STAFF NEWS & ANALYSIS
Forget the NY Times. Here’s Obama’s Real Legacy.
By Grayson Schultze - April 29, 2016

One day we’re saving the banks; the next day we’re saving the auto industry; the next day we’re trying to see whether we can have some impact on the housing market. – President Barack Obama

Yesterday’s New York Times devoted 6,000 words and a main feature to nothing short of an all-out defense of Obama’s economic legacy. In the process, they went full Keynesian.

From the opening paragraph that detailed Obama’s singlehanded efforts to rebuild the U.S. economy following the 2008 financial crisis, it was clear that author Andrew Ross Sorkin is more than simply a member of the lapdog media. Like a true believer, Sorkin bowed down at the altar of Obama’s government.

To hell with the real story behind the data. To hell with any logical thought processes. To hell with the notion that free markets, not governments, produce opportunity and prosperity.

As Sorkin tells it, the U.S. is now quite peachy. Because Obama.

Because Obama swooped in and saved Detroit’s bankrupt auto companies. Because Obama implemented the failed Cash for Clunkers program, which destroyed thousands of used – but still working – cars, pushing up the price of existing cars on the used market. Meaning that the very people he pretends to care about the most – America’s working class and poor – are the ones who suffered the most from this policy.

Because Obama is a renowned healthcare economist who saved the U.S. system from those greedy insurance companies. Even though the companies’ lobbyists helped write the bill and we found out just how much corporatism was at play after the bill was passed. Here’s to you, Nancy.

Because associates in Congress like Nancy Pelosi and Obama’s cabinet are do-good fairies. And because of Obama’s magic, he and the fairies can find the gold at the end of the rainbow to fund their programs. Or in other words, the rich, who must be taxed more.

And if only it weren’t for those pesky Republicans and their pushback on accumulating debt, according to Sorkin, maybe Obama could have accomplished more with the stimulus:

Many argue today that Obama’s $800 billion plan, the one that eventually became law, was not enough. With a bigger boost, the economy would have recovered much more quickly and years of needless suffering could have been allayed.

For those of us who understand that savings and ensuing capital investment is the way to grow an economy, here’s what Sorkin’s fallacious Keynesian mind really meant: Imagine if there were more government agents pointing more guns at productive people and then redistributing their money to companies like now-defunct government darling Solyndra. Everything would be great – we’d have $30 trillion in GDP and 0% unemployment!

Not that some of the Republicans held a sound economic philosophy throughout Obama’s term:

Critics of Obama, including the new House speaker, Paul Ryan, credit Ben Bernanke, the former Federal Reserve chairman, and Janet Yellen, the current chairwoman, for whatever recovery we’ve had since the crisis, contending it happened in spite of the president. “I think the Federal Reserve has done more,” Ryan said at a January news conference.

Bernanke and Yellen should join Obama as the last ones in line to receive congratulations for the economic recovery. Between these two Fed chairs, they have further inflated housing and stock market bubbles, put the printing presses in overdrive to fund expanded government, and destroyed the return on savings with zero or near zero interest rates.

Sorkin’s article on Obama’s legacy is not only inaccurate. It’s also incomplete. There’s much more to the 44th President’s economic legacy.

As told through Frederic Bastiat’s broken window fallacy, economics is about the unseen just as much as the seen. The unseen, while never realized, is still no less real. And Obama’s team has done plenty to ensure that businesses’ ideas will never become realized.

On a daily basis, the Federal Register – the synopsis of bureaucratic rule-making – amounts to 300 or more pages. Yes, each and every day. Take that number multiplied by the number of days that Obama has been in office, excluding weekends and holidays, and the results are staggering. Conservatively, Obama’s executive branch has cranked out over 500,000 pages of regulations.

Unfortunately, despite the promises from the 2016 campaign trail, if one believes that anything can be done about the atrocious state of regulations in the U.S., that would place them squarely in the land of pixies and fairy dust alongside Barack and Nancy.

Other economic indicators from Obama’s land of make-believe are the overall growth of the economy and health of the U.S. middle and working classes. It was just reported that U.S. 2016 Q1 GDP grew at an abysmal 0.5%. And, like the discrepancy between Obama’s rhetoric and reality in economic growth, the growth and opportunities of the middle class are fading. Lacking the rich’s cash-flowing assets, many have been left behind in this so-called recovery – and this is before a growing inflation rate eats away at purchasing power.

Conclusion:

There’s more to Obama’s economic legacy than is reported by The New York Times. Mounting regulations, a doubling of official national debt, and the stifling of the middle class are more indicative of the damage done under this president.

Posted in STAFF NEWS & ANALYSIS
  • Shirley

    He needs to get his butt out here with the people. Groceries sky high prices with mac and cheese and hot dogs the main staple. Many people not going to the doctor because of the excessive co-pays and deductibles, Health insurance premiums costing several thousand more. More part time jobs than ever before. The U.S.growth rate the lowest it has been in years. He is living in lala land like the rest who do not have to worry about their futures.

