The economic recession that started in yearly 2007 is perhaps the worst financial crisis to hit the United State and the rest of the world since the Great Depression. The poor decision and implementation of regulations amongst Wall Street companies resulted in a liquidity shortfall that affected major financial institutions worldwide. As a direct result, thousands of people lost their jobs that significantly affected the quality of living in the United States. People directly blamed Wall Street professionals and financial institutions for such mess they have created. With failed attempts of the Obama administration to stimulate the economy such as the Stimulus package, people only grew weary and disgusted.
With just barely 5 weeks away from the November Midterm elections, there is a huge expectation for elected politicians to save the economy from total failure. Despite of the negativity that is attributed to Democrats for its current failures in the government, there is still no clear indication yet that we are expecting a Republican victory this coming November. There are still numerous issues to be tackled and there are even rumors of a record-low voter turnout come Election Day. Also, the Tea Party has been showing signs of strength especially during Republican primaries where they were able to achieve significant victories over established Republican candidates.
While they are strongly being tagged by Democrats to be the primary reasons for such failure in the economy, GOP candidates who are business-oriented professionals, Wall Streeters, free traders and Big Business profiteers may even have a stronger chance of defeating their Democratic rivals this November. The Democratic Party has strongly been criticizing GOP candidates who previously have ties with Wall Street institutions or those that have worked for the Bush administration. Despite of this, several of these candidates are even outperforming their counterparts in various polls.
In the state of Ohio, GOP candidate John Kasich is having a comfortable lead over incumbent Democratic governor Ted Strickland. Kasich is an ex-Lehman Brothers executive and a former Chairman of the House Budget Committee. Also, Republican candidate for U.S. senate Rob Portman is also a favorite to win the state’s senate seat against Democrat and the state’s lieutenant governor Lee Fisher. Portman is the appointed head of the Office of Management and Budget and the Office of the U.S. Trade representative during the previous Bush Administration. Interesting enough, there are numerous TV and radio ads, flyers and blast emails about the participation of Kasich in the Wall Street plunder that made him reach. There were also rumors about the contribution of Portman to George W. Bush’s record of deficits. Despite of these efforts, voters have seemed to ignore these ads and stayed firm with their votes.
In the Pennsylvania senate race, Republican nominee Pat Toomey is heavily favored to snatch the state’s senate seat which is currently held by newly minted Democrat Arlen Specter over the party’s nominee, Congressman Joe Sestak. Toomey is known to be a Wall Street derivatives trader where he made a fortune. As head of the conservative group the Club for Growth, he peddled personal savings accounts as a cure for Social Security’s troubled balance sheet. Sestak and some of his Democratic allies have continued to attack Toomey of his past but have failed to gather enough support to him. In fact, recent polls show that Sestak has been lagging way behind in the polls. Efforts of Democrats to show voters of the unfavorable pasts of various Republican candidates have continuously failed. While Republicans might not win all seats this November, they will certainly have a higher fighting chance to win most of them.
Showing posts with label stimulus package. Show all posts
Showing posts with label stimulus package. Show all posts
Monday, September 27, 2010
Thursday, September 9, 2010
Fixing America’s Transportation Infrastructure
The transportation and infrastructure sector is one of the most important sectors of society as it connects places and makes trade and commerce more effective. An airport for example significantly reduces the time it takes for goods to be transported to other places. It also opens up tourism which also translates to money. A high-speed freight rail is also equally important as it delivers large quantities of goods and stimulates effective trading among business entities. In the U.S., the infrastructure sector is struggling with the lack of funding and support from the government.
For the past couple of years, America has not conducted any significant research which will stimulate developments in the nation’s infrastructure. America’s transportation infrastructure is rotting and the government keeps on ignoring it. Amazingly, President Obama recently announced a plan to allocate $50 billion to a stimulus fund which will focus on U.S. infrastructure development. The act comes where the nation’s unemployment levels are at a record high. Currently, the nation’s unemployment rate stood at 9.6% with a possibility to increase further if the government doesn’t do anything to stop it.
The economic recession has made people more paranoid about jobs. With thousands of people in danger of being axed from their jobs every week, it is no doubt that jobs are the talk of the town. And since Obama strongly believes that job creation is every important in stimulating economic growth, he gladly saw the relevance of the construction industry as a means to generate more jobs. The additional funds will most likely rebuild and improve the transportation infrastructure of the U.S. to be able to catch up with other foreign competitors.
Investments in high-speed rail and next-generation air traffic control will benefit the economy in the long run. These are considered smart investments which will help promote productivity and sustainability. The act will benefit not only the people who will be getting their jobs back but also the whole nation who will be taking advantage of the much improved infrastructure. At a time where jobs are scarce, it is certainly helpful to invest in things that will address the very problem of unemployment instead of wasting useless money for defense.
