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Posts Tagged ‘George W Bush’


President Donald Trump has proposed tax cuts for the rich and corporations, which is another way of saying Trump wants tax cuts for the rich and then more tax cuts for the rich. In other words, the person who will most likely benefit from the Donald Trump tax cuts is billionaire Donald Trump. The 99 percent will get virtually nothing. In other words, Trump’s tax plan is designed to create greater income and wealth inequality in a nation that already has the most income and wealth inequality among the industrialized nations.

You will note in the video above, while they make some good points about Trump’s tax cuts for the rich, the folks at MSNBC fail to mention growing income and wealth inequality because the Wall Street controlled Democratic leadership doesn’t want its station MSNBC to mention it any more than the billionaires who control the Republican Party want their news outlets to mention it. Currently, the rich steal anywhere from 24 to 38 percent of all income produced in the United States, compared to 8 percent in 1980. In addition, the richest 10 percent of Americans own more wealth than the bottom 90 percent, a historic and still growing record.

As corporations get tax cuts, much of those tax savings will go to the rich via higher corporate profits, rising dividends, and surging stock prices. The rest of us will suffer the consequences. In addition, of course, corporations will have more money to invest, supposedly to create jobs, as if giving corporations tax cuts will magically increase consumer demand. That’s not likely. So what will they invest in?

Historically, US corporations buy other corporations, especially rivals, when they receive tax cuts or higher profits. This, of course, creates redundancies in a variety of job areas, such as accounting and computer technicians. When mergers occur, employees are the first thing to go in order to eliminate those redundancies. Of course, to help pay for these mergers, jobs will be exported to low-wage nations and the difference between the higher paying US jobs and the new lower wage jobs in China, India and elsewhere will fuel corporate profits, and push up dividends and share prices. That’s what those free trade treaties have been negotiated to do, and Democrats, like Wall Street Senator Ron Wyden, are not stupid little boys and girls who are ignorant of this fact.

This is one of the reasons why there is not a shred of evidence that supply-side economics, otherwise known as tax cuts for the rich, has ever created a single job, but there is plenty of evidence tax cuts for the rich and corporations have destroyed US jobs. Under President George W. Bush, tax cuts were enacted for the rich, making certain that the growth in jobs and real wages were negative, the only time in US history that has occurred under a single president since Republican Herbert Hoover.

Naturally, there are other things the Republicans are refusing to mention.

Gary Markstein / Creators Syndicate

There will be an increased federal deficit of $2.5 trillion, which is typical under irresponsible Republican administrations and Congress, just like the Reagan years, and the other twelve years under the Bush presidents. Naturally, cutbacks in federal spending will be proposed.

Republicans and some Democrats will insist the US is not spending a sufficient number of dollars on its military, so that will not be subject to reductions. The US spends more on the military than the next 25 nations combined, 24 of whom are US allies, but clearly, that’s insufficient because US military spending is quite profitable. However, social security, Medicare, Medicaid, and other less profitable programs that help the politically powerless will be on the table for cuts if Trump’s tax cuts for the rich sails through Congress.

The rich, of course, have stolen just about all real income and wealth increases over the last thirty-five years, thanks to their financial abilities to corrupt both major political parties and the federal government in the process. Naturally, their dirty money has also corrupted most state and city governments. So, obviously, the financial and political deck is completely stacked against the 99 percent.

Luckily, the Democrats in the US Senate will object to this irresponsible behavior because the billionaires of Wall Street who control the party will object to it. That’s the only reason why Democratic senators like Ron Wyden will likely oppose the legislation. Even some Republicans may oppose Trump’s tax plan because it is completely against the national interest, that is if one assumes the citizens of the United States who make up 99 percent of the population are a part of that national interest.

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For the past several years, US job growth has been weaker on a monthly average than when Jimmy Carter was US president. There’s a reason for this and a lot has to do with US corporations exporting jobs. Click here for that story. This brings us to former President Obama.

