Economy

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Obamanomics is Working!

Posted 21 months ago|61 comments|1,055 views
Written by
Altruist
Eugene, OR
Today GM announced that they have paid back all of the money they received in the TARP program. http://www.freep.com/article/20100421/BU...

The Tarp program that was instated by Bush and his designed by his economic advisor Paulson, bailed out the banks and threw a lot of money at the bankers with few strings attached and little record keeping.

Under Obama's direction almost all of the money that was lent out under Tarp has been recovered with interest. GM is paying back their loan 5 months before expected. Certainly many of the bankers took advantage of the free money giving themselves obscene bonuses, but Obama put limits on their bonuses, which proved to be a powerful incentive for the banks to pay off their loans. The Tarp will only end up costing American taxpayers half of the money that was spent in the savings and loan bailout of the 80's under the first Bush, and may actually end up making a profit. http://trueslant.com/rickungar/2010/04/1...

Now Obama is charging Goldman Sachs for investment fraud http://www.charlotteobserver.com/2010/04...
and is about to pass a Wall Street reform package that will keep the economy from failing again. http://www.cnn.com/2010/POLITICS/04/21/s...

At the same time Obama's stimulus program has kept the United States from falling off an economic cliff into a great depression. The stimulus program reversed Bush's hemorrhaging of jobs, the economy has grown for the past five months, the stock market has grown by 70% The Dow is now 11,124, and March's Leading Economic Indicators increased 1.4% which marks the 12th straight month of improvements. http://www.marketwatch.com/story/march-l...

It is turning out that Obama may be the most effective president we have had in quite a while, despite the horrible problems he inherited from Bush, the complete economic meltdown, and the total obstructionism of all of the Republicans.

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COMMENTS
21 months ago: Yeah, The Bush TARP at the request of the incoming President and the Democrat congress.

http://www.ssa.gov/history/pics/acoffee....

W. should have just said "I gone. Why give them bait for fishing? They are already blaming me. Why not take the hit and just say VETO today. Bring it back after January 20th."
21 months ago: What does TARP stand for?

Troubled Asset Relief Program?

Yeah, right.

We would have been better off if they were forced to jump out of windows...AGAIN...
Colorado
Colorado
Westcliffe, CO
21 months ago: It was imperative that our financial system functioned otherwise it would have been a depression. Now is the time to have some meaningful regulation on financial firms.
21 months ago: The first savings and loan bailout?

Does Whitewater cover up ring a bell?

http://www.washingtonpost.com/wp-srv/pol...
21 months ago: Can anyone say IPO?

GM is funneling as much money as it can to prepare for a 2010 IPO.

Al? You will be buying how much stock in the General Motors Intital Public Offering?

http://economictimes.indiatimes.com/news...

http://news.yahoo.com/s/nm/20100421/bs_n...

http://www.reuters.com/article/idUSTRE5A...
21 months ago: Al.

Come on man, get read.
GM did not pay back all the money the government put in. They paid back some, but not all Al.
It's not true Al.

And Al, how do you reckon GM came up with the extra money?

They laid of 10's of thousands of workers and defunded all those fired worker's pensions.

How's that sit Al?

For crying out loud.
TheLegendTomWing
TheLegendTomWing
 Administrator
Philadelphia, PA
21 months ago: Hmm laid off workers, sounds what you were asking for instead of giving them a bailout back then. Make their business practices more efficient to compete, sounds like free market to me.
21 months ago: This post is like a last gasp Al.
Out Of The Box
Out Of The Box
 Moderator
21 months ago: If all this money is getting paid back with interest, how come we aren't seeing the deficit go down by 2 trillion dollars?
Altruist
Altruist
Eugene, OR
21 months ago: It is sad how all of the Conservatives who are so dependent on Fox and Hate Radio for all of their news are so willing to deny reality. Rush Limbaugh said he hopes Obama fails, which would mean that he hopes that America fails.

