Healthcare, Afghanistan, and recession: The big three for 2009. The Obama administration has been in charge for almost 12 months and we appear to be in the same place as when the hapless Bush administration left. There has been some cosmetic changes and some major policy shifts, however I am a results oriented-guy. What are the results?

Let’s take a look at the current positions on Jobs & economic growth as it is discussed in the speeches by Biden and Obama on December 3rd before a dog & pony media event which featured the administration discussing issues with business leaders.

The event was a publicity stunt and I certainly do not hold that against anyone. Part of politics is creating photo ops and showing people you are in charge and doing something. Despite the backdrop, the speeches were illustrative of how my conservative values clash with the current leadership of my party.

An initial irritation is the cavalier attitudes toward job grow, in particular growth in relation to the Obama stimulus package. Let’s be real for a moment. The economy has not come back and the stimulus (both Bush and Obama) packages were simply reactionary measures and did nothing more than get us farther into debt. Whether it is 600K, 1.6M, or whatever number, unemployment is still 10% and underemployment has grown considerably. That means we are still bad off. Could be worse, but it is still bad. Anyone in the job market understands this. I know Biden has to say what he says (what choice does he have?), but I can’t help but roll my eyes and see the national debt grow and grow. I will take some time in a later blog to discuss my 2009 unemployment thoughts.

Let’s stick with philosophical points. Biden ranted that he wants “no more bubbles” The only way to have no more bubbles is with a command economy (i.e. Marxism). Is Biden tipping his hand? Free markets have expansions and contractions… bubbles and corrections. As powerful as the government is it is still not powerful enough to eliminate corrections in the US economy. When it tried to sustain expansions (i.e. create a bigger bubble) with policies it simply makes for a bigger correction (note: the sub-prime fiasco with Freddie Mac?). The only way for the government to eliminate the normal business cycles is to try to mess with it through policies (sub-prime insurance) or take it over (healthcare). I’d prefer politician to stay out of the normal business cycles and simply work on creating a healthy business climate. A discussion on corporate taxes is not on the list for future blogs.

Another philosophical point is the swipe the President Obama took at business profits. I believe he suffers from a misunderstanding that businesses are in the business of providing jobs. Businesses are in the business of making profits. That is what they do in their basest form. He asked, “How do we get businesses to start hiring again?” This is simple. Businesses need to believe that hiring will make that more profit than not hiring. The tone set by this administration AND congress is that achievement will rewarded with more taxes. Perhaps the President does not understand this; or more likely he has an underlying moral objection to this simple truth about a free market economy.

A third philosophical point is related. The simple fact is that the Capital Markets are paralyzed. Really. There are many reasons for this; however I think they can be boiled down to two: toxic assets and uncertain landscape. The first has to do with the current holdings of private and institutional investors. A new investment needs to not only show promise of profit, it has to show enough promise to make up for the “bath” the investor is going to take to liquidate his toxic asset. Obama can do little to help this (other than some capital loss policy changes) it will work itself out as the economy recovers.

The other factor is the uncertain landscape. Investors need to be able to predict the future in order to evaluate risk and reward. This area President Obama has a lot of influence. His policies have played a key negative role. Whenever he floats another trial balloon or threatens another tax or moves to take over an industry it makes the landscape uncertain. The best thing the President can do is the one thing that no politician can do…do nothing. Really, give the markets time to evaluate the landscape and understand the risks/rewards then they will make their investments.

Accept that bubbles happen in a free-market economy, understand that profits are “good” and “helpful” in creating jobs, and promoting a stable capital market environment by doing (and just as important “saying”) nothing. These three fundamental conservative values are missing from the current national leadership and they are key factors behind our economic recovery (or lack there of). Food for thought.

