President Obama blamed the credit downgrade and stock market crisis on the debt ceiling argument in congress. He must be hoping America isn’t paying attention. Both the downgrade and the market losses occurred after the debt ceiling was passed and signed, not during the argument. In other words, the gridlock was over before the downgrade and market collapse occurred. The “credit” downgrade is because we have bad “credit” - - - too much borrowed as compared to our GDP. Further, to blame the Tea Party for the credit downgrade is idiotic. Only in politics, with a complicit media, does the group who fights against raising the overall debt get the blame for the debt getting raised!! The fact is, if it wasn’t for those opposing the increase in our debt, our debt ratio would be even worse.
There is a battle for the economic direction of this country. On one side are those who want the government and its programs to be the center of our economy. On the other side are those who want our traditional free market economy. Both types of economies are masters and they do not work well together. The Bible teaches us that we can’t serve two masters; this is an earthly example. For a government program based economy to exist, the free market economy must decrease. On the other hand, for the free market economy to prosper, the government programs must decrease. There is very little room for them to both coexist without greatly affecting the other. A strong government is the basis of Keynesian Economics which says, “Active government intervention in the marketplace and monetary policy is the best method of ensuring economic growth and stability.”
It is so important to understand that whichever system flourishes, the other system suffers. As we see today, for the government economy to flourish the free market must suffer. How does the free market suffer? It suffers with unemployment, economic stagnation, and stock market weakness etc. I believe that is part of the reason why we are being told to get used to 9-10% unemployment. It’s also the reason for the cold-shouldered government response to the stock market crisis, despite thousands of Americans losing their retirement plans and savings. Again, a weak free market system is the consequence of a strong government program system. In a way then, we can say that all this economic mess is the predictable side-effect of creating a stronger government-centered Keynesian economic system. The leaders who are backing this Keynesian economic system know what happens to the free market system when it is accosted by the Keynesian system. In other words, those wanting a government centered system know that unemployment and stock market turmoil is part of the price to be paid for the switch to government control. Although they perhaps miscalculated the degree of incompatibility of the two economies, they knew the free market must suffer in order to strengthen the government…and suffer it has.
Where does that put us? President Obama and his people are willing for the free market to suffer in order to strengthen their government hand. While we can’t really say all of this economic distress was done on purpose, it was done with foreknowledge and consent. Did you catch that?! Anyone with an ounce of economic knowledge knew that the free market would suffer with unemployment, economic malaise, and stock market calamity to one degree or another as the price to pay for the switch to a government centered economy. They knew it but they thought the price and risk was worth it. It was part of President Obama’s promise to “fundamentally change America.” Again, a government economy and a free market economy are a major clash. One prospers at the expense of the other; one suffers at the expense of the other.
Despite the bad economic times of the past few years, the government has continued to grow at an astounding rate. It continues its outpouring of rules, regulations, and proposed taxes which are stifling business and industry. The move toward a more socialistic economy (government economy) is destroying this nation as we know it. While that is tolerable to those who want to rebuild and transition us into a government centered economy, we must resist the move for the good of America and the world. We are not like any other nation and the attempts to make us as such need to be countered. We shouldn’t throw down our blessings to be trampled upon. We should stand tall and bright as the beacon of freedom for America and for the entire world.