“Obamanomics”: The Rich Get Richer. Middle and Lower Class Suffer.

ObamaTransparentBranco852014We can’t have special interests sitting shotgun. We gotta have middle class families up in front. We don’t mind the Republicans joining us. They can come for the ride, but they gotta sit in back.- Barack Hussein Obama

When Barack Hussein Obama first ran for the Presidency of the United States in 2008, he claimed that his economic policies would “foster economic growth from the bottom up and not just from the top down.” Obama promised to put in place “an immediate rescue plan for the middle class” and would end the “tired, worn-out, trickle-down ideologies we’ve been seeing for so many years.”

Obama got everything that he wanted in his first two years in the White House, when Democrats had solid control of Congress — a massive stimulus, auto industry bailouts, temporary middle class tax cuts, vast new regulations on businesses and ObamaCare.

But,  all of his brilliant Socialist Economic  Policies produced the exact opposite of what he’d promised.

So, he pounded his them of “Class Warfare” even harder.

So much so that, during his Re-election Campaign in 2012, President Barack Hussein Obama said,

This country doesn’t just succeed when just a few are doing well at the top. It succeeds when the middle class gets bigger. Our economy doesn’t grow from the top down — it grows from the middle out. We don’t believe that anybody is entitled to success in this country,” said Obama. “But we do believe in opportunity. We believe in a country where hard work pays off and responsibility is rewarded, and everybody is getting a fair shot and everybody is doing their fair share and everybody is playing by the same rules.

On July 24, 2013, Newly-Re-elected President Obama began a series of Stump Speeches titled, “Growing the Economy From the Middle Class Out”.  Here’s an excerpt of the first speech:

…With an endless parade of distractions, political posturing and phony scandals, Washington has taken its eye off the ball. And I am here to say this needs to stop. Short-term thinking and stale debates are not what this moment requires. Our focus must be on the basic economic issues that the matter most to you – the people we represent. And as Washington prepares to enter another budget debate, the stakes for our middle class could not be higher. The countries that are passive in the face of a global economy will lose the competition for good jobs and high living standards. That’s why America has to make the investments necessary to promote long-term growth and shared prosperity. Rebuilding our manufacturing base. Educating our workforce. Upgrading our transportation and information networks. That’s what we need to be talking about. That’s what Washington needs to be focused on.

And that’s why, over the next several weeks, in towns across this country, I will engage the American people in this debate. I will lay out my ideas for how we build on the cornerstones of what it means to be middle class in America, and what it takes to work your way into the middle class in America. Job security, with good wages and durable industries. A good education. A home to call your own. Affordable health care when you get sick. A secure retirement even if you’re not rich. Reducing poverty and inequality. Growing prosperity and opportunity.

So, who is it that is keeping America’s Middle Class from prospering?

I’ll give you a clue: His initials are B.H.O.

The Washington Times reports that

Under President Obama, the richest 10 percent were the only income group of Americans to see their median incomes rise, according to a survey released this week by the Federal Reserve.

The Fed data covered the years 2010-2013, during which period Mr. Obama constantly campaigned against income inequality and won re-election by painting his Republican rival as a tool of Wall Street plutocrats.

“Data from the 2013 [Survey of Consumer Finances] confirm that the shares of income and wealth held by affluent families are at modern historically high levels,” the report said in noting that the median income fell for every 10-percent grouping except the most affluent 10 percent. 

“The 2013 SCF reveals substantial disparities in the evolution of income and net worth since the previous time the survey was conducted, in 2010,” the report stated. The SCF is conducted by the Federal reserve triennially and compiles information about family incomes, credit use, net worth and finances.

The 2010-2013 SCF found that even though real gross domestic product grew by 2.1 percent and civilian unemployment fell from 9.9 percent to 7.5 percent, only families at “the very top of the income distribution saw widespread income gains,” though mean median income levels still lagged behind 2007 numbers.

The report comes just a week after AFL-CIO President Richard Trumka said the union group would not endorse any more Democrats that are following President Obama’s economic policy.

“We will call in and question all of the candidates,” he said. “One of our biggest concerns is who is the candidate’s economic team, because if the present economic team doesn’t change, you are going get the same results.”

