Economics and the True Difference in Candidates

It’s not a secret that we in these parts are supporting John McCain and Sarah Palin for President and Vice President of the United States.  There are; however, a handful of Obama supporters that show up.

 

After tonight’s debate, I am angry at John McCain for not being able to articulate what I am about to say.  We all know the delicate nature of discussing the economic struggles of families within the heartland of America (or as popular catch-phrase labels them: “Main Street”), so I can understand spotlighting the corruption among politicians and high-powered Wall Street CEO’s and giving corruption and irresponsibility on the level of consumers (middle America) and the middle-man mortgage brokers and firms across this land located in everyone of our small towns, a total pass. 

 

If McCain loses the election, I don’t want the reasons of the loss being that he wasn’t forthcoming about problems on the consumer level.  In other words, if they are both attacking just Wall Street executives and one another for taking money from these mortgage companies, Barack Obama’s argument will be better.

 

Let’s face it, if your argument and position is to solely attack high-powered executives and corrupt politicians, then Obama’s argument makes a lot more sense than McCain’s does considering their policies.  Obama wants to raise taxes dramatically on corporations and individuals making over $250K a year.  John McCain’s tax cuts would come to the tune of about $300 Billion dollars total. 

 

I know I don’t make $250K a year, and I don’t know about my site partners or anyone else who comments on here, but I concur with Airforcewife who is house-hunting and making offers now, Phil who prospers from hard-work and determination on his end, Jennifer who works hard, Mel who has her hands in many pots, etc.  The wide arrays of real people that show up on this blog astound me with inspiration from their personal stories on work, sacrifice, real-life problems, and work-ethics as real conservatives.  But my not making $250K a year is not the point, my working for many small companies in which I assist with their accounting, bookkeeping, and tax needs is the point.

 

If the economy is going to be the number-one issue in this election, as McCain in my opinion wiped Obama out with national security, then Obama has a bigger chance of being the next President of the United States unless Sarah Palin and John McCain use the next debates to get real with people about people taking responsibility on all levels of this mortgage crisis.  How are Americans – real Americans – supposed to believe that Wall Street executives are the main source of the problems without supporting raising the taxes of such? 

 

The reason McCain and Palin have to speak out about this is because the average American (the undecided voter) is not going to do the research required to dig deeper.  Anybody who could dig deeper though will see that the main source of these problems began in the 1990’s.  The ideology of the left that claimed that ‘everyone was entitled to home ownership’ is the main root.  Federal programs and bills passed to get lenders to hand out mortgages to “minorities” and struggling families abroad.  This resulted in three very damaging aspects:

 

a.)   People with bad credit or coming right out of bankruptcy getting home loans.

b.)   People who didn’t have sufficient income getting approved and pushed through anyway on mortgages they couldn’t possibly afford in the long run.

c.)   A wolf-in-sheep’s-clothing called “market confidence” in real estate, meaning that many folks bought homes and cashed in on their equity once the values began to rise.

 

What happened with this was disastrous.  People used equity loosely for vacations, for play money, or to pay off credit cards they recently racked up in living everyday and meeting monthly expenses.  When newly college graduates making $40K a year are getting home loans for homes worth $250K, they have to survive somehow.  So, as a result of the Clinton years, we had a massive rise in bankruptcy, Chapter 7, and Chapter 13 leading to the bankruptcy reform during the Bush administration as many consumers began to abuse the bankruptcy system.

 

Sadly, this is the part of the human soul that liberal politics have spoiled.  It started with FDR’s New Deal.  Hard work ended, affirmative action surfaced, and income re-distribution has always been around but certainly not to the level Obama is wanting. 

 

Simply put, bad consumers living on “Main Street” who mismanage their own finances, who rack up credit card debt, who put off mortgage payments to go to casinos, go on vacations, etc. were and are on the rise.  After all, bankruptcy solved all their problems! 

 

Losing homes and defaulting on loans which were so easy to acquire in the first place made it less devastating to them as consumers as it was to the mortgage companies having property that was not easy to sell. 

 

Those are the blocks that led us to where we are today.  If you add up all the Wall Street executive salaries in the last 10 years, I highly doubt it equals a trillion dollars. 

 

So because of the bad people on Main Street, the good ones have to suffer.  Obama wants to tax anyone making $250K or higher more than the already-outrageous corporate and personal taxes these people already pay.   He already has $800 billion in extra spending he has plans for. 

