Obama has expanded the crony capitalist state. Like his brother in cronyism George W. Bush, Obama has made every effort to help the connected get more connected and the wealthy wealthier. As the attached article explains, if one is heavily invested in the market, if one is a banker at one of the big banks, things are going pretty well. If one is not in that camp things are likely going significantly less well.
“Very clever men have a capacity for very great mistakes which often elude simpler souls.”
Hey, life isn’t fair. But we have got to do something about Social Security and the coming debt bomb.
Of course most seniors don’t consider Social Security theft, and the headline above is intended to be inflammatory, however the Social Security system we have now is completely unsustainable. It hurts many who are just struggling to make it in an economy which is very different from the rising tide many retirees experienced over the past half century.
Unfortunately, the government isn’t helping answer the question.
Republicans are either working for the rich, not the poor or average person, or they are not. This is a way to reveal themselves one way or the other.
In the attached article at Seeking Alpha Monty Agarwal correctly explains that the Fed’s all out effort to generate inflation (though the Bernanke doesn’t quite put it like that) will hurt everyday people.
Marc Faber said the same thing in an interview on Friday. The open ended QE of the Fed anounced on Thursday, coupled with the new efforts of the ECB anounced the week before that, combined with a likely future move by the Bank of China will benefit the rich (in relative terms to their more impoverished brethren,) while hammering the poor and middle class.
In the article below, Valerie Jarrett, President Obama’s closest White House advisor, argues that Democrats help the poor while Republicans just stand in the way.
There are two things that would help the poor the most. One would be a thriving economy creating millions of new jobs. What this requires is a functioning market price system, and almost every single thing the administration does undermines the free price system.
Of course the Federal Reserve is even more to blame. Its chronic money printing is designed to manipulate interest rates. The result is that the interest rates, which are the price of money, and among the most important prices in the economy, no longer signal what is happening to market participants. The result is confusion, imbalances between investment and consumption, imbalances between final prices and costs (which are also prices) all leading to chaos, and as a direct result, needless unemployment.
The article below, from Harvard’s Kennedy School of all places, says no. Increasing inequality isn’t the fault of the rich. Let’s learn from the rich instead of lambasting them.
Most people won’t buy this. They know that something is wrong, something in today’s economy is needlessly hurting the poor and middle class. And we agree.
But what is it?