The survey also found that family in the middle income bracket (40th to 90th percentiles) saw “very little” change in average real incomes and still have not recovered losses from 2010 and 2007. Families at the bottom of the income distribution continued to see “substantial declines” in average real incomes, a continuing trend from the previous two surveys.

The top percentile of Americans also increased their wealth share since 2010, corresponding to a loss in wealth for the bottom 90 percent of Americans, according to the Fed data.

“The wealth share of the top 3 percent climbed from 44.8 percent in 1989 to 51.8 percent in 2007 and 54.4 percent in 2013. … The share of wealth held by the bottom 90 percent fell from 33.2 percent in 1989 to24.7 percent in 2013,” the report stated.

The prosperous years during the Reagan Presidency marked a period of economic progress for Middle Class Americans. Middle Class Income increased 11 percent after adjustment for inflation, while nearly 20 million new jobs were created.

Those Liberal critics of the 1980s, who argue that the Middle Class shrank in number during those years, are half -right for the wrong reasons. The proportion of Middle Class Americans did indeed decline, but this reflected an upward movement of households into the high income category. Meanwhile, the proportion of Low Income Households declined, as more became middle class. The income growth during the Reagan Presidency increased the size of the pocketbooks of Americans at all income levels.

During Obama’s time in office, America’s major corporations have been hit with punitive measures, including high corporate tax rates and Obamacare, which has caused them to “down-size” their employee rolls and to relocate their call centers to companies like India, which has effected the rest of our economy.

Trickle-Down Economics was simply common sense. Capitalism is the engine that drives America’s economy.

When those who actually hire Americans are attacked by an Administration, naturally, those consequences are felt by those in lower economic strati (that’s you and me, boys and girls).

Obama’s “Trickle-Up” Economic Policy has been a miserable failure.

Because, as Lady Margaret Thatcher once said,

The problem with Socialism is that eventually you run out of other people’s money.

Until He comes,

KJ

Until He Comes,

KJ

 

Obama’s Economic Soliloquy: “Sound and Fury…Signifying Nothing”

Obama-Shrinks-2Yesterday, President Barack Hussein Obama spoke for one hour and six minutes at Knox College in Illinois. The speech was longer than all but one of his State of the Union Addresses.

The bad news? It was just the first in a series of speeches he’ll be giving under the title “A Better Bargain for the Middle Class”.

That’s right, boys and girls, our Petulant President is campaigning again, this time to distract and obfuscate.

A better title for this traveling lecture series would be “The Magical Mystery Tour”.

The Prevaricator-in-Chief has literally run out of ideas. So, he is recycling his “Growing the Economy From the Middle Class Out” bogus economic theory, praying that it distracts the nation from all of the scandals that are hanging over his head, like a piano in a Tom and Jerry Cartoon.

The problem he’s got is that he doesn’t sound like a U.S. President, who has a vision for our nation. Instead, he sounds like a visiting collegiate lecturer who has no lesson plan prepared.

You can tell by all the insipid double-talk he filled his soliloquy with . A straight talker, he ain’t.

Today, five years after the start of that Great Recession, America has fought its way back.

Together, we saved the auto industry, took on a broken health care system, and invested in new American technologies to reverse our addiction to foreign oil and double wind and solar power.

Together, we put in place tough new rules on big banks, and protections that cracked down on the worst practices of mortgage lenders and credit card companies. We changed a tax code too skewed in favor of the wealthiest at the expense of working families, locking in tax cuts for 98% of Americans, and asking those at the top to pay a little more.

Add it all up, and over the past 40 months, our businesses have created 7.2 million new jobs. This year, we are off to our strongest private-sector job growth since 1999. And because we bet on this country, foreign companies are, too. Right now, more of Honda’s cars are made in America than anywhere else. Airbus will build new planes in Alabama. Companies like Ford are replacing outsourcing with insourcing and bringing more jobs home. We sell more products made in America to the rest of the world than ever before. We now produce more natural gas than any country on Earth. We’re about to produce more of our own oil than we buy from abroad for the first time in nearly 20 years. The cost of health care is growing at its slowest rate in 50 years. And our deficits are falling at the fastest rate in 60 years.