As a United States senator, Barack Obama demanded President George W. Bush do something to counter Chinese currency manipulation. As president, Obama mentioned Chinese currency manipulation one time. Then some politically powerful billionaires likely placed their arms over Obama’s shoulder and probably said something like, “Don’t mention that again, or we’ll take you behind the wood shed.”

Notice President Trump railed against Chinese currency manipulation as a candidate and hasn’t said a word about it as president. It’s likely some of his fellow billionaires threatened to take him behind the woodshed too if he ever mentioned the issue again.

This is because millions of US jobs have been exported to China; and US corporations have created millions of jobs over there rather than here thanks to President Bill Clinton and President George W. Bush, both of whom gave China “most favored nation trade status,” and which allowed US corporations to export US jobs and create jobs in China rather than here.

When China manipulates its currency vis-a-vis the US dollar, it increases the profit margins of US corporations manufacturing in China and exporting to the US, while simultaneously decreasing the profit margins of companies manufacturing in the US and exporting their goods to China. This is why all those Nike, Dell, Apple, Treetop, Campbell’s Soups, and thousands of other things are made nowadays in China and exported to the US rather than in the United States. See the-trans-pacific-partnership-the-op-ed-the-liberal-and-conservative-corporate-media-doesnt-want-you-to-see–JohnHively.wordpress.com

This is one of the reasons why income and wealth inequality has grown so great during the last thirty-five years. In the US, the top 1 percent own more wealth nowadays than the 90 percent lowest Americans, and that gap is growing.

The Federal Reserve Bank and the US Treasury could easily counter Chinese currency manipulation, but those organizations work for the billionaires and not for the rest of us. In the meantime, the US economy weakens over the long haul. That’s because workers wages now represent a smaller portion of US gross domestic product since 1947. That’s because when jobs are exported the difference between the old higher US wages and benefits and the new lower foreign wages with no benefits goes straight into the fat wallets of the billionaires via higher corporate profits, rising dividends, and surging share prices. Trade agreements, nice scams huh?

This is precisely why the rich are now stealing about 37 percent of all income produced in the United States, compared to 8 percent when Carter was president in 1980. This is why job growth was greater under Carter on a per monthly basis than nowadays even though the US economy was only about 40 percent the size of today’s US economy, and the population was only 60 percent the size of today’s US population.

This is something to reflect on when some Wall Street US Senator like Ron Wyden says we need more trade agreements to create more jobs. When Wyden, or Wall Street Senator Mitch McConnell says crap like this, you know it’s a lie.

 

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Source: Economic Policy Institute, http://www.epi.org/publication/charting-wage-stagnation/

More than 40 million US workers would get a raise if the US minimum wage was raised to $15 an hour. Doing so would do five important things to help the US economy.

1. It would increase the demand for goods and services and create jobs in the process. Currently, we are in the worst post World War II economic expansion in US history, except for the last one, you know, that negative job growth under the economic policies of the worst president in US history, George W. Bush! Outside of that expansion, the current expansion is the worst, with the lowest job growth, the least GNP growth, and lots more historically weak statistics.

2. Every US economic expansion since 1981 has been caused by artificial bubbles which have created artificial stock market bubbles, which have almost completely benefited only the rich, and mostly the super rich, at the expense of everyone else. The Bill Clinton presidency saw the creation of 22 million jobs, which came about because of simultaneous housing, tech, stock and telecommunications bubbles. The tech and telecommunication bubbles were created by Clinton’s signature on legislation. The current economic bubble has been created by an illegal housing bubble created by the big banks. See The fix is In! The Banksters are Manipulating the rise in housing prices: Mortgage applications are down for home sales–Johnhively.wordpress.com Raising the minimum wage would create more demand, possibly creating the first demand inspired economic expansion since the Great President Jimmy Carter.

