Yesterday president Obama’s Fiscal Responsibility Summit gathered 130 members of Congress, community leaders and administration officials. The stock market responded by plunging yet another 250.89 points, closing at a 12-year low of 7114.78. It hasn’t been that low since… Clinton was president.
The stock market peaked at an all-time high on October 9, 2007 reaching 14,164.53. That was during George Bush’s presidency, was it not? And the Bush presidency started out behind the 8-ball with the 9/11 attacks which sucker-punched the American economy and which were a result of Clinton’s 8-year neglect of national security.
This big ‘summit’ was just another event at which Obama has been feigning to appear bipartisan. But the real Obama plan is talk, talk, talk, spend, spend, spend. After the summit, which included prominent figures from both parties, one observer said: “All they can do is state the obvious out of this.”
Which they did. Things are lousy. We know that.
A report is expected in 30 days from the summit which included remarks and presentations and breakout discussion sessions over 3 hours. And this is the way that the Obama administration is saying it will conduct business – by some nebulous “consensus”. But Obama really is doing business by Democrat fiat.
Obama simply is pushing a far-left agenda and then is acting as if he wants bipartisanship. For instance, it is known that Social Security is going to explode over the next 20 years. Yet when Bush tried to reform it, the Democrats and the media trashed him. Obama will not take it on. Democrats will allow SS to explode and let the nation suffer the consequences and then Obama will point to his “summit” as an example of outreach.
Republican US senator Judd Gregg, who recently resigned from consideration as Obama’s Commerce secretary, said that “we’ve had these meetings before. There’s always a lot of people willing to point out the problem.”
Obama even went so far as to say that “we cannot and will not sustain deficits like these without end. We cannot simply spend as we please and defer the consequences to the next budget, the next administration or the next generation.”
Yet the staunch Democrat opposition to Social Security reform does exactly that as does Obama’s massive stimulus.
“My sense is that despite partisan differences, despite regional differences and regional priorities, everyone is concerned about the legacy we’re leaving for our children,” Obama said.
Obama noted that $250 billion annually goes to paying interest on the national debt. Yet his $787 billion stimulus plan has been roundly criticized by Republicans, growth-oriented publications like The Wall Street Journal, and even the Congressional Budget Office for not encouraging the kind of economic activity needed to address the debt problem.
“This spending isn’t a two-year commitment,” said Peter Morici, a business professor at the University of Maryland who has been critical of Obama. “A lot of it’s very long-term and it’s going to be very difficult to harness the appetite that government has for revenue in light of what the president has just pushed through Congress.”
Obama even told the summit that health care is an explosive item for the federal budget. Never does he mention that Democrat trial lawyers have pushed up health-care costs alarmingly by threatening every doctor, nurse and other professional with economic destruction; that unionized (Democrat) health-care workers are getting exorbitant pay scales, raising costs for everyone; and that Medicare and Medicaid (Democrat programs) are stuffed with massive fraud and abuse.
Obama is scheduled to unveil his fiscal year 2010 budget on Thursday. He said he intends to cut the federal deficit in half from $1.3 trillion today, or 9.2% of the total economy today, primarily by spending less on the war in Iraq, raising taxes on those who make more than $250,000 a year and streamlining government. And he will gut the military – as Clinton did – and raise taxes on people who are productive, leading to more economic woe down the road and another 9/11 if we follow the Clinton model. He will not streamline the government.
Some economists are predicting $1 trillion budget deficits per year for the next 10 years even if the economy improves dramatically. Perhaps another summit will be required in order to figure out how that all happened. But it won’t be hard to understand for those who are looking beyond the headlines.
Please visit my website at www.nikitas3.com for more. You can print out for free my book, Right Is Right, which explains why only conservatism can maintain our freedom and prosperity.