The S&P, Vote of No-Confidence to US Ability To Rein in Spending – Obama: No Problem! Solution: Get Off the Campaign Trail and Go to Work!

On the Campaign Trail while Rome Burns - image itmakesseneseblog

Bloomberg:in a nutshell, President Obama’s talking points on the recently downgraded rating by the S&P, is that there is nothing to see here…move along folks. He is downplaying an entity that is, in a word, able to influence markets not only in the U.S., but globally as well. The crux of the matter is that we have no obvious ability to get our financial house in order. The U.S., heading towards a Presidential Contest in 2012, has the President on the Campaign Trail. In order to satisfy his base, and get the cash necessary to continue, at least part of his 2008 media spending frenzy, the President must insult the Republicans. That’s the way it works, although one might wonder why he would bother to come out so early, given that the chance of anyone challenging him from within his own party is nil. It is also questionable, depending on the poll, if he even stands a chance to be reelected, given his track record a la Jimmy Carter, do donors really want to part with hard earned cash to finance a losing campaign? It’s early in the election cycle, if this were 2004, or 2000, even, that long ago, announcements were not made until mid-summer of the prior year. George W. Bush went on to announce in late August of 1999, not February or March or April of that year, and debates were held in October, not May. Therefore, if any one “team” needs to get on the stick so to speak, it would be Republican’s who need to raise funds for an election this early, not the President.

So, he dismisses those who would cut taxes, and talk’s red meat on a variety of stops, and then the President wonders why the S&P believes that nothing will change within our government to work towards reducing the deficit! They’ve noted that this “rating” may hold until 2013 (or when the post election dust settles).
How this effects Joe and Jane taxpayer – if you work for a private sector employer, you may have a 401K, that 401K is most likely vested in the stock market (at least in part) and with a lower confidence level on wall street, one might see losses in one’s 401K (or retirement) – which with Social Security not so secure, it is irresponsible for those who want to dish out red meat to their base, to do so until they can reach some sort of compromise at the very least and move our economy forwards.

(Just a note: most pension plans, public and private, have investments in Wall Street, and if the market does poorly, so do those who have pension plans they hope to utilize someday.)

Time to scale back the rhetoric.

The Chinese (or China’s government) weighed in with agreement on the S&P’s decision, noting that it was mostly symbolic and that they did not believe the S&P would actually go further, (WSJ), however, there’s more to the way the U.S. Dollar is seen in terms of those involved in “China’s Wall street”:

"The fundamentals of the U.S. economy do not support an AAA rating... the U.S.'s actual debt repayment ability has already collapsed," Dagong Chairman Guan Jianzhong told Dow Jones Newswires in an interview.
Dagong cut its rating on the U.S. in November last year to A+ from AA, with a negative outlook.
"We will consider a further downgrade the U.S. rating, as the economy hasn't shown any sign of improvement in its fundamentals," Guan said.
Guan said the U.S has already infringed on the interest of creditors with its policy of quantitative easing launched last year, which has caused the U.S. dollar to depreciate.”

(Source: WSJ article

Therefore, the Chinese have already decided the U.S. was not credit worthy, and our dollar is worth less on the global scale, as well as your pensions or modest savings, while Obama is on the Camping Trail, proverbial Rome burns. Get the man a fiddle.

If their time between golf games, vacations and campaign stops for the current occupant of the White House to actually work (with Republican fiscal conservatives) and hammer out some type of beget that would address the deficit, not raise taxes on those left to pay them, and find untold billions in waste, already found?

Absolutely, It takes a big man, and/or woman, (It’s been 3 am and the phones been ringing since 2009), to walk across the aisle and seriously listen to the other side in order to accomplish jack. Ever hopeful and optimistic that , although not a fan, that those we, the people, elected to do a job, stop the insipid bickering and make a few deals to get the nation back on track before more trucks carrying meat are hijacked!. (WTVY) It is the explosion of Carter Era, meat out of a trunk of a car, sales, that indicate the level of working poverty in the US. – Without an EBT Card (welfare) those that can no longer afford food (with the inflation on food and fuel, the U.S. Government insists is not a problem), will be able to buy “stolen meat”. The risks are obvious.

