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2012 Election Information

I don’t think anyone could have said this better! (An E-Mail forwarded to me.) 12/1/09 December 1, 2009



I don’t think anyone could have said

this better!

Robert A. Hall

“I’m  Tired”  by Robert A. Hall


I’ll be 63 soon
. Except for one semester in college when jobs were scarce, and a six-month period when I was between jobs, but job-hunting every day, I’ve worked, hard, since I was 18. Despite some health challenges, I still put in 50-hour weeks, and haven’t called in sick in seven or eight years. I make a good salary, but I didn’t inherit my job or my income, and I worked to get where I am. Given the economy, there’s no retirement in sight, and I’m tired. Very tired.


I’m  tired
of being told that I have to “spread the wealth around” to people who don’t have my work ethic. I’m tired of being told the government will take the money I earned, by force if necessary, and give it to people too lazy or stupid to earn it.


I’m  tired
of being told that I have to pay more taxes to “keep people in their homes.”  Sure, if they lost their jobs or got sick, I’m willing  to help. But if  they bought McMansions at three times the price of our paid-off,  $250,000 condo, on one-third of my salary, then let the left-wing Congress-critters who passed Fannie and Freddie and the Community Reinvestment Act that created the bubble help them with their own  money.


I’m  tired
of being told how bad America is by left-wing millionaires like Michael Moore, George Soros, and Hollywood entertainers who live in luxury because of the opportunities America offers. In thirty years, if they get their way, the United States will have the  economy of Zimbabwe , the freedom of the press of China, the crime and violence of Mexico, the tolerance for Christian people of Iran, and the freedom of speech of Venezuela. Won’t multiculturalism be beautiful?


I’m  tired
of being told that Islam is a “Religion of Peace,” when every day I can read dozens of stories of Muslim men killing their sisters, wives and daughters for their family “honor”; of Muslims rioting over some slight offense; of Muslims murdering Christian and Jews because they aren’t “believers”; of Muslims burning schools for girls; of Muslims stoning teenage rape victims to death for “adultery”; of Muslims mutilating the genitals of little girls; all in the name of Allah, because the Qur’an and Shari’a law tells them to.


I  believe
” a man should be judged by the content of his character, not by the color of  his skin.” I’m tired of being told that “race doesn’t matter” in the post-racial world of Obama, when it’s all that matters in affirmative action jobs, lower college admission and graduation standards for minorities (harming them the most), government contract set-asides, tolerance for  the ghetto culture of violence and fatherless children  that hurts minorities more than anyone, and in the appointment of US Senators from Illinois.


I  think
it’s very cool that we have a black president and that a black child is doing her homework at the desk where Lincoln wrote the emancipation proclamation. I just wish the black president was  Condi Rice, or someone who believes more in freedom and the individual and less arrogantly of an all-knowing government.


I’m  tired
of a news media that thinks Bush’s fundraising and inaugural expenses were obscene, but that think Obama’s, at triple the cost, were wonderful;  that thinks Bush exercising daily was a waste of  presidential time, but Obama exercising is a great example for the public to control weight and stress; that picked over every line of Bush’s military records, but never demanded that Kerry release his, that slammed Palin, with two years as governor, for being too inexperienced for VP, but touted Obama with three years as senator as potentially the best president ever. Wonder why people are dropping their subscriptions or switching to Fox News? Get a clue. I didn’t vote for Bush in 2000, but the media and Kerry drove me to his camp in 2004.


I’m  tired
of being told that out of “tolerance for other cultures” we must let Saudi Arabia use our oil money to fund mosques and madrassa Islamic schools to preach hate in America , while no American group is allowed to fund a church, synagogue, or religious school in Saudi Arabia to teach love and tolerance.


I’m  tired
of being told I must lower my living standard to fight global`warming, which no one is allowed to debate. My wife and I live in a two-bedroom  apartment and carpool together five miles to our  jobs. We also own a three-bedroom condo where our daughter and  granddaughter live. Our carbon footprint is about 5% of Al Gore’s, and if you’re greener than Gore, you’re green  enough.


I’m  tired
of being told that drug addicts have a disease, and I must help support and treat them, and pay for the damage they do. Did a giant  germ rush out  of a dark alley, grab them, and stuff white  powder up their noses while they tried to fight it off? I  don’t think Gay people choose to be Gay, but I damn sure think druggies chose to take drugs. And I’m tired of harassment from cool people treating me like a freak when I tell them I never  tried marijuana.