 

These corporations and small businesses are in charge for the salaries and wages of dozens of millions of American “Main Street” employees making $40K and $50K a year.  Adding the corporate taxes, income taxes, FICA taxes, and state/local income taxes, these folks are literally handing over half of their profits to the federal government (if his plan goes through). 

 

What will then happen to the chances of advancement for those “Main Street” workers?  What will then happen to their chances of raises or even holding onto their jobs?  Will Obama’s re-distributive welfare checks compensate for this?

 

The sad thing is, this country will head in the wrong direction.  More “bad people” will surface and more will be conditioned like Pavlov’s dog to believe that their next moment of happiness is the next time they receive a welfare check from the United States Treasury. 

 

McCain’s $300 Billion tax cuts to corporations and small businesses lost, plus Obama’s push for excess taxation on all of them; some believe come to the tune of about $800 Billion.  Ironically, the same amount Obama has planned to spend, spend, and spend.

 

The difference:

 

Obama’s plan discourages hard work and continues to contribute to the overall tone of personal irresponsibility among the trash on Main Street that does not know how to pay their bills on time as it is.  The same $800 Billion exists; it’s just now under his control.  There’s a word to describe this kind of policy and it is not “American.”

 

McCain’s plan keeps that money into the economy and employers have the opportunities to pay fair wages, to give raises, to offer vacation time, and allow their employees to benefit and flourish.  It gives the good people like me, Phil, and everyone else on this blog reasons to continue using our efforts to work harder. 

 

The question is: will McCain and Palin begin to point this out?

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24 thoughts on “Economics and the True Difference in Candidates

  1. Unfortunately, a great deal of Americans don’t wan to hear about personal responsibility because they’re carrying several thousand dollars in credit card debt around like a stylish handbag.

    When I was growing up (and I’m not terribly old as of yet), we wore hand-me-downs and didn’t find anything wrong with it. Sure, we had some new clothes, too, but it was always a banner day when some cousin or another grew out of her wardrobe and my mom brought it home.

    Now – people just don’t do that. Everything new, everything fun, everything RIGHT NOW. We’ve got to get past that, and I honestly don’t know how without some dire consequences being felt.

    I still haven’t been to Disney World, and that’s one of my serious life-long dreams. But we had a choice – Disney World or a down payment on a house.

    Guess which one won out? And guess what is NOT going on my credit cards?

    Somewhere along the way Americans thought they could have it all and not pay for any of it.

  2. But, Steve–Bill Clinton was a great president! He was so young and charismatic, he was such a good public speaker! How dare you say this was their fault!

    *Snicker* Thought I’d beat the moonbats to it. You know it’s coming sooner or later.

  3. Now… WHY can’t McCain say this? Why WON’T he say this? Watching the debate the other night, I squirmed at the first real glimpse of an Obama presidency…

  4. AFW, you make a good point. Think, Disneyland has limited hours of enjoyment, whereas the home – for the most part runs round the clock.
    Sure the $800 would be spent, and with Baraq (would most likely be borrowed from the same parties that it would have entrusted. Thus borrowed twice.
    Hell, he didn’t want to address the “plan” as it would have exposed ACORN – his government funded base.
    The less ACORN is identified with Baraq, the wider his Cheshire Cat grin widens.

  5. Jenny – I think the answer to your question is simple. Obama will say that by pointing out corruption on the consumer level, McCain is attacking people living on “Main Street” in order to protect the evils on Wall Street.

    And you are correct. Unless McCain and Palin can articulate the truth about the communist ways of spending and taking of Obama, we can all get prepared for an Obama presidency.

    For me; honestly, the decision of how energized I will remain for the rest of the campaign will be how Palin performs Friday night against Biden and if he will duck the issue as well.

    The way it’s going now, Obama has the country convinced that he’s “cutting taxes” on 95% of people. That’s all they need to hear. They don’t know how it’s going to affect their employers, they don’t know how it’s going to affect their own paychecks when their employers are paying half of their profits to the government.

    The only way for McCain and Palin to overcome is to bring to light the mistakes of those on “Main Street” and the liberal government’s hand in compounding those mistakes.

    If they still lose, at least they will have lost with integrity and once Obama makes an even bigger mess of the economy, Palin can come back to say “I told ya so” in that ever-so-sweet “soccer mom” voice we all love. Tina Fey will probably need another re-vamp to her career anyway.

    By the way, Obama isn’t realizing that businesses will now purposely avoid making profits over $250K.

