"Regime Uncertainty" and the economy
Not talking about governments which might fall, but the "regime" of laws, regulations, taxes, and government policies which govern business and the economy.
I've been reading New Deal or Raw Deal and coming to the conclusion that FDR's anti-business, anti-rich policies and demagoguing really extended the Great Depression. Henry Morgenthau explicitly admitted this btw. Taxes were hiked across the board, regulations went wild (the NRA had over 500 industry codes), business people were jailed for things like pressing pants for five cents under the code price. Businesses ability to advertise on price was restricted, they even tried to specify that buyers of chickens couldn't pick the birds they wanted (the Schecther case), the IRS was sicced on wealthy critics and told to investigate and prosecute, evidence be damned. Businesses were kept worrying about the government, what they were doing and would do, instead of worrying about running their business and competing in the marketplace.
What ultimately ended the Great Depression? WWII, but not the way most people think. WWII gave FDR FOREIGN enemies to campaign against for a change. And before the war was over, FDR had passed on. HST didn't bring back FDR's programs after the war and America was allowed to recover from the New Deal Depression.
We see the same disastrous approach FDR employed with Obama. Fear, uncertainty and doubt has been spread virtually as a matter of official policy.
The Democrats had two years to fix tax rates, but didn't let the country know what 2011 tax rates would be till December 2010. They ended up making no changes but kept everyone guessing as long as possible. Fear, uncertainty, and doubt.
Energy - as soon as the attempt to impose carbon taxes failed, the administration had the EPA move to impose carbon regulation on the country. What will it mean in higher costs and lost jobs? We don't know but we do know it will be bad. Fear, uncertainty, and doubt.
Health care costs - Obamacare is going to be phased in over a period of years (maybe) and will drive up costs - how much? No one knows for sure. Fear, uncertainty and doubt.
End the regime uncertainty. End the paralyzing fear, uncertainty, and doubt and let businesses worry about running their business instead of worrying about what the federal governments czars and mandarins will do them tomorrow. |