    • JR Burke

      He gets his butt anywhere near this person it is liable to get kicked.

    • Col. Edward H. R. Green

      He needs to get his and his constituents’ statist policies out of every aspect of their lives ! Everything that you complain about is the direct result of decades of statist political philosophy and its intrusive economic policies forcibly imposed by government at every level and advocated by every US president for over a century and a half.

  • ThomasJK

    Maybe somewhere in here there’s a plausible explanation for why the additional labor that would be provided by open borders and unlimited immigration are necessary for sustaining “our” socialist system — including sustaining the over-promises that have made for public and union pensions.

    • lulu

      The usa is hardly socialist. It may pretend in some ways but even public education is no longer public. Anything you name has been compromised. Everything serves to profit a select few. Everything works against any common good. Even pure unadulterated socialism would do better.

      • Col. Edward H. R. Green

        Socialism, unadulterated or mixed, has been tried everywhere and has been a complete failure because, like other types of statism, it is fundamentally based upon the denial of private property rights, and with that denial proceeds the denial of the right to self-ownership, personal liberty, freedom of contract and association, and the pursuit of one’s own rational values (happiness).

        The only “common good” that has any validity is every human being everywhere being free to exercise his/her legitimate individual rights. Every form of statism, including socialism, works hard and murderously to undermine those rights.

        • lulu

          I think then that we might find humans unable to agree upon or find workable legitimate human rights. Human beings appear to be very good at ‘undermining those rights’ when they belong to others. Over time we have not done the best. So it seems that finding the route to the common good is our challenge.

  • L Garou

    Over all, his performance reflects his intelligence, talent and demeanor.
    (aka) affirmative action snake in the grass, in action.
    He should have stuck with what he does best.
    Choom gang and gay bath houses.

    • JR Burke

      Amen

  • Brosky

    Bwahahah! So either we credit the Fed, or the Obamanation, for the fake recovery. These New York Slimes must think what’s left of their readership is brain dead. Maybe they’re right. But I suspect that’s one reason the NY Slimes and other state propaganda organs are on the verge of bankruptcy.

  • dmartin11

    Ha! Full Kenyan.

  • PatrickHenry1789

    “In the process, they went full Keynesian.”

    NEVER go full Keynesian!

    “Unfortunately, despite the promises from the 2016 campaign trail, if one believes that anything can be done about the atrocious state of regulations in the U.S., that would place them squarely in the land of pixies and fairy dust alongside Barack and Nancy.”

    Nah, just listen to the masses. The so called “conservative” masses think that Trumpzilla is going to save us all. I can’t believe people are falling for this again. I don’t understand what happens during presidential election cycles that brings out the nitwittery in otherwise intelligent people. There is NO political solution for what is wrong with ‘Murica. People had better start getting that through their thick skulls.

  • FreeOregon

    Obama’s misfortune is to have been at the helm as the cycle of confidence in government turned.

    We now know, or soon will recognize, how impotent modern governments are.

    There simply are limits to what anyone or any group can achieve with force and threats of violence. Obama was incapable of turning the tide once the Bush family, by failing in Iraq, showed the world the US is incapable of keeping its promises, in security or anything else.

    The next President will get the major blame. It matters not if this is Hillary or
    Trump.

    • Bolt Upright

      ….I knew it was “Bush’s fault”. Poor Obama. What did Curly used to say? “I’m a victim of circumstance” should be Obama’s mantle.

    • Marten

      “Man appears to be the missing link between Antropoid and Human Beings”…..-Konrad Lorenz–

    • alaska3636

      In a sense, the aftertaste of another crushing depression matters in terms of who was last holding the hot potato. Another depression with Hillary holding the potato shows, as you say, the impotency of government; Trump holding the potato shows that an outsider was ill-equipped to manage the bureaucracy. It’s not good either way, but the general masses have a peculiar way of connecting cause and effect.

      • FreeOregon

        Exactly. One way to vote is to decide who you prefer gets blamed.

        Another approach is not to vote. Why bother since he who counts the votes determines who wins?

  • Bolt Upright

    Well what did Liberals expect from the first Black preezy? Andrew Ross Sorkin elucidates it exactly. Liberals believe it. In their minds, Liberals perceive anyone repudiating Obama’s incumbency as “racist”. This is all they CAN recognize. It is as simple as that. Revealing facts is a pointless effort.

  • GW Bush allowed a terrible thing to happen to America, and subsequently the world, whilst it was his watch. He allowed to sham events of 9/11 take his nation to a series of unjust wars and threats that continue today and are indeed spiralling towards the ever worse. But I could see a self effacing charm and humour. He acted as if he was something of a simpleton.

    With Obama I get nothing but to see his silly puffed-up arrogance and falseness. Again the tragedies continue in his watch, of cause, but I also cannot stand the sight or especially the sound of him – that faux ‘rich’ voice makes me gag. I despise him.