All of the Republicans hitched their wagon to that train. They bet their future on the doom and gloom scenarios of the hate mongers, and now that train is coming off the rails.

Well wake up guys! Even conservative rags like the Wall Street Journal are having to admit that all of the economic indicators are positive, and most of that is due to Obama's policies.

This is indeed a bitter pill for you to swallow. What you guys are least able to admit to yourself or anyone else, is that government can actually be a force for good if it is run by people of good will.

Admit it guys. Bush had 8 years to pedal your conservative snake oil and the nation drank that poison and got violently sick. Conservative policies of deregulation and giving tax breaks to the rich and the corporations resulted in a near great depression world wide, and a doubling of the National Debt.

Now in only a year and a half, an effective centrist president has been able to steer the nation away from the cliff and is now pointing us in the correct direction. That direction is to the left not to the right.
Perfect Horizon
Perfect Horizon
Chicago, IL
21 months ago: Rush dumbass also said he would leave the country if healthcare passed...still here
Altruist
Altruist
Eugene, OR
21 months ago: TCG I like the picture of the great depression you posted. It is a good reminder of where conservative principles took us, and what we narrowly avoided because of Obama.

Jobs is a lagging indicator dependent on consumer confidence. The purveyors of gloom and doom (Fox News and Hate Radio) are more responsible for the reluctance of business to start hiring again than any other factor.

Now that every unbiased source is admitting that Obamanomics is working the confidence to hire will come again.

Almost all of the aid that the US and Canadian governments gave to GM has been converted to stocks. I don't have any money to invest in stocks, but I would be tempted to support GM if I did. Now we the people are majority stockholders in GM, and we are telling GM that we want more energy efficient vehicles. If GM is making that change (and I think they are) then I would be willing to support the company by buying the first new car I have ever purchased in my 55 years of driving, from GM.

I believe in supporting my government and helping the economy. Are you conservatives willing to admit you are wrong and do your patriotic duty, or are you going to continue to poison the well with your vitriol and vindictiveness, so the entire country continues to suffer?
21 months ago: Uh Al. That picture was during a liberal age. Are you that out of touch with reality?
Billyberoo
Billyberoo
Cedar Park, TX
21 months ago: Yeah they paid back the initial TARP loan with money in an escrow account that they borrowed from TARP to begin with... go to the 5:30 mark of this video http://video.foxnews.com/v/4160941/mortg....

Working my butt!!!
Billyberoo
Billyberoo
Cedar Park, TX
21 months ago: Earnings and savings is what builds an economy not taxing, printing and spending.
thePoliticop
thePoliticop
Long Beach, CA
21 months ago: Al
What's funny is that neither side is willing to acknowledge when a program is effective, if it means giving props to the other side. You just Keep stating the facts... Some Obama programs are actually working. Does he have faults and failures...yes. As does every politician. But it is just plain "obstructionism" to say that the progresses of GM are not good a good sign for American progress.
thePoliticop
thePoliticop
Long Beach, CA
21 months ago: Al
What's funny is that neither side is willing to acknowledge when a program is effective, if it means giving props to the other side. You just Keep stating the facts... Some Obama programs are actually working. Does he have faults and failures...yes. As does every politician. But it is just plain "obstructionism" to say that the progresses of GM are not good a good sign for American progress.
21 months ago: Hey AL, do you have a straight face? lmao
21 months ago: Oh...and Al. GM recieved 52 Billion in bailout money, with 45 Billion being converted into Stock which the Federal Government now owns. What GM has paid back is the 7 billion dollar difference.

The Economy is growing because companies are now operating with less staff and working less hours. Business will not be creating more jobs anytime soon.

Food and energy prices are skyrocketing.

Inflation is right around the corner.

The National Debt is out of control and getting worse.

But hey...at least we can all have free health care.

Right?
21 months ago: Close Hershey...

...The Economy is growing because companies are now operating with less staff and working less hours...???

Should have been...

