Can you sense the sarcasm?
We all remember the 2008 financial crisis, and the resulting legislation that was passed two years later to address the supposed “problem,” commonly referred to as Dodd-Frank. Unfortunately for the American people, this massive, 2,300-page boondoggle caused more problems than it was even intended to solve, and became a gateway for federal bureaucrats and politicians in power to snake their way into the financial sector as an even greater stakeholder.
Aside from forcing banks to charge businesses less for customer purchases with credit or debit (thereby ensuring they would make up the revenue in other ways, say by charging for what was once free checking), there were a host of terrible policies that were enacted that had nothing to do with the crisis, according to Heritage:
Heritage Action’s communications director, Dan Holler, is back this week with a new column about price controls. Washington, D.C. listened to public pressure last week and opted not to enact minimum fare demands on the popular taxi alternative company, Uber. Unfortunately, according to Holler, Congress is trying to enact such price controls on crops:
“Welcome to Washington, where politicians engage in Soviet-style protection from competition for politically influential industries.
“Sadly, that characterization extends beyond the DC City Council to our lawmakers in Congress. Last week, after the House Agriculture Committee passed a nearly $1 trillion farm and food stamp bill, the committee chairman touted the ‘absolute importance of real price protection in a farm bill.’
“Real price protections, like the production limits we have in our dairy programs? Remember, just last week Speaker John Boehner (R-OH) said, ‘We’ve got a Soviet-style dairy program in America today, and one of the proposals in the farm bill would actually make it worse.’
Only in Washington…
Senators who co-sponsored the FRAC Act (S.587) – with the exception of Sen. Bernie Sanders (I-VT) – also voted for the NAT GAS Act.
Senators Barbara Boxer (D-CA), Benjamin Cardin (D-MD), Dianne Feinstein (D-CA), Kirsten Gillibrand (D-NY), Frank Lautenberg (D-NJ), Robert Menendez (D-NJ), Jeff Merkley (D-OR), Barabara Mikulski (D-MD), Chuck Schumer (D-NY) and Sheldon Whitehouse (D-RI) have all also co-sponsored legislation that would place significant regulatory hurdles on hydraulic fracturing, but then turned around and voted in favor of subsidizing natural gas vehicles, which are only competitive thanks to an abundant supply of cheap natural gas.
In a new Gallup poll, 85% of small businesses surveyed aren’t hiring, and don’t plan to anytime soon. Seventy-six percent said they just didn’t need any more employees, and 71% were worried that weak sales wouldn’t allow them to hire any additional employees.
This high percentage of small business owners who have cited weak sales as a driving factor limiting hiring has persisted throughout President Obama’s term and the recession. Guess what is keeping customers from buying? Lack of jobs. It seems like a catch-22, but President Obama and the left’s response of taking money from these businesses and giving it to customers so that they can then spend back at those businesses has failed. That’s because simply giving people that money in this economy causes them to save it, rather than spend it.
We begin the second part of our response to President Obama’s State of the Union address by taking a quick step back to a part of his speech not mentioned Wednesday. This is a line that needs to be exposed:
“It’s not fair when foreign manufacturers have a leg up on ours only because they’re heavily subsidized.”
How is it not fair that heavily subsidized foreign manufacturers have a leg up but it is totally fair – in the President’s mind – for industries right here to get a leg up on others because of their subsidies? Two subsidies don’t make a right. This is why removing all loopholes, deductions and subsidies needs to be a part of any comprehensive tax reform.