3. Raising the minimum wage to $15 an hour would steer money away from the stock market bubble because it would decrease corporate profits, and perhaps gently deflate the current bubble that is due to burst in a few months anyway. The other option is to allow the bubble to run its course and essentially ruin the US economy like what occurred from 2007 to 2012 and from 1929-1933. The next recession will be worst than the last one, and it’s just around the bend.

4. Income inequality is at an all-time US high with the 1 percent stealing about 37 percent of all income produced in the USA every year compared with only 8 percent in 1980. That means the 99 means we have less money to buy things, while the rich primarily purchase things like stock options, stock, bonds and politicians. This inequality is stifling the demand sector and weakening the economy which is why the US economic expansions since 2000 are the weakest in history. This is, of course, unless, the creation and functioning of the US and worldwide economies are solely for the benefit of the 1 percent, and always at the expense of the 99 percent. You can see from the graph above the rich are stealing $17,867 from every working American, and they do this year after year after year. I think it’s time we get a little of our money back.

5. Wealth inequality is also near an all time high in the USA, and this means (along with income inequality) the rich can afford to buy the services of more politicians, which has already effectively turned our democracy into both an illusion and a myth, and this occurred perhaps as early as 1981. Raising the minimum wage would cut away a bit of the economic cancers known as wealth and income inequality.

The corporate talking heads will also insist raising the minimum wage will result in lost jobs, but there are plenty of studies showing not a whole lot on this issue. Most studies on this subject during the last twenty years show a rise in the minimum wage has a negligible impact on job loss, or jobs experience slight growth. On the other hand, most minimum wage increases that have been studied have been minimal and very local.

However, all of this is irrelevant because there is one gigantic study that shows that when the real wages of the 99 percent go up, so too does the US economy, and not just for the benefit of the few. This study is called the history of the US economy. Notice in the graph below real wages grew in the US economy from 1948 to 1978. In reality, you can go back to 1938 and see the same stuff. Inflation was low and job growth was high during the years 1938 to 1980. The middle class was strongest then, and demand for US goods was incredibly strong, especially the demand from US citizens. Even the rich got richer, although the percentage of income and wealth they could steal from the rest of us was small compared to today.

Source: Economic Policy Institute, http://www.epi.org/publication/charting-wage-stagnation/

Corporate talking heads will always lie and say raising the minimum wage will increase inflation. In reality, allowing the financial markets to rise in bubbles creates inflation, as I pointed out in my book, The Rigged Game.

Now some people will say inflation was fairly high during the 1970s, and yes that is kind of true, and then kind of not. That’s because the US government has changed the way it measures inflation twenty times since 1981, and every change has the intended effect of lowering the rate of inflation. In other words, if inflation is 1.5 percent nowadays, using the methodology of 1975, today’s inflation would be about 6 percent. Average yearly inflation during the 1970s was 7 percent, and so using today’s inflation methodology, inflation during the 1970s would have averaged about 2.5 percent, which isn’t all that much.

You can also see from the graph above how real hourly wages have stagnated since 1978, but of course, that’s a lie since real wage increases are measured against inflation, and we know inflation is no longer measured like it used to be. If inflation over the last 35 years was measured with the methodology used by the US government in 1975, US inflation would be significantly higher each of those years, and real US wage growth during this period would be negative, year after year after year for the last thirty or more years. This means real wages are significantly lower nowadays than the available statistics will allow us to measure, and this, of course, is one of the reasons why the government changed the way it measured inflation: it stops us from seeing how much we of the 99 percent are getting screwed by our corrupt government in redistributing our income and wealth to the 1 percent.

I don’t know about you, but I want my money back! Raise the minimum wage!

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20150224_problemThe financial collapse of 2008 was the worst recession since the Great Depression. Give President Obama and his administration credit for saving the economy from the depredations of Wall Street despite massive Republic resistance to resuscitating it, which they did solely for political gain. However, this historically weak recovery masks a startling reality.

