Obama's Economics

Obamanomics, the new word for economic disaster. If we thought John McCain was left behind in the economic education department, wait till you take notice and read all about Obama's proposals for America. If you have read my post titled "show me the money" this will just be more detailed information on policies.

According to Larry Kudlow of CNBC, "Obama's spend-o-meter is now up around $800 billion." Try that again .. $800 billion. And by taxing only the rich will not fill the coffers enough to fulfill all of his pledges and promises. He is going to have to attack the middle class to meet his financial responsibilities.

Lets start with his proposal to increase the minimum wage to $9.50 an hour and would like to see minimum wage attached to inflation. As inflation increases so does minimum wage. Now this doesn't look bad, does it? Lets consider the true impact of such an act. It will promote to hiring of more illegal aliens, they are off the books and work for slave wages (America's new slave trade). More of our youth will not have the opportunity to earn money because no one is going to hire extra help at these prices. Lets take this a step further, your Big Mac is going to cost you a few extra dollars to support the high wages paid for unskilled workers. For your information, minimum wage was invented to provide a minimum income for a "trainee", unskilled, untaught individual. This level of income was NOT intended for you to remain there, just to learn and move on. Each time these wages have been increased, fewer of our young men and women are able to find jobs because fewer small business are hiring more people.

Although 52% of American citizens own stocks, Senator Obama wants to raise the Capital Gains tax to 30%, doubling the current 15% tax. What does this mean to our economy you may ask. It will lower the investments made by corporations, individuals and investors. These investors will most likely seek investments in foreign markets, and keep from paying taxes on the gains until they sell them. They don't have to sell them until our tax policies are realistic so the outcome will be a lowering of American investments. This will cause a downturn in our economy and provide us with excessive unemployment.
Why would Senator Obama do such damaging maneuver? Simple, Mr. Obama maintains very few stocks. Obama has never been an investor and as such does not understand the principles. All he is looking at is the fact that CEO's and managers are reaping huge sums of money from stocks and thinks that they are the ones taking money from the people. In order to punish the stock brokers for earning money, he is willing to punish the entire economy and all of the small investors. This is pure ignorance of economic matters at work.
Under Obamanomics, the United States will become the highest taxed nation in the world. While most nations are lowering their tax rates, he will be raising ours. More than twenty countries have adopted the "flat tax" principles that have been touted by such pundits as President Ronald Regan, Steve Forbes and countless others. Our foreign neighbors will have a booming economy while America will lag behind and possibly go into an extended recession. Obama's economics will such the lifeblood out of our economy and our nation.
Stay tuned for more information about Obamanomics.