I’m  tired
of  illegal aliens being called “undocumented workers,” especially the ones who aren’t working, but are living on welfare or crime.  What’s  next? Calling drug dealers, “Undocumented Pharmacists”?  And, no, I’m not against Hispanics. Most of them are Catholic, and it’s been a few hundred years since Catholics wanted to  kill me for my religion.  I’m willing to fast track for citizenship any Hispanic person, who can speak English, doesn’t have a criminal record and who is self-supporting without family on welfare, or who serves honorably for three  years in our military…. Those are the citizens we need.


I’m  tired
of latte liberals and journalists, who would never wear the` uniform of the Republic themselves, or let their entitlement-handicapped kids near a  recruiting station, trashing our military. They and their kids can sit at home, never having to make split-second decisions under life and death circumstances, and  bad mouth better people than themselves. Do  bad things happen in war? You bet. Do our troops sometimes misbehave?  Sure. Does this compare with the atrocities that were the policy of our enemies for the last fifty years and still are? Not even close. So here’s the deal. I’ll let myself be subjected to all the humiliation and abuse that was heaped on terrorists at Abu Ghraib or Gitmo, and the critics can let themselves be subject to captivity by the Muslims  who tortured and beheaded Daniel Pearl in Pakistan, or the Muslims who tortured and murdered Marine Lt. Col. William Higgins in Lebanon, or the Muslims who ran the blood-spattered Al Qaeda torture rooms our troops found in Iraq, or the Muslims who cut off the heads of schoolgirls in Indonesia, because the girls were Christian.  Then we’ll compare notes. British and American soldiers are the only troops in history that civilians came to for help and handouts, instead of hiding from in fear.


I’m  tired
of people telling me that their party has a corner on virtue and the other party has a corner on corruption. Read the papers; bums are bipartisan. And I’m tired of people telling me we need bipartisanship.  I live in Illinois , where the ” Illinois Combine” of Democrats has worked to loot the public for years. Not to mention the tax cheats in Obama’s cabinet as  well.


I’m  tired
of hearing wealthy athletes, entertainers, and politicians of both parties talking about innocent mistakes, stupid mistakes or youthful mistakes, when we all know they think their only mistake was getting caught. I’m tired of people with a sense of entitlement, rich or poor.


Speaking of poor, I’m tired
of hearing people with air-conditioned homes, color TVs and  two cars called poor. The majority of Americans didn’t have that in 1970, but we didn’t know we were “poor.” The poverty  pimps have to keep changing the definition of poor to keep the dollars flowing.


I’m  real tired
of people who don’t take responsibility for their lives and  actions. I’m tired of hearing them blame the government, or discrimination, or big-whatever for their problems.


Yes,  I’m damn tired
. But I’m also glad to be 63. Because, mostly, I’m not going to have  to see the world these people are making. I’m just sorry for my granddaughter.

Robert  A. Hall is a Marine Vietnam veteran who served five terms in the Massachusetts State Senate.
I want to take this opportunity to thank Mr. Hall for contacting me and making corrections so his statement is accurate.  It was a pleasure to chat with him.
Robert A. Hall’s Blog can be found here:

http://tartanmarine.blogspot.com/

St. Marie

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An Open Letter to Michael Moore 5/21/09 May 22, 2009

Mike,

Before you begin your movie on the economy continuing to bash George W you should read these two pages from the Federal Register.

http://bulk.resource.org/gpo.gov/register/2005/2005_10024.pdf

And

http://bulk.resource.org/gpo.gov/register/2005/2005_10025.pdf

Section C & D

This will explain to you the kindling point when in 1997 Bill Clinton expanded Jimmy Carter’s 1977 Community Reinvestment Act. (60 FR 22156–57)

In a nut shell, Bill Clinton mandated that banks make loans a lot easier for people that could not afford homes so that they could buy them anyway.  The usual Socialist Democrat “Creating a land of Entitlement.”

You may also want to read my Blog.

https://stmarie.wordpress.com/2008/09/29/everyday-we-learn-more-about-the-community-reinvestment-act-of-1977/

You will notice that I wrote this entry on September 29, 2008.

You will also notice that almost everything that I predicted about Barack Obama came to be true including the relentless blaming of George W. for all the problems with the economy when it was really Bill Clinton that started it in 1997. I will admit that George W. did not battle hard enough against the Democrats in 2004 to prevent the total meltdown of the economy in 2007-2008.

I will bet that you will mention absolutely nothing about what Bill Clinton did in your movie and if you do it will be one line with no coverage of his blunder at all.

