Posts tagged ‘Auto Industry’

05/31/2012

Auto Loans: Romney Tries to Hitch Ride

It was funny earlier this month when Gov. Romney tried to take credit for the auto industry bailout that saved Chrysler and GM from a certain Chapter 7 bankruptcy, by providing federal loans in a depressed economy where no money whatsoever was available from private sector banks. I mean it was not just odd that Romney would say what he did, in that sense of the word funny, but truly funny to the point where we couldn’t stop laughing, as we listened to Romney say he supported the auto industry bailout, all along.

Romney must really think we are stupid. As painful as it was, I had watched all 20 Republican debates, just to listen to what the right-wingers were saying. All of their candidates, including Romney, repeatedly stated an opposition to the loans that saved Chrysler and GM. They had no concern for the countless number of jobs that would have been lost, not only at those companies, but at the component part factories that also would have closed.

In the debates, Romney said he would have let Chrysler and GM go bankrupt. (6-13-11) Funds should not have been used to bail out GM and Chrysler, he argued. (10-11-11). The auto bailout was wrong, he insisted, as he opposed the transfer of GM to the UAW, and Chrysler to Fiat. (11-9-11) As the debates dragged on, Romney often repeated his talking points that the government should not have loaned money to GM or Chrysler, and again insisted they should have been allowed to go bankrupt. (12-8-11)

It was only when Romney approached the Michigan primary that he started campaigning differently. Then he said: “No way would we allow the auto industry in America to totally implode and disappear.” (2-22-12). It’s interesting how he changed his tune so quickly. Santorum correctly pointed out Romney was not a principled person, because he favored the Wall Street bailout, but opposed any aid for the Detroit auto workers. (2-22-12)

The truth is Obama inherited an auto industry that was on the verge of bankruptcy, but he refused to let it die. Now, GM is once again the world’s number one automaker, Chrysler has grown, and Ford is investing billions in U.S. plants. The industry has now added 160,000 jobs, and Obama said we will soon be selling U.S. cars in Korea. (1-25-12)

Hopefully, Michigan, Ohio and Indiana will not forget the truth of where Romney stood in their hour of need. Obama deserves credit for saving not only two of our most important auto factories, but also their component part suppliers. And Romney, the next time you totally contradict yourself, which we have come to learn is on a fairly regular basis, please at least try to come up with a lie that is much more plausible. After all, the debates were videotaped.

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05/09/2012

Obama Inherited the Great Recession

The way many Republicans and right-wingers talk about the American economy, one might think the Great Recession of 2008 was somehow single-handedly caused by President Obama, but in case we have forgotten, the crash occurred under the watch of President George W. Bush, and when he vacated the White House in Jan. 2009, he left behind several major economic problems.

OBAMA NOT TO BLAME: While Gov. Romney repeatedly said during the Republican debates, he did not blame Obama for the Great Recession, he dishonesty suggested Obama’s policies were somehow responsible for making it deeper, and causing it to go on longer than it should have.

WHAT WOULD ROMNEY HAVE DONE? But what would Romney have done if he had been President in Jan. 2009? What if he had inherited the Great Recession?

HOUSING CRISIS: The housing market had collapsed, as the value of millions upon millions of homes, all across the country, had dropped to roughly half their previous values. Many suddenly realized they owed far more on their mortgages than their homes were worth. Their residences were considered “underwater.” As the Fed used Monetary Policy to keep lending interest rates low, Obama instituted a homeowners program to allow refinancing at lower rates. If Romney would have been President, he would have taken no action to get private homeowners out from their underwater status. It is just wrong to suggest millions of homes could have recovered from their depressed values in just 4 years.

BANKING MELTDOWN: Banks and some insurance companies were collapsing as the Bush Administration, followed by Obama, did everything they could to shore them up with government bailout loans. While it is now easy to say we should have just let them go bankrupt, the ripple effect of a free market free-fall would have been catastrophic. A hands-off policy would have triggered another Great Depression, with major economic failures in all economic sectors, bringing record levels of unemployment.

AUTO BANKRUPTCY: The recession caused General Motors and Chrysler to lose so many sales, they faced bankruptcy, and no private bank was able to lend them any money. The only option was a federal bailout loan, but Romney repeatedly opposed any financial help whatsoever for the beleaguered auto industry. If he had been President, these major industrial employers would have gone bankrupt, and the ripple effect would have killed thousands upon thousands of additional jobs at component part factories throughout the industrial Midwest. Once again, inaction would have turned the Great Recession into another Great Depression.

