Friday, October 1, 2010


The Tea Party/Republicans have played on the fact the American people expect miracles within 5 minutes of someone taking office. You cannot encourage this destructive mind set of the American people and expect no consequences.

The economy is very weak. I do not know if the Obama Administration does not get it, or simply is too afraid of the backlash if he does the right thing on mortgages. The housing industry is dragging down the economy. The housing industry will not recover until the government does direct lending for VA and FHA loans. There is simply no profit in it for the banks. If I were a bank executive I would do everything possible to discourage the lending of mortgage money. 30% credit card rates are so much more exciting.

I do not see any major changes in the economy before 2012. But what I do see is Obama being able to claim we were moving in the right direction and the Republicans killed it. The Republicans will block the tax cuts for the middle class and anger the middle class. Obama may eventually agree to the tax cuts for the upper 2% of the American people, but then will be able to blame the Republicans for its impact on the deficit. With Obama being able to blame the Republicans for the additional deficit, the fickled American people will swing back to Obama.

Also, the Republican base consists of Taliban mind set people who believe it is the government’s job to regulate morality all in the name of God. Note I said mind set, which is not the same as saying they are 100% like the Taliban. They will demand and get laws which further regulate how we live our lives. The Republicans will give in and this will send the middle back to Obama. The Tea Party/Republicans condemn Sharia law, while demanding we live by Biblical law - exactly where do they think these laws originate? The Bible - stoning children for disrespecting parents - etc and on and on.

Obama will have the argument of “Do you want these religious fanatics deciding who will decide your privacy rights? Do you want these Taliban mind set people deciding the next 2 Supreme Court justices?” This is exactly what cost Bush I reelection. The economy was bad, but it was the extreme right and religious fanatics which sent the Independents to the left.

So in the end, if giving the Tea Party/Republicans the appearance of power means Obama wins reelection, then I say go for the win. It will be 2 years of accomplishing nothing more than pushing Independents back to Obama.

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