Jun 02 2009
Another Sign The Liberal Economic Experiment Is Failing
It is a damning sign of the breadth of failure we are experiencing with the liberal experimental policies hoisted on the nation by the Democrats in Congress and President Obama’s administration that the list of indicators of failure is so long it takes massive posts to list them all. I started with the long post below outlining the failure to stimulate job creation and the massive deficit spending – which seems to be doing absolutely nothing but accelerating the economic troubles.
Now we see another worrisome indicator that the liberal experiment is not only failing, but making things worse:
A continuing steep drop in home prices combined with rising unemployment is powering a new wave of foreclosures. Unfortunately, there’s little evidence, so far, that the Obama administration’s anti-foreclosure plan will be able to stop it.
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 It is even more worrisome when one considers the size of the problem and the speed at which it is spreading. The Mortgage Bankers Association reported last week that in the first three months of the year, about 5.4 million mortgages were delinquent or in some stage of foreclosure.
I read somewhere that the foreclosures in the prime market have reached the same level as those in the subprime markets – which is horrible omen for the nation. These foreclosures reduce home values and push more and more households into dangerous financial territory. As the job market remains mired in historic lows, there is more and more chance people will not be able to meet their commitments.
We are facing what we engineers call a cascading failure, where a weakness in one area starts spreading to others. Maybe Obama should stay in DC and work the problem.
I know liberals hate the thought…..but it is those who create businesses that also create jobs. You punish the creators you punish every single person down the line. So, how is it working for you Mr. Obama? Are we all sacrificing enough yet? How dare you tell us you are doing all this for the common good or the next generation! How dare you moralize this catastrophe you have wrought.
Listen to Obama’s speech. Every policy is couched in moral terms.
MAYBE THE GUY REALLY BELIEVES HE’S THE MESSIAH.
Clearly Obama is managing a crisis for his own benefit or he is incompetant. In either event, his solutions for any problem will only make it worse. Remember, his auto policy is being run by a 31 year old law student who has no job experience other than working in campaigns.
AJ,
What is your plan? How would you or the “conservatives” rescue 5.4 million Americans who are in or at risk of foreclosure? Where is your magic wand?
Also, remember the rules of the game. You cannot give them any temporary or permanent relief from their mortgage obligations – that would be socialism. You cannot regulate or restrict the banks from pursuing foreclosures in any way – that would be socialism. The only thing you CAN do is cut taxes – which doesn’t help much for those that are at risk of foreclosure because they lost their jobs and don’t have any income. Oh yeah, and cutting taxes will increase the deficit, which for the first time in 10 years, now is a major concern for conservatives.
So have at it – tell us your brilliant plan to save all of these homeowners that the stupid liberals just cannot seem to grasp.
Conman,
Simple. Stop the mad deficit stimulus spending now (95% of it is not spent yet). Cut taxes on individuals and corporations. And do what TARP was meant to do which is buy up toxic assets from the sub-prime market.
Without a growing economy there is nothing that will stop the erosion.
Work on the problem? Which life experience would aid him in that process? Perhaps sitting in a coffee shop with the new Doogie Howser running GM?