Obama Wins! Spread the Pain!

The soon to be former and nearly always campaigning Senator from my state of Illinois, Barack Obama, won the presidency with 52% of the popular vote (with 97% percent of the votes tallied). Not exactly a landslide, considering the $100s of millions spent to buy the election. Note: the total raised by the Obama campaign was $640 million of which about $575 Million was spent on the election . Obama Campaign Fundraising Data

In celebration, the Dow Jones Industrial Average, which rose 305 points in the previous session as Americans went to the polls, fell 486.01 points, ending down 5.1%.

Forgive me for not celebrating. Despite the relief at the end of the "Bush Years", of political campaigns that went on for years, and the fact that now that Obama is out of the Senate, maybe we the people of Illinois will get a real Senator, not just a campaigner, I cannot say this is the end. The euphoria gripping some of the electorate is somewhat confusing. We have a huge budget problem and growing, with 70+ million retirees approaching the Social Security doors with hands outstretched, we have a Medicare and Medicaid system which, in terms of budgets, is "out of control". So I should celebrate?

Ok, so let's ignore those major and looming problems (our politicians do). Now what? Well, the easy part for the Obama campaign is over. Collecting half a billion dollars plus from supporters and running for office while telling us that this is about "spreading the wealth", "change", and "health insurance as good as he [Obama] gets" was very easy. Now to perform. And that quip about "spreading the wealth around", that was actually a white lie. What this is really about, is spreading the pain.

The pain of a contracting economy and falling tax revenues, the pain of a Federal Reserve which has been printing money at a dizzying rate to hand to our oil producing "friends" and those holding our debt, like the Chinese; and of course to those living on the dole, who will get a 5.8% SS increase which they can promptly spend on Chinese made goods at Wal-mart. There will be the pain of growing annual Federal budgets, of which $412 Billion goes to service the interest on the debt and $720 Billion goes to health and human services. The pain of designing and implementing various regulations on all sorts of industries, and in particular Wall Street and the Banking Industry. The pain of having to tell all of the Obama button toting supporters that, oops, sorry! We don't have the money to unionize the country, to really spread the wealth around in the manner you expect. Nor do we have the money to pay you the pensions and entitlements you expect. But we do have the will to tax the hell out of everyone who is working, to pay for the cleanup of the previous party.

That previous party was also earmarked with a lot of spreading the wealth around, to "homeowners" who couldn't afford the houses they bought; to the contractors, housing construction workers and "immigrants" who built them, to real estate agents and home sellers who "flipped" or unloaded them and made a killing at very high prices. To Wall Street and to the Bankers who designed and sold the wonderful financial products that permitted people to lie and get the house of their dreams at someone else's expense. To the congressmen and women who actively prevented the regulators from doing their jobs, while cleaning up with contributions from all of the "industries" that benefited from this scam. And finally, to those on the dole who continue to spend their children's legacy.

Which leaves the rest of us who are working and producing something in what remains of US manufacturing to pay for the mess. While watching our savings get hammered as the stock market, bonds and just about anywhere one can stuff the money we hope to retire on, also gets hammered. Finally, let us not forget about those under the age of 50, each of whom is putting a lot of money into a ponzi scheme called "Social Security". They are the one's who will, eventually, really get mad, when the taxes go up and when they too realize that the politicians are, for the most part, spewing bull.

Welcome to the real Obamanomics. That party was over before it even started. We will all share in the pain, of course unequally, as usual. However, there is an ominous tone and many people realize there is no where to hide. Pain will be experienced by all of us. For some, it will be not getting what they expect and yet feel they are entitled to. That reality is hitting the unions as the automobile industry contracts. That reality is apparent to anyone in municipal and state jobs, as the local economies face the reality of shrinking tax receipts and escalating costs, and blooming deficits and municipal worker layoffs. How about home owners who are "under water"? Will they be able to make their real estate tax payments? If not, think of the impact on education, which is funded in large measure by these taxes.

Here in Illinois, I expect our dysfunctional governor to declare a tax holiday or some such, for these people, with the help of the state legislature, which is equally inept.

President Elect Obama's staffers will surely hit the streets and begin toning down the expectations of his followers. The "new" administration simply cannot deliver. This is a long, difficult road we face.

However, New York and New Jersey sent representatives to Washington before the election to lobby for more federal bailout money. How disingenuous! The people of these fine states benefited from the largess of the hedge funds, banks and wall street firms which contributed greatly to the current conditions. Now we, the working taxpayers, should send them more of our hard earned money. Let them go the the "Forbes 400", 64 of whom live in New York City, and collect from them. Or to George Soros in White Plains, NY or to the rest of them! I am sure NYC can hardly wait to get their wonderful multi-bilion dollar "transportation center" completed with taxpayer money.
multi-billon dollare first class retail and restaurant space paid for by the US taxpayer
I always find it interesting how the New York Times makes a fuss about "bridges to nowhere" but avoids equally inflammatory terms when it comes to pork projects for New York the State and the City!

And let's not forget the 5.8% increase recently awarded to those currently living on social security. That's the largest increase ever awarded! I wonder how many small business owners will be getting 5.8% raises in 2009? I'll let you guess the answer to that one. But soon, these same small business owners will be expected to cough up more taxes, to cover those who are "less fortunate"; whatever that means. Let me see. I should continue working until 70 or whatever, forgo my SS benefits and continue paying taxes, all for the good of the country? OK, so am I really so stupid? I'll tell you something, I worked two jobs at lower wages at one point in my circuitous career to make ends meet, rather than go on the dole. So what do you think? Should I go on the dole now and collect what I am "entitled to", effectively taking my children's inheritance, or should I keep working? I'm interested in the votes out there. However, don't simply tell me what "I" should do. That is the game in America. Giving advice while we do just the opposite. Have you ever heard of "leadership by example"? Most Americans probably have not. So if you want to give me your comments, go ahead, but you also need to include what you are doing to increase the amount you pay in taxes, or reduce the federal budget deficits. Oh, and by the way, property taxes don't count; those dollars stay in the local economy.

Returning to the election and it's immediate aftermath, I suspect these realizations contributed to why the stock market dropped like a rock today, November 5 and also why it will drop tomorrow, too!

So it will get worse before it gets better. Hang on and enjoy the ride! Listen to the rhetoric and marvel at the stupidity of many in this formerly fine country of ours.

Following the election, the National Debt Awareness Center made the following observations on its website: "The majority of the U. S. Voters want to change the U. S. to Socialism, some to Marxism, want to ignore the U. S. Constitution, don't care about the nation's debt, or annual deficits". What do you think? The website went on to say "Effective 1 January 2009, the National Debt Awareness Center will be closed." That about sums it up, I think! Game over!