Thanks to the grit and resilience of the American people, we’ve cleared away the rubble from the financial crisis and begun to lay a new foundation for stronger, more durable economic growth. In our personal lives, we tightened our belts, shed debt, and refocused on the things that really matter. As a country, we’ve recovered faster and gone further than most other advanced nations in the world. With new American revolutions in energy, technology, manufacturing, and health care, we are actually poised to reverse the forces that have battered the middle class for so long, and rebuild an economy where everyone who works hard can get ahead.

…A growing number of Republican Senators are trying to get things done, like an immigration bill that economists say will boost our economy by more than a trillion dollars. But a faction of Republicans in the House won’t even give that bill a vote, and gutted a farm bill that America’s farmers and most vulnerable children depend on.

If you ask some of these Republicans about their economic agenda, or how they’d strengthen the middle class, they’ll shift the topic to “out-of-control” government spending – despite the fact that we have cut the deficit by nearly half as a share of the economy since I took office. Or they’ll talk about government assistance for the poor, despite the fact that they’ve already cut early education for vulnerable kids and insurance for people who’ve lost their jobs through no fault of their own. Or they’ll bring up Obamacare, despite the fact that our businesses have created nearly twice as many jobs in this recovery as they had at the same point in the last recovery, when there was no Obamacare.

With an endless parade of distractions, political posturing and phony scandals, Washington has taken its eye off the ball. And I am here to say this needs to stop. Short-term thinking and stale debates are not what this moment requires. Our focus must be on the basic economic issues that the matter most to you – the people we represent. And as Washington prepares to enter another budget debate, the stakes for our middle class could not be higher. The countries that are passive in the face of a global economy will lose the competition for good jobs and high living standards. That’s why America has to make the investments necessary to promote long-term growth and shared prosperity. Rebuilding our manufacturing base. Educating our workforce. Upgrading our transportation and information networks. That’s what we need to be talking about. That’s what Washington needs to be focused on.

And that’s why, over the next several weeks, in towns across this country, I will engage the American people in this debate. I will lay out my ideas for how we build on the cornerstones of what it means to be middle class in America, and what it takes to work your way into the middle class in America. Job security, with good wages and durable industries. A good education. A home to call your own. Affordable health care when you get sick. A secure retirement even if you’re not rich. Reducing poverty and inequality. Growing prosperity and opportunity.

Some of these ideas I’ve talked about before, and some will be new. Some will require Congress, and some I will pursue on my own. Some will benefit folks right away; some will take years to fully implement. But the key is to break through the tendency in Washington to careen from crisis to crisis. What we need isn’t a three-month plan, or even a three-year plan, but a long-term American strategy, based on steady, persistent effort, to reverse the forces that have conspired against the middle class for decades.

Obama did his very best Lt. Frank Drebin impression in addressing his scandals,

Nothing to see here. Move along. Nothing to see here.

He begged the American public to ignore them.

Ambassador Chris Stevens, Tyrone Woods, Glen Doherty, and Sean Smith remain unavailable for comment.

And, Mr. President, a series of didactic lectures designed to distract from America’s growing dissatisfaction with your lousy performance as an American President, is not a ‘debate”.

Especially, when your staff hand-picks the audience.

Oh, about the Vichy Republicans who you say are working with you. You had better work quickly, because they won’t be around after November of 2014.

And, as far as acting on your own, you do so at your party’s peril. 

As far as we hard-working members of the middle class are concerned, we would appreciate it, if you stopped generating twice as many Food Stamp Recipients as your idiotic Economic Policies produce jobs.

That, as least, would show you are actually accomplishing something positive.

But, you won’t. Just as the scorpion explained to the frog, after stinging him in the middle of riding piggy-back across a lake, you can’t help destroying a once robust American Economy.

It’s just your nature.

Until He Comes,

KJ

Give Thanks With a Grateful Heart

When upon life’s billows you are tempest-tossed,

When you are discouraged, thinking all is lost,

Count your many blessings, name them one by one,

And, it will surprise you what the Lord hath done.

