Rick Wagner Column November 27, 2008
Obama’s big-government ideas aren’t right prescription for economy
I’ve been doing a lot of economic research lately and I’ve come to an important conclusion — I’m just too important for the government to let fail, and so are you.
That’s because about two-thirds of our economy is related to consumer spending, which means the next time your wife doesn’t think you need a big-screen TV, you should point out she’s being un-American and clearly wants President Obama to founder.
Sen. Obama is not yet president but a columnist for The New York Times thinks President Bush should turn the reins over to him sooner than Jan. 20 by convincing Vice President
Dick Cheney to resign, then Bush resign, allowing House Speaker Nancy Pelosi to assume the presidency under the tutelage of Sen. Obama (thus having the first female president be a Democrat, take that Palin) until inauguration.
We have been hearing more from the president-elect recently as he trots out more former Clinton staffers to fill his cabinet. This dramatic change involves hiring the same people Obama did not find particularly impressive during the primary.
To be fair, with his thinking, he has only two choices of folks with any experience (which leaves Sen. Obama out of the picture by the way) those being former Clinton appointees and former Carter appointees. Since many from Carter’s time are now in their early-100s, it left only one choice.
Frankly it’s disappointing that President Carter could not have been appointed Secretary of State. He has all the necessary qualifications: He doesn’t seem to believe in American exceptionalism, he likes to travel and has demonstrated a propensity to give in to every tin-pot dictator who waved a salad fork at him.
There is still hope for non-traditional choices as the president-elect names his economic team, which at first did not seem overly frightening, but as we have heard enough of his vague rhetorical flourishes to begin to figure out what he expects to do, tension has been mounting.
First off, it’s clear he hopes to realize the great liberal dream of no person in America receiving a paycheck that does not come from the federal government.
He wishes to begin this by creating an enormous number of make-work projects that will contribute nothing to the gross domestic product but will help government unions and create more taxpayer supported dependence.
Unions love Democrat administrations, especially now, as union featherbedding will be super-sized by Congress’s coming elimination of the secret ballot in votes for unionization.
Due to this labor-saving device, employees will no longer have to bother voting in secret.
Helpful union reps can come to their houses or meet them by their cars to get their signature.
It seems like a contradiction that liberals have been doing everything possible to prevent officials in political elections from being able to determine the identity, nationality or existence of voters, yet at the same time they want to strip prospective union voters of those protections.
So how will the economy be helped if soon-to-be President Obama creates 2.5 million government jobs building bridges to nowhere and changing street signs to bear his name?
It won’t, but it could hurt by artificially raising the money supply while not increasing the production of goods. Economists refer to this as inflation, liberals refer to this as government.
Big government spending projects have never worked, but they remain popular because they bring with them the prospect for increased state control over the means of production.
The most direct ways to stimulate the economy: Suspend the capital gains tax for two years to encourage reinvestment in production, lower the corporate income tax from the second-highest in the industrialized world to encourage corporations to remain in the country and establish a tax credit over the next three years for owner-occupied home purchases in the neighborhood of 3 percent of the purchase price.
Sorry, no big government work programs. We prefer to succeed.
Rick Wagner offers more thoughts on politics at his blog, The War on Wrong, which can be reached through the blogs entry at GJSentinel.com.