Dear FutureMoneyTrends.com Member,
Narcissism in politics is nothing new, but it is absolutely disgusting and scary that this person is a hero in the minds of millions of Americans.
“Businesses don’t create jobs,” according to Hillary Clinton. Apparently she missed the entire 1990s when private businesses created over 20 million jobs during her husband’s two terms in office.
In her mind, she clearly credits herself, her husband and the government for those years, when in reality, they walked into the greatest communications revolution since the telephone. And even then, they couldn’t balance the federal budget as tax dollars flooded in from all the new jobs that businesses were creating.
I know that the media claims President Clinton balanced the budget, but the truth is it never happened. The Boskin Commission changed the inflation calculation for the BLS, ripping off our senior citizens and turning their annual cost of living increase into an annual cost of survival rate. The Clinton Administration also made budget projections using short-term interest rates instead of long-term.
Hillary’s wrong on the idea that government creates jobs – the government destroys jobs.
1. Government Borrowing
All government borrowing hurts the real economy. Like a drug, it can have some short-term effects that are perceived as positive, but in the long run, this misallocation of capital hurts our chances of having a sustainable economy based on real supply and demand.
Every dollar loaned to the government is not invested in business, not loaned to the private industry, and is taken out of the economy and redirected by a central planner.
The government raises its capital by putting a gun to its citizens’ heads; pay taxes or go to jail. This means taking money from our wallets, meaning we buy less, reducing the capital citizens have to spend, invest and save.
3. Central Banks Print
This is inflationary. In a real economy, prices go down; however, since the politicians use inflation as a stealth tax, our central planners are hell-bent on pushing the inflation rate up. Inflation is how the government is able to raise your taxes without getting any real backlash from voters. If prices go up and the tax rate stays the same, the government is making more money.
This hurts the everyday Americans; especially those on fixed income, as they make the same amount of money but everything around them is higher.
Government spending creates distortions in our economy and makes it completely dysfunctional. The best example of this is in our housing market. 2008 was the result of government programs and artificially low interest rates. The 3-decade loan, Fannie and Freddie, artificially low interest rates, FHA, the Community Reinvestment Act, and pushing the banks to loan money to subprime borrowers. Wall Street gorged themselves on all of this stupidity coming from government spending, but when the time came to pay for their mistakes, our government rewarded their behavior with bailouts.
5. Government Programs
Again, using the money they stole from others. Governments love to create indentured servant programs, food stamps, college aid, welfare and corporatism.
Food stamps are completely unnecessary. Please show me where 1 American starved to death or a town that suffered from mass hunger in U.S. history. By taking away the responsibility of feeding yourself, the government has created a cesspool of fraud, with the biggest supporters of SNAP being Coca-Cola, Frito Lay and Nestle.
College tuition will outpace all other expenses as long as the government gives 18-year-olds blank checks and those 18-years-olds can postpone the cost of their behavior. Universities would be stupid to offer competitive pricing, as the government is at the ready to pay their fees.
Walmart and hundreds of other large corporations are able to pay their workers shit wages because the government subsidized their wages through SNAP, medical care, and even Section 8 housing. The gravy train for Walmart doesn’t end there, because those programs also make for large volume days when SNAP debit cards are renewed with new tax dollars from other citizens.
6. Minimum Wage
Politicians love to create laws that discriminate against minorities. Most are familiar with slavery and segregation laws, but are completely ignorant of how many other perceived “good” laws hurt small minorities. Like the uneducated or young, minimum wage has priced out millions of unskilled workers and younger people looking to make an honest buck. These laws have also priced many businesses out of business, as well as caused consumer goods to be artificially high, hurting the poor and making them more dependent on government welfare.
From payroll taxes to unnecessary licenses, business owners waste billions on administrative fees complying with government regulations. Mandatory annual fees for LLCs and other businesses is a complete misallocation of capital for a business.
The idea that Hillary Clinton, or any of these politicians (like Bush, Romney and Obama) can create jobs is lunacy. It’s scary to realize just how demented our political leaders truly are.