Obamanomics: An Economic House of Cards

By turning the unfortunate recession, which should have been just temporary, into a truly full-scale and profound depression, the stimulus bills will, thus, substantially weaken the economy by crippling the private sector’s ability to fully recover; Obama readily knows this financial fact; he is willingly, however, letting conditions become severely worse to heighten a completely unneeded economic crisis that is turning more and more into a contracting economy, which will continue to destroy the wealth and futures of tens of millions of the American people.  America, as will be seen increasingly, will become a disastrous combination of a Michigan-Illinois-California-France writ large.   The nearly $4 trillion annual Federal budget will only add to the future disaster.

This is actually being done, as ought to be known, in the mad rush toward creating a statist, social-market economy that will systematically crush efforts to make the free-market economy liberate capital and other resources intimately required to halt and reverse this noted major contraction. 

As with the horrid economic example of Zimbabwe in Africa today, there had been a country in Europe, meaning Germany under the Weimar Republic, which had attempted to equally spend its way, through hyperinflation, toward a supposed prosperity.  The economic house of cards being erected, by this Democratic Party-controlled Administration, will eventually collapse due to a predictable Carter Era-style stagflation, which will be greatly worse than the original; this is due, once again, to the ideological, interventionist reliance upon neo-Keynesianism, which is, in its essence, a basic euphemism for Fabian Socialism. 

Obama easily knows, of course, that the American people greatly detest ideologically filled words such as collectivism, socialism, and communism, so these philosophically overt but accurate terms will, of course, never be publicly used to aggressively push forward state interventionism, modern statism, in the economy.

Not enough taxes could ever be taken in by the Federal government, during a contracting economy, to balance off and truly negate the massive inflation naturally caused by government debt expansion and inflation of the money supply, meaning the workings of what usually gets denominated as monetary policy. 

One of the main economic problems of printing up more money is that the currency is merely fiat money; this means it is not backed by anything except the good faith and intentions of the Federal government itself; there is no gold standard or any other commodity by which to insure the true value of the inflated money in circulation plus massive government debt obligations, both domestically and internationally considered.