Therefore, all of them, need to get off their lofty high horses, and make some real improvement in whichever version of a budget that the White House care to dream up next – and as to those in the Congress who want the cuts, well, they should be listened to: Women will not die, The world will not end, if cuts to certain social programs are cut – especially when those organizations (i.e. Planned Parenthood), have sufficient donors, as well as the ability to accept insurance to cover costs. It’s all about politics and that has to stop – scarring defenseless leftist who cling bitterly to their abortion and whatever medication gets them through the night, as well as the elderly – (which is perhaps, the most egregious of practices by those in a certain party who feel that they own the elderly vote, (as well as the African-American, Catholic, Hispanic, and the all important, especially in close races, dead and missing vote) - They need only to refer to History!!! For one or anyone, that had lived through the 1970’s to 1979 (pre-Reagan), it is in jaw dropping amazement that one sees an administration as well as counterparts in Congress and the Senate, with the help of some of those in the Republican Party, to ignore the outcomes that resulted from the same nonsensical programs, and yet, they go ahead and just play dumb – as if the nation hasn’t seen this before.

So, to all of those sitting in the hallowed news booths of MSNBC, or pick a network, or print piece, that wonders out loud, and with much insult, how any one of the present GOP crop of non-political “presidential contenders” – could possibly be taken seriously by the American People, they obviously understand history all too well, which explains the vitriol towards two of the “outsiders” in particular, and anyone who dares to get close to stepping outside the “beltway” and go over to the dark side of speaking one’s mind and calling it the way most of the people see it.
A spate of recent remarks by pundits, Karl Rove, who is as relevant as yesterday’s news, dismissed both Donald Trump and previously Sarah Palin as unelectable; it keeps Rove in the Spotlight. Club for Growth feels the Donald (or anyone but Mitt Romney – see attacks on Huckabee in 2008 and whence they came from), is at it again. Those two entities are what the left press and White House are now using as “absolute proof” that neither Trump nor Palin, and wait, they haven’t gone after Huckabee in truth yet, will never best “Obama”. Maybe not in the beltway, but in (if using Gallop and Obama’s stellar approval ratings from last year (before stolen meat and S&P), 40 of the 50 states should go the way of whoever steps up to the plate, and offers the public more than they’ve been given in the past 3 years, and it is not about Federal Aid.

Can the President and Congress (Senate included), get their act together in a timely fashion in order to save all their jobs, and, which should be most important the nation and one’s 401K or pension? There is some time, but the clock is ticking. When those who have been fence sitting, (due to network contracts) finally decide to run or not to run, then all bets are off – should it appear that one of those who jumps off the fence resonates with American voters, despite gender, hair, or a penchant to preach on occasion, and should one of those show stellar poll numbers in 2012 from August forward, Wall Street and the World will react and that as well, is historical. When it looks as if someone is willing to do something to save the U.S. Economy, Wall Street reacts in the positive, when it appears someone who is clueless is about to take the reins , it reacts in the negative (just Google Wall Street Trends prior to the last 10 general elections, and a pattern emerges.). Can the public wait for recovery until such time? Of course, American’s are resilient and although the Dead May Vote, and the majority of Catholics, will cast their ballots for the Democrats, World Peace and yes, Planned Parenthood, it will not be enough to save the jobs, of those who failed to dare to be different, follow historical patters instead of pre-conceived ideology and difficult as it may be – reach across the aisle and do something positive.

