Saturday, January 31, 2009

An open letter to President Obama concerning the economy

Mr. President,

I am sure that I am not the only one in this country who disagrees with you on how to get this country through the economic difficulties that we now face. With house prices retreating, house and car sales falling, unemployment increasing, and overall hesitation about the American economy as a whole, the last thing we need in this country is more government spending.

You mentioned this week that this is not the time for companies to be making huge profits. I would vehemently disagree with you. This is exactly what we do need. You see, when companies make profits, it not only benefits the executives (which you think are being paid too much money), it also benefits the employees, as they will not need to lose their jobs, and it may even lead to job creation within that company. It also benefits stockholders in the form of dividends. It is the growth of business that has helped make this country great. It is not this country that has made its corporations great by dictating to them what their financials should be.

Also, I have heard it bandied about that the pay of top executives should be limited. This is also a bad idea. While we may look at these executives and think they make too much money, we are doing so in comparison to our own salary. My problem is that if the government says executives are only allowed to make a certain amount of money, where will it stop? It would open the door for the government to tell more people how much they can and cannot make in the form of salary. It is a slippery slope that we should stay as far away from as possible.

I would also like to say that tax cuts are a good thing. However, to cut something that someone does not pay anyway is really a handout (or welfare, in this case), it is not a tax cut. Welfare only makes people more reliant on the government and takes away their ambition. Tax cuts should be directed at those who actually pay taxes. It should be aimed at small businesses, at corporations. They are the instruments that keep this economy rolling through the hiring of employees, through offering their goods and services on the open market. It is not the time to put more obstacles in front of them. Rather, it is the time to get out of their way and let them do what they do best.

Federal spending will not get us out of the current economic situation. In my view, it will only dig us deeper. Throughout the 8 years of President Bush, many Democrats criticized the President and the Republicans for running up the deficit. (As a sidebar, it is Congress's deficit, not the President's. The Congress spends the money, all the President does is sing the bill). Anyway, the criticism for running up the deficit is justified (except in the case of national defense). Anyway, where are these same deficit hawks from your side of the aisle now? They have conveniently used the deficit as a political ploy, not caring about it at all and using it for their own political advantage. You you are guilty of this same thing during the general election cycle. Yet, no one in Washington is willing to cut spending anywhere in order to balance the budget.

Where is the government going to get more money to spend? If people are losing their jobs, then there is less money finding its way into the federal government's coffers. If there is less money flowing toward Washington, how can they spend more? The answer is that they can print their own. Yet, this floods the market with U.S. Dollars and has the side effect of devaluing the dollar on the open market, thus increasing the cost of goods and causing inflation to occur.

We have examples throughout history where we see where government spending will not help us out of recessionary times. The Great Depression is a prime example. While unemployment did decrease to a certain extent during the New Deal era, it was not until World War II that the U.S. came out of the Depression. The New Deal did not get us there. The Great Society did not do anything to help us out as a country. It only served to make people more reliant on government and less reliant on themselves to go out and earn a living and pay their bills. Ronald Reagan inherited huge tax rates and high unemployment from Jimmy Carter. It was not until he was able to pass tax cuts that America was able to dig out an economic abyss.

We have banks that rewarded people with mortgages for more than they could afford. This was done so that they could continue to receive funds and not be penalized. Basically, the government was sponsoring predatory lending. And leaders of Congress were in on it. At times, some members of Congress (but not nearly enough of them) tried to reform this, but some prominent Democrats stood in the way. This was a unique way for them to buy votes, and nothing was done to stop it.

As I see it, it is your goal to make people more reliant on government and less reliant on themselves. It is government's responsibility to protect us so that we can live freely. It is not government's responsibility to tell us how to live. But that is where you are leading us. What I do not understand is why. We see that this government controlled lifestyle (i.e. Socialism) did not work for the Soviet Union. It is not working in China. Venezuela is trying it, and their economy is tanking as Hugo Chavez works to nationalize everything. Cuba has managed to sustain socialism, but they are so far behind the rest of the world that they really do not matter.

Our founding fathers realized that it would be the people in this country that made the country great. It would not be the country that made our people great. That is why they limited the powers of the federal government and relegated much of the power to the states. However, over time, the federal government has usurped that authority and the states have done nothing to stand in the way. It is only by returning power to the people that this country will rise again to its prominent position as the leading player on the world stage. Why will you no let the happen? Are you afraid of that? Do you really want us to be great again? Or would you rather us cede power over to the U.N. and become just another country? I would rather us be a leader and not a follower.

Why do you seek to silence your critics? You say that you want bipartisanship in Washington. I do not understand where this came from, as you were nowhere close to wanting this while President Bush was in office. And bipartisanship means meeting in the middle, not getting everyone to be on your side. There is both give and take in the process, not just take. And your smokescreen of reaching out to conservatives is not working. If you were really interested in reaching out, you would have reached out to true conservatives, not Washington elite media members. While the people who voted for you might be too stupid to see through this, the rest of us do.

One more thing: You need to stop allowing your media arm to twist the words of political commentators and start reporting the news correctly. MSNBC is constantly attacking Fox News. Perhaps, they could learn from Fox News in order to get people to watch them. They could occasionally have a conservative on their shows to counter the ultra liberal arguments put forth by their hosts and guests. They could report news, not give their political twist on it. They could fire Keith Olbermann, the moveon.org talking head.

Also, do not go after Rush Limbaugh. Yes, he does have a loyal following, and we are by no means some kind of political robots. We are able to think things out logically and see the harm that you are doing. We are passionate about our beliefs and the greatness of this country. Perhaps it would do some good for you to listen, instead of taking his words out of context and twisting them to try and gain an advantage with an under informed public. You know he said that if you were able to implement your liberal policies that he wanted to see you fail in that respect. It was directed at your policies, and not directed to you as a person (after all, it was your party that started the 'We support the troops but not thier cause' argument). You know what he said and meant and your people know this, too. Stop lying to the general public about it. Rush has close to 20,000,000 listeners, of which probably 98.3% agree with him. That is a large chunk of the population that you choose to marginalize.

I realize you will most likely not read this letter, but it comes from the heart. America is great because it is a country built on sweat, blood, and the hard work of its people. It is not great because of clever laws that the government has chosen to make over time. We need to continue to be a leader in this world. If other countries do not like us in this leadership, that is their problem. We should not be loosening our standards in order to come down to their level. We need to do what we can to bring them up to our level.


Thank You.

Adam Matesevac
Concerned Citizen

1 comment:

Ken said...

I agree wholeheartedly!