What if the already terrible economy gets even worse? And not just a little bit worse, but a lot worse? Look at it this way: If you put a group of brainiac economists together in a room and told them to create a computer model of a Great Depression 2.0, the key ingredients would probably be a) plunging stock prices, b) collapsing home values, c) soaring unemployment, and d) a banking system on the verge of complete implosion.

Now several economists are starting to see that Obama inherited a bad situation and made it much, much worse. And if I've learned anything from my liberal friends, it's that when a couple of economists agree with your point, you get to say ALL ECONOMISTS agree. Donald Luskin at Smart Money reported, via Free Republic: Today's stock market isn't just the “worst since the Great Depression,” like they're so fond of saying. No, it's even worse than the Great Depression. As of yesterday's close (Thursday, March 5), the S&P 500 has lost 56.4% from its all-time highs 513 days ago. At the same point in the bear market associated with the Great Depression, that is at the 513 day mark, the S&P 500 had only lost -- only! -- 49%. In other words, to be no worse than the catastrophe that happened to stocks in the Great Depression, the S&P 500 today would have to rally 17%.

We can't blame President Obama for the mess he inherited. But we can definitely blame him for making it worse. Stocks are off 28.4% since his election, 15.2% since his inauguration, and 17.2% since his so-called “stimulus” bill was enacted. To say the very least, whatever he's doing, it ain't working.

Hmmm... sounds a lot like what we've been saying.

Former Vice President Al Gore repeated his message that climate change is a planetary emergency at the WSJ’s Economics conference in California. However the Goracle refused to take questions at a climate conference this week and lashed out at non-believers.



I guess no one told him that 2009 was the year that the global warming "consensus" collapsed. At least it gives us another chance to mention the earth killing burping worms and of course everyone's favorite, ManBearPig!

PS. Don't forget that for the second straight year the Earth is, in fact, cooling... not warming.

UPDATE: John Fund in the WSJ discusses how Gore has ducked the chance to debate critics of his global warming doomsday predictions.

President Obama, the market maven, had better start realizing how and why his policies are putting the crush on the market. According to a review conducted by Bloomberg the Dow Jones Industrial Average has fallen faster under President Obama than under any new president in at least 90 years.

UPDATE: FEAR NOT! There is hope! Today the Obama Administration started taking economic advice from Twitter.

Is it me? Or was it just yesterday in this post that we disucssed the tanking market and how there may be no end in sight until Obama institutes policies that are not entirely anti-business?

Well, now there's more bad news on the horizon. The anti-business policies of this administration may result in 14% of small businesses closing their doors in the next year.

The trillion dollar Democrat Stimulus Plan gave less than one percent to small businesses the engine of the economy. Small businesses have been virtually ignored by the Obama Administration and Democrats in Congress (they aren't big Dem donors). As a result of the crisis, 14% of small businesses are likely to shut their doors in the next year.Glenn Beck discussed this crisis today:

Why are small businesses so important? According to the Small Business Administration, of the nearly 26 million firms in the United States, most are very small – 97.5 percent - have fewer than 20 employees. However, small businesses employ almost exactly half the private U.S. labor force. 97% of all new jobs are created by small businesses and 70% of our economy is created by small businesses.

If small businesses come grinding to a stop, so does our economy.

In case you weren't paying attention, the DOW slid another 4.1% hitting 12 year lows.

As we previously noted, after five weeks in office, it's becoming increasingly clear that the President's policies are slowing, if not stopping, what would otherwise be the normal process of economic recovery. At the moment Team Obama is creating more uncertainty and less confidence -- and thus a longer period of recession or subpar growth.

Investor's Business Daily has a good piece correcting President Obama on his recent musings about Wall Street: Dissing The Market.

It appears that to Obama, free-market capitalism is such a whimsical force that he doesn't hesitate to compare it's actions to the oft-misguided political polls. So either his comments are an attempted dismissal at how his policies are affecting the market, or those comments are beginning to reveal the inner mind of a man who at his core depth does not understand capitalism.

Far from being something that "bobs up and down every day," the market reflects the opinions of millions of investors and thousands of institutions who are super-sensitive to all that goes on — economically, politically and otherwise.

It's for good reason the government uses the market as one of its 10 leading economic indicators.

Whether or not Obama takes the market's action seriously, the president or someone on his team might ask why this is so, and why the downdraft has accelerated since he came on the scene. Unfortunately at the moment it would seem that there may be no end in sight. No, not until Obama institutes policies that are not entirely anti-business.

Also today, CNBC host Jim Cramer blasted the Obama Administration and Democrats for the disaster we are witnessing. Mainstreet has the story.

How do you know when we've gone over that proverbial Global Warming cliff?

Perhaps it when global warming proponents begin creating floating cities despite the fact that global sea levles are the same as they were in 1979.

One might argue that it is when proponents are forced to rebrand 'global warming' because the term 'global warming' has become a marketing liability.

