Obama: Still the Alinskyite

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Here’s my take on the puzzle of Obama’s leadership style. Obama is still every inch the Alinskyite organizer. He talks about uniting, even as he deliberately polarizes. He moves incrementally toward radical left goals, but never owns up to his ideology. Instead, he tries to work indirectly, by way of the constituencies he seeks to manipulate.

“Leading from behind” is classic Alinskyite strategy. The idea is for the organizer to find out what the people he’s organizing want, give them enough of that to gain authority and control, then slowly and quietly push the group in his ideological direction, all the while making it seem as though the plan is what the people themselves have asked for. Obama used to literally lead from behind, by stage-managing his group’s protests from the back of the room, while the ostensible leaders took charge on stage. That is what Alinskyite organizers do.

Alinskyite organizers are tough when facing down the “enemy” (their word), but subtle, stealthy, and incremental when dealing with the members of their own group. Above all, they are never openly ideological. Everything is portrayed as pragmatism.

The trouble with Obama’s Alinskyite leadership style is that he’s trying to adapt it to the presidency, a role it was never designed for. When he tries classic Alinskyite polarization, he’s treating people he’s supposed to be leading as his enemies. When he tries to bring about leftist results under the guise of a neutral pragmatism, he disappoints his base, which desperately wants him to turn his eloquence to the task of persuading the country of their principles.

Obama is a bad negotiator because Alinskyite’s don’t negotiate, they intentionally polarize. As for their own groups, here they try to placate all factions and hide their own goals. That about describes Obama’s performance on the debt deal, which included a dollop of both of these stances.

Read More at National Review  By Stanley Kurtz, National Review

Senator Jim DeMint Talks About the Debt Ceiling Deal and His New Book

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Jackson: On the show today our favorite Washington conservative warrior, Senator Jim DeMint is back. We’ll discuss the fallout from the debt ceiling deal, the danger of Congress’ new Super Committee, and his new book, The Great American Awakening: Two Years that Changed America, Washington, and Me. I’m your host Brad Jackson and you’re listening to the August 4, 2011 edition of Coffee and Markets.

Senator, thanks so much for joining us on the show today. It’s great to have you here.

DeMint: Well, it’s good to be back. Thanks for having me.

Jackson: Obviously the last couple of weeks in D.C. have been quite a rollercoaster with the debt negotiations. How do you think it ended up? I know this isn’t the plan that you preferred and not one that I think a lot of conservatives preferred, but how do you think this deal ended up going for folks?

DeMint: Well, I think everyone is glad just to have it over with. But I felt that this was a point where we really needed to begin to solve the problem. The problem is our debt not just our debt limit. And we’re on a course now to borrow another $10 to $15 trillion over the next 10 years, and no one is going to lend us that amount of money, and this deal unfortunately doesn’t really cut any spending, based on where we are today. Now when they say it cuts spending, what they mean is it reduces the levels of increases that are planned. It certainly doesn’t reduce any debt. We’ll continue to add about $1 trillion a year to our debt. So, I’m very concerned because I don’t think America can borrow $10 trillion or $5 trillion, and I think even the $2.4 trillion that we’re talking about borrowing before the next election could put us in trouble.

Read More at Red State Posted By Brad Jackson, Red State

The Next Crisis is at Our Doorstep

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For weeks now, I’ve been warning about a market collapse. Among the numerous items I pointed out were:

1) The US economy rolled over in a big way in Q1
2) The Euro Debt Crisis was spreading to Italy and Spain
3) China was showing signs of economic contraction
4) Mutual funds were overly invested in stocks
5) Historical patterns forecasting a collapse
6) Signs that the Fed had lost control of the markets

And on and on.

Meanwhile the mainstream financial media’s consensus was that everything was just fine and that at worse the “recovery” was slowing just a bit. The Euro issues were contained. The US debt issues weren’t a problem. And the Fed would be able to get the economy roaring in no time.

Well here we are and the markets are an absolute bloodbath. Other than hopes for QE 3 there really isn’t much to be bullish on. Indeed, we are very likely heading into the REAL Crisis in short order.

That Crisis will be a Crisis of Faith in the US Fed’s ability to contain and/or solve the problems of the financial system.

For 80+ years, the US financial system has operated under the belief that the Federal Reserve could handle any problem. This belief was put to the ultimate test in 2008 when the Fed faced off against the biggest Financial Crisis of the last 80 years. And the ONLY thing that kept us from the brink was the belief the Fed could fix things.

Read More at Zero Hedge By Phoenix Capital Research

DID GOP BREAK ‘PLEDGE TO AMERICA’ DURING DEBT VOTE?