2012 GOP Update: Palin Wins Praise - LA Times Compares to Obama – Trump Given Credence by Vanity Fair? The Outsiders in the GOP Field –It’s About Time

Nothing drives the establishment press and Beltway pundits (from all political affiliations) about the bend more than someone whom “they” feel is not “up to snuff” attempt to throw a proverbial hat into the ring of political ring as a candidate for higher office – be it a Senator or in this case a run at the Presidency. It is evident, and has been since one Sarah Palin hit the stage in 2008 at the GOP convention as the Vice Presidential Candidate that there was something “not quite right” about Sarah. For starters she didn’t have an “Ivy League” degree, nor was she a “Washington Insider”, she didn’t speak in the manner to which both East and West coast academics were accustomed, rather used language and colloquiums that were more in tune with those whose education and “class” might be suspect to those who consider themselves America’s Elite. The fact that she was a woman and conservative, that was too much to bear – from the right and from the left came barbs from the ludicrous to the just plain crass – and it continues today, with little known professors writing tomes about Palin that are more fiction than fact. Palin is no longer alone in the field of “possible candidates” whom the press and the Beltway are now heavily vested in demeaning for being – themselves. Donald Trump, the real estate mogul, reality television star and well, all around Trump, has also thrown is “I’m considering a run for the Presidency” out into the big pond of politics. Trump is also considered, like Palin, not up to snuff, he’s too…..pick something, from his hair to his shoot from the hip (very Palin by the way), style of answering questions asked straight on with no apologies is pushing Karl Rove and company into a tizzy.

Of all the candidates who might run (and one has to speculate that it is a combination of television contracts as well as the scope of the mess one would have to clean up, among mundane things like a rabid press and Beltway) the aforementioned make the most sense. They are who they are, and refuse to change to appease the press and or academics – which stands them in good stead with the “regular folk” – in other words, the very people who are fed up with the entire “holier than thou” or “smarter than thou” attitude one sees coming from those that truly believe they are just that “special”. The fact that one has a degree from Harvard, Yale, or has spent 30 years in the Senate or as an advisor to whomever, or is the “star” at a certain media house, or better yet the editor, publisher or producer, does not necessarily mean, that common sense is present, nor an ounce of understanding of our nation’s founders intentions. The intent was a citizen’s government, and no citizens were exempt from holding office (unless, of course, they were foreign nationals, and then there are some exceptions as to which offices they may hold). There was no mention of one having to go to Harvard or Berkeley, there was no mention that one must speak a certain English dialect, and one did not have to be part of an “elite” club that told the “masses” what to think.

Simply because the aforementioned candidates resonate with the “regular folk”, the elite are having a hard time wrapping their minds around what life might be like, post-Obama with either Palin or Trump holding the highest office in the land – thus out comes the barbs. One has to hand it them, they being perfect and the rest of us being just…not perfect enough, they make some fine points, while missing the big picture. On Trump especially, they’ve investigated everything from his hair to his serious intent to run, specifically pointing out that NBC media execs are hoping he won’t run, putting on hold their very popular program “Celebrity Apprentice”. That fact becomes “Donald isn’t serious”. What if he is? He sounds about as serious as a heart attack, and as his stock has risen, he has actually appeared to push other competitive minded politico’s (ok one) out into the open – Sarah Palin.

An article in Investors Business Daily headlines “Palin Fresh Breeze in Wisconsin” and goes on to speak to her amazing speech that was given at a Tax Day “Tea Party” rally in Madison Wisconsin this past week, in the editorial she did nothing wrong and everything right – specifically when she called on the union workers rather than on the union bosses who, as one should be well aware, specifically study the art of “labor” at colleges and universities, in order to rack up a higher than average salary in order to “organize labor”. (See course of study at University of Massachusetts). The article compared her to Ronald Reagan, a first, and although IBD is not the Wall Street Journal or the New York Times, the fact remains, the article was not written by some anonymous blogger, or a “blog for Palin”. She has struck a very hopeful nerve. The Los Angeles Times went one step further comparing Palin’s Passover Wishes to President’ Obama’s, with, one has to read the article (see link) straight reporting. No kidding.