  6. ACORN is an activist group specifically geared toward “minority” groups. They’re being investigated for voter registration fraud in several states. And with the big bailout coming, they’re positioning themselves to receive a huge chunk of that money.

    I still want to hear Shawmut’s take on it!

  7. Unbelievable. I’ve been working day and night on school on work so I am only able to catch the big things like debates and Tina Fey’s portrayal of Sarah Palin every stinking week.

  8. I think that McCain/Palin should explain to the American people that business does not pay taxes, the American people pay taxes because business just passes it to the consumer.

    McCain also needs to get off the CEO greediness kick because it was those Americans who looked for the easiest way out (ARMs) who made this fiasco happen. So, I take it that if I decide to start a business, I shouldn’t be sooooo greedy? Sorry, but we reward people who find a niche in a market with money.

    I am against the bailout.

  9. Dog you make a great point. Because of this tax threshold, more Americans will not strive to earn anymore. What’s the point if Nobama is just going to take it away and re-distribute it to people who don’t pay taxes as it is.

  10. One of the most important lessons I learned when I was young was this:

    You can’t be anything you want to be, but you can try. The only thing you are entitled to is a fair chance to try.

    When someone blows every opportunity given to him or her, then it is not soceity’s fault when that person doesn’t get to own a home and has to a work a low wage dead end job. That fault belongs to the person who blew his or her opportunties.

    But no, this society wants to rescue people and change people. That rarely works.

  11. You can’t be anything you want to be, but you can try. The only thing you are entitled to is a fair chance to try.

    Awesome.

    I’m stealing it.

  12. JOHN IN CA, you are correct!

    I have a friend who I thought had a college degree because of his love of the University of Oklahoma football team. Well, he lost his job of 25 years and I find out (helping with resume) that he is 6 hours short of his Bachelors. Lost opportunity!

    I have a friend who is a Marine brother. We served together during the Gulf War and have known each other for almost twenty years. Well, he never used his GI Bill to get an education and he let the money expire – it could have provided him a degree. He eventually couldn’t control his dipstick and decided to get a girl pregnant who later dumped him, it seems, about two years later. Lost opportunity!

    I am not saying that education is the only key to success – that would be ignorant. But, in each of those situations, the choices of these individuals (even at the distress of my friendships with both of these people), were screwed up.

    Many Americans pass up the opportunities because they just don’t, won’t or can’t focus.

  13. Devil,

    Damn that was spot-on! I just started my Masters Degree, graduated and muddled through full-time school and paying a whopping $50K for a 4-year degree. Now I will pay another $30-40K for the Masters, then onto the CPA. And every cent is coming out of my pocket, and it should!

    Because my family is self-employed, there are only a few of us. We’ve been in business for 17 years…..and as a small accounting firm we’ve managed to pick up a lot of area businesses, not-for-profit organizations, and do about 2,000 personal returns a year.

    But you know, nobody listens to me when I explain taxation to them. They always think I have a bias. It’s sickening what Obama’s tax plan would do to this economy.

    Working 50-60 hours a week, then coming home and working online until 4am; literally leaving me with strained eyes and fatigue so bad that a quick sip of diet pepsi is the only thing that fights the nausea brought on by that kind of exhaustion, is my key. I have to do it, and nobody else will do it for me.

    That’s why I know – I am not particularly the smartest guy ever, and I am no more advantaged than anyone else….

    I’ve made my life better by pursuing the options available to me as an American.

    I’m happy to share these experiences with folks who show up on my blog…..because your point about Americans passing up opportunity really gets to my gut…

    As Margaret Thatcher said in defense of stopping large trade unions and lowering taxation in the 80’s to an arrogant British journalist:

    “It doesn’t matter to me who you are or what your background is, if you want to use your efforts to work harder – yes! I am with you, all the way! Whether it be skilled or unskilled, so we’ve taken down taxation.”

  14. I have asked people the following question when they tell me they are going to vote for Obama:

    “How does increasing taxes in a downturn of the economy promote business expansion?”

    They stare at me!

  15. “Well, he lost his job of 25 years and I find out (helping with resume) that he is 6 hours short of his Bachelors. Lost opportunity!”

    6 hours? Why didn’t he go one night class per quarter/semester and get it done? Ugh!

    As for your Marine brother, not every person is college material. Doesn’t the GI Bill cover trade school too? I know it would cover two years at a junior college to get a vocational education. The world needs plumbers, welders, carpenters, and skilled trades people too.

