Why Is Obama Making Small Economic Goals?
Obama is promising only 2.5 million jobs within 2 years. President Bush created 2 million jobs in 2005 alone.
Tax cuts created jobs.
The economy was going fine until Democrat's housing mess hit. The last Democrat president created the housing bubble which is now collapsing. http://www.frbsf.org/publications/economics/letter... (non-biased Federal Reserve website )
Federal tax revenue is a good indication of how the U.S. economy is performing. The budget deficit (not debt) was falling for 3 years in a row. Individual and corporate tax revenues were increasing.
THIRD STRAIGHT ANNUAL DECLINE "
"US 2007 Budget Deficit Falls to $163 Billion (Update1)"
"The deficit narrowed to $162.8 billion in the fiscal year that ended Sept. 30, the THIRD STRAIGHT ANNUAL DECLINE and lowest since $158 billion in 2002,..."
1) Democrats caused the housing bubble to collapse by reducing consumer confidence (negative campaigning) and by encouraging home builders to overbuild by using illegal immgrant labor to generate 100% to 400% profits. ( Democrats blocked massive efforts made by President Bush to fine employers of illegal immigrants.)
2) Clinton ignored a government report that said bank derivatives were dangerous to the economy. He also threatened to fine banks that were not giving loans to poor people.
3) Clinton, ACORN, and Rubin pushed for changing laws to provide more risky loans.
3) Obama proposes decades of new social handouts which increases government debt and decreases the much needed innovation. It is better to create jobs which reduces government debt by increasing tax revenue.
4) Obama and other Democrats voted for weak border control which decreases wages, increases joblessness, lowers the standard of living, etc.
5) Democrats blocked President Bush's GSE reform (Fannie Mae and Freddie Mac reform) by filaabustering in congress..
6) $700 billion was spent to fix Clinton's bank derivatives problem.
7) Democrats increased our dependence on foreign oil. That increases gas bills, decreases national security, and gives other countries hundreds of billions of dollars yearly. Also, it financially helps many countries which do not have our best interests in mind.
In 1997 Clinton "actively sponsored " risky home loans :
""...rapid growth in affordable-loan programs and subprime lending..."
"The growth in these [special loan] programs has been actively sponsored by the Clinton administration "
"The currently strong housing market is due in part to the initiation of a wide variety of affordable home-loan programs. These programs are intended to benefit low-income and minority households and neighborhoods through more flexible underwriting policies. These policies include low-downpayment requirements, higher acceptable ratios of debt payment to income, the use of alternative credit history information such as records of payments for rent and utilities, flexible employment standards, and reduced cash reserve requirements. The growth in these programs has been actively sponsored by the *** Clinton administration *** in a concerted effort to raise home-ownership rates."
Mortgage Banking [News] - Aug 1, 1997
One of Clinton's Freddie Mac changes:
"Freddie Mac, one of the primary government-sponsored enterprises involved in the purchase of mortgages, recently announced plans to enter the secondary market in subprime loans by purchasing significant numbers of "A minus" subprime mortgages by 1998 and the higher-risk "B and C" loans by 1999.(20) "
One of Clinton's changes to foreclosure insurance ( that protected banks ).
"On June 6, 1996, President Clinton announced that he had directed FHA to reduce the up-front mortgage insurance premium (UFMIP) for first-time homebuyers who receive housing counseling"
Since 2001, President Bush warned of the problem and put forward plans to fix Fannie Mae and Freddie Mac. Democrats blocked it by fillibustering in Congress.
In 2003, "Spurred by worries that Fannie and Freddie were cooking their books and taking too many risks, Treasury Secretary John Snow proposed placing the companies under Treasury oversight with strict controls over risk and capital reserves. The NYT labeled the proposal "the most significant regulatory overhaul in the housing finance industry since the savings and loan crisis a decade ago""
Democrats' response to President Bush's reform of Fannie Mae And Freddie Mac.
"These two entities—Fannie Mae and Freddie Mac—are not facing any kind of financial crisis," said Representative Barney Frank of Massachusetts, the ranking Democrat on the Financial Services Committee. "The more people exaggerate these problems, the more pressure there is on these companies, the less we will see in terms of affordable housing."
Clinton left office with a recession.
"Bush inherited Clinton's recession - iReport.com" http://www.ireport.com/docs/DOC-80312
Clinton had an artificial economy. It was called the internet bubble. He was just lucky that the multiple trillion dollar internet bubble took place while he was in office. The internet bubble pumped trillions of foreign dollars into the economy. The bubble also increased government tax revenue, which created an artificial budget surplus. After the internet bubble collapsed, the U.S. economy went into a recession.
- Mara AngelLv 41 decade agoFavorite Answer
Because Obama is afraid to make the commitment that he may not be able to keep his promise.. That's just my opinion.. We will just pray for our president and hope for the best.. I hope Obama will do his best like Bush did.. I also hope Obama don't plan on tax working people too much for lazy welfare collectors too.. Obama's plans is making me scared..
