The Obama economic legacy — in 90 seconds
posted at 8:37 pm on December 1, 2009 by directorblue
For your review, the Obama administration’s economic track record in 90 seconds can be described as follows (I can also summarize it in one second, if necessary: “teh FAIL”)…
FAIL: The “HAMP” mortgage modification program, designed to save homeowners from foreclosure? Out of 651,000 “trial” modifications, zero (that’s none) have turned into a permanent repayment plan.
FAIL: The “Cash-for-Clunkers” program cost taxpayers between $20,000 and $45,000 per vehicle purchased.
FAIL: The “Stimulus” program, which cost $787 billion and was rammed through Congress using the premise that, without it, unemployment would not pass 8%, has resulted in 10.2% unemployment and 17% “under-employment” (U-6). The tab will be paid for by your children and grandchildren.
FAIL: The $60 billion bailout of GM and Chrysler — abrogating bankruptcy law with payoffs to various union bosses — is an utter and complete failure. The businesses are unsustainable without a massive restructuring, including dramatically retooling union contracts.
FAIL: The bailout of AIG, orchestrated by the then-head of the Federal Reserve Bank of New York (FRBNY) Timothy F. Geithner, “wasted billions” of taxpayer money according to the inspector generator of the TARP program. The initial $85 billion rescue failed, forcing the Fed to pay above-market for the swaps it acquired. The result? “There is no question that the effect of the FRBNY’s decision – indeed, the very design of the federal assistance to AIG – was that tens of billions of dollars of government money was funneled inexorably and directly to AIG’s counterparties,” according to the inspector general. In fact, the terms of the plan were so flawed that the Treasury Department had to dole out an additional $40 billion to AIG just weeks later. For his part in the debacle, FRBNY chairman Geithner was rewarded with a Secretary of the Treasury role by President Obama.
These are the economic qualifications of President Obama and his Congressional sycophants who plan to nationalize one-sixth of the economy through socialized medicine. Come to think of it, those quals are even worse than the average Democrat president, though not by much.
Cross-posted at: Doug Ross @ Journal.