America in Turmoil: More Economic Disaster Looming? Can Either Barack Obama or John McCain Save America?

America in Turmoil: More Economic Disaster Looming? Can Either Barack Obama or John McCain Save America?
By Marc Chamot

For the past three years and a half, I have worked for newspapers. Other people’s newspapers and even my own. I have been on the forefront in sales. Advertising sales to be more exact. Since 2004 through my job contacts through advertising sales from San Francisco California, Muskogee Oklahoma, to Fort Smith Arkansas, I knew of the impending economic disaster that has befallen on Americans.

Because I talked to a whole lot of people during my sales efforts, almost every one, mainly mom and pop businesses, were telling me that their sales profits have been equaling or declining year after year.

The American economic trend wasn’t pretty at all. I have seen a lot of small businesses that used to hire 8-11 employees have now cut their labor workforce to less than half! To help make up for their fast shrinking business profits.

Very few mom and pops have shown great profit in their ventures today they can’t even afford to advertise their businesses. The most common thing I would hear often was that small businesses prospered far better under president Bill Clinton than president George Bush.

The American economic tragedy is more than about workers losing their manufacturing jobs; it’s also about American small businesses being able to survive and keep from closing their doors.

As far back in 2004 the economic crisis in America began, when either USA Today or the New York Times, I can’t remember which, wrote this article about a huge number of Americans (in the hundred thousands) that went from the middle class to the poor house. But politicians in Washington chose to ignore it and George Bush got re-elected! Go figure.

Both parties are to blame for these American economic woes. Both, the Democrats and Republicans have their slimy fingers behind these deals.

But unfortunately, under former president Bill Clinton and the Republicans majority in the Senate, and congress brought about these archaic, and chaotic globalization programs like NAFTA and WTO. And under George Bush and the senate and house controlled Republicans brought about the 2005 bankruptcy law changes that’s killing Americans economically today, see America in Turmoil No Way Out; the 2005 Bankruptcies Overhaul Bill is Killing Americans & the Economy; Americans unload prized belongings:

Beyond the massive losses of good paying factory jobs going abroad, mainly to China and Mexico Americans are stuck in a financial rut.

Good paying jobs no longer exists and as American families are slowly losing their jobs to foreigners and their salaries are being streamlined, they are stuck with their bills and debts that they can no longer pay.

With gasoline prices skyrocketing to new highs never seen before, and the inability to bankrupt them so they can restart with a clean financial slate to support themselves and their families.

The 2005 bankruptcy laws have put a shackle in debt obligations on Americans where these debts will linger with them for as long as the debts last or until they are paid in full. Which means to most debtors that owe money, no more lines of credit and no more moneys available to buy fine things and pump back into the economy.

People and professionals had warned the Republican Congress back around when this new bankruptcy laws were being proposed even before President George Bush signed it into law, that it was a bad idea, and it would cause undue damage to Americans in the future and they were absolutely right!

People are being foreclosed in large numbers, credit card bills going unpaid. But regardless for as long that they are in the United States and carry a valid social security card number these debts will linger behind them for life. No matter where they work or how much they earn, they will run risks into garnishments of future wages to pay off these debts, mainly in homes and credit card companies that they no longer own or live in and credit cards that they don’t have.

So what happens to us now? All of these combined mishaps and neglect from our own politicians and more; they have truly failed us in a large way. All of these problems are disastrous recipes for a declining economy.

That’s why with the massive foreclosures, unemployment, job loses, profit loses and so forth. Americans have little to no credit, or any money to spend on high-end items and Wall Street’s feeling the crunch.

As far as Barack Obama or John McCain being able to fix our ailing economy, I have serious doubts that they can or will. It will take more in-depth analytical and solutions coming from their mouths that will address those issues written above.

The presidential candidates that gives a step-by-step plan in reforming Washington business as usual, and comes out with reforming ideas on the topics above will be a shoe in for this presidency.

However, giving credit when it’s due, Barack Obama has talked about rescinding the 2005 bankruptcy laws and charging heavy penalties, and taking away tax incentives on American companies shipping jobs overseas. That’s a start at least.

Here are some of my fine fellow bloggers on Entrecard.com who posted tremendous informative pieces and opinions in regards to these issues:

By John
Both candidates are trying to claim the mantle of foreseeing the current economic woes first. If we look at the record, did both foresee the credit crisis and try to do something about it?

