President Obama: Economic Illiterate
Larry Kudlow Writing For CNBC
Let me be very clear on the economics of President Obama’s State of the Union speech and his budget.
He is declaring war on investors, entrepreneurs, small businesses, large corporations, and private-equity and venture-capital funds.
That is the meaning of his anti-growth tax-hike proposals, which make absolutely no sense at all — either for this recession or from the standpoint of expanding our economy’s long-run potential to grow.
Raising the marginal tax rate on successful earners, capital, dividends, and all the private funds is a function of Obama’s left-wing social vision, and a repudiation of his economic-recovery statements. Ditto for his sweeping government-planning-and-spending program, which will wind up raising federal outlays as a share of GDP to at least 30 percent, if not more, over the next 10 years.
This is nearly double the government-spending low-point reached during the late 1990s by the Gingrich Congress and the Clinton administration. While not quite as high as spending levels in Western Europe, we regrettably will be gaining on this statist-planning approach.
Study after study over the past several decades has shown how countries that spend more produce less, while nations that tax less produce more. Obama is doing it wrong on both counts. (Read more.)
B.S. Report–This is a rerun of LBJ’s “Great Society” programs of the late ’60′s and early 70′s. It’s also an attempt to fix all of life’s problems by throwing government (tax payer) money at them. It didn’t work for LBJ and it’s not going to work for Obama.
Obama wants our country to be run by “super-smart” elites like himself. But even experts are not experts at everything. Obama himself has never worked in the private sector. He’s never run anything.
Aside from being a community “rabble-rouser” and a brief tenure as a law professor, we have elected a President that has zero experience doing much of anything.
William F. Buckley famously said that he would rather our country be run by the first hundred names of the Boston phone-book than by the faculty of Harvard. Well, it looks like we’re about to test the downside of Mr. Buckley’s theory…because Obama and his chosen elite have the power to run everything right now…and there’s little that we can do to stop them.
Beware!, Liberals at work!