Only one perpetrator of Wall Street crimes was ever brought to justice, and he wasn’t a big figure in the massive corruption going on. In March 2009, Obama met with Wall Street leaders and said, “I stand between you and the pitchforks. I am on your side and I will protect you.”

Only one banker from that era was prosecuted. That was Bernie Madoff, and the only reason he was carted off to prison was because he stole from rich people. And not one other Wall Street criminal executive went to jail after stealing billions via fraud, money laundering of Mexican drug cartel profits, and numerous other crimes. Many became his financial advisers, which meant Obama pursued policies to redistribute income from the 99 to the 1 percent for eight long years.

At all times, Obama refused to bite the hand that funded his past, present and future, as well as funding much of the Republican and Democratic Parties. In other words, Obama was largely, if not completely, in the back pocket of Wall Street as were President Bill Clinton, both President’s Bush, Ronald Reagan, Hillary Clinton, Mitt Romney, Wall Street Senator’s Ron Wyden, Mitch McConnell and Orrin Hatch.

Obama operated in a cesspool corruption. He was part of the problem, not the solution.

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iraqiprisonerdead-thumb

There are actions and then there are inaction’s. There is biting the hands that feed you now and in the future, and then there are the decisions one makes to not bite the hands that feed you, now and in the future.

First there was the illegal torture program of President George W. Bush. Bush is the only former US president who couldn’t visit Switzerland and numerous other nations after his terms in office. Bush would be arrested and charged with war crimes should he or several other members of his administration, including Vice President Dick Cheney, ever step foot into those nations. Obama called the torturers “patriots” and those who demanded justice “sanctimonious.”

When a judge in Spain began to pursue war crimes charges against Bush, Obama successfully began a diplomatic initiative to quash the charges.

Obama went out of his way to ensure that nobody of political and financial significance suffered the consequences of their actions.

Not one single person was charged with war crimes, torture or murder. Forget US laws, forget the US Constitution, and forget international laws the US had signed on to.

Perhaps Obama decided not to pursue charges, or quash prospective charges, because much of the torture was done by publicly traded corporate contractors. In other words, torture was to a large degree about profits; the more torture victims, the more profits.

Virginia-based CACI Premier Technology corporation is a military contractor that was a major US torturer at Abu Ghraib prison in Iraq. The company made millions upon millions of dollars torturing people on behalf of President George W. Bush.

CACI’s share price hovered around $13 a share when Bush became president. Thanks to the torture contracts the company received from the US government, the share price increased more than five fold to $65+ by the summer of 2005. Under Obama, CACI’s share price rose to $122.25 the day before he left office, in part because of government contracts.

Why is it that a person can commit torture to somebody else and not be convicted of a crime? If anybody else not under contract to the US government kidnapped and tortured somebody they would be charged with crimes, but if the US government pays you for breaking national and international laws, then you will face no charges. That does not make a whole lot of sense.

No doubt Wall Street liked the torture program a lot because it fed into the pockets of the billionaires and millionaire investors of Wall Street, as well as Wall Streets large investment corporations, and Obama had to protect his financial benefactors, so justice could never be served, otherwise the financial spigot watering, seeding and fertilizing the corruption of government at all levels would have been turned off, and Obama could never have tolerated that.

 

 

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This is the third part in a series. So now we’re getting into some debatable stuff, but here goes.

