Best of the Week
Most Popular
1. Gold Final Warning: Here Are the Stunning Implications of Plunging Gold Price - P_Radomski_CFA
2.Fed Balance Sheet QE4EVER - Stock Market Trend Forecast Analysis - Nadeem_Walayat
3.UK House Prices, Immigration, and Population Growth Mega Trend Forecast - Part1 - Nadeem_Walayat
4.Gold and Silver Precious Metals Pot Pourri - Rambus_Chartology
5.The Exponential Stocks Bull Market - Nadeem_Walayat
6.Yield Curve Inversion and the Stock Market 2019 - Nadeem_Walayat
7.America's 30 Blocks of Holes - James_Quinn
8.US Presidential Cycle and Stock Market Trend 2019 - Nadeem_Walayat
9.Dear Stocks Bull Market: Happy 10 Year Anniversary! - Troy_Bombardia
10.Britain's Demographic Time Bomb Has Gone Off! - Nadeem_Walayat
Last 7 days
S&P 500’s Downward Reversal or Just Profit-Taking Action? - 18th April 19
US Stock Markets Setting Up For Increased Volatility - 18th April 19
Intel Corporation (INTC) Bullish Structure Favors More Upside - 18th April 19
Low New Zealand Inflation Rate Increases Chance of a Rate Cut - 18th April 19
Online Grocery Shopping Will Go Mainstream as Soon as This Year - 17th April 19
America Dancing On The Crumbling Precipice - 17th April 19
Watch The Financial Sector For The Next Stock Market Topping Pattern - 17th April 19
How Central Bank Gold Buying is Undermining the US Dollar - 17th April 19
Income-Generating Business - 17th April 19
INSOMNIA 64 Birmingham NEC Car Parking Info - 17th April 19
Trump May Regret His Fed Takeover Attempt - 16th April 19
Downside Risk in Gold & Gold Stocks - 16th April 19
Stock Market Melt-Up or Roll Over?…A Look At Two Scenarios - 16th April 19
Is the Stock Market Making a Head and Shoulders Topping Pattern? - 16th April 19
Will Powell’s Dovish Turn Support Gold? - 15th April 19
If History Is Any Indication, Stocks Should Rally Until the Fall of 2020 - 15th April 19
Stocks Get Closer to Last Year’s Record High - 15th April 19
Oil Price May Be Setup For A Move Back to $50 - 15th April 19
Stock Market Ready For A Pause! - 15th April 19
Shopping for Bargain Souvenirs in Fethiye Tuesday Market - Turkey Holidays 2019 - 15th April 19
From US-Sino Talks to New Trade Wars, Weakening Global Economic Prospects - 14th April 19
Stock Market Indexes Race For The New All-Time High - 14th April 19
Why Gold Price Will “Just Explode… in the Blink of an Eye” - 14th April 19
Palladium, Darling of the PGEs, Shifting into High Gear - 13th April 19
MMT is a spectacularly Dem idea - 13th April 19
The 'Silver Lines' of Opportunity - 13th April 19
Gold Stocks Bull Market Breakout Potential - 13th April 19

Market Oracle FREE Newsletter

Top 10 AI Stocks Investing to Profit from the Machine Intelligence Mega-trend

The Two Great Accomplishments Obama Won’t Claim

ElectionOracle / US Presidential Election 2012 Nov 05, 2012 - 11:49 AM GMT

By: Investment_U

ElectionOracle

Alexander Green writes: We can argue whether he deserves the reputation or not, but President Obama is viewed in many quarters as anti-business. Critics say his healthcare plan, regulations, mandates, and proposed tax increases stifle economic growth and prevent businesses from creating new jobs.


The Obama campaign counters that this simply isn’t true. And the President himself makes a point of calling the free-enterprise system the world’s greatest engine of prosperity.

He’s certainly right about that.

However, Obama’s reluctance to take credit for two great achievements indicates he is not only anti-business but anti-investor, as well. The first accomplishment is U.S. corporate profits. They aren’t just good. They aren’t just better than expected. They are an all-time record. No small feat.

This, in turn, has led to an equally formidable second development. Practically since he took office, the U.S. stock market has doubled – a decided plus for corporate shareholders and equity mutual fund investors – yet Obama never mentions either achievement. Ever. He makes no attempt to take credit.

It would be naïve to say Obama is just being humble. This is a man who told us he would make the seas recede and compared his achievements favorably to those of “any president” since Lincoln, with the “possible” exceptions of FDR and LBJ. Low self-esteem is not his problem.

Of course, whenever presidents of either party run for re-election, they routinely vacuum up the credit for everything good on their watch and explain away negative developments as circumstances beyond their control or the fault of an obstructionist opposition. Or, although this is fairly new, they lay the blame on their predecessor.

It’s a gross oversimplification, of course, to say George W. Bush (a disaster, in my view) caused the Great Recession or that Barack Obama is entirely responsible for today’s sputtering economy.

As much as pundits and the media like to say the man in the Oval Office is “running the country,” it simply isn’t so. What makes the country run is hundreds of millions of men and women getting out of bed each morning and making things happen. Yes, government policies and new legislation can affect the economy for better or worse, but the beautiful thing about the free-market system – since it’s based on the most durable of foundations: rational self-interest – is it’s awfully hard to wreck.

Yet the economy today is moving with a decided limp. Consumers are over-leveraged. Businesses feel like they are weighed down with federal regulations and mandates. To top it off, Obama is heralding a new round of tax increases.

Even Keynesians, who favor massive government intervention in the economy, oppose jacking up tax rates in a downturn. Yet look at Obama’s very specific proposals:

1.He wants to raise the top marginal income tax from 35% to 39.6%.
2.He wants to raise the top long-term capital gains rate from 15% to 20%.
3.He wants to raise the top tax on dividends from 15% to 39.6%. And that’s in addition to the new 3.8% tax on dividends (to pay for ObamaCare) that goes into effect January 1. In other words, Obama will raise the top tax rate on dividends 189% to 43.4%.
4.He wants to replace the alternative minimum tax with the Buffett Rule. That means the highest income earners will pay a minimum 30% tax rate on wages, interest, dividends and capital gains.
5.You can’t even die unmolested. Obama also wants to tax more estates by lowering the exemption while raising the death tax rate from 35% to 45%.

This combination of specific tax hike proposals and utter silence about record corporate profits and sterling stock market performance lead to an inevitable conclusion:

These aren’t accomplishments he values. And business owners and investors aren’t his concern… or his constituents.

Good Investing,

Source : http://www.investmentu.com/2012/November/great-accomplishments-obama-wont-claim.html

by Alexander Green , Oxford Club Investment Director Chairman, Investment

http://www.investmentu.com

Copyright © 1999 - 2012 by The Oxford Club, L.L.C All Rights Reserved. Protected by copyright laws of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including on the world wide web), of content from this website, in whole or in part, is strictly prohibited without the express written permission of Investment U, Attn: Member Services , 105 West Monument Street, Baltimore, MD 21201 Email: CustomerService@InvestmentU.com

Disclaimer: Investment U Disclaimer: Nothing published by Investment U should be considered personalized investment advice. Although our employees may answer your general customer service questions, they are not licensed under securities laws to address your particular investment situation. No communication by our employees to you should be deemed as personalized investment advice. We expressly forbid our writers from having a financial interest in any security recommended to our readers. All of our employees and agents must wait 24 hours after on-line publication or 72 hours after the mailing of printed-only publication prior to following an initial recommendation. Any investments recommended by Investment U should be made only after consulting with your investment advisor and only after reviewing the prospectus or financial statements of the company.

Investment U Archive

© 2005-2019 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules