Obama, the Anti-Reagan, Is Failing on the Economy

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In modern reality, high-end tax cuts do not create jobs in America.
What they do accomplish is the creation of asset-class bubbles (stocks, houses, oil, other commodities, commercial real estate, even FOREIGN stocks) from the effect of too many dollars in the hands of investors and traders chasing fast bucks---WHILE YOUR GOVERNMENT ALSO RUNS HUGE DEFICITS AND ERODES THE VALUE OF YOUR DOLLARS ALTOGETHER. The high-end tax cuts also create incentives for top decision makers to actually eliminate jobs or ship them to low-wage countries.

Muser of NM 3:07PM October 15, 2009

Taxes are now lower than after the Reagan tax cuts. When he left office the defecit had grown by hundreds of billions of dollars. George W added more tax cuts and grew the defecit by over a Trillion dollars. From which planet did you just arrive?

Mike of WA 2:54PM October 15, 2009

Your assessment is more of a joke than serious commentary. The two recessions you compare are totally different and were caused for totally different reasons, unrelated. I think you got your dates wrong as well. If i remember correctly, the Reagan recession did not officially begin until after Reagan was elected, but the party in power wanted to lay it at Carter's door by trickery, a stunt that if you were only looking at partisan research may not have turned up in your files. It's easy to see where your loyalties lie and the fact that you have been chosen as a fellow for Liberty and Let Freedom Ring, "a non-partisan public policy organization" calls their "non-partisan" status seriously into question.
Seems like most, if not all credible mainstream economist (regardless of party affiliation), in 4th quarter 2008 were saying that the best that could happen, the rosiest of predictions would indicate that we would not have a turn around on the recession until late summer of 2009. Remember? Well, here we are!

D Begley of NC 2:09PM October 15, 2009

I am amused that you would expect the United States economy to respond to the President's efforts in a time frame of eight months when it took eight years or more for us to get to this point! That we are seeing a -.7 index for the most recent quarter is remarkable. Bear in mind sir that this is a global recession and the economy of the United States is improving despite the global situation and job outsourcing by America businesses.
The values of housing in relationship to what is owed is a serious factor that is keeping the housing industry in the dirt. Practices condoned by the previous administration are to be credited with that situation, yet you blame this President's actions as 'not' enough.
Your commentary needs perspective.

Rod Davis of MD 12:47PM October 15, 2009

Rush Limbaugh is insignificant. He has 5 million viewers out of a population of 300 million. Sponge Bob Square Pants has more viewers. Please stop spreading the myth that this man has any power in America. He is preaching to the choir. None of the people who listen to Rush Limbaugh or attended "tea parties" voted for Obama. Rush/Beck/Hannity etc don't really matter. If they did, Obama wouldn't have kicked McCain's butt last November.

JaJa of TX 12:18PM October 15, 2009

Reagan and Bush merely substituted borrowing money from China to pay for government instead of paying taxes. You can live large on credit card financing, but it is not sustainable in the long run.

LindaRe of KS 11:25AM October 15, 2009

jobless claims are only down caues retailers are hiring for the holidays. What do you think will happen Jan. 1 2010? Can we say the word "Lay-offs". Say it with me L-A-Y-O-F-F-S. Yes, that it. Home forclosures are up...to the suprise of the admin..yea right. just because your Google and Apple stocks are up does not mean that will translate into J-O-B-S.
Reagan was not perfect. He lied to congress and his waiting to act on HIV/Aids were bone headed and old-crusty-white-man moves. But pushing this econ. with the Goverment spending is just a last move he should have made...Bush started pushing econo. off a cliff with the Iraq mess and Obama will end by thinking Goverment is the gasoline in the tank.

Your fellow Nut of VA 11:20AM October 15, 2009

Less, we Forget, the U.S. electorate must wake-up to the fact that we are experiencing George Bush & the Republican Era's Recession. If we are to get true healthcare reform, we must have More liberal seats to implement the much needed changes toward main street and not Wall Street. GOP gains will just thwart this direction and continue the same trend which has devastated this country. We must remember, it takes time to rebuild a country that has been crippled! And, Ground Zero is still a dark hole after 9/11 and 8 years of Republican Rule -- gound zero was never rebuilt! And, if we let the GOP rule again, the U.S. will be like Ground Zero, nothing -- zero! Let's not be fooled because the GOP will say anything and do anything to regain their power. They are not for the average folks!
The GOP Party of No in the healthcare debate continue to mouth that they are against healthcare reform because they want to control and keep healthcare costs down! Well they have not done a good job at it so far and it quite ironic and hypocritical because to control healthcare costs, one must have the Public Option! Even a 3rd grader understands that...
As for the controversy of Rush Limbaugh, who day in and day out, has made millions influencing and shaping minds and hearts toward hatred, divisiveness, racial intolerance and just genuine negativity! He has been a pestilence and cancer on society. He has contributed mightily toward the culture of uncivility and rudeness! America is changing. America must change toward civility, tolerance, cooperation, all the things Rush Limbaugh is not and does not represent.

Angellight of PA 8:18AM October 15, 2009

President Reagan had to deal with the opposite problem--INFLATION--not DEFLATION. The current crisis we are dealing with is an asset-backed devaluation.
1980 recession dealt with the residual costs of the Vietnam, the burden of the Great Society programs, and an onerous tax upon investments. Revenues had been deteriorating, productivity was low (do you remember "stagflation" of the Nixon/Ford administrations?) and so Treasury started printing money. But the assets (real estate, machinery, etc.) themselves adjusted their prices to reflect the increase of cash in the economy.
Currently, the opposite is in process. Prices for assets are falling and people are not spending money. Instead, they are saving which pulls cash out of circulation in the economy. Also, a loss of 30% in value in a home means its price has to rise over 40% to break even. Pumping money into the economy may be inflationary but when the value of things are negative to the mean, it is not such a bad thing to bring the prices back to a normal level.
You are looking at the destruction of a majority of the citizens' personal wealth. Do you think it is wise to advocate a standback and watch policy, like the Hoover administration?
Also, these potential regulations you are griping about actually were set up in FDR to prevent depressions from occurring but were unwound during Clinton (thanks to the Republican majority in Congress.) Funny thing is that even though we have recessions, there had not been a depression since.
It is sad that your time frame for economic history essentially begins at the Carter Administration. Like many Reagan supporters, history does not go further back in time. I would suggest reading about the various panics of the 19th century and the 1907 panic which lead to the creation of the Federal Reserve Bank. It might give you some perspective about the current situation we are in.

Charles Morley of NY 8:59PM October 14, 2009

Dear Mr. Roff,
Obama is failing? What world are you living in, dear sir? We all are living in a world were the stock market is climbing, new jobless claims are slowing, consumer confidence is growing, home prices are stabilizing, GM and Ford are now hiring, and the FEDs (along with most economists) have declared the the recession over.
If TARP was not passed, capitalism would have failed and we'd be in some serious s**t, and you know that. Obama was forced to spend that money, it was not a choice. Apparently, you need a refresher course on Economics.
Let me ask you this, if Reagan took over office in 2009 would his first priority be to deregulate the banks? Opps, I forgot, that's how we got in this mess.
You silly little man - Reagan would be rolling in his grave if he knew what today's republicans have done to our country.
Sit back, and let the adults run the country for awhile. We just may get back to the days when we saw a budget surplus, remember those radical days of the Clinton years?

Not Fooled By Roff of WA 6:41PM October 14, 2009