The Economy is growing because companies are now operating with less staff and working more man hours for less pay.
Billyberoo
Billyberoo
Cedar Park, TX
21 months ago: GM should be reported to the FTC for false advertising.
21 months ago: Al should sell his GM Stock...
21 months ago: Al should get some serious help.
Altruist
Altruist
Eugene, OR
21 months ago: I suppose you Nattering Nabobs of Negativism (remember that one?) will also poo poo the latest news about retail housing increasing 6.8% or housing in the Midwest increasing 20%. Housing is one of the main drivers of jobs.

"This is preserving perhaps $1 trillion in largely middle class housing wealth that may have been wiped out without the housing stimulus measure."

See full article from DailyFinance: http://srph.it/bVqdVH
Out Of The Box
Out Of The Box
 Moderator
21 months ago: Even the most negative nay-sayers predicted a short term rebound. The average recession lasts 12-24 months anyway, nothing new there.

And if the Bush TARP funds helped out, along with the omnibus bill, heck it only cost us two and a half trillion, so far. Just wait till the inflation starts kicking in for real.
Billyberoo
Billyberoo
Cedar Park, TX
21 months ago: Housing was also the main driver of Bust Cycle we are in and here is another article which dispells the lies of Joe Biden and GM http://www.thefreemanonline.org/anything....

Real wealth is not created by the FED's printing press. What will preserve the mniddle class housing is jobs not 10% unemployment and inflation.
21 months ago: I wonder what it would have been if uncle sam didn't have his hands in the cookie jar Al.
21 months ago: uh...announced today...Al...

GM paid back it's borrowed taxpayer bailout loan with money they also borrowed from the taxpayer... That would not be you so don't worry...
Content Removed by Gregoire
21 months ago: I may not be appreciative of all that's going on in Washington, but at least the portfolio is rocking again.
Altruist
Altruist
Eugene, OR
21 months ago: In addition to retail housing going up 6.8%, New home sales nationwide increased 27%. http://www.signonsandiego.com/news/2010/...

New orders for most durable goods rise."Firms are finally putting their money where their mouths are and betting on a rebound," Diane Swonk, chief economist at Mesirow Financial, said in a note to clients. http://www.telegram.com/article/20100423...

Here in California New car sales jumped by double digits and orders for large manufactured goods rose in march by the largest amount since the recession started.

You guys can keep on hoping and praying that Obama and the nation will go down the tubes, but the evidence just keeps piling up. Eventually even the Fox News, hate Radio crowd will have to face reality.

I just don't understand why you hate America so much.
21 months ago: The numbers speak for themselves.

I am happy that there is a recovery underway. If the naysayers here had loaded the boat on good, American stocks (like I wish I had) a year and a half ago, much of this discussion would be non-existent and irrelevant.

http://www.rantrave.com/Rave/The-Disaste...

Out Of The Box
Out Of The Box
 Moderator
21 months ago: You can bet that the very people who engineered the recession did just that, Huey. They didn't mop up as much this time, because people have been getting wise to the ups and downs of Wall Street, and didn't panic and pull out all their investments or jump out of the window. They just hunkered down, and waited for the inevitable upswing.
21 months ago: Yep. That's why we need to be wise as serpents yet innocent as doves.

We are the stewards of this planet and it's resources. We own nothing yet it's all available to us. There is no need for any child of the King to be impoverished.

We are stewards. As stewards we are to be blessed regardless of the economy. However we are also to see to it that we look out for those less fortunate than ourselves.
Out Of The Box
Out Of The Box
 Moderator
21 months ago: " New home sales nationwide increased 27%."

That is a one month increase, after four months of decline. Sales had been especially weak over the winter, partly due to bad weather in much of the country. The new-home sales report reflects signed contracts to purchase homes rather than completed sales and it is likely capturing consumers who are trying to qualify for federal tax credits that will expire at the end of this month.

