Posted by
John Kuethe on Friday, February 20, 2009 11:36:25 AM
Just weeks into President Obama’s administration and days after his stimulus package was signed into law, palpable backlash to the economic ramifications of the tremendous welfare state he is creating are being seen, heard, and felt. The question is how this backlash will manifest itself; thus far it has been with the continued fall of the stock market, and now we are seeing public displays against the damage he is doing to the United States.
The entitlement mentality is driving the economic changes the President is pushing through, and this mentality may well fuel a response far from what he expects. It could, in fact, be the spark that ignites a renewed conservative movement and drive momentum in a push to win back congressional control in 2010; not unlike what took place during the Clinton Administration when Newt Gingrich led a conservative resurgence with the Contract for America.
Wednesday morning, students from an advanced placement government class at MesaDobsonHigh School watched President Barack Obama’s speech on closed circuit television. Even at their young age the students questioned the President’s plan:
"If businesses can't afford to hire people, then people won't be able to work and pay off their mortgages," he said. "It's kind of like putting money into20a funnel." Albach, who is also a Republican, said Obama's plan sounds good but questioned how Obama can want to rely on "people's responsibility" when that is "what got us in this economic crisis in the first place." Story
Yesterday, CNBC reporter Rick Santelli was on the floor of the Chicago Board of Trade where he reported on the mortgage bail out:
SANTELLI: The government is promoting bad behavior! How this, president and new administration, why didn't you put up a website to have people vote on the Internet as a referendum to see if we really want to subsidize the losers' mortgages or would we like to at least buy cars and buy houses in foreclosure and give 'em to people that might have a chance to actually prosper down the road and reward people that could carry the water instead of drink the water. This is America! How many of you people want to pay for your neighbor's mortgage that has an extra bathroom and can't pay their bills? Raise their hand. (boos) President Obama, are you listening? CNBC: Video
Mr. Santelli is a reporter for CNBC, part of the media, I truly wonder if his bosses will let him keep his job and how long the video will be available online.
Additionally, it seems that even the Mayor of New York, Michael Bloomberg has realized that raising taxes on top earners could drive them from his city, creating a net loss of revenue. This from the Walstreet Journal’s : Opinion Journal.
But late last week Mayor Bloomberg was channelling these columns when he said that raising taxes on high earners could drive them from the city. "One percent of the households that file in this city pay something like 50% of the taxes," explained the Mayor. "In the city, that's something like 40,000 people. If a handful left, any raise would make it revenue neutral. The question is what's fair. If 1% are paying 50% of the taxes, you want to make it even more?"Opinion Journal.
Finally, the unlikeliest of people stepped out and weighed in on the Rapid move toward Socialism by the Obama administration. Russian Prime Minister Vladamir Putin, of all people, cautioned us to learn from the Russian experience and not take the path of excessive government involvement in economic activity:
“In the 20th century, the Soviet Union made the state’s role absolute,” Putin said during a speech at the opening ceremony of the World Economic Forum in Davos, Switzerland. “In the long run, this made the Soviet economy totally uncompetitive. This lesson cost us dearly. I am sure nobody wants to see it repeated.” Story
The Russian leader’s cautions against repeating the mistakes they made shows that even they do not want to feel the negative impact to the world economy that the Obama plan is likely to cause. All of this is taking place just days after the implementation of the wealth redistribution plan and people begin to grasp the potential economic impact of it. There is a growing school of thought that the days of American prosperity are over.