PoliticalHeresy

Ok, so our congressional buffoons went ahead and passed a bailout in which Secretary Paulson has the power to go out and consume bad paper to his little heart’s desire in an effort to unclog the constipation of credit liquidity in the banking system.  We as the American public now own most of AIG, treating them to $34k / night hotel visits along with their well-deserved spa treatments.  We’re being told that this is the worst economic crisis since the Great Depression.  This self-fulfilling, fear-based prophecy is becoming remarkably accurate.  So what’s next?  Are we going to have to buy up stakes in all of the major US banks, seems like Paulson thinks so.  I almost forgot.  We were in such a hurry to get this time-sensitive bailout bill passed that we’re going to sit on the $700 billion until the next president takes office.  Hmm….something’s fishy here.

Its starting to look like there is a combination of two main problems starting to take hold here:

1.  The bailout didn’t solve anything!  The fear-mongering administration convinced the idiots in the senate that they needed to move fast.  The contents of the bill (tax-breaks for wooden arrows, indians and even bicycle commuters) were pretty much irrelevant, while the House Republican’s got demonized for standing up for the average taxpayer, letting the 40% of House Dems take cover for voting it down.  The problem is still not fixed.  We’ve found a way to turn the Almighty Dollar into an inferior currency and still have a problem.  Maybe the government can’t fix this problem.   When the government is not there to fix the problem, how do we go about fixing things?  Maybe the free market should try to figure this one out….nevermind, we killed that.  Now its up to the Warren Buffetts of the world to show us how we really should have played our cards.  We need the government to buy preferred stock in these financial institutions and then use their new power to mandate that these companies fix the slew of semi-fraudulent mortgages that they handed out like lolli’s at the pediatrician.  Now they gotta go pay the costs for the dentists for all those kids who they just gave cavities to, with the kids being the people who bought homes that they couldn’t afford.  No bonuses to the executives until they can start making a profit on these houses.  That requires them to do just about anything they see viable as a way to keep people from defaulting or foreclosing on these overpriced homes.

2.  Here’s the theory behind this economic downturn that I haven’t heard anyone in the media talking about yet, because I’m sure it would be picking on Obama and his tax plans, but here goes….  There’s a trend here though!  With each day that Obama seems to become the clear frontrunner in the presidential race, the stock market plunges some more.  Could this be related??  Let’s think this one through.

Obama wants to raise taxes on everyone making $250k or more a year.  According to the Brookings Institute (Here),  this would include raising the taxes on almost all small businesses and all large businesses.  He wants to raise the capital gains tax - raising the tax on anyone who owns stock or securities.  He wants to raise the social security tax, so anyone who works pays more.  BUT WAIT!!  He says 95% of people will get a tax cut.  This is where is math doesn’t make any sense.  40% of Americans DO NOT pay federal income tax at the end of the day.  This is essentially enacting wealth distribution….socialism.

So, through these rosy glasses, let’s examine what is happening to the markets.  We’re having a tough time already, the taxes on the companies on Wall Street are about to go up (assuming an Obama victory) and now everyone who owns stock is about to pay more on their gains.  Hmm…it only makes sense to me to pull any money I have out of the stock market.  The Street is not stupid!  An Obama presidency is BAD for our jobs, businesses and our economy as a whole.  

Stop Obama, stop the plunge!

Now I’m not saying this is the only reason our economy is tanking, but it is a catalyst to the market sell-off.