  • charliesix

    Eight more months we have to survive the plague.

    • Stan

      I don’t believe he is going anywhere in 8 years. The FBI will soon be done with their Hillary investigation. From all accounts, it will be enough to indict. The Justice Department will have two choices… prosecute, or sweep it under the rug. Either way, the evidence will get out and Hillary is done.There is no way an egotistical obama will allow for his legacy to be eliminated which will happen no matter what republican gets into office. Expect the unexpected. Something tragic is in our future.

  • JosephConrad

    HAD WALL STREET BANKERS STARTED BEING INDICTED, CONVICTED & JAILED IN 2005-6 FOR THEIR CRIMINAL FRAUD, THE NATION WOULD BE STRONGER
    TODAY. INSTEAD, THE BANKS & WHITE WEALTHY BOUGHT CONGRESS, THE PRESIDENT & THE COURTS.
    ALL CITIZENS HAD TO DEFEND THEMSELVES WAS & STILL IS THE 2ND. AMENDMENT. THEY MUST DEFEND IT AGAINST ‘KILLARY’!

  • chrisyew

    Overtly, TARP was $800 billion. Covertly, Bernanke had given away trillions of $ which was revealed by Ron Paul. Even more covertly, trillions may have gone to TBTF banks by other means as revealed by Jim Willie. Covert money is still going to wherever it is needed, like derivatives for oil, interest rates, CDS and many others, precious metals rigging (Deutsch Bank admission), etc. This market is an artificial market due to too much money printing and rigging. The whole world is going to suffer for this as every country is forced into the game.

  • rahrog

    We would be reading the same type of propaganda if Mitt Romney had been elected. All same/same.
    SECEDE…SECEDE…SECEDE!!!

  • Bruce C.

    The publishing of the NYT article may mark the beginning of the great unwind. I suspect that article will get buried under all the new ones that will explain how and why everything fell apart.

  • Praetor

    The most astonishing thing is people believe this Krap. Hope and change. If only we could send Obama and his like to Mars, ‘without spacesuits’. We may actually see some real change. Its amazing people believe in these people. The only thing Obama may have accomplished, is no one believes in these people. Maybe!!!

  • Libertarian Jerry

    Mr.Obama,like most of the politicians over the past several years,has been nothing but the puppet of the “real owners of America,” the Power Elites ensconced in the “Deep State.” These same Elites control propaganda sheets such as the New York Times. So what else is there to expect? The truth? In the end,the real story,sad to say,is not Mr.Obama nor the New York Times but the fools who read and believe the Times and or believed and voted for Mr.Obama. In the end,never underestimate the stupidity of the average American voter.

    • John Caudill

      Ah, well said Jerry. Stupidity, a word rarely understood, is a ‘joint venture’ between ‘ignorance’ and ‘intelligence quotient’, a common occurrence reserved for the ‘Socialist Elite’ (Democrats). Unfortunately, this malady is the direct result of nutrients beinging fed to the public by the obvious left wing media, NYCTIMES and such!

  • Haywood Jablome

    The NYT….it’s nothing more than The Onion in print!

  • Bruce C.

    I don’t know anyone who thinks the economy has actually improved much since 2008. I didn’t say not at all, and that’s one of the inroads some people use to justify the fiscal and monetary policies of Obama’s administration and globally. A relatively few people have done very well because they invested in what the Fed said it wanted to inflate – RE and equities and bonds in general, and argue that that is what any educated investor would do and see nothing wrong with that. Another group of “investors” sold out of equities after the crash and have still never recovered. Those who stayed in, however, have recovered and so they don’t complain too loudly either. Those who lost jobs and houses have “benefited” it either by walking way from foreclosures and/or falling back on government entitlements like disability and unemployment compensation. They may not like it, but I’m sure many of them voted for Obama 2 to keep the “gravy train” going. (Same may happen with Hillary/Bernie.) The media which should be a watchdog over the government for the people are simply shills. They seem personally immune to whatever government policies are invoked. The same talking heads we saw in 2008 never missed a beat and probably received regular raises and promotions as if everything were fine. Young people have less perspective so they take things for granted. They don’t blame Obama’s policies on their personal situations. Maybe they shouldn’t but they don’t realize how unnecessarily complex and screwed up everything is. Obama’s treatment of the military vets has been grotesque, as his unwillingness to hold anyone accountable. Financial crimes have gone un-investigated and no one has been held accountable. Other laws go unenforced. Border “control” is so unbelievable that no one believes it. The money borrowed that doubled the national debt was wasted and there’s nothing to show for it accept a lot of injured and desperate vets, higher debt servicing costs, an stock prices and RE, and more foreign and domestic circumstances that are binding US options. But it all happens so slowly and at seeming no cost. It’s amazing how many people think they’re benefiting from all this, or accept that without his policies things would be worse.

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