Enter “The Donald” – who is so well branded, he’s international in scope – Vanity Fair (read that twice) released an article: Despite NBC’s Reported Skepticism Donald Trump May Actually Run for President” They quote NBC executives, (Who better to know the inner workings of Trumps plans than those who stand to lose the most should he walk off the set of the final show and go directly to a press conference and announce he’s running for President?) by saying it’s “Donald being Donald” (Vanity Fair). Then they start go into specifics: as to the reality of a Trump campaign by pointing to who he is interviewing for specific posts for a Presidential Campaign.
From Vanity Fair:

On the other hand, Politico is not so sure this is not just a case of Donald Being Donald. In an article today, Ben “Who?” Smith and Maggie Haberman argue that Trump is “taking very concrete steps toward forming—and announcing—a presidential campaign.” In the past weeks, the Trump Organization C.E.O. has interviewed consultants and potential campaign managers, placed dutiful phone calls to religious gentlemen of outsize importance in Iowa and Florida, and summarily reversed a long-held belief—all behaviors characteristic of someone whose endgame is bigger than Sweeps Week. Plus, now he even has a slogan: Donald Being Donald … For America.

The author even got a swipe in at Politico, as if the blog is well, less than print worthy. The fact that Trumps and his Organization is interviewing (and vetting one can bet the house), campaign mangers and consultants for a run, speaks volumes. One can’t miss the sarcasm of the alleged slogan - that said, it was a fair article.

Finally, despite the hue and cry over a late start by the entire field of GOP candidates as well as the polls that show President Obama with an edge over “pick one”, the simple matter is that until 2007, announcements came as late as August, with those announcing later, going on to win the nomination. The trend towards early annulments and campaigns appeared with the 2007 Democrat campaigns, with President Bush ending his second term, the Democrats and Republicans pushed past the norm, and backed the actual debates and announcements up six to nine months eelier than the historical norm. The media and the politico’s apparently had something to gain – ratings for one, and something to write about, for two. Therefore, if Trump decides in June and Palin does as well, and Mike Huckabee throws his hat in the ring in July, it would be the norm for American Politics. Debates were previously held in Octobers of the year prior to the primaries. Let those that care to speculate, speculate (because it is vastly entertaining), and then, when these candidates are ready to announce, and they will do so, one is fairly sure, to the people not the media or ask permission of Karl Rove and Co. (Rove by the way, has downplayed both Palin and Trump, and anyone who does not fit the Rove Standard – mini-chalkboard and all –not that Rove isn’t a smart man, it is that Rove is part of that Beltway Inner Circle – which might prevent him from taking seriously anyone that is not – as in the case of both Trump and Palin – he also thought that Scott Brown in his race against Democrat Martha Coakley in the Massachusetts special election to fill a vacant senate seat, way back in 2009, was not terribly competitive, he spoke to the fact that Brown “might come close” this was a week before voters went to the polls – Brown, if one recalls, rode his pickup truck across the blue state, and spoke like – a regular guy.).

The regular guy effect (or gal) – it is something about people who resonate with the voters, and they do say things that, yes on the face of it, might appear outlandish, if one is not used to say a Queens accent or a Midwest transplant Alaskan accent – otherwise, those that are willing to overlook the fact that someone might not have the best degree, silver spoon, or criteria set forth by the elite corps, will most likely vote for the person who will get the job done, and has a track record of getting things done, as does the former Governor of Alaska and as does Donald Trump.
The problem facing American’s Therapists to the Elite at the moment is which syndrome they may have to treat – Palin Derangement and/or Trump Derangement!

Polls: Rasmussen Reports recently released a blistering poll on Trump versus Obama, digging into the vault on Trumps “favorability ratings from May 2007”, and comparing data from early March (before Trump was a twinkle (or thorn) in the eye of the establishment (for lack of a better word). In the scenario of the poll, if one looks at it on face value, the fact that Trump, yet to announce and only in the eye of the press for over one month (while speculation on other candidates has been taking place for six months at least (see Mid-terms in October of 2010 and the official starting point), Trump is merely 15 points behind Obama, who, incidentally does not break 50% of the vote. The final number pre announcement by anyone is Obama 49, Trump 34 – shades of Scott Brown and the Coakley poll produced by the Boston Globe back in January a week prior to the election.