Or maybe it is when proponents tell us that our trips to In-N-Out are killing the planet.

One could even argue we fell off the cliff when Legislatures began considering the elimination of free parking to curb greenhouse gas emissions.

Indeed a case could be made for each of those. But my friends, I would argue that when we now blame climate change on burping worms the tumble has officially taken place. No, this is not a joke.

Buckley turning on him was predictable, Brooks turning on him was a pleasant surprise if not unthinkable — but Mr. It's My Job to Ensure Obama Succeeds? This isn’t the first time he’s expressed exasperation with The One’s performance lately, either. He even makes reference to the ever tanking market. If he’s losing Matthews, whither the rest of the media’s Hopenchange lemmings?

After thought... how sick and tired are you of the dems saying, 'eh... this is small change, who cares?'

To highlight the economic consequences of Congressional Democrats’ policy decisions – House Republican Whip Eric Cantor put together this quick flash application to show just where the House Democrats’ budget plans are leading this country:


Clever? Yes. Cute? Not so much in real life.

Apparently that whole fiscal responsibility thing is out the window. As we've noted, the new budget proposes the largest increase in Federal spending since World War II, an insane one-year increase of 33% over the prior budget, from $3 trillion in fiscal 2008 to $4 trillion for fiscal 2009. That whopping $4 trillion is the largest Federal spending total in U.S. history. Democrats are bankrupting America with their liberal legislation that will rack up a $1.75 Trillion deficit this year alone.

Even with two wars, 9-11, Hurricane Katrina, and the Clinton Recession, Bush couldn't do that. But, it took Democrats less than 40 days to blow over a trillion dollars. That's some work for only one month's time.

If we continue to follow the course that has been set by Congressional Democrats, in a very short period of time we will owe $1billion every day in interest payments alone.

There's not doubt that President Obama likes his symbolism.

Who can ever forget the hopeful rising sun coming up over a horizon of stripes, suggesting a new day of change coming?

Or the Obama for President seal, complete with a spread-eagled eagle, heart filled with the hope of Obama's first seal?

And certainly not the self-adulatory hubris of the Office of the President Elect.

We already know that Obama's new budget proposes the largest increase in Federal spending since World War II, an insane one-year increase of 33% over the prior budget, from $3 trillion in fiscal 2008 to $4 trillion for fiscal 2009. That whopping $4 trillion is the largest Federal spending total in U.S. history. But numbers alone do not necessarily provide an accurate portrayal of the "Obama" budget.

It is thought that Abraham Lincoln once said, "You can fool some of the people all of the time, and all of the people some of the time, but you can not fool all of the people all of the time."

With that in mind, we wanted to provide greater perspective on the "Obama" budget now winding its way through the legislative process.

Yesterday Congressman Kevin McCarthy and fellow Republican Paul Ryan (R-WI), pointed out something remarkable about the “Obama” budget.

Every year, the “progressive" caucus, led by Maxine Waters, has put out a budget proposal of its own, and brought it to the floor for a vote. You remember Maxine Waters right? She's the Congresswoman who wants to socialize the oil industry.

Last year, the "progressive" caucus budget proposal was soundly defeated - it garnered only 98 votes in favor, meaning that even two-thirds of Democrats voted against it.

Congressman McCarthy pointed out that the Obama budget goes far beyond the Waters budget, having trillions more in outlays, spending, and deficits.

In other words, it’s even further left than last year’s “progressive” budget.

Obama says in his budget message that we have arrived at this present crisis "as a result of an era of profound irresponsibility…." So I ask you, does this wildly progressive spending increase to record levels sound responsible to you?

UPDATE: In case you're wondering what a "responsible" budget would look like, Heritage answers that question here.

Hat tip: RedState

In January 2008, a Democratic congressional majority was sworn in that was elected in part by promising fiscal responsibility. The Democrats specifically pledged to limit spending increases and employ pay-as-you-go (PAYGO) budgeting to keep the budget deficit in check. But now with the reigns of power firmly at hand... all promises of fiscal responsibility have been chucked out the window.

As we noted here, all the spending that previously so distressed Pelosi and Reid seems downright modest today. So at a press conference in the U.S. Capitol, Senate Reps call for an end to the Dems spending spree:

UPDATE: Senate Dems beginning to oppose Obama on Spending.

Hat Tip: Senator John Ensign via Twitter

From our Boom Goes the Dynamite files...

For the most part, Americans have welcomed the Obama era in the same spirit of hope the President campaigned on. But after five weeks in office, it's become clear that Mr. Obama's policies are slowing, if not stopping, what would otherwise be the normal process of economic recovery. From punishing business to squandering scarce national public resources, Team Obama is creating more uncertainty and less confidence -- and thus a longer period of recession or subpar growth.