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Penny Starr at CNSNews.com pointed out this morning that House Republicans may have broken one of their most vocal promises from their 2010 campaign Pledge to America pitch when voting for Budget Control Act yesterday. The debt-limit bill, which is expected to save the U.S. from default for the first time in it’s history, was passed in the House yesterday with GOP support despite not being posted with the text online “for at least three days” before the vote.

“Explaining the Republicans’ vision in a response to President Obama’s radio address on Oct. 30, 2010—just before the election—Rep. John Boehner explained that ‘Americans should have three days to read all bills before Congress votes on them.

‘The American people are in charge of this country, and they deserve a Congress that acts like it,’ said Boehner. ‘Americans should have three days to read all bills before Congress votes on them–something they didn‘t get when the ’stimulus’ was rushed into law. We should put an end to so-called ‘comprehensive’ bills that make it easy to hide wasteful spending projects and job-killing policies. Bills should be written by legislators in committee in plain public view–not written in the Speaker’s office, behind closed doors.’”

Starr finds that the summary of how the Republican Congress has fulfilled the Pledge on the House Republican Conference’s Web site, reads on the section regarding the three-day rule: “A Three Day Waiting Period on all Non-Emergency Legislation.” The words “non-emergency” or “emergency” do not appear anywhere in the text of the original Pledge for America as published by the House Republicans.

Read More at the Blaze By Christopher Santarelli, the Blaze

Boehner Should be a Goner

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Boehner and McCain vied for “Pansy of the Week,” and Boehner won. Despite the polls that revealed overwhelmingly that America wanted no increase in the debt ceiling, Boehner caved like a Hollywood stage chair. As the saying goes, “His ass is grass.”

America deserves a budget that is tighter than a camel’s butt in a sandstorm; however Boehner’s bill essentially doubles the national debt in a decade, thus the Democrats lust for spending is not hampered in the least. The payout to the lien holders, the American taxpayers is over ten years, a deal I dare you to try to cut with the IRS if you owe back taxes.

Any ten year plan for spending by government is a fool’s folly, because America’s back will be broken from the weight of debt long before then. We are clicking off $5B a day in debt service alone, and not even addressing the principal. Why didn’t Boehner just approve America for a reverse mortgage, because that’s what old people do when they don’t plan on leaving the kids and grandkids the house in the will.

Boehner’s deal does not shrink government at all. He had a chance to finally force government to rein in spending, and he dropped the ball. He negotiated with Obama, a guy who is too lazy to scratch his own butt, a guy who hasn’t presented a budget in over eight months. Obama relies on white people to do his work for him, because Obama is incompetent and indolent.

If there were ever a president who needed the credit card cut, as Sheila Jackson implied, “It’s this [black] president.” Obama runs America finances like a hood rat; spending all the money before he even gets his check. Hood rats spend like there’s no tomorrow, because they don’t think about tomorrow.

Read More at The Black Sphere By Kevin Jackson, The Black Sphere

Tax Warning: Will Barack Obama Do to America What Leftists Already Have Done to Illinois…and England…and…?

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Now that the debt-limit fight is basically over (the Senate will join the House in approving it later today), we need to immediately prepare for the next stage in the fight to stop big government and restore economic liberty.

President Obama and other leftists clearly have signaled that they want the new “super committee” – which will recommend $1.5 trillion of deficit reduction before Thanksgiving – to be a vehicle for “balance” and “shared sacrifice.” But if you look in a Statism-to-English dictionary, you learn that “balance” is a code word for higher taxes and “shared sacrifice” means class-warfare taxation.

I’ve already explained that a truly balanced approach requires nothing but spending restraint. And I’ve explained why Obama’s class-warfare taxation is misguided.

Today, let’s look at three real-world examples. We’ll start with the President’s home state. Early this year, using sneaky maneuvering, Illinois politicians raised the state’s income tax rate. I warned that this would drive jobs and businesses out of the state. That was an easy prediction, of course, and we’re already seeing results.Here’s a blurb from a Chicago Sun-Times story.

It’s becoming a habit around here — another day, another stalwart of financial services in Chicago threatening to leave town. On Thursday, it was the Chicago Board Options Exchange suggesting that higher corporate taxes in Illinois could cause it to take jobs out of state. The CBOE’s warning came a day after CME Group Inc. said the same thing. CME owns the Chicago Mercantile Exchange and the Chicago Board of Trade. The options market, with its headquarters and trading floor at 400 S. La Salle, employs about 580 people, not including traders who use its facilities. A CBOE spokesman said in a statement that “economic realities” could force a move.