I cannot tell you how many times in 30 years of singing in choirs, that I have sung that wonderful old hymn.

As I’ve gotten…older, the truth of those wonderful words, has hit home, this year, more than ever.

Yes, I did my share of whining and crying after the Presidential Election, but, then, I realized, God is in control.

I am still His and He is mine.

I still have my wonderful Bride, my children, my grandson, my loving sister and her family, and all my friends, who are my extended family.

Plus, since June of this year,  I have a wonderful new job. I am blessed beyond measure.

I said to myself, self…this would be a wonderful time to, once again, give my testimony of how a 53 year old, working at a Government Internship to try to help ends meet, became a Vice-President of Marketing, literally overnight, through the Grace and Mercy of God.

As we all know… (originally posted 6/9/2012)

Obama’s feckless Economic Plan has done about as much good for our country as a screen door on a submarine.

I know.  I was one of those affected by it.

Beginning in January of 2009, I attempted to sell Health Insurance, first with AFLAC, then as an agent with an Independent Broker.

I gave it my best shot, battling against Obama’s war on the American Healthcare System.  However, as I soon found out, creditors don’t take promises as collateral.

Desperate to try to bring some money into the household, a good friend of mine told me about an opportunity for a technology internship, working with a quasi-governmental non-profit agency that came in from Canada to work with the schools after Hurricane Katrina.

At the age of 52, I became the world’s oldest intern.

I began with them in January of 2011, working at a local school for 30 hours a week and the local branch of the state Employment Office for the remaining 10 hours each week.

It was a good experience.  The Lord taught me humility, while allowing me to catch up with technology, such as Skype and interactive whiteboards.  I also had the opportunity to work with some great professionals, and some great young interns.

While at the Employment Office, I was able to observe folks down on their luck, struggling to find work and survive in this economy.

I also saw American families whose existance living on the Government Dole, had become generational.

It is these people whom Obama and the Democrats have hypnotized into believing that Uncle Sugar loves them, and is their only solution to surviving a stifling existence.

They are so, so wrong.

The strength and vitality of America does not come from the benevolence of a Nanny-state Federal Government.

As the greatest American President of our lifetime, Ronald Reagan said:

The nine words you never want to hear are:  I’m from the Government and I’m here to help.

Being enslaved to the Government Dole steals one’s ambition.  It takes away any impetus or desire to create a better life for yourself and your family, to challenge yourself to pick yourself up by your bootstraps and pursue the American Dream.  It makes you reliant on a politically-motivated spider’s web full of government bureaucrats who view you and your family as job security.

I watched American citizens trapped in this web of government bureaucracy,  so numbed of any initiative that they once had, that they seemed offended that they actually had to prove that they inquired about three jobs that week in order to keep their “benefits”.  Others seemed puzzled that they had to search through the state data base and pick out a job that they wanted to talk to an interviewer about receiving a referral to, and weren’t just simply handed a job when they walked through the door.

My last day as an intern was yesterday.  This Monday, I begin an new adventure.  Thanks to another very good friend, I was given the opportunity to interview for a position at a 100 person, 5-company corporation.

Last Saturday, my friend called me with the good news:  I got the job!

The title:  Vice-President of Marketing.

I’ll be doing some Internet Marketing, including Blogging and Tweeting, writing press releases and newsletters, attending Chamber of Commerce Meetings, and, of course, other duties as assigned.

It wasn’t Uncle Sugar/the Obama Administration that gave me this job.  

It was a God thing and I hope you understand.

Epilogue:  Now, don’t be mistaken, we are  still struggling paycheck-to-paycheck, to get out of the debts we accrued, during my period of unemployment and underemployment. 

But, with the help and encouragement of family and friends, and the Grace of God, I know we’ll male it.

What then shall we say to these things? If God is for us, who can be against us?

Romans 8:31 (ESV)

Happy Thanksgiving!

Until He comes,

KJ

A Greece Fire

If you have paid any attention to International News at all, you are aware that Greece is in the throes of an Economic Crisis, one which Economic Experts and Political Pundits say, may be headed to the United States of America.