WALL STREET CRASH: Obama inherited a stock market that had crashed, and a Wall Street trading system that was dealing in unregulated derivatives, contributing greatly to the problem. While Democrats took action by passing the Dodd-Frank bill to eliminate financial abuses, the Republicans held firm to a hands-off business as usual approach. What would Romney have done?

HIGH UNEMPLOYMENT: When Obama took office, the level of unemployment was literally sky-rocking by the hour. Obama did what any reasonable President would have done, by signing a job stimulus bill, designed to help people get back to work. While the federal government used Keynesian economics through deficit spending to prime the pump, Republican Governors in nearly 30 states did exactly the opposite, which was counterproductive, by laying off people, and making the recession worse.

A pure capitalist total free market response to the Great Recession would have triggered a Great Depression. The history of the 1929 Stock Market crash, and the subsequent four years of inaction under President Hoover, proved that point. Governments must do what they can to help the nation out of a deep recession, and it appears Obama did as good a job as any President could have.

02/23/2012

Republican Debate in Arizona (2-22-12)

WAR: Paul correctly said a “pre-emptive war” is a “war of aggression.” We have been fighting offensive, not defensive wars. If we go to war against Iran, Paul said, it should be done properly, by first asking Congress for a Declaration of War. Gingrich foolishly said there are moments when you engage in pre-emptive war (also known as illegal aggression under international law).

DEFENSE: Paul predicted the Draft would be brought back, because we are in way over our heads. He said foreign aid ends up helping our enemies. Santorum thinks Defense Spending takes a smaller portion of the budget than in the past, and he would not cut it. Romney accused Obama of shrinking the Navy, Air Force, and active-duty personnel by 50,000 to 100,000. He would instead add ships, planes, and personnel by 100,000. He responded to Santorum’s problem with women in the military, saying they have the capacity to serve in responsible positions.

MIDEAST/SYRIA/PAKISTAN: Paul said Al Qaida is bankrupting us as they bogged us down in the Mideast, where we have spent 4 trillion in the last 10 years. We don’t have money for another war in Syria, he said. Santorum thinks Syria is a puppet of Iran. Romney said Syria shadows Lebanon, and threatens Israel. He wants the Alawites in Syria to abandon Assad. He is also concerned with Pakistan’s nuclear weapons.

IRAN: Paul said we don’t know if Iran has a nuclear weapon, but they cannot possibly attack anyone, because we have 45 bases, plus submarines, all around their country. All we are doing is making them feel threatened, and encouraging them to get a bomb. Sanctions are already backfiring, he said, because they cause Iranians to rally behind their leaders. We don’t have money for another war in Iran, Paul said. Gingrich accused Ahmadinejad of being a dictator, of denying the Holocaust, of wanting to push the U.S. out of the Mideast, and eliminate Israel from the face of the map. Romney wants crippling sanctions against Iran. He actually believes if Iran obtains fissile material, they will give it to Hezbollah and Hamas, who will take it into Latin America, where they will “potentially” bring it across the U.S. border, and then detonate “dirty bombs.” He thinks Obama told Israel not to take any action.

LATIN AMERICA: Romney thinks Hezbollah is operating in Latin America. He noted Northern Mexico is a problem.

IMMIGRATION: Paul wants us to forget about the Pakistan-Afghanistan border, and deal with our own. We need to reward legal immigration, he said. He thinks the welfare state causes immigrants to cross over for benefits. Romney enabled his state police to take them out by enforcing illegal immigration laws. He fought for English emersion classes in schools. He said since e-verify allows employers to know who is here legally, illegals have dropped by 14%. Santorum would create a loophole in e-verify, by not requiring homeowners to use it. Gingrich said the failure to control our border is a failure of will. He wants a President who works with governors, not sues them. He said the fence between San Diego and Tijuana worked, even though it is in a densely-populated area. The further the fence was extended, the fewer crossed into California. He would move half the Dept of Homeland Security to border states to get the fencing done. He voted for a employer-sanction law in 1986, signed by Reagan, which was to have solved the immigration problem. He said people who do business in Mexico, do not want the border closed.

