John Ransom

Turns out Sarah Palin was right.

Obamacare does have Death Panels, and they are currently disguised as the Democrat Senatorial Campaign Committee and the Democrat Congressional Campaign Committee.

In this week when Obamacare finally turns one day old, the political problems that our economic recovery face have never been on better display.

While the stock market makes new highs, even the Fed is acknowledging that this recovery is different. And because it’s different, Wall Street is winning and Main Street is losing.

“Although we work through financial markets, our goal is to help Main Street, not Wall Street,” said the People’s Commissar of Banking Janet Yellen, chair of the largest bank in the history of the world, wholly owned by Congress and the member banks.

Viva la Humans!

Because if the goal is to help Main Street, the Fed has been a pretty poor instrument. And that’s how it should be.

Even economists agree that there is a limited amount any central bank can do to affect the economy with monetary policy.

That too is as it should be.

Imagine a world where the Federal Reserve not only engineered monetary policy, but was social policy was well.

Oh that’s right, you don’t have to. They do that already.

And that’s largely why you see a tale of two economies.

The Fed is trying to aid and abet the government in its insatiable appetite for more cash.

That’s why manufacturing drove a rebound in the economy in March. Or, on the other hand, maybe it didn’t.

Two widely watched indicators of strength in the economy, the ISM survey of manufacturers and a similar index put out by Markit showed varying degrees confidence that the economy is expanding.

“Fourteen of the 18 industries tracked by the ISM said their companies posted growth in March,” writes MarketWatch, “and almost every respondent said either their business or the economy is getting better.”


John Ransom

John Ransom is the Finance Editor for Townhall Finance.
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