On March 3, CL favorite Jim Cramer at CNBC lambasted the Obama economic disaster:

"Until they realize that their agenda is destroying the life savings of millions of Americans, then all I can give you is caution... I'm not saying Mr. President go stare at the Bloomberg quote machine and come to your senses. I just want some sign that Obama realizes the market is totally falling apart and that his agenda has a big hand in that happening. I don't know about you but I felt it everywhere I went this weekend... A young kid took me aside. He said I was right when I said we've elected a Leninist... I felt the total lack of control we all feel right now, the, "It's out of my hands but where's the authority?" The, "Hey it's amateur hour at our darkest moment."

As the WSJ points out, as the Dow keeps dropping, the President is running out of people to blame. In the meantime their continued assault on business and investors is delaying a recovery and ensuring that the expansion will be weaker than it should be when it finally does arrive.

UPDATE: Obama says I don’t worry about the market’s “day to day gyrations”... oh boy.

Is Obama formulating his foreign policy from a book? A book written by a Muslim from India who believes the U.S. is past its prime and in demise? Take a look at this and then you tell me.

Apparently in the March 9, 2009 issue of Newsweek, Barack Obama's favorite foreign policy author Fareed Zakaria says its time we lived with radical Islam.

Let me go out on a limb here and say that a 'Post American World' isn't the type of 'Hope and Change' America bargained for.

After months of planning, the Capital Climate Action Protest was held today in Washington DC.

It seems like just yesterday we wrote a post discussing Obama's real record on abortion. We discussed the ability of then Senator Obama to stand on a national stage and with the gift of oratory have people almost convinced that he was a "moderate" on the issue of abortion.

In that post we noted that if one had taken a moment to examine the record, it was readily apparent that Sen. Obama was the most extreme pro-abortion member of the United States Senate. Indeed, he was the most extreme pro-abortion legislator ever to serve in either house of the United States Congress. Now, as predicted, he will serve as the most pro-abortion President in our Nations history.

Just three days into his presidency, in one of his first and least popular actions as President, Obama lifted the prohibition against giving federal funds to organizations that promote abortion overseas. This means that American tax dollars can now be used to provide abortions around the world; America is back in business as Doctor Death to millions of the world's babies.

Now the Obama Administration will announce that President Obama has decided to scrap regulations put in place by President Bush designed to protect health care workers from being forced to participate in abortions, sterilizations, and contraceptive procedures on moral grounds. The rules were intended as an enforcement mechanism. They expanded on existing federal law protecting conscientious doctors, nurses, pharmacists, and other health care workers by requiring hospitals to certify that they comply with the law in order to continue to be eligible for federal funding. In other words, the rules did nothing new, they simply ensured that the existing law was not ignored.

As RedState notes, Obama’s rules change will make it easier for hospitals to ignore federal law and make for a more intimidating workplace for health care providers of conscience. The end and horrible result of this will be more abortions.

On the campaign trail, in pledging to unite us, not divide us, Obama promised to find common ground on cultural issues, especially to search for ways to reduce the number of abortions. He thus won the vote of many pro-life voters who believed they could find compromise measures to America's most contentious domestic policy issue. In fact, Mr. Obama secured 54 percent of the Catholic vote, many of whom are staunchly pro-life. So where is the outrage among the pro-life pro-Obama supporters who assured them throughout the campaign that Mr. Obama deserved their support because he would defend life?

In his tenure as President, there are many good things that Obama can do... unfortunately at this early stage Barack Obama is choosing the worst. Only weeks into a new administration, the president of "hope" and "change" continues to reveal that, at least in this enormous matter, he will not be a new leader who will work towards a kinder, gentler, more unified America. Instead he is immediately exacerbating old wounds in the body politic - and destroying lives of the unborn in the process.

President Obama has called the contraction of the US economy a "continuing disaster" for the US. And what better way to alleviate that disaster than spread the malaise with those you love.

According to the Times Online, Prime Minister Gordon Brown is hoping to forge a partnership with President Barack Obama in Washington this week, to call for a “global new deal” to lift the world out of recession. Yup, that's right, pull us right out of a 'world recession' and slam it into a 'global depression'. Perhaps the PM hasn't been watching our stock market since the Obama spending plans kicked in.

The Times in part reported:

GORDON BROWN hopes to forge a partnership with President Barack Obama in Washington this week, to call for a “global new deal” to lift the world out of recession.

The prime minister will borrow from the rhetoric of Franklin Roosevelt, who introduced the government-financed New Deal to tackle the US Depression of the 1930s. He will argue that his 21st century “global new deal” will also require public spending on a huge world-wide scale.

Of course the one big difference in economic policies is that PM Brown has hinted that he is ready to make further tax cuts to boost the UK economy. In fact PM Brown has already taken action to cut personal taxes kick start the economy. Meanwhile Obama seems dead set on eating the rich to pay for his massive government expansion plans.

If Brown is a believer in using tax cuts to stimulate economies, then perhaps a sit down with Obama wouldn't hurt. Because the reality is simple: whether nationally or globally we must stimulate the economy by reducing the impediments to starting new businesses, hiring, working, and investing. The only quick, and effective, remedy is to cut tax rates.