This act that Bill Clinton did was swept under the carpet and never mentioned on any news cast including Fox News Network. How did I find out? My cousin sent me the “Burning Down the House” video and I was just so blown away that I spent a month researching it before I wrote my blog. When I got to the mandate in the Federal Register I knew that it had really happened and the rest of the puzzle could be put together by a 12 year old.

This is how it plays out. If Bill Clinton had never expanded the CRA in 1997 and mandated that banks write loans to people that could never afford a home to begin with, The banks would have continued to write safe and secure traditional 30 year loans instead of using creative lending practices like 5/25, 2/28, no down payment, Interest only loans etc. The deregulation opened doors to predatory lenders that took advantage of a very dysfunctional, bad law. None of that would have happened and our economy would not be in the condition that it is in today with Barack Obama making worse and worse every day he speaks.

I hope you are intelligent to see this chain of events and now the Socialist/Democratic way of handling the economy will fail just like it did in 1997 with Bill Clinton except a lot worse. We are looking down the barrel of huge taxes, very high interests rates to combat inflation that will be created by printing all this money that doesn’t exist today and 13% to 15% unemployment.  You can’t create jobs with high taxes and excruciating regulations on business. Businesses will not grow or even start to employ people until taxes come way down and restrictions are lifted on corporations to grown and reduce unemployment.

Today Barack Obama continues to use the “Community Reinvestment” theme that failed so miserably in the past.

I hope you are intelligent enough to do your own research and find out more about this.

Thank you,

STMARIE
P. S Nancy Pelosi want to investigate the Bush administration for war crimes, yet she does not want to investigate Bill Clinton for dereliction of duty and crimes against the US economy by providing a mandate that facilitated the destruction of the credibility of the US banking system that eventually spread though out the world.

STMARIE

 

An Open letter to Mr. Jeff Baker 3/16/09 March 16, 2009

Mr Baker left a comment on my article:

https://stmarie.wordpress.com/2009/01/18/william-j-bubba-clinton-and-the-economic-democratic-disaster-of-2007-through-2012/

Here is my very positive response to Mr Baker’s comments.

Hi Jeff,

Thank you for the comments. My goal here is not to change anybody’s mind as I would rather get people to do their own research on the candidates they are voting for and not just watch the campaign commercials. My cousin sent me the first video called “Burning down the house” which is on my very first blog.

https://stmarie.wordpress.com/2008/09/29/everyday-we-learn-more-about-the-community-reinvestment-act-of-1977/

Before receiving this video I, like an overwhelming number of Americans especially the young ones. did not know a thing about Jimmy Carter’s Community Reinvestment Act of 1977 and the subsequent expansion of the CRE by Bill Clinton in 1997. As I did my research I needed a concrete government document on what that really was. And I found it at

http://bulk.resource.org/gpo.gov/register/2005/2005_10024.pdf

and

http://bulk.resource.org/gpo.gov/register/2005/2005_10025.pdf
The writing was on the wall as to how we got here today.

Think of the economy as a burned out house. We know that things burned in the house. Couches (Banks), Tables (Loan Industry), Chairs (Real Estate market), Beds (Loan industry), But where was the ignition point that started the fire? I wholly believe that Bill Clinton’s mandate for banks to make it easier for poor people to get loans was the spark and the fuel to start the fire (Economic Meltdown.)

I just wish more people would realize this. The sad part is we have a lot of the same people now in office that believe in a “Land of Entitlement.”

So this train wreck will continue as long as Democrats are in control.

ST

 

An Open Letter To Bill O’Reilly February 27, 2009

Hi Bill.

I have a question. I am really convinced that this whole financial meltdown was instigated by Bill Clinton’s mandate for more loans to be written by banks. Item 2C on this page.

http://bulk.resource.org/gpo.gov/register/2005/2005_10024.pdf

My biggest frustration is that with mandate it opened the door for greedy bankers and investors to do all the damage that they have done. When Billy Carter wrote the CRA of 1977 it corrected a problem called “Redlining” that banks were doing by not writing loans in the inner cities of our country. Fast forward to 1997 when Clinton created the expansion of the CRA of 1997. Basically Bill Clinton created a land of entitlement for people that could never afford a home under normal lending practices. Enter Bear Sterns and other lending organizations that invented “Creative Lending Practices” Aka “Sub Prime Loans” in order to meet the requirements of Bill Clinton’s Lending practice rating system. So My question is why doesn’t anyone address this issue? Why has it been brushed under the carpet for years? I really wish you could take a few minutes and read my blog.

https://stmarie.wordpress.com/

Love your show.