ENERGY: Gingrich does not want American Presidents to have to bow to Saudi Kings over energy. He believes Iran is partly responsible for what is going on at the gas pump, as one of every five barrels of oil goes through the Straits of Hormuz. We should get into the position where we could say we do not care what the Mideast does. If we opened up federal lands and offshore areas for development, Gingrich said, and replaced the EPA, the government would realize 16 to 18 trillion in royalties, and gas prices would drop to $2.50 per gallon.

BANKS: Romney said: “I didn’t want to save Wall Street banks.” He was worried the entire currency system would go down.

AUTO: Paul said the government should not be in the business of supporting auto labor contracts. He reminded the audience Santorum opposed the auto bailout. Santorum said he helped the airline industry after 911, because the government shut them down. He said Romney is not principled, as he was for the Wall Street bailout, but against helping Detroit auto workers. Romney admitted he wanted the auto companies to go through a “managed” bankruptcy, like the airlines did, to shed excessive costs imposed by the UAW. He took a contradictory position however saying: “No way would we allow the auto industry in America to totally implode and disappear.” Gingrich agreed a managed bankruptcy would have been best for the auto industry.

HOUSING: Paul said the government should not bail out housing.

HEALTH: Gingrich said when the government becomes the central provider of services, they inevitably move towards tyranny, as they force people to do things. Santorum promised to target Medicare for budget cuts. He pledged to repeal Obamacare. He said he always opposed Title X funds, but pushed abstinence-based program spending under Title XX. He accused the Mass health law of being the model for Obamacare. Romney said states have the right under the 10th Amendment to do what he did in Mass. He would repeal Obamacare, because he doesn’t think the federal government should cut Medicare by 500 billion.

EDUCATION: Paul said the Constitution gives the federal government no power in education. He said Santorum is a fake, because he votes for No Child Left Behind, but now he wants to get rid of it. Santorum said he is a home schooling father of seven children. When he voted for No Child Left Behind, it was a mistake, and he now thinks the federal government should get out of education. Romney agreed children should be tested in math and English before they graduate. Gingrich would shrink the federal Dept of Education down to nothing but research. He thinks teachers unions only care about protecting bad teachers.

SOCIAL SECURITY: Santorum said we need to “deal with” Social Security. He said “all” the seniors in Pennsylvania rely on it, because the rich ones moved to Florida and Arizona.

WELFARE: Santorum said poverty in single-parent households is five times greater than two-parent homes. His solution is to go after food stamps (to make sure hungry people go without). Romney would block grant Medicare, housing vouchers, and food stamps to the states.

GOVERNMENT: Romney would link government pay to private sector pay. Gingrich would repeal 130-year-old civil service laws.

BUDGET/DEBT/TAXES: Santorum said he was rated most fiscally conservative in his 12 years in the Senate. He explained earmarking is abused, and would oppose their use as President. We cannot default on the Debt Ceiling, he added. He said Romney is now suggesting raising taxes on the top 1 percent. Romney said the earmark process is broken, and he would ban it, because it opens the door to excessive spending. He supports a line-item veto to deal with earmarks. He would ask if a program justifies borrowing from China to pay for it. He claimed he balanced his state budget all four years. Santorum said the only reason Romney balanced his budget was his state constitution required it. Gingrich wants a balanced budget. He would eliminate capital gains taxes on more than just those earning less than $200,000. Paul said he never voted for a budget deficit, or an increase the National Debt. He said we pay gas taxes into a trust fund, and should get our fair share, but they spend it overseas.

CONSTITUTION: Paul said he is the defender of the Constitution and liberty, and his platform is the road to peace and prosperity. The Constitution does not provide “women’s rights or men’s rights,” There are no group rights. He said we take an oath to our office, not to a political party to vote the way they want.

RELIGION: Romney alleged we have never seen attacks like these against religious conscience, freedom, and tolerance.

ABORTION/CONTRACEPTION: Paul said the government should not spend money on abstinence. Pills don’t cause immorality, people do. Romney alleged Obama was trying to require Catholics to provide birth control, sterilization, and morning-after pills. He said he stood on the side of life, when his legislature refused to define it as starting at conception. He vetoed a bill regarding embryo farming and cloning. He said liberals go crazy over teaching abstinence. He denied requiring Catholic hospitals to provide morning after pills. He said the Mass. health law did not require contraceptive coverage. He said Santorum opposed contraceptives, but voted for Title X. Gingrich claimed state senator Obama voted to protect doctors who killed babies who survived abortions. He wants Planned Parenthood to get nothing. Santorum said, if elected, he would talk about the “dangers of contraception.” He illogically added we have a problem of children born out of wedlock. He said this doesn’t mean he wants a government program to fix it.