Here’s this opinion – both Palin and Trump add excitement to the race, and a quality of can do attitude that will resonate with the public (and it already does). Both are qualified by virtue of the fact that they have actually run something, other than for office. They are both genuine articles, who relate to the regular guy, they sound just like the regular guy, and there is nothing that a million negative articles, YouTube video’s, toxic blogs, or academics looking to sell 15,000 copies of a bad book can do about it.

When the debates do roll around, if these two qualified and interesting individuals are on the stage, with the rest of the “yet to announce”, it will boost rating through the roof.

The nation will be glued as it needs to know who to vote for in the event this nation does not improve drastically in the next 6 months. By that: increasing and damaging inflation of food and fuel, the fact that the S&P is about to downgrade the US credit rating (which has far reaching consequences, global consequences), wars on three fronts, and the usual or unusual amount of assaults on the homeland by Mother Nature. (The later in reference to the recent devastation in the southern U.S. where the White House has no plans to even do a flyover as of this writing. Whereas one can imaging Palin in with both feet on the ground helping to rebuild (literally), and Trump insuring the that all was well by hiring the right people for the job, and actually showing up.)

It is what America needs now, a President who shows up – A President who isn’t’ so concerned with his chances for reelection that he endangers the economy while on the “stump”, a President who actually relates to the people, and does not lecture them. It is time for the “Joe or Jane American to step up and take the reins, and this is not to say that either Trump or Palin is either average, they are rather exceptional individuals who have the gumption and wherewithal to withstand the assaults made by a group of pantywaists that cannot see past their own importance, and make the tough decisions necessary to run a nation.

U.S. Government - Raising the Debt Ceiling – Consequences Raising Taxes – Politicos as Usual not Fooling the Public.

Economy no place to play politics as usual - image milktheclock.com


The current administration is bent on raising the U.S. debt ceiling according to an article in Politico: Tim Geithner, Treasury Secretary “and administration’s point man”, spoke on several weekend talks shows noting: he was certain that lawmakers would avoid disaster by voting to raise the $14.3 trillion ceiling.
“Congress is going to have to raise the debt limit. They understand that. That’s absolutely essential to preserve the credit-worthiness of the United States of America.”

Further, several Republican lawmakers noted that they would be willing to raise the debt ceiling if there was a balanced budget amendment attached (Politico), however, the likelihood of the administration reining in spending, given the history of the current administrations eagerness to spend, is unlikely. The fact of the matter is that without deep cuts in spending, which would include entitlement programs, there appears no way to balance the budget. The President, already on the campaign trail for reelection in 2012, had made remarks regarding the House Republicans’ attempts to cut the Health Care Reform Act, by saying they would not touch “his” health care plan in taped remarks and further sarcastically denounced Rep. Paul Ryan (R-WI), as “America's accountant and trying to be responsible”.

Without a willingness to cut or redesign programs that are money eaters, the only other option is to raise taxes across the board – which was made clear by the Senate Republicans who, according to the Washington Post: have been willing to discuss a budget deal that would include raising more money through taxes, along with making deep spending cuts, to help reduce the deficit.

The question remains, what programs would these lawmakers, from both sides of the aisle, cut, in order to satisfy constituents or their “base” going into the 2012 elections? One would find it difficult to imagine that the largest entitlement programs: Social Security, Medicare and Medicaid would be revised under any circumstances, and pork is, for some members of Congress, untouchable. Until and unless somebody in the government is willing to take a political hit to save the solvency of the nation, the downward spiral will continue – and as long as the partisan finger pointing by the President and the Democrats in both house, as well as certain Republicans continues, (while in campaign mode), with the debt ceiling raised, and no control over spending continues, the value of the dollar declines, and inflation will increase – to Carter’s levels.