Keep it up.

ST

 

An Open Letter to Senator Barbara Boxer (D) California Sent 2/20/09 February 21, 2009

Dear Senator Boxer,

I appreciate your answer but I have to tell you that you are just following what Barack Obama is telling you without doing any home work.

What Barack Obama has brainwashed you into thinking is the same thing that Jimmy Carter did in the 70’s. It is true that Jimmy Carter gave way to creating a lot of jobs by doing the same thing. But in the long run we ended up with a huge Inflation rate. To combat that out of control inflation the fed took the prime interest rate to 20.39% on July 1, 1981 (Source: http://research.stlouisfed.org/fred2/data/MPRIME.txt ) and Inflation Rate of 13.58% in 1980 (Source: http://www.miseryindex.us/irbyyear.asp).

By the way, Jimmy Carter used the “Misery Index” (http://www.miseryindex.us/) to get elected. The difference here is that Barack Obama has psychologically damaged people so bad as far as consumer confidence that it will be very, very hard to change peoples minds until the light goes on in people’s minds when they finally realize that electing Barack Obama was the most catastrophic that thing that the citizens of the United States could have ever done.

OK, Now here is what I really want to hear your rational on. Let’s talk about Bill Clinton’s expansion of Jimmy Carters Community Reinvestment Act of 1977 that he did in 1997. This mandate led people from all different arenas to develop a ferocious appetite for greed and corruption which in the end caused the mortgage and home market to collapse to what we have today. While it is true that Bill Clinton did not tell the banks and lending institutions how to write loans, Bill Clinton was most certainly the catalyst for the mortgage melt down. I just find it appalling that there is not one socialist (Democrat) that will admit to his wrong doing in trying to expand our “Land of Entitlement.”

http://bulk.resource.org/gpo.gov/register/2005/2005_10024.pdf

“C. Experience With the 1978 Rule
The experience with the 1978 rule
was summarized in the preamble to the
Agencies’ 1995 CRA rule. 60 FR 22156
(May 4, 1995) (1995 rule).”

It stated:
The CRA has come to play an increasingly important role in improving access to credit in communities—both rural and urban—across the country. Under the impetus of the CRA, many banks and thrifts opened new branches, provided expanded services, and made substantial commitments to increase lending to all segments of society. Despite these successes, the CRA examination system has been criticized. Financial institutions have indicated that policy guidance from the agencies on the CRA is unclear and that examination standards are applied inconsistently. Financial institutions have also stated that the CRA examination process encourages
them to generate excessive paperwork at the expense of providing loans, services, and investments to their communities. Community, consumer, and other groups have agreed with the industry that there are inconsistencies in CRA evaluations and that current examinations overemphasize process and underemphasize performance. Community and consumer groups also have criticized the agencies for failing aggressively to penalize banks and thrifts for poor performance. Noting that the CRA examination process could be improved, President Clinton requested in July 1993 that the Federal financial supervisory agencies reform the
CRA regulatory system. The President asked the agencies to consult with the banking and thrift industries, Congressional leaders, and leaders of community-based organizations across the country to develop new CRA regulations and examination procedures that ‘‘replace paperwork and uncertainty with greater performance, clarity, and objectivity.’’ Specifically, the President asked the agencies to refocus the CRA examination system on more objective, performance-based assessment standards that minimize compliance burden while stimulating improved performance. He also asked the agencies to develop a well-trained corps of examiners who would specialize in CRA examinations. The President requested that the agencies promote consistency and evenhandedness, improve CRA performance evaluations, and institute more effective sanctions against institutions with consistently poor performance.
60 FR 22156–57.”

“D. The 1995 Rule and Subsequent
Guidance
The experience with the 1978 rule led the Agencies to replace it in 1995 with a rule designed to emphasize performance rather than process, promote consistency in evaluations, and eliminate unnecessary burden. 60 FR 22156.”