ADOPTION: Romney sided with Catholic adoption agencies regarding their preference for placement in homes with a man and a woman. He wanted the Catholic Church to stay in the adoption business, as they were responsible for half of them in Mass.

02/08/2012

Jobs: Romney-Types Don’t Create Many

If Gov. Romney becomes the Republican presidential nominee, the media should not ask him how many jobs he “created,” for that question will only evoke his typically vague and fundamentally dishonest response. Instead, he should be asked: Were you ever employed by a company where you actually participated in hiring or firing, and if so, name the business. If he names Staples, for example, the follow-ups should be: What years did you actually work at Staples? How many workers did you personally hire or fire, while you claimed to have worked there? If he answers honestly, he would admit he never really punched in at Staples, or anywhere else, except Bain Capital, and never actually hired or fired anyone. Like most vulture capitalists, he simply invested from afar, and operated behind the scenes. He simply moved money around, as real world business managers actually made the tough business decisions as to hiring and firing.

The issue should not be: How many jobs did you “create,” because this term is used by politicians, like Gov. Perry of Texas, who often have no real world experience. The question instead should be: How many workers did you “employ,” as this gets to the point of whether or not they actually managed a real business.

But you may ask, if Mitt Romney and Rick Perry, don’t really create jobs, then who does? The answer is the vast majority of jobs in America are created by consumers, like you. While the government is able to stimulate the economy, and create some, they are largely public payroll positions. Likewise, while some businesses legitimately claim to be job creators, their number is relatively few in comparison to those generated by consumers.

Let’s consider the extent of job creation triggered by consumers. If you decide to build a new house, for example, you become a job creator. As you borrow to purchase land, real estate agents, bankers, appraisers, and title companies are employed. Through your decision to build, many others gain work, such as, architects, general contractors, excavators, cement truck drivers, carpenters, electricians, plumbers, carpet layers, and heating and air-conditioning subs. Hardware and appliance stores also pick up sales. If it is not already clear, the construction industry affects more jobs than any other sector, and the key to stimulating it is you, the job creator.

You also create jobs when you buy a car, not only at the auto plant in Detroit, but also at hundreds of component part factories throughout the U.S. Since Romney would have denied short-term loans for GM and Chrysler, and would have let them go bankrupt, he would have added no jobs in the auto industry.

As a consumer you also create jobs when you seek entertainment and just have fun. If you take a cruise, you employ deck hands. If you rent a movie, or go see one, you engage in job creation. If you buy cloths, or tennis shoes to work out, you create jobs. If you play golf, someone cuts the grass. If you go fishing and buy a boat, the economy grows. Whenever you spend, you create jobs.

But what about politicians and entrepreneurs, aren’t they the ones who say they create jobs? Yes, in this election cycle, the President will say his policies created jobs, and if Romney is the nominee, he will argue he created them. Each will have some truth, but their contributions to the big picture are relatively small.

Politicians often claim credit for creating millions of jobs, but the real count should be confined to: 1) direct increases in government employment, like hiring more teachers, and 2) jobs indirectly created by government, like those gained when private contractors are paid to repair public highways or buildings.

Entrepreneurs, who invented new products, like the laptop, may rightly claim job creation, since consumers were unable to buy their goods before they were designed. While those who actually start businesses from scratch, like Henry Ford, and personally cause them to grow, may argue job creation, vulture capitalists, like Romney at Bain Capital, who did nothing more than purchase existing firms, which already had thousands of employees, cannot claim the title of job creator.

Only when consumers have discretionary funds in their pockets with which to buy new things, can the demand for goods and services increase, causing employers to produce greater supplies and hire more workers. This is really how jobs are created, Mr. Romney. We need to get more money in the hands of ordinary people. Perhaps you should stop saying President Obama does not have a clue, and is in over his head, and you should instead take a look in the mirror, and repeat those words.

01/25/2012

Obama: 2012 State of Union Speech

IRAQ: For the first time in 9 years, President Obama said, no Americans are fighting in Iraq. He welcomed home the last troops in Dec. 2011, but made the highly questionable comment they made the U.S. safer and more respected around the world.

BIN LADEN: Obama noted Osama bin Laden is dead, and no longer a threat to the U.S. He said most al Qaeda’s top lieutenants are defeated, and those who remain are scrambling.

