I listened to the President intently. I also had my laptop in my lap and watched Dick Morris blog as the speech progressed. Couple of things stood out:
· Though the President admitted excessive regulation, he said he wouldn't sacrifice the "safety, health and security of the American people". That's code for no regulatory relief. Mr Goolesby, the President's former economic advisor, in speaking about oil drilling, said " we need drilling, but only 'safe' drilling". More code for no drilling. Just recently:
o The FHCA filed suit against the big banks for $33Bn to recover the bad loans for Freddie Mac and Fannie Mae (but the bad loan melt down was the fault of the Government! They gutted lending standards in 1995 for a politically correct reason: more minority home ownership).
o The Feds raided Gibson Guitar over the wood they used in making the guitars.
o The NLRB issued a massive blanket demand from all home builders for the employment records for the last two years. It will cost the companies hundreds of thousands of dollars to comply! It's a witch hunt instigated by Unions because home builders use non-union subcontractors.
o The NLRB shut down a new Boeing Factory in North Carolina at the behest of the Unions in Seattle, alleging the company was "fleeing their union contract".
o The Feds just established the "consumer protection agency", which means another layer of reporting for all businesses, along with OSHA, IRS, FDA, FCC, FTC, DOT, FAA and EPA, to say nothing of the State equivalents of these agencies.
o I have heard that Federal Regulation has TRIPLED in the last couple of years!! Can you imagine? Is it any wonder the economy is stagnating?
· The President talked about infrastructure. But I thought that's what he started two years ago! What happened? Even so, most projects are done with limited numbers of people. A construction crew descends on a community for a few weeks or months. They depart leaving a fresh bridge or a stretch of repaved highway. Immediately, the economic activity dwindles to its previous level of stagnation, because nothing has changed significantly in the local economy.
· Then we can imagine someone trying to start a business in the town, but the Democratic City Government badgers and harasses them over licenses and permits, and the local bank won't give them a loan because they don't have five years worth of Financial Statements, required by Federal Banking supervisory agencies.
· The Government always talks about "Business Government Investment Partnerships" to enable "growth and innovation". But think of this: Venture Capitalists, techies in their own right who study the stuff 18 hours a day, maybe can hit one in 10 or 20. What do you think will be the success rate of a political hack who decides on the basis of political correctness and the size of the contribution to his re-election fund? Note also the solar panel factories funded by the Stimulus two years ago have recently all gone under, the jobs moving to China.
· Repairing schools and paying teachers doesn't necessarily mean good schools, especially if the expectations and standards are in the toilet as they are now, dwelling as they do on social engineering and political indoctrination instead of usable skills for the children. Charter schools with local control and vouchers are a better way to improve schools. The strangle hold of the Teacher's Unions needs to be broken. "One Size Fits All" dictates from the Department Of Education should be eliminated.
Time for a change