Ok what this tells me is that when Bill Clinton made this mandate it basically rated banks on the QUANTITY of loans over the QUALITY of loans. When this was presented, lending institutions were already writing as many standard 30 year loans as they could. However, the banks and lending institutions had to write more loans. Write more loans to people that could not qualify for a standard 30 year loan. The banks and lending institutions did not want to do this because it would expose the lending institutions to dangerously large amounts of bad debt from bad loans and foreclosures. Remember this was in 1997. So the banks and lending institutions had to come up with creative loan vehicles to meet the mandate that Bill Clinton had written or face federal fines or other actions against the institutions. So the birth of the “No down payment,” Interest Only,” “Adjustable Rate Loans” etc were created to meet the QUATITY of loans that were then rated by this system:

http://bulk.resource.org/gpo.gov/register/2005/2005_10025.pdf

“D. The 1995 Rule and Subsequent Guidance

The experience with the 1978 rule led
the Agencies to replace it in 1995 with
a rule designed to emphasize
performance rather than process,
promote consistency in evaluations, and
eliminate unnecessary burden. 60 FR
22156. Among other things, it established a large retail institution test
comprised of three tests: one for
lending, one for investment, and one for
service.”

OK on page 10025 it talks about the above “test.”

Now if I’m not mistaken that is exactly what Barack Obama’s boy Tim Geithner wants to do. The same thing as he called it a “STRESS TEST’ of performance.

OK so what I am trying to tell you is that everything that the Socialist (Democratic) Party has done in the past has been a huge failure as far as jump starting the economy. This time will be no different.

But here is the big difference between Barack Obama and Bill Clinton:

Bill Clinton’s mandate gambled with investor’s money and the public’s savings (401K and IRAs) and lost.

Barack Obama’s mandate is gambling with all of the countries Tax Payer Dollars for generations to come in the future and will lose again. A much much greater amount of people’s lives are at stake here and in these numbers a Tax Payer Revolt is not out of the realm of reality.

And one final thing. A am just as upset with George W. Bush to have even offered a TARP program to begin with. It just gave the Socialist (Democratic) party an excuse to make business and individuals highly dependent on the Federal Government to survive when they gained power by creating a “Land of Entitlement.” out of the United States of America.

I will be best to say that I know you never even read all 1000 plus pages of that “Spendulas” package as I know you did not have the time as did none of the other people that voted for it.

Senator Boxer I can only hope that you sleep well at night not understanding what you voted for in this “Spendulas” package that Barack Obama and the Socialist (Democratic) party rammed down the throat of the citizens of the United States.

Thanks you,

ST

P.S.

I have been writing to Senator John Mc Cain about this as I do not have any representation what so ever in the State of California.

 

An Open letter to Congressman Adam Schiff 2/11/09 February 11, 2009

Dear Congressman Schiff,

After reading the results of this last survey you put out about the “Spendulus” package I am just appalled buy the number of people that are so uneducated as to believe Barack Obama’s “Fear Mongering” about the doomed economy. After doing some homework I find the similarities between Jimmy Carter, Bill Clinton and Barack Obama so striking it scares me. Jimmy Carter also was elected just Barack Obama by “Fear Mongering.”
But then it was called “The Misery Index.” http://www.miseryindex.us/ Jimmy Carter also tried to spend his way out of the bad level of The “Misery Index.” Where did that get us when Jimmy Carter printed billions of dollars just like Barack Obama? It got us 23% interest that was demanded by the fed to curb the 13% inflation that was created by Jimmy Carter printing all that money that was not backed by gold in the US Treasury. Clearly what Barack Obama is selling you and all your constituents is a train wreck looking for a time and place to happen.

OK lets look at what it looks like Tim Geithner is proposing to do. Look and read this especially section “C”. http://bulk.resource.org/gpo.gov/register/2005/2005_10024.pdf.
Then read. http://bulk.resource.org/gpo.gov/register/2005/2005_10025.pdf
What Bill Clinton mandated the expansion of Jimmy Carter’s Community Reinvestment Act of 1977 in 1979, that was the catalyst that spurred banks and lending institutions to write more loans and meet the quotas that were to be kept score in #10025 above. This forced banks and lending institutions to figure out a way to write more loans to financially challenged people that could not qualify for a traditional 30 year loan. Thus the birth of “Creative Financing” aka “the sub prime loan.” What Tim Geithner is proposing to do is also force banks to write loans that they are not comfortable with. Congressman Schiff let me set up a scenario for you. Imagine you were an underwriter for home loans for any institution. Before you there was a pile of home loans for you to asses the risk management for. Mean while on the radio you have Barack Obama absolutely hammering away all day long making speeches that if “HIS” spending package doesn’t get passed very very bad things in our economy are going to get worse and last longer. And if you do pass it, it will take many years to fix itself if in fact it works at all. Congressman Schiff, how would you feel about putting that stamp of approval on that stack of loan applications?

PLEASE PLEASE do not listen to the Golden Tongue of Barack Obama’s propaganda or the acidic voice of Nancy Pelosi and do not pass this “Spendulus” package into law.

