Obama Economics
Fannie Mae needs another infusion of tax dollars to survive. Anyone predicting success for Mr. Obama’s brand of progressive economics should take a look at the results of this socialist adventure.
Seventy percent of the restructured loans are again in default. Despite the monthly payment on the majority of these mortgage contracts being cut nearly in half, the borrowers continue to run away from their legal and moral commitments.
Most of the abandoned properties are gutted and left in shambles. This epidemic is so rampant that companies involved in junk and trash removal are thriving. Of course, the problem stems from the fact that the buyers (and lenders) never had any skin in the game.
The results are unsurprising. There is a long history of government subsidized housing rapidly falling into decay. Despite the evidence, the liberals are in a state of denial. They won’t admit there is a relationship between personal responsibility and success; between pride of ownership and sacrifice; between employment history and sustained income.
The credit policies of Barney Frank and company merely moved welfare housing from the inner cities to the suburbs. This is the same tactic, with the same horrible results, that occurred when liberals mandated “busing” to eliminate the educational inequities found in city and suburban schools.
Busing destroyed the integrity of city neighborhoods and reduced property values. The tax base of cities followed the school buses to the suburbs. And predictably, the upheaval didn’t improve education. Socializing Fannie and Freddie cost the taxpayers a few trillion dollars in cold hard cash, depreciated home values and gutted retirement savings.
The root cause of the problem is that liberals rely on their efforts being judged by their good intentions and not by the results. Of course, this is like Speaker Pelosi relying on her veracity to prove a point.
When Fannie and Freddie crashed head on with reality, congress should have slammed the Treasury’s door on the Equal Lending Opportunity legislation. Nothing has changed other than Obama and company shifted the blame to those mean spirited capitalists who packaged and sold this government endowed garbage to get it off their books.
The economy is now hovering above an economic fault line being temporarily supported by the phantom dollars Obama, Geithner and Barney are printing. Now that Standard & Poor’s outlook for the US’ AAA credit rating is filling with cautionary notes, they want to change the subject.
That’s why Obama, Barney and the other fiscal ostriches are moving our attention to healthcare, energy and amnesty before the stimulus bubble pops. Only in fairytales can you close your eyes and have the bogeyman disappear. But that seems to be the fiscal methodology that Obama has chosen.
It makes as much sense as pretending the Islamic terrorists will disappear if they aren’t called terrorists; or pretending our national intelligence agencies cause terrorism; or pretending illegal immigration doesn’t impact the employment and wages of Americans; or pretending the Cap and Trade energy initiative isn’t a brutal tax; or pretending that nationalizing healthcare will reduce costs and improve its quality.
The US economy is suspended above a sinkhole and every additional spending program weakens the already badly frayed tethers. Four years of Obama, Pelosi, Reid and Barney’s socialist agenda guarantees Americans will never be free of government bondage.
Seventy percent of the restructured loans are again in default. Despite the monthly payment on the majority of these mortgage contracts being cut nearly in half, the borrowers continue to run away from their legal and moral commitments.
Most of the abandoned properties are gutted and left in shambles. This epidemic is so rampant that companies involved in junk and trash removal are thriving. Of course, the problem stems from the fact that the buyers (and lenders) never had any skin in the game.
The results are unsurprising. There is a long history of government subsidized housing rapidly falling into decay. Despite the evidence, the liberals are in a state of denial. They won’t admit there is a relationship between personal responsibility and success; between pride of ownership and sacrifice; between employment history and sustained income.
The credit policies of Barney Frank and company merely moved welfare housing from the inner cities to the suburbs. This is the same tactic, with the same horrible results, that occurred when liberals mandated “busing” to eliminate the educational inequities found in city and suburban schools.
Busing destroyed the integrity of city neighborhoods and reduced property values. The tax base of cities followed the school buses to the suburbs. And predictably, the upheaval didn’t improve education. Socializing Fannie and Freddie cost the taxpayers a few trillion dollars in cold hard cash, depreciated home values and gutted retirement savings.
The root cause of the problem is that liberals rely on their efforts being judged by their good intentions and not by the results. Of course, this is like Speaker Pelosi relying on her veracity to prove a point.
When Fannie and Freddie crashed head on with reality, congress should have slammed the Treasury’s door on the Equal Lending Opportunity legislation. Nothing has changed other than Obama and company shifted the blame to those mean spirited capitalists who packaged and sold this government endowed garbage to get it off their books.
The economy is now hovering above an economic fault line being temporarily supported by the phantom dollars Obama, Geithner and Barney are printing. Now that Standard & Poor’s outlook for the US’ AAA credit rating is filling with cautionary notes, they want to change the subject.
That’s why Obama, Barney and the other fiscal ostriches are moving our attention to healthcare, energy and amnesty before the stimulus bubble pops. Only in fairytales can you close your eyes and have the bogeyman disappear. But that seems to be the fiscal methodology that Obama has chosen.
It makes as much sense as pretending the Islamic terrorists will disappear if they aren’t called terrorists; or pretending our national intelligence agencies cause terrorism; or pretending illegal immigration doesn’t impact the employment and wages of Americans; or pretending the Cap and Trade energy initiative isn’t a brutal tax; or pretending that nationalizing healthcare will reduce costs and improve its quality.
The US economy is suspended above a sinkhole and every additional spending program weakens the already badly frayed tethers. Four years of Obama, Pelosi, Reid and Barney’s socialist agenda guarantees Americans will never be free of government bondage.
posted by David at
6:27 AM
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