We MUST Bite Off the Hand That Feeds Us!

BiteHandby Leigh Bravo   8/7/14
Recently, President Obama told a British news magazine: “There’s almost no economic metric by which you couldn’t say that the U.S. economy is better and that corporate bottom lines are better. None.”

The facts:

  • Roughly 50 million native born, working age Americans are not working.
  • 67% of children have one parent that is unemployed.
  • The current unemployment rate is 9.6% (This includes the number of Americans who have dropped out of the market)
  • The last time the labor force participation rate was this low was in 1978.
  • Unemployment rate for 18-34 year olds is 46%.
  • 3.9 million Americans are unemployed over 27 weeks.
  • 3.9 million manufacturing jobs lost since Obama took office.
  • Over 721,000 “Shovel Ready” jobs lost since 2008.
  • In July 2014, part time jobs increased by 799,000 while full time jobs fell by 523,000.
  • 53% of American workers make less than $30,000 a year.
  • The U.S, poverty rate has increased to 16.1%, higher than when the “War on Poverty” began in 1965.
  • Median household income in American has fallen for four straight years with an overall decline of $4,000.
  • In 2008, student debt was at $440 billion.  Today student debt is over a $1 trillion.
  • Gas prices have increased 79% under Obama.
  • The average increase in insurance rates since Obamacare was implemented is $3,671, with deductibles ranging from $6,000 to 15,000.
  • Over 5 million Americans have lost their insurance due to Obamacare.
  • Over 47 million Americans are on food stamps.
  • The U.S. Census reports that over 100 million Americans are enrolled in at least one welfare program.
  • In 2008, the U.S. debt to GDP ration was under 70%. Today that has jumped to 110%.

In the same interview with a British news magazine, Obama said,

“I would take the complaints of the corporate community with a grain of salt. They always complain about regulation, that’s their job.”

Is this statement true? Has small business been affected negatively by the number of regulations imposed by the Obama Administration?

The Regulatory Flexibility Act directs federal agencies to assess the effects of rules and regulations on small business. Obama has actually issued fewer regulations for business than Bush, however, the regulations he has enacted have impacted small business more then any enacted by Bush. Therefore, the most important question is not how many regulations have been implemented, but how good are they and do they help or hinder the economy?

In 2012, alone, the American Action forum said,

“The cost of regulations has added tremendous costs to the economy and finds that the year 2012 tops every year in the past twelve in terms of final rule cost.”

Reported in Forbes in March of 2013,

“Small business is still in recession. The number of startup jobs has fallen 30% below the Bush and Clinton eras. The rate of new business formation in the US has fallen to a record low. The reductions in small business employment during 2008 and 2009 were the largest ever recorded in the history of the National Federation of Independent Business data series. Now, four years after the supposed “recovery,” small business is no better off.

Federal government employment has grown and most big companies have recovered. However, 1 in 5 small firms expect to drop employees and 1 in 3 expect to decrease capital spending and expect to be in more severe cash flow troubles by the end of the year.”

What has caused small business growth to remain stagnant? Let’s begin with Obamacare, over-regulation, high corporate tax rates, and the Federal Reserve’s giveaways to “too big to fail” financial institutions.  Did you know that the top four “big banks” control over 40% of the credit markets? Did you know that this percentage has grown over 10% since Obama took office? With the passage of Obama’s Dodd-Frank law, there are over 330 fewer small banks and the volume of business loans under $1 million fell 13%.

A new study by the Brookings Institute indicates that businesses are shutting down faster than they are opening. The US economy has become less entrepreneurial over time, but the drop since 2006 is disturbing.

“The level of business deaths kept growing along with the overall level of business in the economy, but the level of business births did not- it held relatively steady before dropping significantly in the recent downturn. In fact, business deaths now exceed business births for the first time in the thirty-plus-year history of our data.”