New-home sales are down 70 percent from their peak in July 2005, and some analysts predict they will sink back to the winter's dismal levels after the tax credit runs out.

http://www.rantrave.com/Rant/How-to-Lie-...

You also wrote:

"I just don't understand why you hate America so much."

That is just so lame. Just because some people don't agree with Obama and his policies and wants him to fail in his attempts to restructure the country into a more socialist society does not mean that they hate America. It means that they love America. Obama's spend and spend and spend policies are going to be our undoing.
Altruist
Altruist
Eugene, OR
21 months ago: When we liberals were criticizing Bush for invading a country that had not attacked us, did not threaten us, had nothing to do with terrorism and had no WMD, we were called un American and America Haters. We were told to love America or leave it.

We criticized Bush for REAL damage to the Constitution and threats to our freedom, not the imagined slights you are afraid of.

Yet in all of the time we protested we didn't call for the overthrow of the government, we didn't carry firearms, and encourage militias.

It is a dangerous game the right is playing and they are encouraging every radical nutcase out there with a gun and a gripe to do something about it.

They are coming very close to treason, and I think it is time to take a deep breath, calm down, realize that this is the legitimate President of the United States, and the legislation is the legitimate exercise of Democracy. Stop being sore losers. Get with the program and start helping instead of hindering.

Continued negativism only hurts the country, so if you continue you must hate America.
Billyberoo
Billyberoo
Cedar Park, TX
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Out Of The Box
Out Of The Box
 Moderator
21 months ago: I wonder how many of those people in the pics were hauled into court and locked away, the way the Obama threateners are being done. I don't remember hearing about any.

And I don't remember seeing a single tea party member carrying a sign that said Kill Obama.
Altruist
Altruist
Eugene, OR
21 months ago: OK so we had a few whackos who are now probably Tea Partiers. The death threats against Obama are 4 times what they were against Bush, and yes the Bush administration locked up lots of liberal protesters. http://www.telegraph.co.uk/news/worldnew...

The thing about liberals is few of them have guns so if they hold up a sign that is about as radical as they get. Liberals don't go out, join a militia and start training for the takeover of the government.
Billyberoo
Billyberoo
Cedar Park, TX
21 months ago: Oh i guess FARTA, and the Weather Underground who may not have used guns but I think bombs can be condsidered equivalent. Were these liberal groups erased from your progressive history.
Out Of The Box
Out Of The Box
 Moderator
21 months ago:
And how about this one, http://en.wikinews.org/wiki/Maine_reside...

After threatening to shoot both Bush and Obama, Secret Service agents found body armor and armor piercing rounds in his vehicle.

He was prosecuted exclusively for threatening Obama, with no mention of his threats to Bush.
Altruist
Altruist
Eugene, OR
21 months ago: Debating what the Weathermen did 40 years ago is getting pretty far afield.

The point is that the negativity of Fox and of hate radio has convinced half the nation that the economy isn't improving while it clearly is. At some point reality will intrude.

Try this comprehensive report. http://news.yahoo.com/s/nm/20100423/bs_n...
Out Of The Box
Out Of The Box
 Moderator
21 months ago: That fluff piece, by a mouthpiece for the Obama camp, Lucia Mutikani, is not what I'd call a comprehensive report. Every piece done by that reporter gives glowing reports of increases as if they are sustainable and permanent, while only citing reasons why any downturns are "seasonal". A comprehensive report reflects the reasons for both upswings and downturns.

Why are durable goods sales on the increase? Does this include inventory restocking? Is it normal for this time of year? How does it compare to years gone by?

What are the factors involved in a one month housing sales increase? What are the long term indicators? Is it expected to be sustainable?

Why are unemployment figures still going up? How can durable goods sales and new homes sales go up when more people are losing their jobs?

