Dr. Rubin on the New New Deal.
Paul Rubin writes in this editorial that Obama may be worse for the economy than anything in our history.
In 1932, Democrat Franklin Delano Roosevelt was elected president as the nation was heading into a severe recession. The stock market had crashed in 1929, the world's economy was slowing down, and all economic indicators in the U.S. showed signs of trouble.
The new president's response was to restructure the economy with the New Deal -- an expansion of the role of government once unimaginable in America. We now know that FDR's policies likely prolonged the Great Depression because the economy never fully recovered in the 1930s, and actually got worse in the latter half of the decade. And we know that FDR got away with it (winning election four times) by blaming his predecessor, Herbert Hoover, for crashing the economy in the first place.
The economy operates on a simple premise. The more money in motion, the better the economy is doing. If Money goes to Washington, it doesn't circulate nearly as quickly as the dollars which remain in the economy.
Yes, there are Projects which have some good benefits to mankind, and the nation. The science of NASA is one of my personal favorites. I am constantly debating a friend about that. He considers that money wasted. He believes that the money would be better spent helping people.
My response is usually along the lines of. "We've spent six trillion, that is thousand thousand million dollars on the war on Poverty, and we've got just as many people in Poverty as we used to. We have spent how many billions of dollars, and our kids are dumber now than ever before. We've spent tons of money on juvenile programs, and the kids are more dangerous, and out of control, than ever before. What more can we do throwing money at the problem. The first thing we need to do is admit the current problem is worse because of our trying to fix it, and then figure out what WILL work. Until then, I won't ever support more money to "help people."
As I've said many times in the past. I support job training programs, and I support programs to give people a chance to earn a living. I've said before, social programs are intended to be a safety net, not a hammock. To catch you before you starve to death homeless and destitute. Not to become something you reside in.
Compassion is another Liberal Lie that I've got to find time to address soon. Compassion is not more programs that stagnate the person in the program. Compassion is helping the person so they don't need those programs ever again.
So what does Obama promise us? A huge socialist state where he promises to spread the wealth, but really will be spreading the misery.
If Obama makes many more promises like this, I may be able to vote for McCain after all.