So, debt ceiling raised by $2 trillion, billions in new debt acquired, and… the stock market tanked. So much for calming jittery financial markets by raising the debt ceiling. I particularly enjoyed all the headlines yesterday that Obama and Bernanke were now “out of options” after the latest $2 trillion borrowing binge.
Really? Out of options? There’s nothing else they can think of doing? Because I can think of something they haven’t tried — cutting taxes and spending! Warren G. Harding used this common sense technique to great effect in the Depression of 1920 and that depression only lasted a year. But with “intellectuals” in charge (another curse of big government), common sense is in short supply. The Democrats choose to follow the big government model of Hoover and FDR, which gave us a depression that lasted 10 years, from 1929 – 1939. (Remember, we entered the war in December, 1941, so it wasn’t our war spending that got us out – it was increased demand for our goods from Europe, then embroiled in a war).
Sadly, I suspect it’s impossible for Obama to change course — he’s too caught up in the ideology of government ruling every facets of our lives to make them better. Any option in opposition to that point of view just doesn’t exist for him.