Hey!! Attentions!! Those Anti Bush, and Obama voters.. they are soo blind.. they would not see all the facts! They just think everything Bush did is negative, and everything Obama stands for is positive.. this is not the case here!! there are pro and cons for everything!!! Even for Obama!! gosh!! get your facts straight! Bush did give 2 millions jobs in 2005! and the economy falling down has nothing to do with Bush.. It has everything to do with natural disasters like Katrina and gas prices going up, because of gas prices going up, costs for everything else went up, then no one has much money to spend anything because of gas, people stop taking vacation trips because of gas.. so economy went down.. Okay?? Hope you Anti Bush and Obama supporters will start to watch news that are not biased!
You all who tried to talk down bush supporters and thinks Obama will be greatest president, newsflash!!! Obama didn't do anything yet! Don't say anything that you will regret!!! And ya all need to read all of 'bush family member's added notes.. see how democrats has screwed things up? what makes ya all think that Obama will do better?? Ya all don't know what you are talking about until we see Obama keeping his promises, I bet he won't... in 4 years later, ya all Obama supporters can come talk to me about how they feel bout him then.. Maybe I will be here and listen to your disappointments.. or maybe I will be in heaven by rapture!
- IntangibleLv 41 decade ago
I would be more surprised if Obama said he could create 5 million jobs in this economy than the 2.5mil. I think for what our economy is facing right now he's being conservative on the estimate, and that is a good thing.
I think what happened with housing is that risky loans...turned into a lot of predatory lending on the mortgage company front. My credit was not A+ and I ended up with a 12% interest rate. Once this housing crisis emerged and I called them demanding a lower rate, they were able to drop it to 6.5 amazing!
Every party is marred in this mess not or the other.
- 1 decade ago
Bush wasn't working with a failed economy. Obama has a lot of ground to make up that Bush didn't. Green jobs, for example, will take time cause there is no infrastructure in place for green energy. Solar, wind, tidal and thermal energy would create many jobs but will take time to build. Beats McCain's 40-50 new nuclear power plants if you ask me.Source(s): And to blame either party for the housing bubble is naive. Blame the British banking cartel that really runs our government. The Federal Reserve isn't even a government insitution.
- Bridgette BLv 41 decade ago
Shhhhhhhhhh. You are going to confuse people with real facts! They can't absorb truth and fact at the same time.
They probably already forgot Obama's original plan was to create 5 million jobs. Shall we spin it for them. "He hasn't had time to think about the other 2.5 million yet, give him time." "He isn't president yet, wait until Jan." " He'll have to take baby steps first." "There is so much to do, he can't go it all."
I was really excited when I originally heard him say that I could get a job building bridges or roads. Of course, I have no experience doing it and my resume wouldn't support getting a job in that industry...but if he could get a job with no experience then so can I. I wonder how many women are going to apply for these hard labor jobs?
I do appreciate you showing some facts! To add to your facts, Obama was one of those community organizers or agitators that went into banks and intimidated them into making risky loans.
"What exactly does a "community organizer" do? Barack Obama's rise has left many Americans asking themselves that question. Here's a big part of the answer: Community organizers intimidate banks into making high-risk loans to customers with poor credit.
In the name of fairness to minorities, community organizers occupy private offices, chant inside bank lobbies, and confront executives at their homes -- and thereby force financial institutions to direct hundreds of millions of dollars in mortgages to low-credit customers.
In other words, community organizers help to undermine the US economy by pushing the banking system into a sinkhole of bad loans. And Obama has spent years training and funding the organizers who do it."
Personally, how is he going to undo what he has ACORN doing and what he trained them to do? I guess they'll have to present a new business plan for his approval.Source(s): http://www.theobamafile.com/ObamaWorks.htm
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- 1 decade ago
yeah but bush probably put them in the friggen army..... whats worse putting people in the army so they can fight his wars or obama only promising this many jobs.... have you forgotten about the resession... ther is only so much that man can do so i think you need to back off....
the worlds is up in smoke because of this ressesion and all you can comeplain about its how he isnt doing as well as bush, what a crock of ****..... wake up to your self and the world... take a good look around and smell the roses and see whats really going on...
bush is a dick and i cant belive your complaining about obama... he is the better man for the job!! bush done nothing but **** htis aconomy with all the **** he has caused..
what kind of a county find soomeone guilty of rigging an election and still allowes hime to stay in the president position.....
your a joke mr bush family member..... all i can say is thank god im not american!
- maitrayaLv 41 decade ago
Maybe because when Bush took over things were going well, Obama is inheriting an economy that is rapidly going down the s h i t t e r
- Anonymous1 decade ago
Ever heard of "Sustainable Growth"?
Bush hadn't either, unfortunately.
Obama will try to do something a little more long-lasting than all the Republican get-rich-quick schemes of the last 20 years.
- 1 decade ago
What else did Bush create? An unncessary murderous war based on a lie?
An economy that has died and led to a horrific recession?
Disasterous relations with our neighbors abroad?
Yes, Obama is starting small, thank goodness. We see what happens when greed rules, huh? Greed and "I am BIG MAN" leads to destruction.
Thank you, President Obama.
- Anonymous1 decade ago
Yea now look at what's happening... Bush tanked our economy, lost those 2 million jobs (and a lot more on top of that) and now is facing the US losing millions more with this big 3 crap. Obama knows what's up.
- 1 decade ago
Jobs created under Bush are low paying ones. McDonald's, anyone? Obama's plan will create high paying jobs without contributing to the obesity of this nation.