Filed under: Capitalism, Domestic Policy, Election 2012, Energy, Health Care, Taxes | Tags: How an Economy Works, How Business Works, Jobless Recovery
Barack Obama has the worst jobs record of any president in modern times. In spite of 40 months of ‘economic recovery’ the number of payroll jobs today is just 0.1% above where it stood when Obama took office. In the 44 months Obama has been in office, the unemployment rate has been below 8% in only two months, and was at or above 9% for 29 months.
President Obama wants four more years because — he says, things are getting better, and this is no time to turn back. He offers October’s 171,000 new jobs as proof of progress, Some progress. On Election Day, the “Obama jobs gap” will be 4,470,000 — the number of people who continue to be unemployed because of the failure of the economy to catch up to where it stood when President Obama took office in January 2009. The overall employment situation isn’t improving significantly at all.
Obama has encouraged a growing dependency culture. The rise in dependency has shown up in government reports finding an explosion in the number of people in poverty, relying on food stamps, and workers signing up for long-term federal disability benefits. Real median weekly earnings have dropped 5% since Obama took office.
No president in modern times has asked voters to grant him four more years based on such a dismal record. But why has he seemed to do all the wrong things?
When Obama recently appeared on “the tonight Show” with Jay Leno, he was speaking about Wall Street and said: “Look, these financial institutions are in to make money and that’s why we need some smart regulations.” He speaks as if there is something bad about profit and it absolutely has to be reigned in, no questions asked.” When bank reform was being debated in January 2010, he talked disgustedly of “soaring profits” made by lending institutions whose business practices didn’t meet his standard. In February 2011, he said “Greater profits have to be shared by American workers.”
Earlier this year, six House Democrats, Reps. Kucinich, (D-OH), Conyers, (D-MI), Filner (D-CA), Fudge (D-OH), Langevin (D-RI), Woolsey (D-CA) — proposed a “Reasonable Profits Board” that would levy a 50% to 100% tax on oil company earnings that exceeded a “reasonable profit” limit. Harry Reid has said that the “profit motive” of insurers has “almost destroyed our economy.” It appears, as Conservative often claim, that Democrats simply do not understand where money comes from.
Well, we know that Obama had no private sector experience, except for a few months at a very low scale job writing newsletters, which he hated. But how could his knowledge of how a business works get so warped?
President Barack Obama has now broken the federal requirement to assess the impact of regulation on small businesses three times. Senator James Inhofe (R-OK) cites the Regulatory Flexibility Act that requires federal agencies to assess the impact of their regulations on small business. Obama has failed to comply with the April and October deadlines, because the regulatory barrage he plans to unleash in a second term will destroy hundreds of thousands of jobs and dramatically raise the cost of energy. The National Economic Research Associates report projects a loss of 887,000 jobs annually through 2034.
The Bureau of Labor Statistics reported last Tuesday that employers issued 1.316 “mass layoff actions” a (each affecting 50 workers or more) in September. These tally more than 122,000 workers representing ObamaCare mandates, federally mandated coal operation closures, failures to issue permits, medical device taxes. The administration has tried to silence health insurers who dare to inform their customers about how ObamaCare is driving up premiums.
Forthcoming military cuts will take a major toll on defense contractors. By law, the contractors are required to inform workers in advance about the so-called sequestration cuts to the military’s budget, scheduled to kick in January 1. Obama has ordered the contractors to ignore the legal requirements, and promised to cover (with taxpayer dollars) the fines that will be levied. Just put it all off till after the election.
That’s why there are no jobs. Obama doesn’t understand profit, nor the fact that if there is no profit, there is no business, no jobs, and no taxes to pay for Mr. Obama’s bright ideas. The regulations, put in place to make business more caring, more distributive of resources — I really cannot understand the mindset or the very odd conception of how the world works.
Things are not getting better, and it really doesn’t look as if Obama has any ideas for making things better.