Tag Archives: Obama
Obama needs to lead on budget cuts.
Thanks to the Des Moines Register for printing the editorial by Peter Morici on 2/16/2013. (Obama blackmailing taxpayers to stick blame on Republicans – see link below.) President Obama and other politicians and pundits who say the sky will fall if the sequestration cuts are allowed to go into effect are using misleading fear tactics. Politicians at all levels of government who don’t want to see spending cuts always say that the services that will be cut are those that are the most needed and the most visible. Examples include President Obama’s statement in his State Of The Union address: “These sudden, harsh, arbitrary cuts would jeopardize our military readiness. They’d devastate priorities like education, energy, and medical research. They would certainly slow our recovery, and cost us hundreds of thousands of jobs.” Agriculture Secretary Vilsack has warned us that layoffs of food inspector will result in food shortages. A top general stated that troops in Afghanistan will have their stay extended because there won’t be enough money to train replacement troops. Homeland Security Secretary Napolitano said the we should expect increased wait times in airports due to mandatory furloughs of security staff.
Jack Hatch is wrong – auto bailout was not needed to help Iowa manufacturers.
Contrary to the letter by Jack Hatch, the Obama administration and Congress were wrong in the way they handled the auto manufacturer’s bailout. (See The Des Moines Register, 11/3/2012, “Auto bailout saved many Iowa jobs, too”) Romney is correct that we should have followed established bankruptcy laws. The bankruptcy process would have allowed the companies to remain open and the jobs to not be lost. The companies could have reorganized their debt and equity and emerged from bankruptcy stronger. What actually happened was that politically favored creditors, such as unions, were given unfair preferences, and some unfavored creditors were cheated out of their lawful security. It is quite likely that Iowa manufacturers would have continued to supply their parts to the industry even if the law had been properly followed.
Link to Register article: http://www.desmoinesregister.com/article/20121104/OPINION04/311040058/Letter-to-the-editor-Auto-bailout-saved-many-Iowa-jobs-too?Opinion&nclick_check=1