Despite of the good intentions of Pres. Obama, various politicians have strongly opposed the act stating that it is not enough or that it will only add up to the already huge budget deficit that the nation is currently facing. Add also the fact that the November midterm elections are fast approaching and Obama is likely trying to win back the support of the voting sector in order to preserve the Democratic influence in Congress. Regardless of the real intention, the result of this act will only be likable if there is enough political will and if the administration is really concerned about the economy.
For the past couple of years, America has not conducted any significant research which will stimulate developments in the nation’s infrastructure. America’s transportation infrastructure is rotting and the government keeps on ignoring it. Amazingly, President Obama recently announced a plan to allocate $50 billion to a stimulus fund which will focus on U.S. infrastructure development. The act comes where the nation’s unemployment levels are at a record high. Currently, the nation’s unemployment rate stood at 9.6% with a possibility to increase further if the government doesn’t do anything to stop it.
The economic recession has made people more paranoid about jobs. With thousands of people in danger of being axed from their jobs every week, it is no doubt that jobs are the talk of the town. And since Obama strongly believes that job creation is every important in stimulating economic growth, he gladly saw the relevance of the construction industry as a means to generate more jobs. The additional funds will most likely rebuild and improve the transportation infrastructure of the U.S. to be able to catch up with other foreign competitors.
Investments in high-speed rail and next-generation air traffic control will benefit the economy in the long run. These are considered smart investments which will help promote productivity and sustainability. The act will benefit not only the people who will be getting their jobs back but also the whole nation who will be taking advantage of the much improved infrastructure. At a time where jobs are scarce, it is certainly helpful to invest in things that will address the very problem of unemployment instead of wasting useless money for defense.
Despite of the good intentions of Pres. Obama, various politicians have strongly opposed the act stating that it is not enough or that it will only add up to the already huge budget deficit that the nation is currently facing. Add also the fact that the November midterm elections are fast approaching and Obama is likely trying to win back the support of the voting sector in order to preserve the Democratic influence in Congress. Regardless of the real intention, the result of this act will only be likable if there is enough political will and if the administration is really concerned about the economy.
Wednesday, August 4, 2010
Republicans on the Economic Stimulus Bill: Unreasonable Projects and Budget Misappropriations
It is a given fact that President Obama has inherited so many problems and issues from the Bush administration. A growing fiscal deficit, a drowning economy, unemployment rates increasing to record levels and a $12 trillion debt are just some of the major issues that the Obama administration is facing and trying to resolve. With the passing of the economic stimulus bill, the American regained hope and the perseverance to fight on.
The economic stimulus bill was pegged approximately at $819 billion. Some criticized it to be too small while others only hoped that it will do significant change and improvement. The bill basically encourages consumer spending to stimulate economic activity and eventually lead to economic progress. It also gives more funding for basic social services such as unemployment benefits, medical and healthcare benefits and education. But just how effective is this stimulus bill?
Several Republicans mentioned that a lot of anomalies have in fact lessened the usefulness of the bill. They say that a lot of useless and unreasonable projects were implemented. These projects are considered to be waste of money and do not even generate sufficient jobs for the nation. One project was with regards to the replacement of newer windows at the Mt. St. Helens visitor center which is estimated to cost about half a million dollars. The shocking part here is that the building has since been declared closed and does not have any plans to reopen yet.
The government is also reportedly appropriating $2 million to send scientists and researchers to various islands located on the Indian Ocean to study exotic ants. Don’t you think that this is not the perfect time to study some ants when the nation is deeply struggling economically? Also, another project involves repairs and renovations of an 1846 brick fort which is located at the end of the Florida Keys. It is quite intriguing that the government is willing to spend $6.9 million on a fort that is so remote only few people have step foot to the place.
On the other side, President Obama and his administration denied all these allegations stating that there is indeed a positive impact on the economy brought by the stimulus bill. He further emphasized that about three million jobs were preserved or created by the bill. With two opposing sides having conflicting ideas, which one will you believe? There are assumptions that the republican point of view is basically election propaganda to wreak havoc on the election campaign of democrats. Whichever holds the truth, what the people want is performance and better results. Politicians should set aside their political wars and instead do their jobs in helping the nation.
The economic stimulus bill was pegged approximately at $819 billion. Some criticized it to be too small while others only hoped that it will do significant change and improvement. The bill basically encourages consumer spending to stimulate economic activity and eventually lead to economic progress. It also gives more funding for basic social services such as unemployment benefits, medical and healthcare benefits and education. But just how effective is this stimulus bill?
