it’s nothing but a shameless exercise in left-wing extremism. There are no two ways around it.
To understand Barack Obama, you have to recognize that he has established a clear pattern of calculated misrepresentations to mislead and confuse the public as to what he is doing and what he believes. For example, he repeatedly says he is only interested in what works, not ideology. That is meant to mislead and distract you away from his left wing extremist ideology, which is really what governs his policies and actions.
If you carefully examine his economic policies, you see he thoroughly avoids proven, practical policies that would stimulate economic growth, and pursues left-wing ideology instead. Nowhere in his economic program is there any reduction in tax rates, which is what creates real incentives for economic growth. Instead, he proposes in his new budget to sharply increase tax rates, because of his liberal/left ideology.
Instead of reducing government spending, just a few weeks ago he adopted the largest increase in government spending in world history through his so-called economic stimulus bill, which will only stimulate the increased welfare and Big Government that Obama believes in ideologically. Obama’s new budget proposes the largest increase in Federal spending since World War II, an insane one-year increase of 33% over the prior budget, from $3 trillion in fiscal 2008 to $4 trillion for fiscal 2009. That whopping $4 trillion is the largest Federal spending total in U.S. history.
Obama says in his budget message that we have arrived at this present crisis “as a result of an era of profound irresponsibility….” Does this wild spending increase to record levels sound responsible to you?
Obama introduced his budget with much fanfare regarding his promise to cut the federal deficit in half by 2013. That will never remotely happen, as we will discuss further below. But it serves its purpose for now, which is to distract you from the astounding deficit the budget does propose for this year: $1.75 trillion, more than three times the highest previous total except for World War II. This is not George Bush’s deficit. This is the deficit Obama has proposed for the rest of this year, resulting from the $1 trillion in increased spending he just adopted in the no-stimulus stimulus bill, and the $400 billion supplemental spending bill he supported and adopted in addition the next week, and the $275 billion housing bailout he proposed the next week, and the $638 billion he has proposed as a “down payment” on a new national health insurance entitlement that will be the most expensive entitlement of all, and the additional $250 billion in bank bailouts he is considering proposing. That is all after only little more than a month in office. See what I mean by left-wing extremism? Does this sound like responsibility to you?
That deficit, by the way, is 12.3% of GDP, about one-eighth of the entire U.S. economy, for the federal deficit alone! That is again the largest in U.S. history except for World War II. The federal deficit for 2008 was 3.2% of GDP. Reagan’s largest deficit as a percentage of GDP was only half as big as this Obama deficit.
Obama’s own budget also states that the national debt will grow by $2.7 trillion this year alone, an increase of 27% in one year! The national debt this year will reach $12.7 trillion, almost as large as our entire economy of $14 trillion. After 10 years of Obama’s glorious budget policies, his own budget projects that the national debt will be $23.1 trillion. Does all this sound like a new era of responsibility to you, or more extremism?
Obama has also touted himself as a big budget cutter, saying he has gone line by line through the budget, and has already proposed budget cuts of $2 trillion over 10 years. But $1.5 trillion of that is from supposed savings from the Iraq war due to the pullout of U.S. troops. That comes from assuming that without Obama’s policies Iraq war costs would have continued indefinitely at the same level as in fiscal 2008, when fighting from the surge was still at its peak. But President Bush already started withdrawals from Iraq last year, and signed an agreement with the Iraqi government providing for all U.S. troops to be pulled from active combat duty by July of this year, and phased out of the country completely by the end of 2011. Obama’s latest policy only moves that complete withdrawal forward by less than 5 months.
You can use Obama’s same budget methodology to save $1 million from your own family budget. Just budget a family vacation to Disneyland this year for $1,005,000. Then have a family meeting next month, and decide you can only afford $5,000 for the vacation, for a total family budget savings of $1 million.
Obama the budget cutter also supposedly saves $311 billion in interest expenses over the next 10 years by raising taxes on that disfavored top 5% of income earners, even though he projects the national debt over that time will more than double, with soaring interest expense. Another $316 billion in budget savings is from “health reform,” $287 billion of which comes from “promoting efficiency/accountability.” Obama’s budget says:
As part of health care reform, the Administration would support comprehensive, but fiscally responsible, reforms to the payment formula [for doctors and hospitals]. The Administration believes Medicare and the country need to move toward a system in which doctors face better incentives for high quality care rather than simply more care.
Is that $287 billion coming out of the compensation of doctors and hospitals, or out of the care given to patients? And who decides what is high quality care: the patient or the government?
The Obama budget also helpfully includes $1 trillion in tax increases on that hated upper 5% of income earners, mostly tax rate increases. But nothing close to that will ever materialize from these tax increases. The top 1% of income earners already pay 40% of all federal income taxes. The top 5% already pay 60% of those taxes. Besides the dubious morality of trying to impose still more of the burden on this small group, they are not going to sit still and get sheared for more. These higher income earners have the most legal options as to where they take their income, when, and whether they take it at all. With the higher tax rates, total taxes paid by this group could even decline.
Then there is another trillion dollars in tax increases in the Obama budget, on businesses. Indeed, the Obama budget projects that revenues from the corporate income tax will more than double in 3 years, increasing, in fact, by more than 124%. In this globalized economy, that full revenue will never materialize either.
About $645 billion of that business tax increase comes from Obama’s cap and trade system, which will raise costs by that amount on the production and use of carbon energy, such as oil, natural gas, and coal. Is that going to be paid by business, or by their customers? At CPAC last week, Newt Gingrich gave his opinion, saying:
A man of faith in a godless age is hitting Americans where it hurts.
Mr. and Mrs. American Spectator Reader, let P.J. O’Rourke talk sense to your kids.
In Britain, defending your property can get you life.
The debacle of this president’s administration is both a cause and a symptom of the decline of American values. Unless Congress impeaches him, that decline will go on unchecked. An eminent jurist surveys the damage and assesses the chances for the recovery of our culture.
It won’t take long for conservatives to scratch this presidential wannabe off their 2008 scorecard.
The American Christmas, like the songs that celebrate it, makes room for everybody under the rainbow. Is that why so many people seem to be hostile to it?
Was the President done in by the economy, or by the politics of the economy?
H/T to National Review Online