Monday, June 1, 2015

The New Normal????

I was just watching some "news" on TV. OK, it was opinion. But today, opinion and news fill the same slot. It is up to us to discern the difference. The "news"person involved was commenting on the current growth rate of the GDP. She opined that 1.7% is the new normal. Apparently, our President has strained so hard trying to improve the economy he needs to be fitted for a truss. 

As Colonel Morgan used to say, "horse puckey". As my cranky self says, "it is the Keynesian normal". Which, by definition, is abnormal. Old John Maynard was a few gills short of a litre. But for some reason he became the economic darling of upper class Brits. To this beleaguered day, he is still loved by liberals. It is that "Big Government" thing.

Since the Obama s took over the White House, Barack has taken the economy, wrapped it up in brown paper, sealed it with packing tape, put it in a crate, and shipped it off to China. In the first quarter of this year we have an astounding 0.7% growth rate. Astounding, yes, astoundingly low. Think of it this way, with all of the non-citizens flooding across our southern border, at 0.7%, the country is actually losing ground.

If Americans want to accept this as the new norm, we will soon be a third world country. But we don't have to accept that. What we have to do is get our heads back out where the sun is shining and be America again. When I was a child, it was shameful to be "on the dole". Now it is a point of pride that the "suckers" are supporting your lifestyle. 

We need a new WPA to supply work for the able bodied. No work, no cash. Care for those that cannot care for themselves. Force the lazy and attitudinous to grab themselves by the bootstraps and contribute. 

Get rid of over regulation and bring back innovation. Either rein in the IRS or get rid of them. Throw out politicians that put party and agenda before country. Americans haven't changed all that much. We have just ceded too much power to the wacko fringe.

To get our America back and be successful again, the change must start in Washington. And we are the ones that can force that change.


  1. Keynesian economics have not been practiced since Eisenhower. The central concept to Keynesian economics is that during recessions you use government deficit spending to prop up and reinvigorate the consumer economy, and during the anticipated economic boom you pay that budget deficit off.

    We have not had a balanced budget at the federal level since Eisenhower so we haven't had Keynesian economics since then either as we have not since paid off our budget shortfall.

    1. The basic concept of Keynesian economics, beloved by liberals, is to tax and spend,in the belief that this spurs growth. They have, in modern times, taken it way beyond JMK's original idea, but it is still Keynesian.

    2. I think 'tax and spend' = Keynesian is a bit overly simplified, don't you really?
      Keynes believed that the government could guide the economy by use of the monetary supply alone, and that is absurd. It all assumes that if taxes are lower that people will ALWAYS spend more money and thus grow the economy, then you rein in the growth by paying off the debt.

      It seemed to work up until 1968 or so, then we got massive new debt from the Vietnam War and the Great Society programs under LBJ and the National debt hasn't seen black ink nearly 50 years.

      That is not Keynesianism, that is just 'blowing the public treasury to buy votes.'