Monday, September 3, 2012

Obama: America's Saviour

     America is clearly not what it used to be in terms of economic efficiency and superiority.  Gone are the days when one landed a job following high school at Ford or General Electric and that job lasted for 30 or 40 years, allowed one to buy a modest home, raise a family and even have something they called a pension - which entitled one to income post retirement.  In today's America job security and retirement pensions have - like full-employment - become the target of self-proclaimed businesss-conscious leaders whose misguided ideas on economic efficiency and the operation of government have been a major contributing factor to America's steady economic decline. The vast majority of Americans can attest to the  growing sense of economic insecurity.  Media accounts are rampant with business failures and job loss.  Municipal governments, school boards, police forces and even state bar associations have been
the victims of bankruptcy.

     The human cost associated with the current economic reality in America is far from being evenly distributed among the population.  Lower and middle income Americans are suffering a disproportionate share of the associated human suffering.  Escalating cost of living and declining family income is the norm.  In many parts of America today if two spouses are working that is a blessing.  Disturbingly, the top 10 per cent of income earners in America are immune from this suffering.  Their incomes are steadily increasing at unprecedented rates.

     A government is not a business.  It can not be run like a business.  The recent experience with the near collaspe of the auto-industry is a splendid example to illustrate this point.  President Barack Obama acted decisively to shore-up this fundamental component of the American economy because the failure of these businesses transcended the financial interests of their owners.  Critics advocating the business model for the running of the government were highly dismissive of the wisdom of this policy at the time. It proved to be a sound governmental policy decision.  This is what retired General Motors Vice-Chairman, Bob Lutz who describes himself as a conservtive and a Republican had to say:

                                   "He just went in and he put the right team
                                    together and he got it done and the results
                                    are there for all to see, and I think you
                                    have to give credit where credit is due."

The American people who are suffering the brunt of the current ecomonic decline can not afford for America to go bankrupt.  They, unlike the 10% of the top-earners are unsecured creditors in much the same way as when the plants they work at go bankrupt and move to Mexico and the like.  They stand nothing to gain from a bankruptcy and everything to lose.  One may disagree on whether or not Mr. Obama lived up to expectations.  He may or he may not have.  The point is that amongst the current candidates he is America's best hope of regaining its economic position and avoiding economic ruin.  It is that simple.



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