Democrats to Blame

The other day I was forwarded an article dated from September 30, 1999.  The article was on Fannie Mae's policy change to make it easier for lower income families to get admitted for a loan. A prominent figure in this article was how the company was receiving pressure by the Clinton Administration to make such a change.  Researching this topic i have also found out that the Clinton's even threatened to take away tax benefits to the Loaning Giant if such an initiative was not put in place.  Ultimately, the Fannie Mae had to take on the risk as the tax benefits alone would have crucial effects on the companies profits which at the time were very strong and it was a popular stock among investors.  So now going back in time was Clinton even that great of a President or did he just sway the media with his words of wisdom and charisma? Those of you claim that Clinton was the main contributer to economic growth during the times. In this case i disagree and would give more credit to the Republican controlled Congress who ruled for six out of the eight years.  Congress lowered the capital gains rates which spurred economic growth.  Congress helped fund the boom among Internet companies.  Many of Clinton's detractors have a selective memory on what he actually did.  For example, many blame Clinton for not killing/capturing Osama Bin Laden as he pretended to order cruise missiles to attack Afghanistan with the purpose of distracting people from his sex scandal. Another claim to fame that Bill takes credit for is making America a safer place and reducing crime as a whole.  Well for anyone who has read Freakonomics, they know that this is untrue as the biggest factor in reducing crime within America was Roe vs Wade which allowed many crack babies to become unborn along with children of teens.  As time goes on we slowly see more and more faults within Clinton.  Clinton benefited from being in office during a time of peace and economic prosperity.  He didn't screw that up to much yet his lack of principled leadership left many people disappointed.  As i dug more within my research i read more and more about how the Democrat's deal with Economic affairs and the results.  They are shocking, if you go back in time you can see the disparity in economic growth when there is a Democratic controlled Congress versus a Republican controlled Congress.  First example is the current Housing Crisis and Credit Crunch in which was started by a Democratic President Clinton and contributed to by the Democratic Congress the past eight years.  In 1990 we had a mini-recession caused by an increase in production costs and again at that time there was a Democratic controlled Congress.  Furthermore 1979 the Iranian Revolution caused a sharp increase in Oil Prices which led to a WorldWide Energy Crisis.  Tight monetary policy by the U.S. led to inflation and the end of the Jimmy Carter era.  Keep going back we have 1973-75 the Oil Crisis and the Crash of the Stock Market as a result of OPEC quadrupling Oil Prices. Again at such times the Democrats controlled Congress.  Back in 1960-1961 another recession took place during the Kennedy administration when again there was a Democratic Controlled Congress.  Finally in both 1957 and 1953 we had various recession where again the Democrats controlled the Government.  So see the correlation?  Ever since the 1950s ever recession has come at the hand of a Democratic controlled government.  On the contrary during times of a Republican controlled Government is when we have seen the largest increaser in GDP Growth.  For example, the prosperous times from 1994-1999.  The growth from 1978-1981. The problem is currently we have a Democratic Controlled government with the liberalist senator ever, Barack Obama in charge.  It is my guess that any resilient form of economic growth will not be stimulated in the next four years. For one, we are failing to effectively distribute the Stimulus package to have long term economic benefits.  Too many handouts are being made which is nice but not practical during harsh times.  When you have money in the bank is when you become generous but currently we don't as we have a $1.75 trillion dollar debt.  The Bush Administration tarnished the Republicans image when in reality it was the Democratic controlled Congress that supported and initiated many of the failures.  It will not be until the next election where we truly see the benefits Republicans provide to the Economy and i hope that time around the U.S. votes accordingly.  

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