Next week (or soon there after) Obama-isms and Guantanamo Bay War Prison.
I welcome your thoughts here or at conserv.democrat@gmail.com.
Michael

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1. Limited Government.  A conservative Democrat believes there is a significant role for the local, country and state governments; beyond the role of road repair and zoning.  A conservative Democrat also understands the waste and inherent dangers of an expansive federal bureaucracy.

2. Strong Defense.  A conservative democrat understands the need for a strong national defense.  We see the world as it is and we recognize our role in it, not as a police force, but rather as a deterrent to radicals and totalitarians.  We also realize that a military bureaucracy can pose a great threat to individual freedoms, is self-perpetuating, and needs to be put on a budget that is reasonable and appropriate for their mission.

3. Strong Middle and Working class.  A conservative democrat sees the success of our country being dependent on the strength of our blue AND white collar families.  The government should develop policies that grows and empowers this group.  If it make a few people wealthy, then so be it.

4. Responsibility for the poor.  A conservative democrat believes that it is our personal responsibility to care for the less fortunate.  This demands personal involvement to extend time and resources to those in our communities who need help with the short term addressing of their immediate needs and the long term intension of lifting them up to join the ranks of the self-reliant.  We see the value of the personal involvement and the inherit disconnection and sanitation when we surrender our responsibilities for the poor to government.

5. Passion for Education.  A conservative democrat desires that they and their fellow citizens reach their full potential and that includes the acquisition of knowledge and understanding.  Through the study of science, crafts, arts, morality, and history we believe that people can become independent thinking and feeling beings and not become the pawns of leaders and institutions that would use them.  We also believe that the education institutions need to be focused on the highest standards in order to challenge, not the lowest standards in order to be all inclusive.  To expect and encourage someone to be less what their God-given abilities allow is the ultimate form of prejudice and bigotry.

6. Embraces Free Market Capitalism to the point where is strengthens the core principles of our culture; life, liberty, and pursuit of happiness.  We believe that the economics a capitalism is the best way to empower people to reach their potential.  We also recognize that capitalism needs to be actively monitored by the government (not replaced by the government).

7. Embodies the Wisdom of our Founding Fathers.  A conservative democrat believes Constitution and Bill of Rights was not simply a “good idea” at the time, but is a core part of our nations continued success.  No part of the core ideas should be legislated into irrelevance.  However, the Constitution is NOT a suicide pact and the founders put in measures to adjust to major cultural changes.

8. Politics is a mix of thoughts AND feelings.  To make decisions based upon feelings is a recipe for disaster (the road to hell is paved with good intensions).  However, to ignore the human element and the strength and depth of feelings is to de-humanize and sacrifice fellow citizens on the alter of ideology and principle.

Let me know what you think.  I expect to break down each one of these in future blogs.

Michael A

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I like my Democrat Party. However, I feel less and less connected with the leadership on the national stage which is bending more and more to the liberals and progressives. Here are some examples;

• When did the Democrats give up the moral high ground on abortion in order to ensure women’s right over their bodies? Why is it an either or issue?
• Why do the Democrats appear to hate the wealthy? hate the military? hate the business owner?
• Why does it appear that for every problem we face the Democrats have a government program and a new tax to solve it?
• Why is the party which champion’s the rights of free speech so quick to try and shut someone up?
• When did the Democrats become the party that appears to hate police and love criminals?
• When did the Democrat party become the party that likes to pick and choose sections of the Constitution that they like and toss out the rest?

My hope is to give Democrats an alternative to the rancor and radicalism that comes from our current leadership in Washington. I would like my party to return to some of its founding principles and aspire to a higher level of political discourse and what I perceive to be true leadership (something sorely lacking for the last couple of decades). Here is a forum that I hope facilitates that dream.

Ground rules: (Violate and your posts will be removed)
1. Keep the discourse civil and respectful to other members. Essentially stay away from personal attacks and stick to the subjects.
2. Don’t bother putting up a lot of propoganda that can be found on other sites. Go to the other sites for that.
I am sure I will think up more later.

Michael Abramson

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