According to reports from the Bureau of Labor Statistics, if one does not factor in food and fuel, the inflation rate is actually quite low, however, when food and fuel are introduced, the rate of inflation (which is considered volatile and subject to change), the rate is approximately (according to the BED) 2%. Add this to the current unemployment rate of 8.8% , and the Obama Misery Index is currently at 11% - or three points behind former President Carter’s 13.8% high.(One who shops for groceries now, may find that inflation rate to be on the low side.)

The rise in fuel prices at the pump ($4.00) reduces households disposable income, add to that the rise in food prices (which are directly impacted by the rise in fuel), do not appear to be going down anytime soon. When consumers have less to spend, due to food and fuel costs, those industries that rely on expendable income are forced to close doors – causing additional layoffs and a resin the unemployment rate. The U.S. is now on an unsustainable course, unless someone steps in and takes the political gloves off, and put s the American Public first.

We do have solutions, unfortunately, they are not politically correct solutions, such as drilling offshore, and removing the ban on the Alaskan oil fields; even a hint of ending the ban on drilling and opening up our lands to drill, would send the prices of oil downward, as evidenced by the actions of the Congress in 2008, when a band of house Republicans stayed on the floor to force then House Speaker, Nancy Pelosi, back into session in order to vote on offshore drilling. The price of gas at that point had risen dramatically; it worked, with the results that without a single drill touching the earth, the commodities traders backed off, and oil re-adjusted. In addition, President George Bush had authorized a rebate to the American public, a stimulus so to speak, in order to “jump start” the economy, after the rise in oil prices. Unfortunately, instead of spending that money on hard goods (electronics, etc.), most used the extra check to pay off credit cards which had been used to buy high priced fuel!. There appears, no matter the party in charge, a tendency to move too little too late.

Unless the government is willing to reign in wasteful spending: a Report released by the GAO, found that over one hundred billion to upwards to 200 billion in waste could be cut from the federal spending spree. The report, available < a href="http://www.gao.gov/new.items/d11318sp.pdf">here in PDF, addresses areas of waste and duplication that are, mind boggling. Perhaps someone should send a copy to Obama, Geithner, the Senate Republicans and anyone who’s currently attempting to save the economy, as a starting point in reductions. Of course, these are smart people, so they must have access to the report, preferring to politicize, rather than come up with any real solutions.


Trump and Huckabee, the two GOP Poll Leaders can they stop the madness? - image Politico

As the overburdened U.S. taxpayer (which is only half the populace, and mainly middle class, takes one hit after another going forward to into the 2012 elections, those in power should pay careful attention to the man behind the hair, who, although characterized as a “clown”, and “not serious” has been polling gangbusters in the last two weeks on the GOP side. Donald Trump, one might dismiss out of hand, however, in a non-scientific poll of 18 to 24 year olds, conducted “on the street”, by this blog (sample 100 in Massachusetts), all likely to vote in this election: were asked the following questions
1. What do you think of the President?
He’s got to go (expletives and strong language removed.)
2.Who would you vote for?
“You’re fired”! – Trump he’s “cool”
3.What does Trump stand for politically?
I don’t’ know and I don’t care.
4.Then why would you vote for him?
“Obama is old news, Trump is cool”.

Granted this is a multi-cultural, multi-racial, multi-religious group of high school seniors and colleges students who see no future under the current administration.
5. How likely are they to vote: Very.

Democrats or Republicans – neither, regardless of their Professors urgings, they are more to the point ready to vote for the Next American Idol.
This is how the economy impacts all voters. On the Press and its run of Donald Trump and the “Birther” issue – the response – “who cares”.

Granted not scientific, therefore, would love to see a real poll conducted across the nation, not just in blue state Massachusetts, not by some casual blogger, but by a real pollster with, as they say “street creds”.

It is, to sum it up, The Economy Stupid” and with the waste, the political machinations and the finger pointing, any candidate, Trump, Huckabee, Palin, who gets in front of the people and is blunt about prospects and how to fix them (a la Trump) will stand a better than even chance of taking on the 21st century’s Jimmy Carter.