Well, things have escalated in that ancient land.  Reuters.com has the details:

The Greek parliament approved a deeply unpopular austerity bill to secure a second EU/IMF bailout and avoid national bankruptcy, as buildings burned across central Athens and violence spread around the country.

Cinemas, cafes, shops and banks were set ablaze in central Athens as black-masked protesters fought riot police outside parliament.

State television reported the violence spread to the tourist islands of Corfu and Crete, the northern city of Thessaloniki and towns in central Greece. Shops were looted in the capital where police said 34 buildings were ablaze.

Prime Minister Lucas Papademos denounced the worst breakdown of order since 2008 when violence gripped Greece for weeks after police shot a 15-year-old schoolboy.

“Vandalism, violence and destruction have no place in a democratic country and won’t be tolerated,” he told parliament as it prepared to vote on the new 130 billion euro bailout to save Greece from a chaotic bankruptcy.

Papademos told lawmakers shortly before they voted that they would be gravely mistaken if they rejected the package that demands deep pay, pension and job cuts, as this would threaten Greece’s place in the European mainstream.

“It would be a huge historical injustice if the country from which European culture sprang … reached bankruptcy and was led, due to one more mistake, to national isolation and national despair,” he said.

The chaos outside parliament showed how tough it will be to implement the measures. A Reuters photographer saw buildings in Athens engulfed in flames and huge plumes of smoke rose in the night sky.

“We are facing destruction. Our country, our home, has become ripe for burning, the centre of Athens is in flames. We cannot allow populism to burn our country down,” conservative lawmaker Costis Hatzidakis told parliament.

The air in Syntagma Square outside parliament was thick with tear gas as riot police fought running battles with youths who smashed marble balustrades and hurled stones and petrol bombs.

Terrified Greeks and tourists fled the rock-strewn streets and the clouds of stinging gas, cramming into hotel lobbies for shelter.

How did one of the cradles of ancient civilization come to resemble the Watts riots?

Dave Backus, of New York University’s Stern Business School, shared his thoughts, e-mailed “on the fly”, with The Economist’s View:

* Debt and deficits. Greece in serious budget trouble, with government debt at 125% of GDP and rising. Confidence in Greece has fallen with repeated upward revisions in deficit estimates, which raise suspicions that the situation is worse than reported.

* Contagion? Greece itself is small, but there’s fear that if Greece defaults or leaves the Euro Zone (or perhaps some other dire event), there could be spillovers to other Euro Zone countries (Italy, Portugal, and Spain lead the list). One version of this is that it would undercut the credibility of the Euro Zone. Member countries have (generally) reduced their borrowing costs by eliminating currency risk, but if investors see membership as reversible, that could change quickly.

* Conditions for help. The policy challenge is to keep the problems in Greece from spreading without creating adverse incentives for other countries. A bailout, for example, might make other countries less likely to resolve their own budget problems (mumble “moral hazard” around now). The traditional solution is some kind of “conditionality,” in which bridge loans are tied to concrete progress on the budget. IMF programs typically have this form, and the NYC bailout in the 1970s did, too. Such conditions solve the budget problem and make bailouts less attractive to other countries. When imposed by an outside agency (the IMF, for example), they may also provide political cover (“they made us do it”).

* Who? The challenge in the EU is that the rules explicitly forbid bailouts, so there’s no natural agency to execute a plan. That leaves us with ad hoc mechanisms (the finance ministers, for example). Or maybe the IMF.

* Euro Zone. It’s an inherently weak structure, since there’s no strong political entity at the top to enforce decisions on member countries.

* Who’s next? There are several other EU countries with budget problems. And in the US, many (most?) states have serious budget problems, California being the biggest one.

Per Money.MSN.com, our country could take a hit from the falling dominoes caused by a Greek default.

Exactly how far the damage would go depends on to which degree that bond markets would punish the bonds of Portugal, Ireland, Italy and Spain, which, along with Greece, make up the so-called PIIGS group. The exposure of U.S. banks to Greek debt alone is relatively small. But U.S. banks have $670 billion in total exposure to the PIIGS group.

Given the disastrous Domestic Economic Failure that is the Obama Administration, the fallout from a potential European Economic Disaster would be the icing on a very bitter cake.