Friday, July 02, 2010

“Reinvestment Acts" of Carter, Clinton & Obama

It's the history of the Democrats, and it keeps on repeating itself, and landing us in sh*t street:

Barack Obama, Propaganda, Jimmy Carter, Inflation, High Interest Rates “Reinvestment Act” and The “Misery Index.”
[...] If you look back in history to the Jimmy Carter Administration you will find that during Jimmy Carter’s Reinvestment Act, much the same as Barack Obama’s, we went into years of double digit inflation because the dollar was so devalued (The fed printed a hell of a lot of money to fund the Reinvestment Act). To combat high, runaway inflation the Federal Reserve kept raising interest rates. Now, much to Jimmy Carter’s credit there were 10.5 Million Jobs created under his presidency. However people could not afford to buy anything because the price of merchandise and interest were well beyond the average person. The end result was the economy did not grow thus we had “STAGFLATION.”

Here is an interesting page from the Wall Street Journal:

Note that during the George W. Bush years there was the lowest unemployment and the the lowest interest rates. One may argue that George W. Bush only created 3 Million jobs. But wait…. almost everyone was working. But as the economy began to collapse because of Bill Clinton’s expansion of the Community Reinvestment Act in 1997, the unemployment number skyrocketed in the last months of George W. Bush’s term. This was not George W. Bush’s fault at all.

Carter: Interest rate, 21%. Inflation, 13.5%. Unemployment, 7%. The so-called “Misery Index,” which Carter used to great effect in his 1976 campaign to win election.

Reagan’s last year: Interest rate, 9%. Inflation, 4.1%. Unemployment, 5.5%.

George W. Bush: Interest rate, 8% down to almost 0%. Inflation, 2.6%. Unemployment, 4.5%.

And it was Clinton's Community Reinvestment Act in 1997 that made all the bad loans, the sub-prime mortgages, that led to the meltdown. And once again, it looks like there is inflation in our future.

We are told that 10 million jobs were created during Jimmy Carter's presidency, but the benefits of that were negated by high inflation, which ran the economy into the ground, ending his presidency with a recession.

Obama has started his Presidency with a recession, and hasn't created any significant number of jobs. He has continually attacked the private sector, increased taxes, created uncertainty in the market place, and added enormously to our already overburdened national debt. When inflation comes, it will be worse than Carter's presidency, because we won't even have the jobs people had back then; it will be high unemployment AND inflation. And if we continue on this path, we may even be facing a U.S. currency collapse.

Think Cloward-Piven strategy. The hard-core Marxists are. I don't claim that everybody in the Obama Administration is a hard-core Marxist; some are just Marxist sympathizers, or useful idiots. But in the end the distinction won't much matter, if the end result is the same.

Also see:

Has US Currency already "collapsed"?

What happens when Tax Cuts Expire in 2011?

# Our true national debt: $130,000,000,000,000.


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