It's the Economy Stupid -- Post Election

Today Barack Obama meets with his top economic advisers, even as the news from Wall Street and Main Street becomes increasingly grim. Living in Michigan as I do, I have seen first hand the effects of the economic downturn. Jobs are on the line. Health care options for retirees is increasingly a problem. GM and Chrysler are talking merger -- a merger that would essentially remove a competitor but do little for jobs. Indeed, the merger would cost tens of thousands of jobs -- including jobs of some of my church members. The unemployment rate is at its highest in fourteen years, and this year we've lost more than a million jobs.

Although our government has blame to accept, so do we as the American people. We have overspent and under saved. Although the national debt is extraordinarily high, the American consumer debt is even higher. By this I'm not talking about home loans and the like, but credit card debt. We have become a consumer society living from one credit card statement to the next. It is interesting that I'm getting far fewer credit card offers in recent months -- and I have good credit. Easy money is gone and Americans are having a difficult time.

Today Barack Obama will meet with reporters. He will likely remind us that he's not President yet, but that if we work together we can resolve this problem. But remember it won't happen over night! I'm 50. I have probably 10 to 15 years to go before I retire. I probably can wait this thing out. But there are many others who are 65 to 67, who are set to retire and their nest eggs are gone. They invested in the American economy and it has tanked leaving them holding the bag. Just think if portions of Social Security had been privatized, leaving retirees at the whim of the stock market?

I have great hopes for this nation and this world. I believe that Barack Obama has both the steeliness and the judgment to lead us in a new direction. The key to success, however, will be the American people's willingness to lay aside their differences and work together. We cannot afford to divide amongst ourselves -- pitting one group against the other. Why? Because it's about the economy!

Comments

Anonymous said…
Wait a minute. You liberals told us that Obama was the answer to all our problems, but now you say the answer is for us to lay aside our differences and work together. No, no, you're not going to get away with that. The problems are Obama's to solve.

Obama takes office in January, by the end of February, I expect to find the first of several large checks from Obama in my mailbox. If I don't, I'm going to complain VERY LOUDLY! I want my free stuff. And Obama better deliver.
Robert Cornwall said…
Oh, I love this. Where does the free stuff come in?

By the way, have you not been listening to Obama? From the very beginning he has stressed that to solve our problems we must join together. We got ourselves into this mess, under the leadership of George Bush and the Republican Party. Go ahead and complain, but what's the point? Why are you averse to making a difference?
Anonymous said…
Obama promised to "share the wealth", and I expect him to keep his promises. Not only do I expect checks in my mail, but free health care too. And a tax cut, even if I pay no taxes. That's what Obama promised.

You may have gotten us into this mess, but I had nothing to do with it. And, I refuse to do anything that will help Obama. I want my money, not excuses.
Robert Cornwall said…
Gary,

That is not what he promised and you know that. He spoke of removing the burden on working Americans. It is a "reading into his words" that leads to your charge. If you are a middle class working American making less than 250,000 a year you may get a tax cut. If you make more, probably not. If you're not paying taxes because you don't have a job, well that's a whole different issue.

As for not helping Obama, well that's your choice. I could say more, but I'll leave it at that.
Anonymous said…
Bob, I got your back on this one. Gary, you seem like a very angry man on this blog. I didn't vote for Obama, but I don't agree he promised all these giveaways and I don't really think he intended to "spread the wealth" in the sense its being used. Obama is doing what all of us do when ever single sentence is recorded and scrutinized.. he misspeaks. When Bush did it.. he was an idiot.. but I think even O will say that we all saying something we don't intend. Heck, he had to call Nancy Reagan today after his first conference.

Does this make him a bad guy... of course not, just human.

Sadly, this conversation is so of course, I can't ask Bob about what I want to learn more about and thats the auto industry in Michigan. I work in an area that has former GMAC employees and many say the union members are "cry babies" over their benefits. Many complain about $5 copays, while the rest of the world pays $25-100. My understanding is that the unions have bankrupted the auto makers.. sort of like killing the goose to get the golden eggs. Toyota builds most of its cars non union in the US and has been successful.

Just curious your thoughts on unions. Personally, I struggle sending good money to a completely awful industry and cost structure, but this is a TOUGH problem. I wish union workers were willing to sacrifice like the rest of us are being asked to do.
Anonymous said…
Oops.. forgot to sign my post with "Chuck"
By the way.. if I can recommend a book Bob, check out Status Anxiety. I promise its not some wacky right wing book.. in fact a democrat recommended it to me and I found it had the best explanation of how the US became so materialistic.

Chuck
Anonymous said…
Chuck,

I know what I heard from both Obama and his spokesmen.

I just want my money. I'm not willing to excuse Obama for "misspeaks". I'm not willing to accept excuses as to why he can't do what he promised. But, I will accept checks or cash. And I'd better get it.
Robert Cornwall said…
Chuck,

First, Gary is Gary. Actually he's behaving much better than he usually does -- hasn't called me names yet.

But as to the question of the Unions. I think unions serve a necessary function. But sometimes protecting benefits/wages at all costs ultimately costs jobs. I saw that happening in Oregon with the lumber industry. When the workers at Weyerhauser went on strike -- back in the 70s, they shut down the plants and moved them out of state.

Watching things here there are two sides to this issue. If the industry collapses, the unions will be as bad off as the industry, so my sense is that they will work with the auto companies. I would say that the bigger issue is health care. It's not co-pays as I hear it, but increasing costs of insurance that have to be added in. It's cheaper to build the cars across the river in Windsor than here.

What is sad to watch though is the retired white collar workers -- the accountants and such that weren't unionized. They are losing their health insurance at a time they can least afford it.

But if the government doesn't step in and help the industry it will not only permanently damage Michigan, it will damage the nation. There is a lot of blame that can be spread around, but now is not the time to point fingers, but rather pick things up and fix them.

The big 3 made big vehicles because that's what people were driving. Gas prices went up quickly and the industry didn't have time to adjust. We have a role to play in this. At the same time, even as Ford at least began to make higher quality cars, people didn't buy them, but instead bought Toyota.

If people want to be patriotic, they may want to buy American! I have!

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