Is it possible that these numbers are all sleight of hand by pumping imaginary money into an already overstretched balloon of an economy? And is it possible that, by not allowing some of the pressure out when the economy demanded it, the balloon will become inflated to the point of bursting?
Billyberoo
Billyberoo
Cedar Park, TX
21 months ago: oob you are talking really economics to one that believes in an imaginary utopian reality.
Billyberoo
Billyberoo
Cedar Park, TX
21 months ago: you really like to erase history when it doesn't agree with you. O.K. how about the left wing "riots" in pheonix. And as I have said not one gunstrappin t-party participant used his/her weapon, or any weapon at all.

So are you going to erase those riots from history as well???
Altruist
Altruist
Eugene, OR
21 months ago: Billy I'm not really interested in debating if the right's nutjobs are more dangerous than the left's wingnuts. All of the harm ever done by all of the lefties doesn't compare to what Timothy McVeigh did.

OOTB can continue to attack sources and pose questions but the evidence keeps piling up from every source and every quarter.

Jobs of course are going to be the last thing to increase because they are dependent on consumer confidence. March's Consumer confidence index was higher than expected at 52.3% and in April it shot up to 57.9%

http://www.conference-board.org/economic...
21 months ago: "Jobs of course are going to be the last thing to increase because they are dependent on consumer confidence."

and at the current rate of 162000 jobs a month it will take 4 years to replace the 8 million jobs that were lost, 7.5 years to reemploy the 15 million that are currently out of work, and who knows how long when you factor in the population growth.

"March's Consumer confidence index was higher than expected at 52.3% and in April it shot up to 57.9%"

Um....I got a pretty decent tax return.
Out Of The Box
Out Of The Box
 Moderator
21 months ago: Thanks Harshaw, for taking the time to answer one of my questions. Unlike Obama, whose pat answer is to ridicule those who question him.

I didn't even even think about all those tax redistributions, err, "refunds", being handed out in the couple months leading to our astounding jump in consumer confidence.
21 months ago: Is that the 250.00 tax rebate/advanced refund/erotica per taxpayer that Turbo Tax asked me if I received from Obama? I didn't remember getting 250.00 for me and 250.00 for my wife during the last year so I checked the supplied Social Security link provided in the tax program. Viola! Neither myself or my wife received a single penny! I wonder who did? Registered Democrats and not all working Americans? Good thing we didn't get a single penny as I think the government added it to your taxable income and double taxed you or at least asked for it back "on Tuesday".
Billyberoo
Billyberoo
Cedar Park, TX
21 months ago: And what about the women and children burned alive by Clinton, Janet Reno the ATF, FBI and the rest of there cohorts.
21 months ago: Al, are you eating funny colored mushrooms again?

...all of the lefties doesn't compare to what Timothy McVeigh did...

or do you have a direct link to the DNC...UH...White House...UH...Social Improvement...Social Change... Social inclusion...Social Give Me...Social House Fund...Social Car Fund...Social Food Fund...Social Utility Fund...Social Internet Fund...(OH, you need a computer)...Social electronic Improvement Fund...Social...Social...Social...

talking points?
21 months ago: AL, HERE IS THE BIG QUESTION.........

Get ready....It's a tough one....

Might have to break a sweat to answer this question....

When did you become an "EMPLOYER" and start drawing the down trodden off of your social tax rolls?

Your answer would be? Jose mows my yard?
Billyberoo
Billyberoo
Cedar Park, TX
21 months ago: Al here is a music video that can teach you and your kind REAL ECONOMICS
http://www.youtube.com/watch?v=d0nERTFo-...
Colorado
Colorado
Westcliffe, CO
21 months ago: Nice post and some good points. however, could you tell the Fed to raise the interest rates from zero? if the economy is improving (I think it is for now) we need to normalize rates.
Billyberoo
Billyberoo
Cedar Park, TX
21 months ago: If the interest rate is at zero, which it is, then when inflation is taken into account, the real rate is "negative". With rates this low, the "improvement" is nothing more than an illusion, just another government engineered "boom" with/in a recession which will eventually inflate its way to a bust. One step forward, then 3 steps back is not an improvement, except by midterm election standards.
Altruist
Altruist
Eugene, OR
21 months ago: Billy I like your video. It is true that a long term stimulus is harmful but it worked to stop the depression we were heading for.

