In Credit Able
We now know what it takes to have the country focus on things that matter instead of lipstick and other cover ups. The only thing uncertain about this financial calamity was when it would blow up and become critical.
Who is at fault? Everybody! Ronald Reagen, George H.W. Bush, Bill Clinton, George W. Bush, the Republicans in congress, the Democrats in congress, the Supreme Court, etc., etc., etc. Also add former Secretary of the Treasury Robert Rubin, and especially former chairman of the Federal Reserve, Alan Greenspan. It's an equal opportunity mess. And don't forget the U.S. electorate who have been convinced to vote against their own self interest by the Republican elite and smear machine.
I start with Ronald Reagen but I could go back to Richard Nixon who in 1973 abrogated the 1944 Bretton-Woods agreement by floating the dollar instead of keeping it pegged at $35.00 per ounce of gold. I could go back to the establishment of Freddie Mac (1970) or Fannie Mae (1938) or as far back as 1913 when the Federal Reserve Bank was enacted into law. However, it was Ronald Reagen who started the conservative resolution in this country which has most directly led to this crisis.
With a simple (very simple) philosophy of lower taxes (Dick Cheney: "Ronald Reagen taught us that deficits don't matter"), reduced government (to a bare minimum), and a strong military, Ronald Reagen adopted the lassiez faire free market supply side economic philosophy of the Chicago School of Economics (Milton Friedman) and the strong militaristic foreign policy of the so called neocons (Irving Kristol, William Kristol, Norman Podhoretz, et al) which morphed into George W. Bush's doctrine of "preventive war", promoted unfettered run-away capitalism and the corporate state and done away with most of the social progress this country had made in the past 75 years.
As for William Jefferson Clinton, it was during his administration, with the help of Treasury Secretary Robert Rubin, that our free trade policy was implemented and in 1999 with the passage of the Gramm-Leach-Bliley Financial Services Modernization Act (yes the same Phil Gramm who was McCain's chief economic adviser until he called us a nation of whiners) that the provisions of the Glass-Steagall Act of 1933 were killed thus enabling federally insured commercial banks, and federally uninsured investment banks, securities businesses, and insurance companies to combine and consolidate. This abrogation of the prohibitions instituted by the New Deal under Franklin Delano Roosevelt (FDR) are a significant contributor to the current financial difficulties today.
It isn't just a coincidence that this financial crisis occurs under the "leadership" of George W. Bush. It happens this way because of all the presidents we have had he is probably the least competent and has surrounded himself with yes men, other incompetents, and neocon ideologues (how do you say Dick Cheney?) without the ability to reason things out for himself.
If this country isn't already bankrupt, it is darn close to it and perhaps the actions we must take now to save ourselves will finish us up. Look at our situation:
* Current debt of $9,600,000,000,000 (9.6 trillion dollars) and a request to increase the debt limit to $11,300,000,000,000 (11.3 trillion dollars).
* An operating deficit for the year of $480,000,000,000 (480 billion dollars, almost half a trillion dollars) not counting the expense of the rescue plan being requested. (Estimated cost: $700,000,000,000 - 700 billion dollars)
* An annual trade deficit of over $800,000,000,000 (800 Billion dollars).
* A continually weakening dollar that will increase our trade deficit (in actual dollars as foreign imports will cost more) and increase the interest rate on the debt. Eventually interest rates to service the increased national debt will substantially increase from $430,000,000,000 (430 Billion Dollars) in FY 2007.
* A military depleted of manpower and materiels which needs to be refurbished. (Estimated cost by General Barry McCaffery: Above $50 Billion)
* A crumbling US infrastructure. (Estimated cost to rebuild by the American Society of Engineers: $1.6 Trillion over 5 years)
* Two ongoing wars (Afghanistan and Iraq) with annual costs estimated at $140 Billion.
* Increased cost for lifetime medical care of injured Afghanistan and Iraqi war veterans. (Estimated to be about $1 Trillion (in 2007 dollars) over the next 50 years)
* Gas prices that averaged $1.47/gal. for regular gas on 1/22/01 (2 days after George Bush took office) have increased to $3.86/gal. on 9/15/08 (with a high of $4.05/gal. on 7/14/08). That is a 163% increase in just over 7½ years.
* Annualized CPI increased in July by 5.6%,the sharpest increase since 1991.
* Unemployment rate has risen to 6.1%, the largest in 14 years.
* About 600,000 jobs have been lost since the beginning of January 2008.
* Housing starts were the lowest this August for the past 17 years.
The above list is by no means complete, but it is enough to make my point.
No matter who wins the presidency, there will be no money for universal health care, improvement of education, any increase in veteran's benefits (a proposed G.I. Bill?), a meaningful investment in clean renewable energy, and a host of other programs. In addition, John McCain wants to cut taxes giving the richest people of the nation, many of whom have benefited most from our deregulated corporate state, another massive decrease in their taxes while the nation goes broke.
I support Barack Obam for president, not because I believe he has the answers to our problems, but because I believe he has a significantly better chance of dealing with our problems than does John McCain. Obama has shown that he possesses the necessary temperament and intellect to be president. He is thoughtful and able to carry the myriad of details of complex situations in his mind, examining all of the facets of a problem and the possible consequences before making a decision. He has the patience to hear multiple points of view and to listen to the opinions of those who disagree with him. These are the traits that are missing in our current president and unfortunately also missing in John McCain.
