Obama’s Tricke-Down Economic Plan

Posted: October 2, 2008 in Barak Obama, Economics, Socialism
Tags: , ,

I just read Barak Obama’s economic plan. I think it was modeled after the wildly successful economic plans of Lenin and Castro. But it is socialism to the core, complete with punishments enacted on the successful. What he calls “restoring fairness in the tax code” is itself code for social engineering. If you have been successful, you will be punished. If you have made bad business decisions (well, life decisions in general) you will be rewarded.

Not as ham-handedly worded as Hillary Clinton’s inelegant promise, “I’m going to take the profits of Big Oil and use them for…” (fill in the blank) Obama’s plan calls for the same gratuitous raping of a legitimate American enterprise. How is it that a candidate for president of the United States comes to believe he (or she) has the right to steal the profits of an American corporation to use at his own discretion? Both Hillary and Obama are attorneys. Have they never read the constitution?

When they steal the money from Big Oil today, and, who knows, Big Pharmacy tomorrow, who are they, in fact, stealing from? Well, the profits go into many things. Profits are what help companies expand and develop new products and create new jobs. They also are distributed to shareholders of the corporation. Some of these shareholders are the hated millionaires. Some billionaires. Most are people like you and me. They are people who own pension plans, mutual funds, IRA’s or 401K’s invested in a diversified portfolio of companies they hope all make a profit that can be distributed. We are counting on that growth to help our retirement years go well. But, I guess in the Democrat world, we are supposed to rely on Social Security or other government programs to ensure our livelihood. We must all love Big Brother!

High school econ students should be able to correctly predict what will happen to gas prices when the government imposes new taxes on oil. That is true whether it is called a “wind-fall profits” tax or any other type. What will happen, class? Very good, students! Gas prices will rise. Those mean oil companies will raise their prices to match the new cost of doing business. Unfortunately, that truth seems to be lost on Obama and Biden.

Reading through Obama’s plan you cannot help notice that nearly every proposal is about some new or expanded government program that increases the role of government in everyday life. We will get a new $1000 tax refund for “working families,” create an Advanced Manufacturing Fund (untold billions), double the funding for something called The Manufacturing Extension Partnership (MEP), $150 billion in Clean Energy Economy that will create “Clean jobs,” get new job training programs, create a Renewable Portfolio Standard (RPS) that will mandate that 25% of all energy come from renewable sources by 2025 (well after he would be out of office). Besides these he will create a national bank, something called National Infrastructure Reinvestment Bank “to expand and enhance, not supplant, existing federal transportation investments,” since apparently we don’t fix our roads and bridges now (despite the orange barrels and construction workers you see all over the highway).

The whole plan reeks with built-in invitations for cronyism, kickbacks and fraud. Who will be rewarded with new government contracts? Depends on who is put in charge of the government entity created to reward those whom the entrenched powers endorse. Friends and political patrons will be at the front of that line. For all Obama’s talk about fairness in the tax code and creating a level playing field, the whole system is fertile breeding ground for expanding the Old Boy System.

Obama has blasted the idea of trickle down economics. But it is clear he is all for trickle down economics as long as it he is the one on top, trickling down on the rest of us. Because he knows so much more than the aggregate of business professionals how to run the economy, he will better decide how capital should be spent and invested. It should not be left to the capitalists who created the wealth to determine how best to distribute it. Trust Obama.

Change? You’d better believe it!

(For an in-depth analysis of his tax and spending plan check out this one from the National Taxpayers Union, http://www.ntu.org/pdf/P080925_ObamaAgendaCostUpdate.pdf .)

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