A top adviser to President Barack Obama takes a dim view of last week’s anti-tax “tea parties,” promoted by organizers in the spirit of the Boston Tea Party.
“The thing that bewilders me is this president just cut taxes for 95 percent of the American people. So I think the tea bags should be directed elsewhere because he certainly understands the burden that people face,” David Axelrod said Sunday.
The rallies coincided with the deadline to file income taxes, and gave people a chance also to voice frustrations about government spending and corporate bailouts.
Axelrod was asked on CBS’ “Face the Nation” for his opinion on what the show’s host described as “this spreading and very public disaffection with not only the government, but especially the Obama administration.”
My list of examples of the unintended consequences of government intervention in the marketplace gets longer and longer. This time, I’m going to point out the latest irony: Investment banking’s profitable last quarter.
This would be wonderful news if it were genuine, but looking a little deeper reveals the truth. First, in one of Barron’s feature articles by Andrew Bary, we learn about a little-discussed fact: Goldman Sachs has only been able to issue low-cost debt due to the backing of the FDIC through a program called the TLGP, or Temporary Liquidity Guarantee Program.
When President Obama arrives in London this week he will meet with the leader of Germany, a nation where his election has brought newfound goodwill towards America; but will the goodwill be enough to force the hands of Germany to conform to Washington’s desires for additional stimulus and bailouts? If the latest media reports, which point towards an Administration attempting to dial down expectations, are any indication, then the answer is most likely a soft no.
The NYT is reporting that little ground is expected to be made in regards to additional German stimulus, with Chancellor Angela Merkel expected to cite fiscal discipline as a reason for German non-cooperation with President Obama’s Administration on the issue-
Dr. Paul discusses further developments with the disbursement of the bailout funds and the resolution supporting Israel over Palestine.
Thursday evening I posted on my Facebook profile the speech that Congressman Ron Paul gave on the House floor, opposing the auto industry bailout (the so-called “bridge loan”), along with the following comment:
“This speech on the auto bailout speaks for itself. Congressman Paul really puts it all into perspective. Were that there were more in Congress like him.”
As Henry Paulson recently stated, an economic crisis of this magnitude only comes around once or twice a century. I’m not exactly sure what the basis for such an argument might be other than looking at a sample size of… about one century. Whether there is merit in this assumption or not, we certainly are facing an economic crisis. In times like these, our government leaders look to policy experts and lessons of history - and possibly listen to them more than usual. This doesn’t mean they stop looking to lobbyists and the next election.
Meet my new parents: the U.S. Government. The parallels are astonishing when you think about it. (Forgive my generalities… they are for illustration!)
1. Parents want their kids to be the best: Just like proud moms and dads show up at little league games and fight with other parents, help (or take over) fundraising activities so their kids will “win” by raising the most money, or argue with teachers about grades… we see the U.S. Government assert its authority all over the world - both economically and militarily - so that we can be the “greatest nation on earth”.
President Barack Obama staked his re-election bid partly on the notion that he rescued struggling automakers through expensive bailouts and, thus, saved Detroit. But what was one of America’s great cities has plunged into bankruptcy and taxpayers have been left on the hook for billions of dollars as the federal government seeks to unload its stake in General Motors (GM).
The Treasury Department has quietly revealed this week that taxpayers lost $9.7 billion in the Obama Administration’s bailout of GM, which was more of a bailout for the auto manufacturer’s labor unions that support President Obama than anything else:
There are countless examples of cronyist policies passed by Congress. Some would point to bailouts for Wall Street and automakers, while others would remind us of the loans and subsidies for green energy companies. While these are all good examples of cronyism and corporate welfare that are frequently mentioned by critics, the Export-Import Bank is frequently overlooked.
Authorized by Congress in 1945 to promote goods and services produced in the United States to be sold across the world, the Export-Import Bank (Ex-Im Bank) has become a source for bureaucrats to pick winners and losers in the market place and politically-connected businesses to take advantage of taxpayers.
Back in December, Pete Sepp, Executive Vice Chairman of the National Taxpayers Union, noted the Ex-Im Bank has a history of subsidizing failed firms — with a $10 million loan to Solyndra serving as an example — as well as giving money to profitable businesses, including Boeing, General Electric, Caterpillar, and Dell.
“In order to keep its portfolio from sagging and putting taxpayers on the hook for future Solyndras, the bank must often invest in large, established firms that are already highly profitable. Over the years this has included firms such as General Electric, Caterpillar, and Dell,” wrote Sepp. “Another example is aerospace giant Boeing. In 2012, nearly 83 percent of the loan guarantees issued by the Ex-Im Bank benefitted Boeing, meaning of the $14.7 billion in loan guarantees, $12.2 billion helped bolster the company’s sales.”
“I think these big defined benefit programs from the New Deal, the Great Society are really showing their age. They don’t give you a good deal, they’re poorly designed. Market forces work so much better, and, you know, this America, why shouldn’t people be free?” — Dean Clancy
Today at noon, FreedomWorks will host grassroots activists at the New Fair Deal Action Day in the Upper Senate Park at the United States Capitol. The day is dedicated to the ideals that are being rolled out as part of the “New Fair Deal” plan, which is based on four basic principles — end corporate welfare, tax fairly, stop overspending, and empowering individuals. The New Fair Deal Action Day will include a number of speakers, including Reps. Justin Amash, Mick Mulvaney, Tom Price, Sen. Mike Lee, Rev. C.L. Bryant, and Julie Borowski.
On Friday, I sat down with Dean Clancy, Vice President for Public Policy at FreedomWorks, to discuss the four pillars of the New Fair Deal and the legislation that will be introduced by the team of House members who are working together to try to get the dozen bills that will be introduced to the floor for a vote.
“The New Fair Deal is a suite of legislation to try to reform and improve our country,” Clancy told United Liberty. “This is not just a ‘Tax Day’ protest — this is a positive reform agenda rally. And we do have folks getting on buses from all over the country and coming to it.”