Because the CME and CBOE are so high profile, I suspect Illinois politicians will provide some sort of one-off tax holiday or back-door subsidy to prevent this from happening. That won’t solve the problem, of course, which is that high tax rates inexorably will undermine the state’s competitiveness and that ordinary people will pay the highest price.

Read More by Dan Mitchell

Why I Opposed the Debt Limit Increase

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This act increases the debt limit by between $2.1 and $2.4 trillion, the biggest explosion of debt in American history. It allows the government to avoid spending reductions for the next two years while squandering our last best hope of averting a sovereign debt crisis.

I am opposed to this measure for the following reasons:

The purported cuts, even if realized, are far below the $4 trillion deficit reduction that credit rating agencies have warned is necessary to preserve the Triple-A credit rating of the United States government.

It blows the lid off the House budget passed in April by more than a half-trillion dollars over ten years.

It makes no significant spending reductions for at least the next two years, essentially freezing spending at an unsustainable level. While the debt increase occurs this year, deficit reductions are to be spread over many years and could be reversed by future acts of Congress.

The spending caps are easily circumvented by declaring appropriations to be an emergency, a response to a “major disaster,” or necessary for the “Global War on Terror.”

 Read More at Floyd Reports By Rep. Tom McClintock, Floyd Reports

Limbaugh: Don’t Be Fooled — Debt Deal Means More Taxes

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Whether the deal to reduce the government deficit passes or not, says radio talk-show host Rush Limbaugh, the American people are still going to get a tax increase.

“Any way you slice it you are going to get tax increases. That’s how screwed we are,” he said.

Limbaugh blames the complex accounting done by the Congressional Budget Office, he said on his radio show on Monday.

President George W. Bush’s tax cuts that are due to expire at the end of next year, he says. If Obama extends the cuts, the CBO will consider that a $ 5 trillion reduction in government income which will have to be made up elsewhere. If they expire, that’s a direct tax hike on Americans, Limbaugh said.

“Anyone wanting to tell you there are no tax increases in this technically may be right, this piece of legislation does not have a specific tax increases in it. But what’s slated to happen over the next few months results in one,” Limbaugh said.

Read More at NewsMax  By Martin Gould, Newsmax.com

Moody’s: Neither debt plan protects the nation’s AAA rating

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The “limited magnitude” of both debt plans put forward by congressional leaders would not put the nation’s AAA credit rating back on solid footing, Moody’s Investors Service announced Friday.

“Reductions of the magnitude now being proposed, if adopted, would likely lead Moody’s to adopt a negative outlook on the AAA rating,” the credit rating agency said in a new report. “The chances of a significant improvement in the long-term credit profile of the government coming from deficit reductions of the magnitude proposed in either plan are not high.”

It added that “prolonged debt ceiling deliberations” have increased the odds of a downgrade, but that the firm is still confident policymakers will avoid a default.

“It remains our expectation that the government will continue with timely debt service,” the firm said.

It also clarified that as far as it is concerned, the nation will only default if it misses an interest or principal payment on U.S. debt, not if it misses payments on other obligations like federal employee salaries or Social Security benefits.

 Read  More at The Hill  By Peter Schroeder, The Hill

Boehner, McConnell Agree to Let Obama Borrow Another $2.4 Trillion

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House Speaker John Boehner (R.-Ohio) and Senate Minority Leader Mitch McConnell (R.-Ky.) have reportedly agreed to give President Barack Obama the authority to borrow as much as an additional $2.4 trillion—thus allowing him to get past the November 2012 election without having to seek another increase in the legal limit on the federal debt.

A pleased President Obama announced the deal in a briefing at the White House press room at 8:40 p.m. on Sunday.

“Most importantly,” Obama said of the deal, “it will allow us to avoid default and end the crisis that Washington imposed on the rest of America. It ensures also that we will not face this same kind of crisis again in six months, or eight months, or 12 months. And it will begin to lift the cloud of debt and the cloud of uncertainty that hangs over our economy.”

Neither Obama, nor Boehner, nor McConnell released the details of the deal on Sunday evening.

The New York Times reported that the money to increase the debt limit would come in an initial installment of $900 billion followed by a second installment of $1.2 to $1.5 trillion. The first $900 billion would include an immediate $400 billion to allow the government to pay its immediate bills. Both the initial and second installment, according to the Times would be subject of disapproval votes by Congress which would cancel the debt limit increases, but that these disapproval votes would be subject to a veto by President Obama—meaning that both houses of Congress would have to vote by two-thirds majorities to prevent the debt limit increases from happening.

Read More at CNSNews By Terence P. Jeffrey, CNSNews.com