Several Republicans mentioned that a lot of anomalies have in fact lessened the usefulness of the bill. They say that a lot of useless and unreasonable projects were implemented. These projects are considered to be waste of money and do not even generate sufficient jobs for the nation. One project was with regards to the replacement of newer windows at the Mt. St. Helens visitor center which is estimated to cost about half a million dollars. The shocking part here is that the building has since been declared closed and does not have any plans to reopen yet.
The government is also reportedly appropriating $2 million to send scientists and researchers to various islands located on the Indian Ocean to study exotic ants. Don’t you think that this is not the perfect time to study some ants when the nation is deeply struggling economically? Also, another project involves repairs and renovations of an 1846 brick fort which is located at the end of the Florida Keys. It is quite intriguing that the government is willing to spend $6.9 million on a fort that is so remote only few people have step foot to the place.
On the other side, President Obama and his administration denied all these allegations stating that there is indeed a positive impact on the economy brought by the stimulus bill. He further emphasized that about three million jobs were preserved or created by the bill. With two opposing sides having conflicting ideas, which one will you believe? There are assumptions that the republican point of view is basically election propaganda to wreak havoc on the election campaign of democrats. Whichever holds the truth, what the people want is performance and better results. Politicians should set aside their political wars and instead do their jobs in helping the nation.
Thursday, July 8, 2010
Alaska Stimulus Airport: Economically Feasible Enough?
With the advent of government controversies and misguided bills, American citizens are more made aware of the present situation and will stand up to upheld their rights. The US congress has proposed and implemented a lot of projects for the different sectors of the society. But there are often government projects that are badly-influenced and overfunded that have caused the concern of most people. One particular project is the Alaska stimulus airport.
Alaska may have the largest total land area in the US but it certainly doesn’t have a whole lot of inhabitants. The federal government claims that putting up a longer but expensive airport on Spruce Island is one good way of spending stimulus money. Currently, it has a 2000 ft. long airstrip and has been in operation for over 30 years now. The government claims that safety is a primary concern on the airport and thus would need to improve it.
Before we dwell on the conclusion, we shall first examine how appropriate and deserving this place can be in having 2 airport runways. The city of Ouzinkie,Alaska only have approximately 205 residents. They have one general store and a post office which will cater to the whole population. Imagine using up an almost $15 million in federal government money for a 2nd airstrip in a rural city where population is very minimal. A small remote city having only over 200 inhabitants would get to have 2 airport runways? How economically reasonable can that be?
Contractors are claiming that doing construction in a rural place can get very costly or expensive. Labor costs and supplies are deemed expensive and would eat up a huge part of the budget. The government thinks that by implementing this, a whole lot of development will follow and more people will benefit. The Federal Aviation Administration claims that the project is very much feasible and will be part of a long-term project making air travel safer and more convenient on rural areas.
I’d say it’s the other way around. The only entities who will be benefiting are the people of Ouzinkie and the many other companies that are directly connected to this project. This eventually turned out to be another case of misused government funds and wasting of taxpayer’s hard-earned money. It would have been more helpful spending this huge amount on further improving government services or implementing social projects that would help generate more jobs to people.
Alaska may have the largest total land area in the US but it certainly doesn’t have a whole lot of inhabitants. The federal government claims that putting up a longer but expensive airport on Spruce Island is one good way of spending stimulus money. Currently, it has a 2000 ft. long airstrip and has been in operation for over 30 years now. The government claims that safety is a primary concern on the airport and thus would need to improve it.
Before we dwell on the conclusion, we shall first examine how appropriate and deserving this place can be in having 2 airport runways. The city of Ouzinkie,Alaska only have approximately 205 residents. They have one general store and a post office which will cater to the whole population. Imagine using up an almost $15 million in federal government money for a 2nd airstrip in a rural city where population is very minimal. A small remote city having only over 200 inhabitants would get to have 2 airport runways? How economically reasonable can that be?
Contractors are claiming that doing construction in a rural place can get very costly or expensive. Labor costs and supplies are deemed expensive and would eat up a huge part of the budget. The government thinks that by implementing this, a whole lot of development will follow and more people will benefit. The Federal Aviation Administration claims that the project is very much feasible and will be part of a long-term project making air travel safer and more convenient on rural areas.
I’d say it’s the other way around. The only entities who will be benefiting are the people of Ouzinkie and the many other companies that are directly connected to this project. This eventually turned out to be another case of misused government funds and wasting of taxpayer’s hard-earned money. It would have been more helpful spending this huge amount on further improving government services or implementing social projects that would help generate more jobs to people.
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