Yes, and that would be John McCain.

Senator McCain worked with three other Senate Republicans to reform the government’s involvement in lending three years ago, after an attempt 2 years earlier by the Bush administration failed in Congress. (Yes, you read that right boys and girls, good old Dubya also tried to forestall the coming crisis.)

On May 25, 2006, McCain spoke on the Federal Housing Enterprise Regulatory Reform Act of 2005:

The bill never made it out of committee. Chris Dodd, then ranking member of the Banking Committee and now its chair, was in the middle of receiving preferential loan treatment from Countrywide Mortgage. Barack Obama accepted hundreds of thousands of dollars from the lobbyists McCain mentions in this speech, making him the second largest recipient of Fannie Mae/Freddie Mac money.

The organizations also became a profitable “rest home” for top Washington democrats to ease their way back into the private sector in style, and make millions in the process:
Clinton administration white house budget director Franklin Raines ran Fannie Mae and took home 50 million dollars.
Jamie Gurilli, Clinton Justice Department Official, worked for Fannie Mae and took home 26 million dollars.

Democrat Jim Johnson, recently on Obama’s VP search committee has made millions as Fannie Mae C.E.O.

Senator Barack Obama, number two on the Fannie/Freddie list of favored politicians after just 4 years in the senate, continues to attack McCain and Republicans for the current financial turmoil, completely ignoring historical facts showing our current situation is not the result of Republican policy, and definitely not John McCain’s. Full Story: http://thepalinchoice.com/2008/09/17/who-saw-it-coming/

US Economic Problems; Are There Solutions?

There is no doubt that the U.S. and many other economies are facing a downturn. Some blame the huge expenditures for the Iraq war, others the decades of Alan Greenspan’s failed policies.

It appears that at least some of the blame can be laid here, but that cannot be all.
The sub-prime mortgage crisis, and the resultant crash in real estate prices are reminiscent of the S&L crisis of the 1980s and’90s. The ultimate cost of the crisis is estimated to have totaled around $160.1 billion, about $124.6 billion of which was directly paid for by the U.S. government. Doesn’t that remind you of the bailout of Bear Stearns? At least the feds declined to bail out Lehman Brothers and Merrill Lynch was taken over by the Bank of America. Why is the U.S. government so directly involved in bailing out corporations, which have in fact contributed to the crisis in the first place?
Full Story: http://www.politicus.us/2008/09/17/us-economic-problems-are-there-solutions/

It needs to get worse before it gets better - Thoughts on the AIG bailout and current economy

So by now I am sure all of you know that Lehman Brothers has filed for bankruptcy and Bank of America purchase Merrill Lynch. Additionally, one of the largest insurance companies, AIG, is in deep financial trouble and was just bailed out by the government. In reaction to the news, the Dow Jones industrial plunged more than 500 points yesterday and regained more than 140 points today. It all sounds quite unsettling and volatile right now, but I really think bad things need to happen before things can get any better, and this is my reasoning.

The problem I see with the current situation is the string of bailouts being handed out by the United States government. Last week it was the bailout of Fannie and Freddie, and today AIG just got an emergency $85 billion loan and the government will be receiving a 79.9% equity stake. This pretty much means that the United States government is now the largest insurer in the world.

The problem with this is not only that the government is throwing good taxpayer money after bad, but also that the United States is taking on enormous amounts of financial risk. If the government left these companies alone and let them perish or be gobbled up by competitors, then the resolution to their failure might come quicker and the government will not have to borrow countless amounts of money that have to be paid off for decades. Right now we are seeing policies that mirror the policies that possibly extended The Great Depression and that’s what’s truly frightening.
Full Story: http://baglady.dreamhosters.com/2008/09/16/it-needs-to-get-worse-before-it-gets-better-thoughts-on-the-aig-bailout-and-current-economy/

Attention Taxpayers: I Need A Bailout-AIG Style!

With the US Financial Markets collapsing all around us, and AIG the latest recipient of $85 Billion from Taxpayer Generosity, I'm all tapped out. I don't have any more money to give to Uncle Sam to help our corporations that can't manager their own finances.I'm struggling to pay my bills, put gas in my car and give it an oil change every 3000 miles. That weekly carwash? History. And it's hurting too because the spiders are moving in and setting up house with their webs.
Full Story: http://michiganrafter.blogspot.com/2008/09/attention-taxpayers-i-need-bailout-aig.html

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