In actuality both economic theories are obsolete because they assume unlimited resources. But we live in a finite world and we need to develop a sustainable economics built upon renewable resources rather than extractive resources.

Once the economy recovers we will have to deal with the Republican's National Debt mess. (Cheney said " Reagan proved that deficits don't matter" They were both wrong) Right now there is a portion of the economy that has recovered and is a boom cycle - the rich trust fund managers and hedge fund managers make billions each year.

Historically the top tax rates were 70% and in times of war like now they were 90%. Don't cry to me about stifling investment if we tax these greedy bastards. Even if they were taxed at 95% they would still have hundreds of millions of dollars left. That is more money than anyone knows how to spend. Now the richest are paying 16.7% and 2/3rds of corporations pay nothing!

The right claims that giving the rich and corporations tax breaks creates jobs but Bush did that for 8 years and got Zero job growth!
Billyberoo
Billyberoo
Cedar Park, TX
21 months ago: When the free market feels it is needed to have a "Sustainable" economy (are you using that as the typical Progressive way to say Green Economy) economy on renewable resources then we will have one.

Your boy B.O. has quadrupled the deficiy damage Republicans caused.

Those greedy bastards create jobs that produce capital good and consumer goods, taxes produce government jobs that, well...produce nothing more than more useless government jobs.

Those corporations may not pay much in taxes but, there employees do, and with out employed people there can be no taxes. Why do you think all levels of government are going broke. The Federal government is, but it has a hedge, the FED Reserve printing press. That printing press is taxing each and every person by decreasing purchasing power of the dollar. Even the bum panhandleing on the street gets taxed like that.

If you don't believe that the FED is printing to pay its debts, notice the FED chairman nodding in agreement when Rep. Paul is asking him if he turned on the presses to pay $1.3 trillion. (its about 30 seconds in)

http://www.lewrockwell.com/spl2/bernanke...

It's not Dem or Republican, it is government, period.

Lastly zero job growth is better than the negative growth we are in right now.
Billyberoo
Billyberoo
Cedar Park, TX
21 months ago: Also Al I do believe it was Reagan who tried to pass the "Balanced Budget Amendment" in the 80's. Also he got the closest to passing a line item veto law. Both stopped by Dem house and Senate.

There are good people w/i both parties, it is the parties themselves that stop good things, and that is from both sides of the isle.
Altruist
Altruist
Eugene, OR
21 months ago: More good news about jobs. We gained more jobs last month than we have in the last 12 years. Paradoxically this encouraged more people that have given up, to look for jobs so unemployment is up.

http://motherjones.com/kevin-drum/2010/0...

Colorado you may want to be careful of what you wish for as far as higher interest rates. right now our National Debt is financed by historically low rates, Now the interest on the National Debt is about 1/4th of the federal Budget. If the interest rates go up from 1% to 2%, the interest on the National Debt will double and become a bigger part of the budget than Health or the military.

The purpose for keeping interest rate low is that theoretically the banks will loosen up their money and start lending more so the economy will recover. They didn't count on the greed of the bankers who instead of lending are just getting rich from the "free money".
Out Of The Box
Out Of The Box
 Moderator
21 months ago: As it has been pointed out before, the handwriting is on the wall. With zero percent interest rates, the banks are making money by borrowing money. Borrow a million today, pay back a million in ten years, at which time a million is only worth 900K. Over 100K profit for simply sitting on the funds, not counting the interest generated if they invest it. Multiply that by a billion.
Altruist
Altruist
Eugene, OR
21 months ago: Shows that we need more regulation.

By the way, Sorry the Jobless gains were only the best in the last 4 years not 12.
21 months ago: Sorry, you lost me on that one...

"Jobless gains"?

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