Let me set the scene for you: Rising oil and gas prices, rising equity prices and falling housing prices. Storm signals start winking on the global economic front after a month of a braggadocious presidential tour telling us all that finally the economy has got it right; that it’s on its way to recovery.
Where have I seen this film before? Oh yeah: February, 2011.
Just one month before, in his State of the Union address of January 2011, Obama was bragging about his economic accomplishments.
“We are poised for progress,” he told Congress. “Two years after the worst recession most of us have ever known, the stock market has come roaring back. Corporate profits are up. The economy is growing again.”
At the start of 2011, the president was an insufferable blowhard, anxious to let us know that he saved the economy.
But after successfully destabilizing the Islamic world by intervening in Libya, Obama, along with loose money policies of the Federal Reserve, created successively higher oil prices as more and more regimes felt pressure from the Islamic Spring and Obama stifled production at home. And it wasn’t just oil prices, either, that went up. Food prices, gold and silver and other basic material prices were heading up just at a time when the global economy was showing signs of slowing.
Inflation then- as in the soon-to-be released 2012 sequel- acted as a brake on economies that were struggling to gain traction.
Then Mr. President Obama- who has always looked disinterested in real policy work- took several long vacations, inspired a sovereign debt crisis in the US and started the class warfare rhetoric that he now clings to bitterly as a substitute for religion and guns and real tax reform.
Several sovereign debt crises later, the largest economic union in the world, the Eurozone, is on life support, while China deteriorates economically and Japan is listless.
And how did America do in this after all of Obama’s bragging?