Wednesday, October 31, 2012

*Forbes* Says Democrats Are Better For The Economy!



While no reports have coming in suggesting that Hell has frozen over, Forbes Magazine, the uber-spokesman  for Capitalism and Wall Street, has published a review of  the book by Bob Deitrick and Lew Goldfarb, “'Bulls, Bears and the Ballot Box' (available at Amazon.com)...titled, "Want A Better Economy?  History Says Vote Democrat!, (a) heavily researched, and footnoted, text bring(ing) forth some serious inconsistency between the common viewpoint of America’s dominant parties, and the reality of how America has performed since the start of the Great Depression.

(And yes, we noted the spelling, "Democrat," the misapplication of the noun form of the word to an adjectivial form in order to subliminally suggest the term "rat," a device thought up by social psychologists, then sold to and used by, the Conservative leadership and its followers...but read on.)

"The common viewpoint is that Republicans are good for business, which is good for the economy. Republican policies – and the more Adam Smith, invisible hand, limited regulation, lassaiz faire the better – are expected to create a robust, healthy, growing economy. Meanwhile, the common view of Democrat policies is that they too heavily favor regulation and higher taxes which are economy killers.

"Right?

"Well, for those who feel this way it may be time to review the last 80 years of economic history.


Forbes notes:

"The authors looked at a range of economic metrics including inflation, unemployment, corporate profit growth, stock market performance, household income growth, economy (GDP) growth, months in recession and others. To their surprise (I had the opportunity to interview Mr. Goldfarb) they discovered that laissez faire policies had far less benefits than expected, and in fact produced almost universal negative economic outcomes for the nation!

"From this book loaded with statistical fact tidbits and comparative charts, here are just a few that caused me to realize that my long-term love affair withMilton Friedman‘s writing and recommended policies in 'Free to Choose' were grounded in a theory I long admired, but that simply have proven to be myths when applied!


  • Personal disposable income has grown nearly 6 times more under Democratic presidents
  • Gross Domestic Product (GDP) has grown 7 times more under Democratic presidents
  • Corporate profits have grown over 16% more per year under Democratic presidents (they actually declined under Republicans by an average of 4.53%/year)
  • Average annual compound return on the stock market has been 18 times greater under Democratic presidents (If you invested $100k for 40 years of Republican administrations you had $126k at the end, if you invested $100k for 40 years of Democrat administrations you had $3.9M at the end)
  • Republican presidents added 2.5 times more to the national debt than Democratic presidents
  • The two times the economy steered into the ditch (Great Depression and Great Recession) were during Republican, laissez faire administrations

"We often remember the myth, not the real facts

"The book is great at looking past today’s economic myths by using long forgotten facts to set the record straight. For example, in explaining President Reagan‘s great economic recovery of the 1980s it is often attributed to the stimulative impact of major tax cuts (ERTA.) But in reality the 1981 tax cuts backfired, leading to massive deficits and a weaker economy with a double dip recession as unemployment soared. So in 1982 Reagan signed (TEFRA) the largest peacetime tax increase in our nation’s history. In his tenure Reagan signed 9 tax bills – 7 of which raised taxes!

"Thoughts on the economic policies in this election

"The book covers only Presidents Hoover through W. Bush. But as we near this election I asked Mr. Goldfarb his view on the incumbent Democrat’s first 4 years. His response:


  • Obama at this time would rank on par with Reagan.
  • Corporate profits have risen under Obama more than any other president
  • The stock market has soared 14.72%/year under Obama, second only to Clinton — which should be a big deal since 2/3 of people (not just the upper class) have a 401K or similar investment vehicle dependent upon corporate profits and stock market performance”


"As to the challenging Republican party’s platform, Mr. Goldfarb commented:


  • 'The platform is the inverse of what has actually worked to stimulate economic growth
  • The recommended platform tax policy is bad for velocity, and will stagnate the economy
  • Repealing the Affordable Care Act (Obamacare) will have a negative economic impact because it will force non-wealthy individuals to spend a higher percentage of income on health care rather than expansionary products and services
  • Economic disaster happens in America when wealth is concentrated at the top, and we are at an all time high for wealth concentration. There is nothing in the platform which addresses this issue.”


"There are a lot of reasons to select the party for which you wish to vote. There is more to America than the economy. But, if you think like the Democrats did in 1992 and 'it’s about the economy' then you owe it to yourself to read this book. It may challenge your conventional wisdom as it presents – like Joe Friday said – 'just the facts.'"


This writer happened to be present in a conversation in which the saw, "The GOP is better for the economy," was uttered.  Print out this article and present the Facts From Forbes to the next Conservative sheeplet who utters the falsehood to you.  Conservative sheeplets hate dealing with facts, but you'll have the satisfaction of knowing that Conservative economists have been lying for years about the so-called benefits of laissez faire economics, and that Trickle Down is always trumped by Trickle-Up.

Laissez Faire economics is an important weapon of the greediest of the wealthy in our country, those who want to take us into a new age of American Feudalism.  Conservatism is un-American and they are criminal, and must be recognized for the criminal conspiracy that it is.


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"Washington could not tell a lie; Nixon could not tell the truth; Reagan cannot tell the
difference."

Mort Sahl


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