Bush Knew How to Lift the US From Recession… Obama Doesn't
When President Bush came into office he inherited a recession, the internet bubble bust, scandal on Wall Street, and the attacks on 9-11 all in his first year.
The budget surplus of $128.2 billion he inherited evaporated.
In 2002 the budget deficit climbed to $157.8 billion, an increase of $286 billion.
In response to the economic recession, President Bush reduced taxes and gave money back to American workers, business owners and entrepreneurs.
From 2004 to 2007 there was a steady decline in the budget deficit from $412.7 billion in 2004 to $162 billion in 2007. The tax cuts also reduced unemployment to 5.2% during the Bush years. The Bush years saw the strongest productivity growth in 4 decades and witnessed robust GDP growth.
Then America was hit by the mortgage crisis that President Bush warned the Democratic Congress about 17 times in 2008 alone.
The budget deficit rose to $459 billion at the close of 2008.
But, there’s a new administration in town today.
Rather than reduce taxes and help small business (only 1% of the “stimulus” plan assists small business) the Obama Administration has decided to spend their way out of this recession:
The Obama Administration predicts that their budget deficit will surge to $1.75 trillion dollars this year. He will increase the deficit by 1.29 trillion dollars his first year in office!
Team Obama will quadruple the budget deficit this year– an unbelievable feat.
No wonder he wants to blame Bush.
It’s not really a surprise that the markets are not responding.
Maybe they were hoping Obama would be more like Bush?
If only we could be so lucky.
More… The odds that the present economic crisis will churn into a depression is now up to 20%.
Hope and change, baby. Hope and change.