THE FOLLOWING ARE THE PRESIDENT'S ECONOMIC AGENDA: THE PRESIDENT'S AMERICAN RECOVERY AND REINVESTMENT PLAN With each passing day, families across America are watching their bills pile up and their savings disappear. President Obama believes that if we do not act quickly, this recession could linger for years â and America could lose the competitive edge that has served as the foundation for our strength and standing in the world. That's why the President has put forth an American Recovery and Reinvestment Plan that will jumpstart job creation and long-term growth by: Doubling the production of alternative energy in the next three years. Modernizing more than 75% of federal buildings and improve the energy efficiency of two million American homes, saving consumers and taxpayers billions on our energy bills. Making the immediate investments necessary to ensure that within five years, all of Americaâs medical records are computerized. Equipping tens of thousands of schools, community colleges, and public universities with 21st century classrooms, labs, and libraries. Expanding broadband across America, so that a small business in a rural town can connect and compete with their counterparts anywhere in the world. Investing in the science, research, and technology that will lead to new medical breakthroughs, new discoveries, and entire new industries. On January 8th, 2009 -- less than two weeks before taking office -- President Obama spoke on the need for urgent action on his American Recovery and Reinvestment Plan to save or create over 3 million jobs while investing in priorities like health care, energy, and education that will jumpstart economic growth. The plan represents not just a new policy, but a new approach to meeting our most urgent challenges.
I forgot to add that this will be (at least for the next decade) business as usual. We better start talking about the President's economic policies and what he does to meet his goals.
The proposals seem to be too govt based & driven. If they wanted to produce results they would back programs that would encourage business investment and private savings - - both in the form of drastic targeted tax relief and reform. (Such as a flat tax). - - None of that involves government run spending programs or the opportunity for politicians to manipulate & take credit for everything, so they won't do it of course. The manipulations of central bankers and politicians got us into this mess. They produced the environment in which some on Wall Street were able to engineer the derivatives that are the tip of the ice berg. - -
The ONLY way to encourage people to save is to RAISE interest rates. The reason the banks are so screwed is because nobody uses them any longer. They put all of their savings into their homes. therefore the banks don't have money to lend, which is why they had to leverage so much. If interest rates were to rise, home values would decrease, thereby making them more affordable for a new class of responsible buyer. This would also bring in more investment capital from overseas, and allow the govt. to retire some of its current debt very cheaply. Raise rates, lower taxes, cut spending. All else is a fools folly intended to appease the masses. And therein lies the problem with OBAMA and his ilk, that they will always do whats popular and not what is right.
And nobody saves anymore because there is no incentive to do so. The FED is the enemy of all saversâ because it keeps nominal interest rates too low and real interest rates negative at sometimes.
until the banks and hedge funds come clean with there exposure on debt,the sysyem will not work,obama needs to bring these guys to the table and since they(hedge funds,crdit default swaps,our mortgage paper) are offshore I dont know what legal means we have,but they are holding the banks hostage at the moment.Paulson knows and is an insider and he wasnt able to do anything,probably because he was part of it
To make matters worse, because there are no savings, there are no funds for Americans to fall back on if times are hard and money for investment loans (at least when banks are honest, which is quite the assumption) depends on the amount of money saved. Of course, the Fed can continue printing money to support these investments, essentially creating capital ex nihilo, but such capital investments are bound to come crashing down.
And to make matters even worse, a significant part of what people were holding on for retirement and individual investments, has been wiped out.
Will OBAMAOMICs Work? R you serious? R you still wondering if we are heading into a Depression? Dick Morris just wrote a piece on Obama and what is to come, DEPRESSION. The country will be crying by 2012, and I'm sure Republican's will win the whitehouse again....however, I agree with Dick Morris, it will be to late. SOCIALISM will be inplace. So, if you'r making less than 150k a year, Obama is gona be great for you, if you have a job left. For the rest of US....we are fucked and better think about where we are going to stack our chips the next 4 years or so.