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Wow, Mitt Romney says he won’t bail out individual TBTF banks, but he supported the last bailout.But then he stuttered about it. We know he wants more spending on military but we aren’t talking about the military.
I wonder what will be cut to increase that spending?
He says he is not interested in the hypothetical, which means he either has no ideas or he is keeping them secret on how to solve the next crisis.
He apparently has no idea how to let a TBTF bank die without the entire financial system dying, but the questioners dropped the ball on that one. If Romney won this debate he did it by default. He was terrible on this answer about the banks and Europe in crisis.
Of course the others all blamed the CRA which, as Ritholz points out, was a minor blip on the housing bubble mountain. Private MBS was the key to the housing bubble. And for Romney and Gingrich and Bachmann to say it was the CRA primarily was just a bold faced lie. This is the lowest point in this debate.
A clip was showed about Reagan allowing tax increases to help Americans. Perry talks about a balanced budget amendment, which of course means off balance budgeting behind our backs. Romney apparently is against any tax increases but wants people to go back to work. Apparently he can’t understand that Americans have less money now than 10 years ago. Romney is against cutting defence and against raising taxes. But now he says he needs to reform entitlements and that will secretly create jobs. I am confused.
The presidential candidates are so afraid of raising taxes that they are paralysed. They are truly paralysed. They have no solutions for the future. They are fear mongering regarding the increase of taxes on the wealthy, but they want spending cuts more and they say that will take care of our economic problems.
Then the 999 plan, which will kill main street, was introduced on video. 9 per cent sales tax on food and medicine would not get it done, Herman. And Herman, demand drives the economy. Cain said production drives the economy. Cain wants you to pay more for milk! The people who pay no tax will pay a 9 per cent additional sales tax! Bachmann is against this tax on the poor, so that is good.
And if production drives the economy, who are the end buyers? The Chinese can go to jail for not paying their credit cards. They won’t be huge spenders. That wasn’t addressed. So if Americans are the end buyers these guys have no solutions.
Huntsman made good China points about the importance of China as a trade partner, and Romney was making funny eyes, almost girly eyes. Really creepy. Then Romney responded by saying he would threaten China over currency manipulation. Then China will dump their bonds. Yeah, have you thought this out Romney? First day in office you will go after China as currency manipulator? And the audience clapped. Also creepy.
Santorum got feisty on repealing Obamacare. That resonates with Republican voters. Obamacare was stupid in that it caved to Republicans by jettisoning the single payer system. So the compromise to make folks buy health insurance was stupid and likely unconstitutional. That the Democrats didn’t consider this and fell for the Republican scam was indeed amazing. But we still need to control medical costs, and the Republicans have no clue on how to do that.
Cain looks like a lightweight as Santorum asked the New Hampshire audience if they wanted that sales tax and no one raised their hands. Cain looks cooked.
These guys and gal all look like they are on a leash fearing their handlers with regard to tax hikes on the wealthy. The questions of income inequality so far are questions asked by people apparently also controlled by their financial handlers. What a pathetic debate. No one apparently wants to bark out the fact that the top 1 per cent has 25 per cent of the income and 40 per cent of the wealth in the United States.
Bachmann is asking a question. She has a turkey neck. Very distracting. She says Perry increased bond debt in Texas. Perry says Texas has low debt, 6th lowest debt per capita. Not sure that is correct.
999 plan is simple because Herman Cain is simple. He wants Romney to name the 59 points in his plan. Romney is saying simple answers are not enough. That was a good response. But the guy is still dangerous, wanting that military increase. That should be a part of this debate because it is also an economic issue. But Romney is not talking about that. He says he knows how to get America started.
Gingrich is claiming Obama is committing class warfare. Romney is saying that the Obama economy caused all this. We know that is not true.
Huntsman says Romney made clients money through leverage. Wow, do we want a guy like that running the nation? He was smooth though in answering Huntsman.
Ron Paul said Cain was against Fed audit. We have found out that the Fed has lent money out to foreign countries, and their banks. Herman Cain says he didn’t call the audit the Fed stupid. He says he is not against the Fed being audited but it isn’t a priority.
Rick Perry says Romneycare was Obamacare. But Romney said there were too many kids not insured. That plan did not affect the people who were already insured in Massachusetts. And Romney says Texas and Perry have a whole bunch of uninsured children.
Romney asks Bachmann, how do you get people back to work? Bachmann says regulatory burden is the reason why the economy is not growing. That seems to be the Republican mantra. But I think end demand is why the economy is not growing. Bachmann also is against Dodd-Frank, and she wants another housing bubble although she didn’t actually say it. Watch out main street!
Perry wants medicaid to be a candy jar back to the states in the form of block grants. But this is a candy jar to the health care providers in my opinion.
Herman Cain is asked who was the most effective chairman of the Fed. He said Greenspan! But wasn’t that the guy who said that you all could get a better deal by taking out an adjustable mortgage in February, 2004? Ron Paul likes Volcker rather than Greenspan and got a laugh. But then perhaps Paul should be for the Volcker rule right? No, he isn’t. Then Paul lost everyone talking about the gold standard.
Romney is against Dodd-Frank, and I am certain he wants another housing bubble. His advisors are the same guys who advised Bush. And we got a supply side attack of easy credit with those advisors! Bachmann says small banks will be destroyed by Dodd-Frank, but that is no reason to repeal Dodd-Frank. Bachman didn’t say she would repeal the 5 dollar fee from BAC, just stopping dirty dealing that allowed the amendment. Hmmm.
Perry’s fund for start ups in technology was painted as similar to Obama’s failure with Solyndra. Perry didn’t defend his program without hesitating, almost stuttering regarding overriding the board by his appointees.
Then they showed a video of Bush on housing in April, 2004. Looking back that was pretty bad. Gingrich then deflected off of Bush to Jimmy Carter, his favourite whipping boy.
Gingrich says Republicans are all for repealing Dodd-Frank, so they are all really bought and paid for aren’t they.
Cain was against #occupywallstreet. I wrote about that here.
Oh, a great question about the disparity of wealth with regard to the top 1 per cent. Perry says the whole reason for this disparity is Obama. What a putz this Perry is!
There is a heckler. Bachmann didn’t get the question as she was watching the heckler. She says she will love people so people won’t need government benefits. Cain says he was poor, so maybe his 999 plan is revenge? Why would he want to tax the poor more? Gingrich says any of the Republicans will solve the problems of our nation better than Obama.
There is no FDR here, and the Great Recession will continue if any of these folks find their way to the White House in 2012.
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