  1. Obama brought the federal budget deficit down from the  more than $1.4 trillion a year he inherited from bumbling, corrupt and incompetent George W. Bush to $587 billion in 2016.
  2. Obama presided over one of the biggest stock market bubbles in world history, and did nothing about it. The hangover from this bubble is going to last quite a long time, but many of his rich supporters got richer because of it.
  3. The president presided over one of the biggest housing bubbles in US history, and did nothing about it. This bubble redistributed trillions of dollars from working folks to Wall Street executives and billionaires that have always been his financial supporters. The big banks illegally conspired to withhold 3.4 million houses off the market (over 50 percent of all vacant houses in the USA) in order to drive up housing prices, and Obama made certain not to let his justice department do anything about this. See The Big Banks Are Manipulating the Housing Market–JohnHively.Wordpress.com
  4. Obama presided over the largest redistribution of income in US history, and did nothing about it. From 2009 to 2013 the 1 percent stole all of the US income growth, and they stole over 50 percent in 2014 and 2015.
  5. In other words, Obama presided over an economy driven by bubbles and redistributing income from the 99 to the 1 percent. Good job!
  6. Obama called rising income inequality “the defining issue of our time.” When his Wall Street financial masters objected to this subject, Obama never mentioned it again. Guess who was really in charge of the white house? Hint. The big investment banks, along with other Wall Street executives and billionaires.
  7. All of the above suggests the next recession is going to be worst than the last one, and it is on its way. We’re at or near the peak of this weak economic expansion. Once we’ve reached that peak, the only place to go is down. Some of Obama’s better known accomplishments (or notoriously known depending on your point of view) include the Affordable Care Act and getting us out of Iraq. These were included in President Obama’s Top Accomplishments, and His Worst–JohnHively.Wordpress.com. Part two included normalizing relations with Cuba. That list can be found here.

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Official portrait of President Barack Obama in the Oval Office, Dec. 6, 2012. (Official White House Photo by Pete Souza) This official White House photograph is being made available only for publication by news organizations and/or for personal use printing by the subject(s) of the photograph. The photograph may not be manipulated in any way and may not be used in commercial or political materials, advertisements, emails, products, promotions that in any way suggests approval or endorsement of the President, the First Family, or the White House.

Official portrait of President Barack Obama in the Oval Office, Dec. 6, 2012.

President Obama was no Franklin Delano Roosevelt, but he did take office during an economic crisis greater than any since the Great Depression, a mess helped along by the worst and one of the most corrupt presidents of all time, George W. Bush. I don’t consider Obama to be a great president. I don’t think we’ve had one since Harry Truman. That being said, I think he’ll be remembered fondly even though he was largely a puppet of Wall Street.

1. Obama actually accomplished quite a bit despite the fact the Republican Party leadership fought against almost everything he wanted tooth and nail even if it meant sending the United States down the tubes. Republican Senator Mitch McConnell said, “Our top political priority over the next two years is to deny President Obama a second term.”

2, Got us out of the illegal and costly occupation of Iraq.

3. Passed Health Care Reform: After five presidents over a century failed to create universal health insurance, signed the Affordable Care Act (2010). This became the first time in US history the government could tax us for not buying something, which is not a good sign since now the government can tax you on anything you choose to not purchase. This legislation also drove up health care costs for everybody, increased deductibles and co-pays.

3. Ended the trade embargo against Iran, which put Iranian oil back on the market and helped drive down the cost of oil and gasoline.

4. Signed $787 billion American Recovery and Reinvestment Act in 2009 to spur economic growth amid greatest recession since the Great Depression. Weeks after stimulus went into effect, unemployment claims began to subside. Twelve months later, the private sector began producing more jobs than it was losing, and it has continued to do so for seven years, creating 12 million new private-sector jobs. However, it should be pointed out that on a per month basis this growth was worst than that which occurred under President Jimmy Carter. On the other hand, monthly job growth of all of the presidents since Carter have been worst than what happened under Jimmy.

Worst Action?

Along with Wall Street Senator Ron Wyden, President Obama continuously groveled at the feet of Wall Street and other big corporate executives, which is why he mightily tried to secretly ram through the Trans Pacific Partnership (TPP). Obama promised an open and honest administration, but he was extremely secretive about the TPP, most likely because it would’ve exported millions of US jobs and redistributed trillions of dollars from working folks to Wall Street and other corporate executives and rich shareholders.

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