With the recent Republican victory at the House of Representatives, will the economy finally rise from the depths?
But more importantly: Is Barack Obama running our economy to the ground?
Well lets start by taking a look at the Dow Jones, the most recognized economic indicator in the United States.
Humph… thats odd. The current economic market doesn´t look so bad. Then again, maybe the Dow Jones is influenced by the government in order to cover-up the economic blunders.
So let´s take a look at the second most prestigious economic indicator, the NASDAQ, who follows the 5000 most powerful companies in the country.
It actually seems like the economy has been rising since Obama swore office in January 2009. Naaa.. the NASDAQ has to be wrong. We all know that the NASDAQ doesn´t incorporate the investment market and can be dangerously speculative at times.
It´s decided, lets take a glimpse at the S&P 500: the most represantive (realistic) index of the US market, that also incorporates the investment sector.
Well, the numbers speak for themselves: it looks like Obama isn´t so dumb after all. In two years as president, he has actually steadily increased the market value of all indicators, surpassed two indicators compared to pre-crisis US economy (2006), and gotten fairly close on the third one.
- Dow Jones (2006/2010): 11,000/11,178
- NASDAQ (2006/2010): 2,010/2,532
- S&P 500 (2006/2010): 1,280/1,197
We don´t care about the markets. We want jobs and the unemployment rate is amonsgt the highest in US history. Surely President Obama is the one to blame. Well, before jumping to conclusions, lets take a closer look at the unemployment rate.
Clearly, one can observe that the rise of unemployment precedes Obama´s presidency. If anything, such unenployment crisis started in George W. Bush´s last year as president. (+ 2.7% in only ONE year) Since Obama swore office, the rate has only increased by 1.9% and appears to have been stabilized over the last year. Simply put: Bush tossed a HOT potato at Obama. Obama suffered some burns, BUT has been able to hold on to it.
So for all the politicians out there who claim that ¨the economy is worse than ever¨, that ¨unemployment is Obama´s fault¨ and that ¨change hasn´t come¨, you my political friends are either:
- Or all of the above
And finally, Why giving a majority of Congress to the Republicans is a dangerous solution, or at least, very unproductive:
Reason # 1
In the Puerto Rican elections of 2004: the red party won the executive branch and the blue party won the legislative branch. What followed were the 4 most unproductive years in the history of the Puertorican government. Why? Because anything that the ¨President¨ proposed would not be approved by Congress, and anything that Congress proposed would be vetoed by the ¨President¨…
When the legislative and executive branches of a government aren´t willing to cooperate (For instance….The Republicans, who have been agaisnt´t 99% of Obama´s policies) the result is government paralysis. And God knows, a paralized US government in the speedy socio-economical world of today… would be like signing up a turtle for the Kentucky Derby.
Whether we like or not… the stimulus package of billions of dollars has already been launched. We can´t take it back now. So the question is not whether we should have been launched or not, but rather ¨How can we make the best of it?
While I, and nobody for that matter, can know if Obama ´s plan will work (as its results are designed to be long-term), one thing I do know for certain: undermining the plan will only make the situation worse. Obama made a bet to obtain a better future in America, and cutting holes into the parachute carrying all our money doesn´t seem like a bright idea.
January 20, 2009 – the day CHANGE man took office. Only six months passed before the vultures started circuling him like a carcass. A year later, and the media couldn´t stop rambling on how he hadn´t ¨delivered¨ his promises. Two years later, and already the public is withdrawing their support. We all seem to forget the joy we felt when the election results rolled in. Those brief hours were hope returned to the American spirit. But those days are long gone now.
I guess that if these last two years have taught me anything it´s this:
Negativity, Cynicism, Haste – weight more in our hearts than – Hope, Faith, Patience… to our presidents.Follow @prmanwithus