Vote Obama and urge others to do the same. The consequences of not electing Obama could be disastrous for all of us and our children, our grandchildren and beyond.
Who is at fault? Everybody! Ronald Reagen, George H.W. Bush, Bill Clinton, George W. Bush, the Republicans in congress, the Democrats in congress, the Supreme Court, etc., etc., etc. Also add former Secretary of the Treasury Robert Rubin, and especially former chairman of the Federal Reserve, Alan Greenspan. It's an equal opportunity mess. And don't forget the U.S. electorate who have been convinced to vote against their own self interest by the Republican elite and smear machine.
I start with Ronald Reagen but I could go back to Richard Nixon who in 1973 abrogated the 1944 Bretton-Woods agreement by floating the dollar instead of keeping it pegged at $35.00 per ounce of gold. I could go back to the establishment of Freddie Mac (1970) or Fannie Mae (1938) or as far back as 1913 when the Federal Reserve Bank was enacted into law. However, it was Ronald Reagen who started the conservative resolution in this country which has most directly led to this crisis.
With a simple (very simple) philosophy of lower taxes (Dick Cheney: "Ronald Reagen taught us that deficits don't matter"), reduced government (to a bare minimum), and a strong military, Ronald Reagen adopted the lassiez faire free market supply side economic philosophy of the Chicago School of Economics (Milton Friedman) and the strong militaristic foreign policy of the so called neocons (Irving Kristol, William Kristol, Norman Podhoretz, et al) which morphed into George W. Bush's doctrine of "preventive war", promoted unfettered run-away capitalism and the corporate state and done away with most of the social progress this country had made in the past 75 years.
As for William Jefferson Clinton, it was during his administration, with the help of Treasury Secretary Robert Rubin, that our free trade policy was implemented and in 1999 with the passage of the Gramm-Leach-Bliley Financial Services Modernization Act (yes the same Phil Gramm who was McCain's chief economic adviser until he called us a nation of whiners) that the provisions of the Glass-Steagall Act of 1933 were killed thus enabling federally insured commercial banks, and federally uninsured investment banks, securities businesses, and insurance companies to combine and consolidate. This abrogation of the prohibitions instituted by the New Deal under Franklin Delano Roosevelt (FDR) are a significant contributor to the current financial difficulties today.
It isn't just a coincidence that this financial crisis occurs under the "leadership" of George W. Bush. It happens this way because of all the presidents we have had he is probably the least competent and has surrounded himself with yes men, other incompetents, and neocon ideologues (how do you say Dick Cheney?) without the ability to reason things out for himself.
If this country isn't already bankrupt, it is darn close to it and perhaps the actions we must take now to save ourselves will finish us up. Look at our situation:
* Current debt of $9,600,000,000,000 (9.6 trillion dollars) and a request to increase the debt limit to $11,300,000,000,000 (11.3 trillion dollars).
* An operating deficit for the year of $480,000,000,000 (480 billion dollars, almost half a trillion dollars) not counting the expense of the rescue plan being requested. (Estimated cost: $700,000,000,000 - 700 billion dollars)
* An annual trade deficit of over $800,000,000,000 (800 Billion dollars).
* A continually weakening dollar that will increase our trade deficit (in actual dollars as foreign imports will cost more) and increase the interest rate on the debt. Eventually interest rates to service the increased national debt will substantially increase from $430,000,000,000 (430 Billion Dollars) in FY 2007.
* A military depleted of manpower and materiels which needs to be refurbished. (Estimated cost by General Barry McCaffery: Above $50 Billion)
* A crumbling US infrastructure. (Estimated cost to rebuild by the American Society of Engineers: $1.6 Trillion over 5 years)
* Two ongoing wars (Afghanistan and Iraq) with annual costs estimated at $140 Billion.
* Increased cost for lifetime medical care of injured Afghanistan and Iraqi war veterans. (Estimated to be about $1 Trillion (in 2007 dollars) over the next 50 years)
* Gas prices that averaged $1.47/gal. for regular gas on 1/22/01 (2 days after George Bush took office) have increased to $3.86/gal. on 9/15/08 (with a high of $4.05/gal. on 7/14/08). That is a 163% increase in just over 7½ years.
* Annualized CPI increased in July by 5.6%,the sharpest increase since 1991.
* Unemployment rate has risen to 6.1%, the largest in 14 years.
* About 600,000 jobs have been lost since the beginning of January 2008.
* Housing starts were the lowest this August for the past 17 years.
The above list is by no means complete, but it is enough to make my point.
No matter who wins the presidency, there will be no money for universal health care, improvement of education, any increase in veteran's benefits (a proposed G.I. Bill?), a meaningful investment in clean renewable energy, and a host of other programs. In addition, John McCain wants to cut taxes giving the richest people of the nation, many of whom have benefited most from our deregulated corporate state, another massive decrease in their taxes while the nation goes broke.
I support Barack Obam for president, not because I believe he has the answers to our problems, but because I believe he has a significantly better chance of dealing with our problems than does John McCain. Obama has shown that he possesses the necessary temperament and intellect to be president. He is thoughtful and able to carry the myriad of details of complex situations in his mind, examining all of the facets of a problem and the possible consequences before making a decision. He has the patience to hear multiple points of view and to listen to the opinions of those who disagree with him. These are the traits that are missing in our current president and unfortunately also missing in John McCain.
Vote Obama and urge others to do the same. The consequences of not electing Obama could be disastrous for all of us and our children, our grandchildren and beyond.
posted by Michael | 10:42 PM
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