QADDAFI: Obama reminded us that Libya’s Col. Qaddafi, a long-time dictator, who had U.S. blood on his hands, is also dead.

AFGHANISTAN: Obama said the Taliban’s momentum has been broken. We are winding down the War in Afghanistan, as 10,000 troops already came home, and 23,000 will return this summer.

IRAN: Obama said a world that was once divided on how to deal with Iran’s nuclear program is now united as one, through diplomacy. Iran now faces crippling sanctions and the pressure will not relent. We are determined to prevent Iran from getting a nuclear weapon. He said he took “no options off the table to achieve that goal.” A peaceful solution is still possible, he noted.

ISRAEL: Obama said we have an ironclad commitment to Israel’s security–the closest military cooperation in our history.

VETERANS: Obama said he increased annual VA spending every year as President.

TRADE: Obama said it is now getting more expensive to do business in China. Master Lock’s unionized plant in Milwaukee is now running at full capacity and they brought jobs home. He signed trade agreements that gave U.S. firms new customers in Panama, Colombia and South Korea. He filed twice as many trade lawsuits against China, as Bush did. He said it is unfair when subsidies are given to foreign manufacturers, and created a Trade Enforcement Unit to investigate unfair trade by China.

IMMIGRATION: Obama said we have more boots on the ground than ever before and fewer illegal crossings. We should take on illegal immigration, he said, but believes we need comprehensive immigration reform. We should not expel young illegal aliens, he said, who staff our labs, start new businesses, and defend this country. We should give them a chance to earn citizenship.

JOBS: Obama reminded us 4 million lost their jobs in 2008, in the six months before he took office, and another 4 million were laid off before his policies took effect. Businesses have created more than 3 million jobs in the last 22 months and 600,000 will come from the natural gas industry, by the end of the decade.

MANUFACTURING: Obama wants a new generation of high-tech manufacturing. Long before this recession, he said, jobs started leaving our shores. Manufacturing is now creating jobs for the first time since the late 1990s. Our blueprint for jobs includes manufacturing and we should not return to outsourcing.

AUTO: The auto industry, Obama inherited, was on the verge of bankruptcy, but he refused to let it die. Now, GM is once again the world’s number one automaker, Chrysler has grown, and Ford is investing billions in U.S. plants. The industry has now added 160,000 jobs, and we will soon be selling U.S. cars in Korea.

TRANSPORTATION: Obama noted we have crumbling roads and bridges. He noted we built the Golden Gate Bridge during the Great Depression and the Interstate highway system after WWII.

ENERGY: Obama wants us to control our own energy, so we need not depend on the world. During the past 3 years, he said, millions of new acres, including 75% of offshore oil and gas reserves, have opened for oil and gas exploration. Obama noted the development of natural gas from shale rock. Our oil production, he said, is now at its highest production level in 8 years, and we now rely less on foreign oil than at any time in the past 16 years. He said we cannot cede wind, solar, or battery industries to China or Germany. We are poised to become a leading manufacturer of high-tech batteries. Our century-long subsidization and taxpayer giveaway to oil should be ended. He instead wants clean energy tax credits. We should also help manufacturers eliminate energy waste by upgrading buildings.

FINANCE: Obama said he imposed new rules to hold Wall Street accountable, and will not return to the days when they governed themselves. He announced financial institutions are not going to be bailed out ever again. He told mortgage lenders, payday lenders, and credit card companies, the days of deceptive practices are over, and he asked Congress for greater penalties for fraud.

HOUSING: Obama reminded us the housing market collapsed in 2008, because regulators looked the other way, as mortgages were sold to people who could not afford them, by lenders who knew it. This is why we need regulations to prevent financial fraud. We should not wait for the housing market to bottom out before providing relief, but homeowners should be allowed to save on their mortgages now, through refinancing at lower rates.

HEALTH: Obama will not return to the days when health insurance companies could deny coverage or cancel policies. He reminded Republicans that his new health care law relies on the private insurance market, not a government program.

EDUCATION: Obama wants to lead the world in education. Although states have already raised standards for teaching and learning, he asked them to require students remain in high school until they graduate, or turn 18. We should reward the best teachers and should stop teaching to a test. To help 2 million Americans who need new job skills, businesses should work with community colleges to design courses. He said every family should be able to afford college, and universities have to keep their costs under control. He warned them: “If you can’t stop tuition from going up, the funding you get from taxpayers will go down.” Obama wants to stop interest rates on student loans from doubling in July. He would extend tuition tax credits, and double the number of work-study jobs. He asked Congress not to gut federally financed university labs, researching cancer and computer chips.

