10/17/08

Franklin Delano Obama?

Those who cannot remember the past are condemned to repeat it. - George Santayana

What history should we be learning from? How about the Great Depression? Just like in the 1920s, we have a world financial crisis.

What we are seeing on Wall Street is mirrored in England, Germany, France and Japan, down to the governments buying up bank stocks.

Just like the ‘20s, America has outrageous credit problems and no savings. U.S. debt stands at $4 trillion and private debt is higher than it was during the Depression. The United States’ debt-to-income ratio is more than 126 percent and families have the lowest rate of saving since 1929.

That makes us two-for-two for what it takes for a depression. We need a stock market crash, followed by the government flailing around trying to fix it using all the wrong (socialist) methods. Can we really have a total stock market crash? Yes, because the government keeps throwing borrowed money at the problem and artificially re-inflating the bubble. That just sets us up for a bigger crash.

If we keep trying “bailouts,” we are just increasing the final reckoning. If we go far enough, we can lose everything.

If we get another crash and the resulting depression, what will life be like? In the first Depression, about 15 percent of the population lived in the cities and the other 85 percent were basically farmers. If you talk with folks who lived through the Depression, many say that it wasn’t a big deal, because they grew their own food and they lived off the land. The difference between the ‘20s and now is urbanization of America.

Today, 80 percent of Americans live in cities. The next depression will be much worse and require much quicker action from the president.

A “depression president” today would have to immediately provide for the city dwellers or America will burn. How could he provide for them? Confiscating food supplies would be my first guess. As they say, “no government is more than three meals from a revolution.” However you put it, a depression these days will be a powder keg. As we have seen in the last few weeks, nobody knows what to do about all this.

In the ‘20s, people were desperate for change and they elected a charismatic socialist, FDR. Today we have Obama, a charismatic socialist. People have been brainwashed into thinking they are desperate for change, even though things are not close to critical yet.

Obama’s programs, just like FDR’s, are textbook socialism. FDR: Jobs through the WPA relief program. Obama: Jobs through National Infrastructure Investment Program. Obama is going to throw $60 billion at this program, (from where?) and that will magically generate $35 billion in “new economic activity,” “creating 2 million jobs.” $60 billion just magically becomes $350 billion! Wow, that’s great politics! Unless you can add.

None of this stuff worked for FDR and it won’t for Obama. When FDR figured that out, he gave us his “Second New Deal,“ which was just deeper socialism, like Fannie Mae (which we just got the bill for last month) and heavier labor union promotion.

Obama calls his proposed (stupid) union promotion program the “Employee Free Choice Act” (a typical political lying title).

It will give unprecedented power to the unions. Promoting unions raises the costs of American goods and makes us less competitive in the world market. That will lead to tariffs and protectionism, which also don’t work.

FDR was able to claim (as politicians so often do) that his “New Deal” worked. It’s true that he got us out of the depression. It is a lie that he did it with his socialistic “New Deal.” He really got us out of the depression by getting us into World War II. Can we look for WWIII if Obama is elected? None of his socialist agendas have a chance of working and a war is always a quick fix. Only after FDR was able to draft young men and send them off to war was he able to “cure” the unemployment rate. Soldiers were out of the equation and the void in the labor force was spread over the remaining population.

Only after he was able to order rationing “for the war effort” was he able to stabilize the economy. It is easier to manipulate markets when you can control both supply and demand. The soup lines gave way to “victory gardens” when, in the name of patriotism, people grew food and fed themselves, something we should all do today.

What is different between then and now is that FDR had time to schmooze the voters and build his lies while trying to find something that worked. Obama will not have that luxury.

FDR got elected with his pie-in-the-sky “New Deal” because people were desperate.

Obama is promising the same pie-in-the-sky socialist “solutions.” Will we fall for it?

- Rick Coddington is a third-generation native New Mexican.

(stpns.net)

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