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  • WSJ: Obama’s Policies by the (Bad) Numbers

    9/12/2011 4:05:56 PM Posted by Ron Meyer

    Young America’s Foundation continues to focus on the effects of the Obama administration’s jobs policies, and the effects keep getting worse. Last week, we released “Ten Reasons Why Obama Policies are Killing Jobs,” highlighting the hardships young people face in the current economy.  

    Over the weekend, the Wall Street Journal published an op-ed from Michael Boskin that included 10 “Records Set on Obama’s Watch”:


    President Obama’s big government policy experiments have failed. In 2009, the Obama administration promised a recovery. But, instead of getting jobs and a vibrant economy, we only got historic deficits, debt, and dependency on government.  

    Instead of blaming President Bush, the Obama administration should look at their own record. Boskin explains which polcies call for scrutiny:

    And there's plenty to evaluate: an $825 billion stimulus package; the Public-Private Investment Partnership to buy toxic assets from the banks; "cash for clunkers"; the home-buyers credit; record spending and budget deficits and exploding debt; the auto bailouts; five versions of foreclosure relief; numerous lifelines to Fannie Mae and Freddie Mac; financial regulation and health-care reform; energy subsidies, mandates and moratoria; and constant demands for higher tax rates on "the rich" and businesses.

    Consider the direct results of the Obama programs. A few have performed better than expected—e.g., the auto bailouts, although a rapid private bankruptcy was preferable and GM and Chrysler are not yet denationalized successes. But the failed stimulus bill cost an astounding $280,000 per job—over five times median pay—by the administration's inflated estimates of jobs "created or saved," and much more using more realistic estimates.

    Cash for clunkers cost $3 billion, just to shift car sales forward a few months. The Public-Private Investment Partnership, despite cheap federal loans, generated 3% of the $1 trillion claimed, and toxic assets still hobble some financial institutions. The Dodd-Frank financial reform law institutionalized "too big to fail" amid greater concentration of banking assets and mortgages in Fannie and Freddie. The foreclosure relief program permanently modified only a small percentage of the four million mortgages the president promised. And even Mr. Obama now admits that the shovels weren't ready in all those "shovel-ready" stimulus projects.

    Read the rest of the article here: *Wall Street Journal*


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