On January 13, 2010, the Financial Crisis Inquiry Commission (FCIC) launched a year-long probe on the financial crisis with two days of hearings, starting with testimony from the CEOs of Bank of America, Goldman Sachs, JP Morgan Chase, and Morgan Stanley. It is not clear whether the hearings and the subsequent report will be an authentic “teachable moment” or just another in a long line of show trials masquerading as serious congressional inquiries, but the early signs don’t look promising.
Time for a Constitutional Line Item Veto
As the year draws to a close and the nation’s deficit soars to $1.4 trillion, Congress’s spendthrift behavior persists. On December 16, 2009 President Obama signed a $1.4 trillion omnibus spending bill; $446.8 billion of that amount covered six of the seven remaining appropriations bill.
Weatherization: More Clouds on the Horizon
The American Recovery and Reinvestment Act (ARRA), the so-called stimulus package, continues to be a source of contention and controversy as the end of 2009 approaches. When Congress first considered the $787 billion legislation, CAGW expressed grave concerns about the entire plan, especially those programs which received massive increases in their budgets.
Jobs Numbers and White House Propaganda
One of the cornerstones of the stimulus bill was to create jobs and help the economy get back on its feet. The Obama administration estimated that between 3 and 4 million jobs would be created or saved once the bill was enacted.
Obama Administration Proposal Would Cost U.S. Jobs
The Obama administration keeps coming forward with proposals that would undermine the economic recovery even as it claims to be trying to save it. At least $1 trillion has been spent to supposedly “stimulate” the economy and the budget deficit is at a record level. Yet, the economic gurus within the executive branch have floated another proposal that is both incongruous and counterproductive.
Public vs. Private: May the Best Contractor Win
The government should not compete with its citizens; it should rely on the private sector for commercially-available goods and services. This is a common-sense idea: allow individuals, small businesses, and entrepreneurial companies to contract with the government, instead of creating duplicative and expensive government-run agencies and programs.
A Word of Caution for President Obama
President Obama and Congress are in the process of putting together a “stimulus” package in order to spur the economy and create or save 3 million jobs. The House of Representative’s proposal contained $275 billion in tax cuts and $526 billion in “carefully targeted priority investments” for a total cost of $820 billion. It would be better to call it a de-stimulus package because each of the 3 to 4 million jobs that the President and his allies claim to be saving and creating will cost taxpayers about $275,000.
Stimulus Turns Federal Funding Spigot Into a Raging Firehose
With our nation’s faltering economy, businesses, communities, and families are undoubtedly suffering. However, they will not receive relief in the near future from the Democrat’s new federal fiscal stimulus proposal. According to a stimulus spending outlay chart released by Appropriations Committee Republicans, only seven percent of the funding will be spent this fiscal year and […]
The “Not-So-Big Three” Beg for a Bailout
The so-called “Big Three” domestic automakers, General Motors, Chrysler, and Ford have kicked into overdrive to lobby Congress to salvage what is left of their business operations using taxpayer funds. General Motors, which has entered negative cash-flow territory, is widely predicted to go belly-up unless it receives massive infusions of money. Analysts predict that GM’s demise would drag the other two down as well. After two days of contentious hearings on Capital Hill on November 18 and 19, auto executives departed without a deal and, at least for now, Congress has slammed the brakes on a straight bailout. Instead, lawmakers have tasked automakers with furnishing a detailed plan for long-term industry “viability and sustainability” before any legislative action is taken.
The 111th Congress: House of Card Check
Ironically, as Congress debates a bailout for the auto industry partly as a result of its massive, union-stimulated legacy costs, there are widespread expectations that Congress and the Obama administration will quickly try to push though the so-called “card check” legislation after the inaugural parties wind down.