Update: Comparison Obama-Carter – Misery Index - Fed Warns of Rising Inflation

In an analysis of historical data comparing economic policies and like situations between the Carter and Obama Administration (See below) a pattern had developed that suggested a return to the Carter Misery Index (a combination of high unemployment and inflation). At the time, (April 3, 2009) the missing factor appeared to be inflation, which was relatively stable, however, this week the fed has suggested that general rate of inflation will indeed rise and suggested caution. The statement, made by Charles Plosser, President of the Philadelphia Federal Reserve branch follows:

“The economy may be at greater risk of inflation than the conventional wisdom indicates,” Plosser said in a speech yesterday in New York. “While inflation expectations appear to remain anchored, we should not become sanguine about our credibility. It can be easily lost.”

As the price of gasoline has risen up to 23% in the past year in some urban areas, and staples such as food are predicted to rise by a substantial 9% by year end, a general inflation trend, added to an 25 year high unemployment rate sets the stage for an historically high misery index.

Article from this blog: April 4, 2009

The jobless rate in the country has increasesd to 8.5 percent with 633,000 additional jobs lost in March. This rate is just .5 percent below the Carter unemployment rate of 9% in 1979.

Add inflation and the Misery Index (combination of unemployment and inflation) may rise above Carter's 20% sooner than anticipated.

Inflation rose dramatically after Carter approved a 4 billion dollar job creation (stimulus) package (email for full article). (Adjusted for inflation, that job stimulus package would cost approximately$14,448,797,250.86.) Interest rates on new home loans rose to an average of 14% by 1979, causing a "housing slump". Bloated budgets, stimulus, auto bailouts (yes it has happenned before), and bank bailouts, all contributed to the "misery".

Should the current administration fail to reign in government spending, and roll-back the stimulus (as suggested by certain Republican's), one thing is certain: History will repeat itself.

Reporters Banned from White House Event – Obama Administration Produces “State News”

During a recent, yet on the face of it, inconsequentialmeeting between the UConn Women’s Basketball Team and the President, the White House press corp was held back, while the President and Team met sans press. Later a video of the event, produced by the White House (shown below) was released. This appears to have some reporters a bit perturbed, including ABC’s Jack Tapper, whose piece on the ABC News Blog, Political Punch, questions how far the President is willing to go when it comes to avoiding tough questions from the press.

This should come as no surprise to those journalists and the public who were given insight into Obama’s politicals inspiration, Abraham Lincoln, and his outreach to leaders of certain nations that filter news to fit a specific message (Venezuela). In reviewing tactics used by Lincoln when he felt pressured by nagging reporters and editors who were less than enthralled with certain practices, Lincoln merely suspended the Constitution and jailed those editors who disagreed with his point of view.

Although the scenario that either State sponsored news broadcasts or the incarceration of journalists and editors is somewhat far fetched, considering the outlets available to anyone with a communications device, the concept of the President of the “Free World” giving a one-sided view of events is a bit unnerving. The “News Cast” below, complete with the “White House Logo” (*mentioned as OTV by Mr. Tapper) is available on YouTube, reaching a demographics that would, in all likelihood, not be watching ABC, NBC, CBS or Cable News broadcasts – those in younger demographics. To date, that video has received 509,601 impressions on site, and is most likely posted to social networking sites (MySpace, Facebook) as well as blogs (see below). (In other words, a very small, but easily influenced, segment of the population.) It appears to be more “vanity” on the part of the President (who also, one must be reminded, purchased Channel 73 on the Dish Networkduring the campaign.

Also, the move to YouTube is not new for the Administration; videos have been appearing for the past 4 months, in some instances using the White House Logo as an identifier. That said, in those instances where there was an event, including bringing home a new dog, reporters were surely attendance. Therein lays the rub. Should the press continue to be “pushed back”, then it might behoove Mr. Tapper and his peers to take it to the people they serve, granted Network News certainly will not reach those that prefer “OTV” to a brand of journalism that does not fit a prescribed point of view. Perhaps Jack Tapper has a different concern:

prop•a•gan•da (prŏp'ə-gān'də)
n.
Official government communications to the public that are designed to influence opinion. The information may be true or false, but it is always carefully selected for its political effect.
The American Heritage® New Dictionary of Cultural Literacy, Third Edition
Copyright © 2005 by Houghton Mifflin Company.
Published by Houghton Mifflin Company.

Massachusetts – Free Cars for Welfare Recipients Draws Fire from Bay Stater’s

The State of Massachusettsknown for its “generous” entitlement programs and subsequent high taxes (and never ending tax increases to pay for said programs), has requested additional monies for its free car program for welfare recipients. The program includes the car, the insurance and a years’ worth of Triple AAA!

Citizens of Western Massachusetts are putting their two cents in over at MassLive, The Springfield Republican, website The online poll currently indicates that 90% of Massachusetts respondents (taxpayers?) object.

Channel 40 Springfield’s report below:

Free cars for welfare recipients draw criticism

It goes without saying that after a 25% sales tax increase passed by the State Senate this week, and more taxes on the table, Massachusetts taxpayers are sick of those who bleed the system dry. One has to appreciate the irony of the fact that those free cars Obama promised on his road to the White House are already a reality in the State governed by his friend Deval Patrick (The original “Yes We Can” man).