Obama’s “Socialism” Seems to be Working Out Pretty Well for Capitalists

obamaDow Jones industrial average: 15,105.12

That’s what the Dow closed at today.

Oh, that’s a new record, by the way.  You know what “setting a record” means, right?  As in the Dow Jones industrial average has never been over 15,000 before.

Just for a quick reference, March 9, 2009 the Dow hit its lowest point under President Obama (48 days into his Presidency) of 6,547.05.

To save you from having to do the math I’ve done it for you—it’s an increase of 131% under President Obama.

But that’s not all.  A record number of billionaires made the Forbes 2013 list of the richest people.

Who topped the list of countries with the most billionaires?  That would be the United States.  Out of the 1,426 billionaires on the planet 442 of them live in the United States.

There were 210 new billionaires for 2013. Can you guess which country topped the list with the most new billionaires?  That would be the United States once again with 27 of the 210.

The United states has 31% of the worlds billionaires and 13% of the worlds newest billionaires, again leading every other country in both categories.

Then let’s not forget how we ended 2012 with corporate profits hitting record highs.  But saying “record highs” doesn’t quite do their profits justice.  The Q3 of 2012 saw the highest after-tax corporate profits in United States history, totaling $1.75 trillion for an 18.6% increase over the prior year during the same quarter.

Oh, then there’s always the auto industry posting its best fiscal year since 2007.

But wait, I thought President Obama’s “socialism” would destroy capitalism?

So let me get this straight.  Obama became President in the middle of one of the worst recessions our country has ever experienced.  Republicans warned of the terrors of his economic policies, and how his “socialism” would destroy the United States.

Well, since he became President:

  • We’ve had 38 consecutive months of private sector job growth
  • Created over 6.5 million jobs
  • Reduced our deficits by more than $1 trillion
  • Stocks have crushed their previous records,  improving by 131%
  • The United States continues to lead the world in total number of billionaires and newly created billionaires
  • The American auto industry, once nearly dead, is now thriving
  • Unemployment has fallen from its high of 10% to 7.5%

So looking at these facts…

It sure as hell looks like that “Obama socialism” is working out pretty well for capitalists.

Allen Clifton

Allen Clifton is a native Texan who now lives in the Austin area. He has a degree in Political Science from Sam Houston State University. Allen is a co-founder of Forward Progressives and creator of the popular Right Off A Cliff column and Facebook page. Be sure to follow Allen on Twitter and Facebook, and subscribe to his channel on YouTube as well.

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  • And just think how we’d be doing now if the TeaPubs hadn’t blocked every jobs bill and done everything in their power to keep Obama from succeeding!???

  • Too bad he cant serve a third term.

  • The top 1% have done so much more damned well than even under Clinton! I bet some of them would love to have Clinton-Obama back and forth for all time.

  • Michael Siever

    300,000 new millionaires gained during Obama’s first 4 years.

    Worst. Socialist. Ever.

  • justaview

    now you know why the republican are so concerned about this black muslim socialist terrorist supporting foreign president

  • Dont mean to play the race card,but the Republicans are like banks,they find it hard to give a black man credit………lol

    • And everyone knew the race card would be played early in the deck. I don’t care if he’s orange with purple stripes, middle class America is getting taxed to death funding the subsidies for the lobbyists, oops, I mean the poor guys in the financial district and the auto industry. When will we get paid back? My grandkids (who aren’t born yet) will be too old to enjoy it.

      • I am all for helping the middleclass,when will John Boehner and his fellow Republican prostitutes in congress stop giving tax breaks to their rich pimps.Its time to close all the loopholes and tax breaks they enjoy.

  • SeeTheOtherSide30

    The Dow Jones is doing well because it is now heavily subsidized by the government. There are more billionaires because the dollar has lost so much value due to inflation. Obama’s policies are about instant gratification with no thought to long term sustainability. Having our economy entirely reliant on government subsidies is exactly what is meant by Capitalism being destroyed. Socialist policies inevitably lead to living beyond our means and crashing when we reach our credit limit (e.g., the fiscal cliff).

    • dubya13

      wouldn’t inflation mean that everyone (or at least, WAY more people) would see unrealistically bloated wealth/worth? inflation doesn’t cause income gaps, only things like devaluing work, stagnant minimum wage, and astronomical heathcare costs can do that

      you are however correct that government subsidy should END to industries that don’t need it (oil, “finance”, etc). that’s not a new thing though, so we can’t really pin it on obama

      • dubya13, no inflation (printing money) benefits those closest to the printing presses. this is usually the banks and execs who have the most access to the newly created credit and get to spend it first while the rest of us (95%) feel the increase in prices the new money printing/debt creation causes.

        Inflation is driving up asset prices while doing little to help the economy. I could go on and on about this topic, but I doubt you’ll be interested.

      • hegesias

        Where are the inflation statistics? Inflation has averaged 1.6% over the past two years, as low as any time during the Bush admin. You think Wall Street is going to allow inflation to diminish the value of the debt it is owed? Maybe you should go on about this topic.

      • CPI is not a good gauge on inflation, it’s as good as GDP.
        The things we buy the most (food and energy) being stripped out, but lets also look at educational and medical costs up 300% or more over the last few years. Gas is up 100-150%. Food? I can’t get out of the grocery store without spending $150-$180 for the same groceries that used to cost me $90-$100 just 5-6yrs ago.

