Friday, June 25, 2010

Key Economic Indicators - Not So Good

Sales of new homes fell by about 33% in the month of May, to a seasonally adjusted rate of 300,000, which was the biggest drop since the government began compiling data in 1963. This occurred because the government tax incentive to buy a home expired on April 30. Existing home sales also fell in May by 2.2% as another indication that the economy is weakening. In addition, the federal government announced that its previous projections for GDP growth at 3 or 4% in the last few quarters was actually 2.7%. This should be no surprise to anyone because high official unemployment, at nearly 10%, is not falling. We need GDP growth at 3% or more consistently for the unemployment rate to go down.

When will President Obama and the Socialists that control Congress just admit that Obama's Trillion dollar SwindleUS Plan, that is resulting in significant deficit spending, has been a complete failure. The reality is that unemployment is the only key indicator that matters. Official national unemployment of nearly 10% is actually about 17% when the under employed, those working part time that want full time work and those who have just given up looking for a job are counted in the numbers. And, further, unemployment in states like California, Nevada and Michigan is even much higher. To these people, it is not a Recession. It is a Depression.

The unemployed are the victims of Obama's Keynesian economics. The notion that government deficit spending will stimulate economic growth is just plain wrong; because though government jobs are created, they are at the expense of private sector jobs. Without private sector growth, the government is denied corporate taxes; hence the $13 Trillion government debt that continues to grow.

We need private sector growth; but that will not happen as long as Obama and the Socialists that control Congress keep enacting job killer bills like the Obama/Reid/Pelosi SwindleUS and HealthScare Plans. Now they are working on CAP & TAX, which will raise energy costs for all and result in the loss of millions of jobs. It is almost as though Obama, Reid and Pelosi and the Socialists that control Congress are out to purposefully destroy our economy and our country.

These numbers tell us that we must take back our country in 2010 and 2012 by electing Conservatives who support free market capitalism, not Socialism, limited government, lower taxes and less regulation, a balanced budget, real energy independence and health care reform, a strong national defense including securing our border and fighting Terrorism, the right to bear arms, the sanctity of life and family values. We must elect Conservatives who support our Constitution, as written by our Founding Fathers, not as contrived by Socialists Obama, Reid, and Pelosi, or former Presidents, Congresses, or the Courts. Cards talk and numbers don't lie. The current key economic indicators demonstrate that if Obama's Schemes continue, we will have a double dip recession. Obama's higher taxes and more regulations cannot lead to economic growth. This is just Economics 101. We must prevent a double dip recession by sweeping these Socialists out of office in 2010 and 2012. We can do it. We must do it for the sake of our children and grandchildren.

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