A growing economy is necessary for newer and smaller businesses to form and since the economy is not growing, there are many businesses that may never have the opportunity to start up. The Obama presidency has been good for larger firms and those with connections in Washington. The higher tax rates do not impact large business as much as it does smaller business. So under Obama, we have seen big government and big business thrive while small business, the real driver of job creation and the economy, has been further depressed through higher regulation, higher taxes, and higher healthcare costs because of Obamacare.

Obama’s 2009 stimulus did little to stimulate private sector jobs, but gave massive funding to state and local government jobs. Private sector jobs in 2012 were down by 4% from January 2008, however federal employment was actually up 11.4%.  The United States Bureau of Labor Statistics (BLS) reported in March that employing government workers costs 45% more than an equivalent private sector worker.  Government workers average 33% higher pay and their pension and retirement benefit costs are now 254% higher as well. The total compensation for government workers is now 45 % higher than the private sector, which partially explains why the federal debt has more than tripled to 110% of GDP.

In July 2014, Janet Yellen, Federal Reserve chairwoman, told Congress,

“Too many Americans remain unemployed, inflation remains below our longer-run objective and not all of the necessary financial reform initiatives have been completed.”

So what is the truth?  In the past, new business bailed out the economy and spurred innovation and new jobs. Without these small businesses, and an economy dominated by big government, big money and political favors, the free enterprise system that the United States has enjoyed since its foundation will never recover.

Leigh Bravo blogs at The Trumpet. • (1082 views)

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8 Responses to We MUST Bite Off the Hand That Feeds Us!

  1. Timothy Lane says:

    But for Barry Screwtape Obama, all those facts ARE good news. They indicate that we’re approaching the economy of his dreams — in which most of the people serve as Eloi to the liberal Morlocks. (With apologies to the Morlocks, of course.)

    • Rosalys says:

      Spot on! This is good news to The One. This is all happening by design and the spirits of darkness are leaping about having a party as they watch the efforts of the past century blossom under the Audacious One. Barry Screwtape Obama (and I do like your name for him, Tim!) is not stupid, nor clueless, nor incompetent. However, he is evil and he is lazy – I can’t imagine him doing any of what has been happening on his own. He has been quite content to be the figurehead while enjoying all the vacations and kobe beef that the generous citizens – willingly or not – have afforded him. He’s too narcissistic to realize what a dangerous position that is for himself and his family, because at some point he will become superfluous and he will will be fortunate if he is only just pushed aside. I suspect that whatever is in his highness’s future will be at the hands of his “friends”, but made to look like a Tea Party thing.

      But the wicked are like the tossing sea,
      For it cannot be quiet,
      And its waters toss up refuse and mud.
      “There is no peace,” says my God, “for the wicked.”
      Isaiah 57:20, 21

      Coincidently part of today’s scripture reading!

      • Timothy Lane says:

        Dinesh D’Souza’s recent radio ads have noted that the movement to remake America in the devil’s image created Obama rather than the reverse. But I do suspect that Feckless Leader is incompetent. Of course, given his goals, competence doesn’t matter much to him — but he still probably would have preferred that his policies worked better, at least for now.

        • Rosalys says:

          If anything is getting under his skin right now it is that he is getting flak from some of his own people. He likes looking good in the eyes of the elite whether his policies work or not, which they don’t – but then his idea of a policy that works and your and my idea of a policy that works are two completely different things. His policies and all the policies of the left are designed to increase the size of government and the control of the anointed ruling class over the benighted class – us. In that respect his policies are very successful and will continue to be, up to that point when we, the ruled ones, stand up and say, “No more!” – backed up with some kind of action, of course, provided we have not waited until it is too late.

  2. Leigh Bravo says:

    I think everyday we wait to act is a day that more of our freedoms are stripped from us, under the radar. I think that as long as the masses refuse to educate themselves to the truth, the further we navigate towards socialism or worse. The mainstream media, has furthered the liberal agenda by refusing to report the truth to the masses. As technologically advanced as we have become, it boggles the mind that the “masses” still have time to scroll through the lives of the many on Facebook, but no time to educate themselves in the matters that will affect their lives and their children’s lives for generations to come.