  16. “Damn that was spot-on! I just started my Masters Degree, graduated and muddled through full-time school and paying a whopping $50K for a 4-year degree. Now I will pay another $30-40K for the Masters, then onto the CPA. And every cent is coming out of my pocket, and it should!”

    If you want to take out student loans, then I don’t have a problem with that government program. My best friend never would have completed college without them. I think of student loans as an investment in a person. In his case, the government hit the jackpot.

  17. I did take out loans. 🙂 I am paying them back.

    Althought of the $50K for the Bachelor’s Degree, I owe $28K meaning I managed to pay the other $22K as I went along directly to the school.

  18. “Althought of the $50K for the Bachelor’s Degree, I owe $28K meaning I managed to pay the other $22K as I went along directly to the school.”

    Cool. That’s how it should be. I was very lucky. I worked my last two years of high school and my parents had a college fund. Between working and the college fund I got out of school with no debt.

    I don’t have the words to describe how great it was not having to pay student loans. Also, my way of paying for school did have a price. My one regret was I could not get more involved with student organizations and clubs because I had no time.

  19. “Many Americans pass up the opportunities because they just don’t, won’t or can’t focus.”

    Four years ago on the local news there was a story about historically black colleges recruiting white students. In order to recruite white students, these schools would dangle very generous financial aid packages. Sometimes the financial aid packages these white students received were more generous than the ones black students received.

    When this was pointed out to a white woman at her college she said matter of factly, “I got the chance to go to college for free and I am. What do you think I am? Stupid?”

    Amen sister. Take advantage of that opportunity.

  20. JOHN IN CA said:

    “6 hours? Why didn’t he go one night class per quarter/semester and get it done? Ugh!

    As for your Marine brother, not every person is college material. Doesn’t the GI Bill cover trade school too? I know it would cover two years at a junior college to get a vocational education. The world needs plumbers, welders, carpenters, and skilled trades people too.”

    I agree, but he didn’t use it for a trade either. When you join the service, $100 per month for the first year is deducted from your pay to get the GI Bill.”

    I hate to criticize my fellow service buddies, but less than 30% of those who sign up for the GI Bill actually completely use it to obtaining a degree.

    McCain has been criticized for rejecting the latest NEW GI BILL, but the main reason is because the enticements are so great that he believes it could lure people from the service to the civilian sector after, say, one enlistment.

    I agree!

    Yes, if 70% are paying into a program that they will not use, the ‘extra’ money is still with the program. But, the cost of training a soldier, sailor, airman or Marine from basic training to their first station is somewhere around $15,000. The cost/benefit of someone coming into the military for them to leave after 3 or 4 years isn’t efficient.

    The turnover is too great and I agree with McCain, but, of course, Obama will use it to show McCain doesn’t support the troops. Now, that is truly a stretch, or as I like to call it – A LIE!

  21. “I hate to criticize my fellow service buddies, but less than 30% of those who sign up for the GI Bill actually completely use it to obtaining a degree.”

    Devil Dog

    That’s not as bad a number as it appears to be. I graduated college in 1989. At that time only 20% of the country had a Bachelor’s degree or higher.

    If 30% of G.I.’s get their Bachelor’s degrees or higher than that is better than the general population.

    This is not meant to be elitist or snobbish. You either have the intelligence, study skills, focus and discipline to succeed in college or you do not. It takes more than intelligence alone to finish college. It takes more than being driven and focused to do well too.

    If any person knows they don’t have the skill set to graduate college then I don’t fault that person for choosing some other career development choice.

    Our education system is premised on sending everyone to a university. That’s an unreasonable goal. Our economy and society need people in all kinds of trades. If we are all doctors then who is going to design and build hospitals?

  22. I have asked people the following question when they tell me they are going to vote for Obama:

    “How does increasing taxes in a downturn of the economy promote business expansion?”

    They stare at me!

    Devil Dog

    LOL. They stare at me when I tell them corporations and other businesses don’t pay taxes. The people who purchase the products and services the company’s sell pay them.

    Higher business taxes equals higher consumer prices.

  23. JOHN IN CA, you are correct, they stare at me also when I tell them that business doesn’t pay taxes.

    I’ve observed that many people just like the Obama message because you don’t have to invest any brain cells to say over and over and over “I am voting for Barack Obama, I am voting for Barack Obama.”

    “Change, change, change. I am voting for Barack Obama.”

    You can also use a robotic voice when saying the above to describe the personality of an Obama supporter.

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