DEFICIT: Obama said together we cut 2 trillion from the deficit.

TAXES: Obama wants everyone to pay their fair share of taxes. The tax code must be changed so wealthy persons like Congressional members pay their fair share in taxes. 98% of all Americans make under $250,000 per year. 25% of all millionaires pay taxes at a lower rate than millions of middle class households. Warren Buffett pays a lower rate than his secretary. If a person makes more than 1 million a year, you should pay no less than 30%. Folks at the top, he said, have seen their incomes rise like never before, but for most workers, paychecks have not been growing, and their debts are piling up. He asked Congress to extend the payroll tax cut for working Americans.

CORPORATE TAXES: Every multinational corporation should pay a basic minimum tax. Companies should not get tax breaks for moving jobs overseas or be allowed a “moving expense” for outsourcing. We need to change a tax law that hits U.S. corporations with one of the highest tax rates in the world. Manufacturers in America should receive a tax cut. He noted we now provide tax credits to companies that hire veterans, and suggested tax relief for small businesses that raise wages and create good jobs. We need incentives so they relocate in communities that have been hit hard by factories that left town.

WOMEN: Although there is already a federal law that requires equal pay for equal work, Obama said “women should earn equal pay for equal work.”

CAMPAIGN FINANCE: Obama would do something about the corrosive influence of money in politics and called for an end to perpetual campaigns of mutual destruction.

APPOINTMENTS: Obama wants up or down votes on judicial and public service nominations held within 90 days.

AGENCIES: Obama ordered every federal agency to eliminate rules that make no sense.

01/13/2012

Huntsman: Why New Hampshire Surge?

Former Rep. Utah Gov. John Huntsman, who lived overseas four times while serving Presidents Reagan, Bush Sr., Bush Jr., and most recently Obama, as U.S. Ambassador to China, finished third in the New Hampshire Republican primary, and is now a serious contender, primarily because of his foreign policy.

FOREIGN POLICY: Huntsman said we need to leave lingering Cold War thinking behind. While some UN members are anti-American, he said, the organization serves a useful peacekeeping and humanitarian purpose. We should not use water-boarding, as he labeled it torture. He said it diminishes our standing in the world as to human rights. We must balance individual liberties and security, and project America’s goodness.

AFGHANISTAN: Huntsman said we need an honest conversation about our sacrifices in Afghanistan the past 10 years. We listened to the generals in 1967, but that didn’t serve our interests. At the end of the day, he said, the President, not the generals, must decide as Commander-in-Chief. He made clear it’s time to leave Afghanistan, as only the Afghans can save their own country. While security is still lacking, it is time to come home, he said, since we achieved our objectives. We drove the Taliban out of Kabul, dismantled al-Qaeda, held elections in 2004, and killed Osama bin Laden. We should not do nation-building with 100,000 troops, as 10,000 to 15,000 troops, with Special Forces and drones can gather the intelligence we need.

IRAN: Huntsman predicted sanctions will not stop Iran from developing a nuclear weapon, because Russia and China are not going to play ball. In a contradictory way, he said our foreign policy in the Mideast is to insure Iran does not go nuclear.

PAKISTAN: Huntsman said only Pakistan can save Pakistan. His concern is they have 160 million people and 100 nuclear weapons. They have troubles along their border, and risk becoming a failed state, due to the Midrasha Movement. Expanded drones over Pakistan would serve our interests, he said.

ARAB SPRING—SYRIA—BAHRAIN–LIBYA: He said the American interest in Syria is called Israel. He would remind the world what it means to be our ally. He accused President Obama of missing the Persian Spring in Bahrain, saying he failed on that front. On the other hand, he felt we had no interest in Libya.

TRADE: If we apply trade sanctions against China, Huntsman worried, we will get the same in return, because we also manipulate our currency, and a trade war will only hurt our exports. He said we cannot sue China in the WTO over currency issues. He warned Europe is second only to Canada as a U.S. export market, and if they go down, the problem will spread to us.

BANKS/ANTITRUST: Huntsman appeared to be concerned about “too big to fail” and wants a proper size for banks. We must address the problem of banks being too big to fail, because they are setting us up for a long-term disaster. He said six institutions have 9.4 trillion or 60 to 65% of our GDP, with unfair implied taxpayer guarantees of protection. They need to be “right-sized,” he said. The banks must pay to take the risk away from taxpayers.

