Posted 1:23 pm Thursday, January 26, 2012
Making Promises He Can't Deliver
Whatever it was, it wasn't a State of the Union address. The true state of the U.S. — abysmal unemployment, mounting debt, failed economic stopgaps — was barely touched upon. Instead, President Barack Obama rehashed campaign themes in an effort to distract from his record.
“Tonight, I want to speak about how we move forward, and lay out a blueprint for an economy that's built to last — an economy built on American manufacturing, American energy, skills for American workers, and a renewal of American values,” Obama said.
But let's examine each of those issues, in light of his record.
First and foremost, the president is not laying out an economy that will last — it can't last. He's added some $4 trillion to the national debt, and he's adding more than a trillion more as we speak. By the end of the week, the debt ceiling will rise by $1.2 trillion.
Such borrowing is unsustainable.
“Tonight, I want to speak about how we move forward, and lay out a blueprint for an economy that's built to last — an economy built on American manufacturing, American energy, skills for American workers, and a renewal of American values,” Obama said.
But let's examine each of those issues, in light of his record.
First and foremost, the president is not laying out an economy that will last — it can't last. He's added some $4 trillion to the national debt, and he's adding more than a trillion more as we speak. By the end of the week, the debt ceiling will rise by $1.2 trillion.
Such borrowing is unsustainable.
As William Beach of the Heritage Foundation notes, “If you are under 30 years of age, you belong to the Debt-Paying Generation. This enormous, growing federal debt will have to be repaid across your lifetime. Higher taxes will almost certainly be imposed to pay down this debt, thus reducing your income and increasing your cost of living.”
There's a predictable — and soon unavoidable — outcome Obama's programs, which promise to further push up the national debt.
“The real tragedy of the president's litany of economic-policy changes is its failure to address federal debt,” Beach contends. “Why? Simple: The failure to reduce debt condemns an entire generation to the least prosperous life in U.S. history relative to the generation that preceded it. That's not the way to build an economy that lasts.”
Next, the president brought up manufacturing.
But no presidential order can force companies to bring factories here. Sure, tax breaks would help encourage them, but Obama's not seriously proposing those. Instead, his administration is promoting policies that drive manufacturers away — handing power to unions, health care reforms that only make the cost of hiring Americans workers higher, for example.
There's a predictable — and soon unavoidable — outcome Obama's programs, which promise to further push up the national debt.
“The real tragedy of the president's litany of economic-policy changes is its failure to address federal debt,” Beach contends. “Why? Simple: The failure to reduce debt condemns an entire generation to the least prosperous life in U.S. history relative to the generation that preceded it. That's not the way to build an economy that lasts.”
Next, the president brought up manufacturing.
But no presidential order can force companies to bring factories here. Sure, tax breaks would help encourage them, but Obama's not seriously proposing those. Instead, his administration is promoting policies that drive manufacturers away — handing power to unions, health care reforms that only make the cost of hiring Americans workers higher, for example.
Nor can a presidential order change the course of our economic history. The simple fact is we're no longer a manufacturing economy.
As the Associated Press points out, “Over generations, the economy has become ever more driven by services; not since 1975 has the U.S. had a surplus in merchandise trade, which covers trade in goods, including manufactured and farm goods. About 90 percent of American workers are employed in the service sector, a profound shift in the nature of the workforce over many decades.”
As the Associated Press points out, “Over generations, the economy has become ever more driven by services; not since 1975 has the U.S. had a surplus in merchandise trade, which covers trade in goods, including manufactured and farm goods. About 90 percent of American workers are employed in the service sector, a profound shift in the nature of the workforce over many decades.”
As for American energy, the record is clear. Obama has blocked nearly every effort by American companies to develop domestic coal, oil and natural gas. Back when Democrats held both houses of Congress, Obama sought to slap energy firms with more than $35 billion in tax increases. And his most recent move, to block the Keystone XL pipeline, will make us even more dependent on the often-hostile Middle East for our energy needs.
And no, solar, wind and biofuels won't meet our needs. Not by a long shot.
His other point — jobs skills for American workers— have some merit. Skills training should be paired with unemployment benefits, as Texas Workforce Commission Chairman Tom Pauken testified before Congress last year.
But renewing American values? That's great, as long as we can agree what values are worth renewing.
We'd like to see Americans — at least those ensconced in the Obama administration — renew their appreciation for hard work and success.
And no, solar, wind and biofuels won't meet our needs. Not by a long shot.
His other point — jobs skills for American workers— have some merit. Skills training should be paired with unemployment benefits, as Texas Workforce Commission Chairman Tom Pauken testified before Congress last year.
But renewing American values? That's great, as long as we can agree what values are worth renewing.
We'd like to see Americans — at least those ensconced in the Obama administration — renew their appreciation for hard work and success.
