Democrats, through failed economic and job creation policies that have caused the U.S. tumbling down a road of sever austerity and economic ruin. Democrats have been a thorn in the economy for too long.
Democrats are a thorn in the foot of many working class Americans and business owners. Their absurd fantasies on job creation, and economic recovery have crippled our ability to compete on an international level. The damage President Obama has helped cause alone will leave us with severe austerity measures taken by our government soon. How are the Democrats destroying America? Here are some of the claims and objectives from the Democrats.
Their policies and thoughts on job creation are laughable and unrealistic in every way. They claim President Obama inherited a failing economy, a huge deficit, and rapidly rising health care costs. In other words, “it’s all Bush’s fault.” Well, how often have we heard that from the left.
President Obama and the Democrats did not inherit a failing economy, or where they on another planet during their terms in congress. In 2006 the Democrats in the Senate had two seats more than Republicans. They also seem to have forgotten that they were just as clueless as everyone else when the housing bubble burst and had no idea why the banking system buckled. In 2008, the Democrats held 59 seats in the Senate. So, how is everything Bush’s fault exactly?
Another claim made by the Democrats is that they inherited a huge deficit. Former President Bush ran a $500 billion deficit, plus another $100 billion due to tax revenue decreasing during the recession in early 2008. Then the financial crisis hit in late 2008. TARP was created as a short term loan of $700 billion to banks, which $500 billion has already been repaid, by the way. This is why the deficit was 1.3 trillion by the end of 2008. The true deficit President Obama inherited was $800 billion. The government under President Obama has a deficit of 1.4 trillion as of 2011. The Democrats are digging America into a hole, and eventually we will have to drastically cut spending and raise taxes to pay it all off. Health care reform will dwarf the TARP loan, plus any debt President Bush could have accumulated.
If you thought health care costs are expensive now you will be shocked to find out that it will be much more costly very soon. Even with “The Health Care Affordability Act” costs will rise when the bill kicks in. The Democrats cheered as the bill would cost slightly less than 1 trillion over 10 years. There are quite a few reasons why health care will become more expensive in the coming years and not save the government money, but here are just a few:
• It forces insurance companies to provide coverage to everyone, which will raise costs.
• Employers would pay more in contributions, so less will offer health insurance, which means employees would be dumped on Medicaid.
• President Obama admits health care reform will raise costs, and not reduce them.
• According to page 6 of a CBO report, health care premiums will rise by 10-13% by 2016.
• An excise tax on drugs and health care devices will be passed onto consumers.
This is what people refer to when they say government spending makes prices rise. I must add that there are some interesting cost control measures in the legislation. According to page 2 of a CBO report, bureaucrats can reduce benefits by $50 dollars a day to any current and future enrollees. People will assume it’s free, ignore the cost and overuse the system, which raises costs on everyone and will lead to lower benefits. The Democrats health care reform addresses none of the core reasons why health care costs are so high. Just like Social Security only caused a small increase in taxes at first, it rose in time to one of the most expensive entitlement programs in America. If Republicans hadn’t stood in the way of health care reform, the situation would have been far worse.
The Democrats favor closing corporate tax loopholes, granting cheap loans and tax cuts for small businesses, investing in renewable energy by providing tax credits, and rebuilding our crumbling infrastructure. If you’ve been following the unemployment rate you will know that these strategies do not work.
Closing corporate tax loopholes sounds good right. Wait, don’t tax loopholes allow businesses to invest more in expanding their services, production and create more taxable revenue for the government. Democrats do not like exemptions and corporate loopholes, because as we know the government loves to spend and grow in size at every opportunity. Never mind job growth, because social equality comes first to the Democrats. Productivity and capital make a country along with its inhabitants wealthy, and not normative economics. I wonder if they also want to close the loophole that taxes foreign companies less if they invest in America. This seems more like job killing policies.
Cheap loans and tax cuts for small business are misleading when coming from the Democrats. There are tons of reasons why an overwhelming majority of small businesses close within the first five years, but one of them is directly related to cheap government loans. Remember the housing bubble when the government forced banks to give loans to families who couldn’t afford. It’s the same principle, only more damaging to taxpayers. Cheap loans cause entrepreneurs to make rash decisions. Only the truly dedicated and disciplined can make it with a small business, and encouraging people to just “give it a try” will ultimately end in disaster. The government encourages you to start a small business, and then crushes you under regulations and taxes. These incentives distort the free market and make businesses seem easier to start up than normally.
Tax cuts are not a priority for the Democrats. Remember, this is a party who praises President Obama for telling Joe the Plumber, “when you spread the wealth around its good for everybody.” Democrats have screamed tax cuts from their pulpit for years now, but they rarely have the intention of actually doing it. If they do reduce taxes you can be sure they will tax another area of your life without you realizing it. Examples such as health care reform, closing corporate loopholes, taxing prescription drugs and medical devices and hidden taxes are just a few. If you’re hoping for fewer taxes, then you might want to stay away from the Democrats.
When Democrats say, “investing in renewable energy,” you can be sure they mean taxing you and then subsidizing inefficient energy, so they can deliver you a more expensive product. Coal is still the cheapest and one of the most efficient energy sources a consumer and industry can utilize. Normally, even oil would have a hard time competing with coal, but taxes and regulation on coal have made oil and renewable energy more price competitive. Not to mention the government will provide industries’ tax credits for going green. Democrats have helped raise the price of energy and products on many industrial and consumer goods. Policies such as cap and trade would have undoubtedly raised the cost of living by a few hundred Dollars easily, but why should you be able to afford so many consumer products when pollution related diseases are near non-existent in America.
Finally, we come to America’s crumbling infrastructure. How many times have we heard the phrase, “shovel ready jobs” from the Democrats and President Obama during the last presidential election. We have wasted billions of tax payer dollars on building bridges to nowhere, public housing and other earmarks. The government subsidizes and even maintains a monopoly on many utilities, which the result is waste and inefficiency. These government monopolies and pet projects are always subject to falling short of funds. Perhaps it is time to privatize all of our hard infrastructure.
The Democrats increase taxes on the middle class, over-regulate businesses, raise energy prices, blame President Bush for everything, and have effectively destroyed the remaining market based health care in America. They have distorted the truth about job creation, the economy, stimulus bills, health care, energy and taxing the middle class. Democrats have fostered an anti capitalist atmosphere that discourages independence and self reliance. The Democrats are destroying America.
Christopher Chantrill “US Federal Deficit As Percent Of GDP,” usgovernmentspending.
Dick Morris, “These are the true deficits: Bush $800B, Obama $1.4T,” The Hill.
Douglas W. Elmendorf, “An Analysis of Health Insurance Premiums Under the Patient Protection and Affordable Care Act,” Congressional Budget Office.
Douglass W. Elmendorf, ” H.R. 3962, Affordable Health Care for America Act,” Congressional Budget Office.
“Economy and Jobs,” Democrats .
Jeffrey H. Anderson, “CBO: Obamacare Would Cost Over $2 Trillion,” The Weekly Standard.
Jim Puzzanghera, “ TARP repayments exceed outstanding bailout debt, Treasury says,” Los Angeles Times.
“Joe the Plumber’ Becomes Focus of Debate,” Associated Press.
Richard S. Foster, “Estimated Financial Effects of the Patient Protection and Affordable Care Act,” Centers for Medicare & Medicaid Services.