Here is an article in USA today indicating that we may, I say may be at the bottom with home loan foreclosures and we may not have to spend 780 Million dollars to restart the economy. It may be starting by itself. We all know that you can throw zillions of dollars at the economy but it will recover at it’s own pace. It is a natural cycle for the economy to repair itself. Because by and large democrats DO NOT understand SUPPLY and DEMAND, the principles of business and the fact that the American Economy and for that matter the World economy is a living. breathing. dynamic entirety that goes at is own pace. Sometimes an individual makes a very very serious decision that has a moving effect on the Economy like what Bill Clinton did or if you remember what the Hunt Brothers tried to do with silver. http://en.wikipedia.org/wiki/Nelson_Bunker_Hunt.
These created speed bumps in our economy. However Bill Clinton created a crevasse into which out economy fell into and Barack Obama is going to successfully keep us in.

Thank you,

ST

 

Barack Obama, Propaganda, Jimmy Carter, Inflation, High Interest Rates “Reinvestment Act” and The “Misery Index.” January 30, 2009

As I listen to the rhetoric that is coming from Barack Obama’s tone of voice I have to ask myself if the rapid collapse of our economy is being caused by Barack Obama telling us day after day that the economy is in very bad shape? Thus unnecessarily eroding the confidence of the American people. Thus making people believe that this huge spending package is the only way to save the The United States Of America? Is this rhetoric manipulative propaganda?

Let’s go back to an article that I had wrote previously.

https://stmarie.wordpress.com/2008/10/03/barack-obama-and-the-communist-party-endorsement/

I had wrote of the possible influences that Frank Marshall Davis may have had on  Barack Obama.

One of the tactics that has propelled the the Communist Party into successful power is PROPAGANDA. Propaganda is the perfect tool to sway people into thinking the same way the leader does.

My point is that it seems that Barack Obama is telling us that the economy is very, very bad and will get worse.  He tells us everyday.  We as the public already know this. It seems that he is over zealously telling this every day so the public will back him on this massive spending plan that will shift the wealth from the private sector to the government by making us dependent on the government for jobs, bailouts and miniscule tax rebates.  Seeing as how the government does not have this money to give to us, the only solution is to print the money.  Printing money that we do not have gold backing for in the federal reserve is called INFLATION.

Previous Barack Obama Propaganda:

https://stmarie.wordpress.com/2008/10/29/barack-obamas-controversial-television-propaganda-102908-2/

So is Barack Obama’s Propaganda having an influence on the public that is listening? Does Barack Obama’s Propaganda have a great influence in certain sectors of our society

Ok, so what does this mean? Well in a very, very short time it will take more dollars to pay for things. When inflation gets out of control then the Federal Reserve will raise interest rates. Money will cost a lot of money to get. In the end, Barack Obama will create a lot of jobs but when all is said and done, people will still not be able to afford anything, because of high inflation, high interest rates and the inevitable much, much higher tax rates to deplete the over bearing deficit.

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:

http://blogs.wsj.com/economics/2009/01/09/bush-on-jobs-the-worst-track-record-on-record/

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%.

“The misery index was initiated by economist Arthur Okun, an adviser to President Lyndon Johnson in the 1960’s. It is simply the unemployment rate added to the inflation rate. It is assumed that both a higher rate of unemployment and a worsening of inflation both create economic and social costs for a country. A combination of rising inflation and more people of out of work implies a deterioration in economic performance and a rise in the misery index.”

The Misery Index

So what is my point? I think you can see the parallels between Barack Obama’s campaign and Jimmy Carters campaign and what lies ahead for us. Barack Obama is doing nothing new. It is an almost textbook repeat of the Jimmy Carter administration.  Even the rhetoric is the same. “Reinvestment Act” is the key phrase. Barack Obama also has used the “Misery Index” as an excuse to get elected.

This is how it works folks.  When interest rates climb people invest in high yield bonds, CDs and other interest generating investment vehicles. The public does not invest in stocks that are much riskier. That means that even Mutual Funds shift their assets into to CDs, Money market and bonds.  This makes it very difficult for companies to raise money for capital investments, company expansion, job growth etc. with the sales of company stock etc. What you end up with is STAGFLATION.

If you were to read this article written by John T. Woolley and Gerhard Peters at The University of California Santa Barbara.  You will see the striking resemblance of Barack Obama’s “Change” and what Jimmy Carter did when he was in office from 1977-1981.

http://www.presidency.ucsb.edu/ws/index.php?pid=31055

Is is true that history repeats itself?

ST