CORPORATE WELFARE: Huntsman said we should not bail out corporations, because we spent trillions with nothing to show for it. He would also phase out corporate welfare and subsidies. As to those protesting against Wall Street, he wants to be the President of the 99%, as well as the 1%, but disagreed with anti-capitalism messages made by some in the crowd.

JOBS: Huntsman thinks we can create jobs for the 15 million who are unemployed through regulatory reform, repealing Obamacare, tax changes, energy independence, and ending corporate welfare.

IMMIGRATION: Huntsman reminded listeners legal immigration is a growth engine. Two of his seven children, from India and China, help him see the issue through their eyes. He said the number of illegal aliens in the U.S. is down due to the economy. While Utah governor, he gave Drivers Licenses to illegal aliens.

AUTO INDUSTRY: Huntsman thinks we can regain our industrial base by lowering taxes and lessening regulations. He did not think the 68 billion dollar auto bailout was a good use of taxpayer money. Americans are sick and tired of bailouts, he said.

ENERGY/ENVIRONMENT: He wants energy independence, but thinks we can’t use wind or sun right now. He would develop natural gas to get rid of our heroin-like addiction to imported oil. The true cost of oil and gas, he said, includes federal spending to keep the Persian Gulf sea lanes open. He accused the EPA of running a “reign of terror.”

BUDGET/DEBT: Huntsman would never let the U.S. default on our debt, which he labeled a cancer, but we have to have an honest conversation about our sacred cows, as everything has to be on the table, including the 650 billion dollar Defense Budget. If we do not, he warned, we will soon look like Europe. He explained: Greece has a 170% debt to GDP; Italy: 120% to GDP; Japan: 100% to GDP; and ours is 70% debt to GDP, and it is moving up. A 70% debt-to-GDP ratio is a national security problem, which will cause us to stop growing, as it gets too high.

TAXES: Huntsman said this is the worst time to raise taxes. He would lower tax brackets to 8%, 14%, and 22%. He would phase out loopholes and deductions for individuals, as recommended by the Simpson-Bowles Commission. He would also phase out corporate welfare and subsidies. As Utah governor, he delivered on a flat-tax. He refused to sign a no-tax-hike pledge.

HEALTH: Huntsman said the government’s health care approach is wrong, because it contains a costly individual mandate. He warned the IRS is gearing up with 19,500 employees to administer the mandate. He delivered on health care reform in his state, he said, without a mandate. We need truly affordable insurance by addressing health care cost containment. We have to get costs out of the system. Half of health care spending is nonsense, he said. He wants a health care solution that works in the market. We need affordable health insurance to reduce the number of uninsured. Patients need to be empowered. The Ryan plan puts everything on the table, he said. He would send Medicaid back to the states. He would let the states experiment.

EDUCATION: He thinks early childhood literacy is important, but wants education local, and he would send it back to the states, with no unfunded mandates.

EQUALITY: Huntsman does not bash gays, and accepts civil unions. He asked fellow Republicans to do better on equality.

JUSTICE: Huntsman limited his approval of Supreme Court Justices to just Roberts and Alito.

12/08/2011

Romney’s Economy: For Rich Insiders

Former Mass. Gov. Mitt Romney, often called a Republican front-runner, should not, on issues regarding the economy, receive the vote of most Americans, because: 1) his tax policies would favor rich individuals and corporations; 2) his Free Trade policies would kill more manufacturing and U.S. jobs; 3) his promise to eliminate Public Broadcasting would reduce the flow of reliable and objective information; 4) his financial policies would save only the big banks and Wall Street; 5) his housing policies would do nothing for underwater homeowners; 6) his energy plans would ignore wind and solar, but would promote oil, gas, and nuclear special interests; and 7) his health insurance mandate idea will yield private insurance windfalls at the expense of taxpayers.

TAXES: While Romney said he wants to repeal tax breaks, he would in fact give more of them to the rich, by eliminating taxes on dividends, interest, and capital gains. He also wants to lower the corporate income tax rate from 35% to 25%. He appeared willing to tax the poor, when he said everyone should pay, regardless of income, though he did oppose Cain’s 9% national sales tax, which would have hurt the poor the most. Although Romney favors an expanded military role abroad, he opposes raising revenue to pay for it, because he thinks more taxes would only kill jobs. While he has said he wants to cut spending, he would run up even more debt, by staying in our unfunded War in Afghanistan. Although he said we should not pass massive debt on to the next generation, he was not sincere, since he will not stop wasting money on foreign military entanglements.

