I SEE THE CHANGE

I SEE THE CHANGE, AND I’M LOSING HOPE

What exactly is the change of which Obama presently boasts? Unfortunately, his “change” appears to look exactly like that which deformed and debilitated Europe over the last few decades, and now threatens the European Union with economic insolvency. Take, for example, Greece’s bankruptcy and Spain’s current 25% unemployment—matching USA’s rate during the Great Depression (One Spanish area suffering 32%). All resulting from socialist policies which, even conceptually, were doomed to fail. Consider the following statistics and trends revealing an American death-spiral:

A. Massive Food Stamp Increase

Reports one source:
Since Obama became President in January 2009, 14 million additional Americans received food stamps as of May 2011, up 43% increase over the period. This includes nearly 15% of the total U.S. Population.

Now 46 million residents collect food stamps, up from 31 million 3 years ago. Heritage Foundation reports food stamp spending has doubled since 2008, the year of Obama’s election.

B. Work Force Smallest Since 1981

The percentage of Americans working is smallest since the early 1980s, according to the Financial Times:
Unemployment fell from 8.2% to 8.1%, more a sign of economic weakness than strength as driven by people leaving the labour force. The proportion of Americans either working or looking for work fell to its lowest level since 1981.

The WaPost reports if today’s figures were used in 2007, unemployment would be 11%.

C. Gross Domestic Product Growth Slumps: 2012 GDP 2.2% Not Even Treading Water

ABC news reports:
The U.S. economy expanded 2.2% in the first quarter, failing to increase employment. “In reviewing the numbers, we may be running out of runway before the onset of another recession,” said Brian Hamilton, CEO of Sageworks. “Unemployment is not decreasing fast enough. In the 34th month of recovery, yet, unemployment remains too high. If we don’t increase employment, we may bump into the next recession, when we cannot expect job growth.” Growth was an anemic 1.7% in 2011.
Okun’s Law says only higher GDP will help improve joblessness. In fact, unemployment can only rise with 2% GDP growth.

A key reason for concern over continuing below-average GDP growth is Okun’s Law, which says for unemployment rates to decline by 1%, we need a year of GDP growth 3% above average.
Obama cites Ronald Reagan as a role-model as change agent. Yet, in Reagan’s 4^th year, GDP grew at 7.2%. But Obama boasts only 2.2% GDP in his 4^th year. So much for Barack’s “Reaganesque” legacy. Of Reagan’s economic successes, one author writes,

During the Reagan Era, Gross Domestic Product, or the total output of the nation, grew substantially. Overall, the economy expanded by a third, or the equivalent of the entire West German economy. This was the longest period of growth in peace-time history.

When Reagan’s economic program took effect in 1982, the economy expanded at an average annual rate of 4.3%. As a comparison, average annual growth from 1990-2001 (since Reagan) was 2.95%, for 1991-2001 (previous trough to peak) it was 3.05% and for 1992-2001 (the last expansion) it was 3.4%.

So the Reagan expansion growth was better than the last expansion by almost 1% per year and growth for all the Reagan years was greater than the growth since by half a percent. That’s a lot of evidence for the claim Reagan’s policies produced the best growth in a generation. (The average growth for the eight Clinton years was 3.55%, and it was part of the last expansion period.)

D. Nat Debt Skyrockets: At BHO Inauguration $10.6 Trillion; Now $15.6 Trillion

CNS News reports:
On Jan. 20, 2009, the day Obama was inaugurated, the federal government debt was $10.6 Trillion, according to the U.S. Treasury. By April 16, 2012, the debt was $15.6 Trillion. The extra $5 Trillion of U.S. government debt during Obama’s 39 months is more debt than the federal government accumulated in the first 219 years of the Republic.

E. Record High US Poverty: NY Times—1 in 7 Families Living Poor

The NY Times reports:
The percent of Americans living in poverty last year, 15.1%, was highest since 1993. Minorities were hit hardest. Blacks experienced the highest increase, at 27%, up from 25% in 2009, and Hispanics rose to 26% from 25%. “This is one more piece of bad news on the economy,” said Ron Haskins, of the Center on Children and Families at the Brookings Institution. “This will be another cross to bear by the administration.”

F. Children Living in Poverty: Up by Millions Since Obama Inauguration

According to CNN, almost a quarter of US kids live in poverty, a shocking increase since Obama became president:
The poverty rate for children under age 18 increased to 22% in 2010, meaning more than 1 in 5 children in America are living in poverty.

Also, the NY Times reports:
Poverty has also swallowed more children, with about 16.4 million in its ranks last year, the highest numbers since 1962, according to William Frey, senior demographer at Brookings. That means 22% of children are in poverty, the highest percentage since 1993.

G. Chronic Long-Term Unemployment Doubles, Up by 3 Million

According to the US Bureau of Labor, long term unemployed were 2.6 million when Obama entered office, but now measure 5.6 million, an additional 3 million persons.

H. Almost 90 Million Work-Aged Americans Unemployed, An All-Time High

The SF Chronicle reports, “Number of the day: 88 million—That’s how many working-age Americans don’t have a job and aren’t trying to find one.”

I. Spiraling Gasoline Costs

Recent downward trends in gasoline prices should not mask the overall trend of prices over the Obama presidency. Gasoline prices doubled since George W left office. Writes one author,
If Obama passed cap-and-trade proposals he campaigned on, energy prices would be even worse. (He once boasted under his proposals, electricity prices would “skyrocket” and coal companies would bankrupt. His Energy secretary, Steven Chu, admitted he wanted America to emulate European gas prices—about $8 per gallon.) Booming oil production has transpired almost entirely on private and state lands, while on federal lands it’s dropped (11% drop just in 2010 & 2011 alone). The administration slowed permitting of offshore oil and gas development to a trickle.

J. Wild Stimulus Spending While Military Slashed & NASA Mothballed

A sinister development occurred when the last two administrations conspired on the Stimulus package. Almost $1 trillion was frittered away. Meanwhile, with deficits skyrocketing, Obama slashed military spending and mothballed NASA for cost-cutting. This is the equivalent of going to WalMart to spend millions on cheap, Chinese-made junk while letting the ancestral family farm default.

These actions, and others like blocking the Keystone Pipeline project, reveal Obama as a true-blue socialist. After all, it makes no sense to claim we cannot afford military and NASA spending in the billions, while at the same time quickly flushing a trillion down the national commode.