    I am still surprised to come across intelligent people who still support Obama and feel he is doing a wonderful job for this country. However, ask a few simple questions about current events, and you realize they are being spoon fed their political education from mainstream media. Their lack of knowledge and even total ignorance of new issues is a dead giveaway. If, we the people, do not stand up and demand the government serve the people, and soon, we will be serving the very monster we created.

    • Kung Fu Zu Kung Fu Zu says:

      As technologically advanced as we have become, it boggles the mind that the “masses” still have time to scroll through the lives of the many on Facebook, but no time to educate themselves in the matters that will affect their lives and their children’s lives for generations to come.

      It is not only the “masses”. Today at my Sunday morning donut shop committee meeting, I was discussing immigration with some highly educated engineers who worked for one of the largest tech companies in the nation. They had never heard the arguments I used against the massive wave of immigration presently flooding in this country.

      Specifically, they had fallen for the old saw that every other generation of immigrants had assimilated so this present one would too. When I explained some of the important differences between the immigration of 100 years ago and today, they looked at me and said that they had never heard these points before and they made a lot of sense.

      That’s why, we can never give up. The road is rocky, but even if it leads to a cliff, we must trod it for our country and culture.

      • Timothy Lane says:

        One of the key points in The Road to Damascus (which I reviewed here quite some time ago) is that even a poorly educated peon is capable of realizing the truth. It’s the great danger that liberalism faces (and the reason why, no matter how much they control the means of communication, they will never truly feel comfortable about democracy).

      • Brad Nelson Brad Nelson says:

        That is a indeed great quote from Leigh, Mr. Kung.

        I recently read this blog post by Enza Ferreri over at American Thinker. I thought it was outstanding. I asked her if I could publish it here but I haven’t heard back (which usually is a nice way of saying “no”). Enza blogs here. (Come to think of it, if I had as little problem with rejection in regards to getting articles as I do with asking women out, I would be married and have eight grandchildren by now…oh, we all have our crosses to bear).

        The central point that Enza made was:

        We – the counterjihadists, the “Islamophobes”, the conservatives, the “Right wing” – have many excellent thinkers and commentators (of whom Greenfield is an example) who are good in the pars destruens, the critical, negative part, of our arguments; but not enough who develop a pars construens, the constructive part that builds the positive alternative to what we are criticising.

        In other words (not that she needs translating), it’s easy enough to poke holes in the idiotic notions of the Left. But it’s quite another thing to put forward one’s own ideas and then defend them from the usual ideological vandals (which is one reason I wanted to graduate from being a mere commenter to other people’s articles).

        That’s why I say that I’m not just against abortion. I’m for outlawing it. I’m not just against gay marriage. I’m for outlawing it as the absurd notion it is. I’m not just against pot. I’m for outlawing it. Sometimes adults have to take specific stands on issues of importance. We can’t have everything we want just because we can think of it.

        And that includes immigration. I’m not only against illegal immigration, I’m for deporting illegal immigrants wherever we find them. This is what countries do. There are certain borders and standards that we must defend or else we no longer are a civilization that can stay within the bounds of a place where you’d want to live (let alone immigrate to).

        I think what you describe at your donut shop meeting, Mr. Kung, is not just the proverbial uninformed voter. (And this is appropriate perhaps that the conversation took place around donuts.) We’re talking about a flabby and out-of-shape way of thinking where to take actual moral stances is either considered too much work or is a muscle that has never been exercised in the first place. You exercised that muscle in others. It’s still there, although dormant. Kudos to you for doing that. It will take a lot of those “Donut Cabinet” meetings to get the job done.

        The problem is (and other friends of mine have noticed this, and I believe Rush Limbaugh has commented on this as well) that as soon as these people run off from the Donut Cabinet Conference, they quickly forget what they’ve learned. The Kultursmog at large draws them back into the mush of multiculturalism, relativism, and just being a flabby dumb ass.

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