        Inflation is seen the most where most of the printed cash is being directed, and least where you see the least printed cash. It’s no coincidence Bush’s doubling of medicare part D to make medicine “more affordable” pushed prices up more. It’s no coincidence Bush’s doubling the dept of education to make education “more affordable” pushed prices up more. The result is much higher prices, pricing out many more than they claim to help in the first place.

        In response, what did Obama do? Obamacare/doubled pell grants, limited repayment of unaffordable loans coupled with debt forgiveness coming off the backs of tax payers all in the name of making medical care and education “more affordable”

        Home affordability act? lots of printed cash/created debt directed at housing to make it “more affordable” which pushed housing prices up. That blew up. Now that we are at a 16year low for home ownership in the USA (1995 levels) and prices are pushing back up (up 24% with printed cash buying up MBS’s at a $45B/month clip). While this helps the current home owners, now any new home owners will be priced out.

        Come back in 10yrs, let me know how that 1.6% CPI is doing for you.

  • We are trading 10% growth in debt for 2% growth in income (GDP).
    10% debt growth – $1.5T/yr
    2% income growth – $300B/yr

    In other words, our debt is growing 500% faster than our income growth. Please name a company or country who can sustain this and not go bankrupt?

    • Surprise surprise. No replies to the logical argument…

      • What logical argument? If debt and spending are the problem, more debt and more spending can’t be the solution? You mean a logical argument like that?

      • Yea apparently such a simple point is too complicated for the majority of the populace that prefers hysterics.

      • johnny rotten

        When debt and spending is only a problem when a Democrat is in the white house it isn’t really the problem. So that means something else is the problem.

      • Ryan Schneer

        ..

    • hegesias

      These things do not forever move in linear fashion. Putting people back to work at good-paying jobs increases revenue which will decrease debt and eventually decrease the need for debt and increase demand for products which will create more jobs. The reason corporations are not hiring is not because they are evil, though some are of course, it is because there is no demand for their products because they already have everyone’s money.

      Debt is incredibly cheap, below 1% interest, and we owe most of the debt to ourselves. Now is exactly the time to borrow to create jobs and momentum in the economy, not to mention help provide relief to the working poor, whose real income has not increased since before Reagan and whose relative income is at an all time low. When you have a debt problem, you don’t make the poor carry the burden
      …unless you’re a f u c k i n g a s s h o l e.

      • I see inflation, which is being seen all over the place as protecting the 1%. The rich keep getting richer from all the money printing/debt creation. Your logic is completely backwards.

      • Let me pose this question to you:
        We are borrowing 40% of our budget to spend and “create jobs”.
        What happens when the borrowing is forced to stop? Because our economy is structure in such a way where we can never stop printing money to create credit. It’s impossible for the Federal Reserve to reverse it’s balance sheet. The rabbit hole can only go deeper.

        So the only thing that’s going to be a check/balance to the feds printing press is going to be interest rates (which they set for now buy purchasing bonds with the printed cash). In 2009 the fed accounted for 50% of the bond market. 2010-2012 they were 61%. Now they account for 100% of the bond market meaning no private demand for gov’t bonds.

        You can look at this 2 ways. The fed is crowding out private demand, or there is no private demand at these interest rates and they have to be the buyer at last resort. I think its the later case. So if they continue to print money and be the only buyer of treasuries, that assumes the world will continue to take dollars no matter how many we print.

        I wouldn’t bet on that. I think the markets will eventually check the Federal Reserve. They may not refuse dollars out right, but will definitely ween themselves off which will push prices up and interest rates with it. Interest rates is what popped the housing bubble, it too will pop the bond bubble. This is foresight. Unfortunately, Americans are reactionary. When interest rates check the Federal Reserve, these “Created jobs” based on borrowing will evaporate.

  • hegesias

    We’ve had 38 consecutive months of private sector job growth
    Created over 6.5 million jobs
    Its easy to create positive job growth when 30 million people are already unemployed. The jobs created are much worse than those lost. Hence, the continuing increase of income inequality, the major cause of the recession.

    Reduced our deficits by more than $1 trillion
    Is this what we really wanted from him during a terrible recession?

    Stocks have crushed their previous records, improving by 131%
    The United States continues to lead the world in total number of billionaires and newly created billionaires
    93% of the Obama recovery in 2010 went directly into the hands of the top 1% of wealthy Americans.

    The American auto industry, once nearly dead, is now thriving
    Yes, $25 billion for 2600 new jobs. GM used the money to build a plant in Mexico. Any leftoever money went to lobby for more “free” trade agreements.

    Unemployment has fallen from its high of 10% to 7.5%
    More terrible service jobs, part-time jobs, underemployment, union-busting, doubling the amount employees pay into their health care. Giant increases in profits. Giant increases in stock prices, half of which is owned by 1% of the country, 46% of Americans have no stocks at all. This is what neocons call a “recovery.” Yay, Obama.

    FAIL

    • peteroiler11

      well, if it is so easy as you suggest, why couldn’t your Bush man do it….you are an idiot, THE END.

  • Bob Bee

    More liberal slanted news. And the sheep just gobble it up. Dow having a record high has nothing to do with Obama.

    • mgo

      But if it were an all time low you can be damn sure people would blame it on him.

  • JohnInHsv

    Obama is not a Marxist. He’s a fascist. Yes, corporations are taking advantage of this idiot’s debasement of the currency and the 0% loans they can get under Bernanke.

    Nero is fiddling.