in admitting you were wrong | Objectivian.com

    66. bob jacksetich chica says:

      if the liberal main stream media would report the real numbers of all that is taking place.speading ,taxing,more freedom loss i think we would see an even bigger wave,of backlash from many more dems,,but still far too many of them only watch cnn or msnbc and still think that is reallity and fox is a hate machine,shame on the media for not reporting the truth.

    67. Pingback: President to unveil new economic plan this week – The Money Times « BIGJUNCTION.INFO

    68. Pingback: » Daily Dose – September 7, 2010

    69. James D Smith says:

      two things you can trust!!!!!!!!! with so much rederic from both political parties the tea party not established enough . I look at two things before i give my vote. First I look in my freezer then I look in my wallet I have a large freezer in the basement that usually is about half full, my wallet from one pay to the next usually has 20 to 50 dollars.In my 55 years from as a child to an adult this is the first time that the freezer has been unpluged the wallet is empty.So I ask everyone to check your freezer and wallet and if it is the same or better since Obama was elected then vote for him again if you must. But if your freezer and wallet are as most to everyone I have asked vote Obama out. One more thing to think about leaders, I can;t think of one leader worth a darn that wasted time and energy blaming the others for his failers.Coaches(Bill Parcells never blames the last coach or scouts for the team not winning, he fixes and wins)Ceo's of companies that blame the last boss are gone in a second.Leaders are suposed to lead not blame everything in the world on why they can"t lead!!!!!!!!!!!!!!!!!!

    70. Bobbie says:

      Conn Carrol, Bless your heart for opening the minds to analysis and the obvious corruption and cover.

    71. Pingback: Audacity Of Obama

    Comments are subject to approval and moderation. We remind everyone that The Heritage Foundation promotes a civil society where ideas and debate flourish. Please be respectful of each other and the subjects of any criticism. While we may not always agree on policy, we should all agree that being appropriately informed is everyone's intention visiting this site. Profanity, lewdness, personal attacks, and other forms of incivility will not be tolerated. Please keep your thoughts brief and avoid ALL CAPS. While we respect your first amendment rights, we are obligated to our readers to maintain these standards. Thanks for joining the conversation.

    Big Government Is NOT the Answer

    Your tax dollars are being spent on programs that we really don't need.

    I Agree I Disagree ×

    Get Heritage In Your Inbox — FREE!

    Heritage Foundation e-mails keep you updated on the ongoing policy battles in Washington and around the country.

    ×