TRADE: Although Romney promised to issue an Executive Order identifying China as a currency manipulator, because they let the prices of their goods fall below market levels, and he pledged to sue them in the Dispute Resolution Body (DSB) of the World Trade Organization, to win the right to selectively impose tariffs, he has no intention of turning back the clock on Free Trade, or the WTO policies that have led to the death of many U.S. industries.

AUTO: Romney said the government should not have loaned money to GM or Chrysler, even though the act successfully saved thousands of American jobs. He would have let them go bankrupt.

JOBS: When Romney was asked to explain why people were laid off from the companies he acquired, he had little to say. He was however clear about his desire to fight unions, and his criticism of the National Labor Relations Board, for taking action against big business. He called corporate profits good, as he believes they trigger new hiring. He called Wall Street protesters people engaged in: “dangerous class warfare.”

FIRST AMENDMENT: While little harm would be done if Romney succeeded in abolishing the Endowment for the Arts, his desire to eliminate Public Broadcasting is a serious threat to the free flow of information, and an affront to those who respect the First Amendment. Those who routinely follow the PBS News Hour and BBC America, searching for reliable news from objective sources, find his desire a real threat to democracy, since we need PBS and the BBC to be informed citizens. As to faith, he correctly said the Founders appreciated the Freedom of Religion, and wrote a Constitution that respected all beliefs.

BANK CRISIS: While Romney said Fed chair Bernanke pumped too much money in the economy, he would not remove Fed power to do so, as he does not want Congress in charge of the currency. He defended President Bush for taking action to keep the banks open, adding we must prevent another contagion. When asked what he would do if the economies of the entire world were collapsing, he promised to take action.

HOUSING: Romney said the housing crisis was caused by Fannie Mae and Freddie Mac, as they gave loans to people who could not afford them. He said slowing down the foreclosure process, buying up troubled homes, or giving a couple thousand towards the purchase of a new home, won’t solve the problem. He predicted home prices will not return, until the free market works.

ENERGY: Romney suggested developing our own oil, gas, and nuclear energy, to achieve energy independence. He said little about putting a new emphasis on solar, wind, or clean energy.

HEALTH CARE: Romney has been the greatest lobbyist the health insurance industry has ever had. He said a problem arose in his state, where 8% of the people had no health insurance, and they sought emergency room care, which shifted costs to taxpayers. He argued everyone has a personal obligation to buy health insurance, an idea he said he got from Newt Gingrich. He enacted a personal mandate and forced everyone to purchase coverage from private carriers. Although subsidies were provided for those who could not afford it, the Mass. plan did not create a more efficient government-run health care plan, like the single-payer system used in Canada. As to the U.S., Romney said Americans were not and are not satisfied with the status quo, because premiums are out of control. Many of Romney’s critics called the new National Health Care law signed by Obama, basically the same as Romney’s state plan. Romney tried, but failed miserably to convince them they were different. He argued the Mass plan was for one state, while the President’s, one-size-fits-all plan was for the entire nation. He argued Obama’s plan raises taxes and spends trillions. He promised a repeal of what has been called Obamacare, claiming we could save 95 billion a year. In a contradictory statement, he offered only to give the states waivers, so they could opt out. He also took both sides of the individual mandate issue, by first saying everyone should buy insurance, but then by arguing mandates are unconstitutional. In the event Obama’s law is repealed, or declared unconstitutional, the question arose as to what to do next. He acknowledged health care costs are disconnected from patient awareness, and people need to have a stake in the cost of health care. He accused the government of having too heavy a role. He advocated co-insurance for patients, but sounded like he did not realize most Americans already had that. Romney said he would turn Medicaid and Medicare over to the states and let them run health care.

SOCIAL SECURITY: Romney called the Social Security retirement program essential, and said it must be saved, not abolished. He called the use of trust fund money for other purposes criminal, and agreed to make the system sound. As to the unfunded prescription drug program, started by President George W. Bush, Romney would not repeal it.

IMMIGRATION: Romney wants no amnesty for illegal immigrants, a fence with agents to secure it, and an elimination of the magnet caused by states that give tuition breaks, and employers who hire illegal aliens. He would implement the federal E-Verify program. He said 4.5 million want to come here legally. He would admit those with degrees in math or science.