GOP slammed by Nobel-Winning Economist, Paul Krugman.

How this guy has any credibility left, or a job for that matter, is beyond me.

adeficit 7

I used to think “Nobel-Winning” actually meant something until Barack Obama and this guy won one.

adeficit 5

“This guy” being “Economist” Paul Krugman…, and I use the term “economist” VERY loosely.

Krugman hasn’t been remotely close to being right about anything he’s said regarding the economy in like forever.

adeficit 3

That’s probably because he’s more interested in spreading desired liberal propaganda economic narratives rather than actually analyzing our real economy.

Lee Moran, of the ever disgusting HuffPost, reports that, “Nobel Prize-winning economist Paul Krugman blasted the GOP [The Grand Old Party, or Republicans] for ‘the most cynical policy reversal of modern times,’ and warned their bold duplicity may help President Donald Trump secure a second term in office.”

Oh…, I can’t wait…, this should be interesting!

adeficit 6

“Fake Newsers” are always more than happy to regurgitate other fake news propaganda…, no matter how hypocritical or idiotic it is.

“In his latest column for The New York Times [Guaranteeing the fakeness of it!], Krugman called out the ‘broader pattern of breathtaking fiscal hypocrisy, in which the G.O.P. went from insisting that federal debt posed an existential threat under Obama to complete indifference to budget deficits under Trump.’”

‘“This 180-degree turn is, as far as I can tell, the most cynical policy reversal of modern times,’ he argued.”

How dare anyone in politics change their mind, right Paul?!

“Krugman predicted ‘this cynicism may win Trump the election’ because ‘what’s driving the U.S. economy now is the very deficit spending Republicans pretended to be horrified by during the Obama years.’”

Ok…, wait…, this is too good!

What Mr. Krugman is saying is President Trump may win re-election because he and the republicans have changed their position on the federal deficit, and they have now chosen to ignore it like the democrats have been doing!

That’s beautiful.

adeficit 2

It’s not fair!  You can’t be irresponsible about the federal deficit…, that’s our job!

In all fairness to President Trump, he didn’t run particularly on reducing the federal deficit, and he never pretended to be overly concerned about it.

And those fiscally conservative republicans are still out there…, they’re just not putting up much of a fight right now.

Being responsible with the nation’s money is just not a winning argument these days.

So, like they say…, “when in Rome, do as the Romans do,” and “if you can’t beat ‘em, join ‘em.”

Being responsible sucks!

Chaaaaarge it!

adeficit 8

I value your feedback and I’d love to hear from you!

If you’re not already “following” me and you liked my blog(s) today, please “click” on the comment icon just to the right of the date at the bottom of this article.  From there you can let me know you “like” my blog, leave a comment or click the white “FOLLOW” button at the bottom of that page, which will keep you up to date on all of my latest posts.

Thank you, MrEricksonRules.

 

I see CNN has finally posted some news about the stock market! 

Yes folks, and if you see CNN, MSNBC, CBS, NBC, ABC, The Huffington Post (HuffPost), The New York Times or The Washington Post reporting news about Wall Street, or the economy in general, it’s bad news.

acnn3 9

In this case, CNN Business’ David Goldman reports, “US stocks plummet on Coronavirus fears: March 9, 2020.  Dow falls 2,100 points.”

Well, that is definitely news Mr. Goldman…, but it was news too when the stock market hit record highs like over 30 times this last year.

It’s funny how I didn’t see any mention of those economic events.

I wonder why?

acnn3 3

CNN must be doubly excited about this news…, as their hyping of the coronavirus seems to be working and that in turn is causing negative economic news.

Please check out my previous blogs regarding the coronavirus:

You scared of the Coronavirus?  From March 3, 2020

https://mrericksonrules.com/2020/03/03/you-scared-of-the-coronavirus/

and,

Death toll hits 14,000!  But I’m not talking about the coronavirus. From March 9, 2020.

https://mrericksonrules.com/2020/03/09/death-toll-hits-14000-but-im-not-talking-about-the-coronavirus/

Another article out there by David Goldman today reports, “It’s a bad day to be an energy company.”

Wow…, two articles in one day!  Mr. Goldman must be extra charged up by all of this bad news!

acnn3 8

Goldman reports, ‘“The rapidly falling price of oil [due to an oil price war between Saudi Arabia and Russia] is likely to put more pressure on energy companies in the United States, which will hurt the banks with the most credit exposure to the oil industry,’ according to CFRA Research analyst Pauline Bell.”

Yes, Mr. Goldman…, again, this is definitely news.

But it was also news when President Trump pushed to open-up more areas for oil exploration and when he got all of the pipelines approved.  Not to mention when we gained our independence from Middle Eastern oil, and in fact, became the world’s number one producer of oil again!

Not to mention how low the price of gas has been for over three years now.

This “good stuff” was also news that I didn’t catch you or CNN reporting about, or even bothering to mention in most cases.

Again, I wonder why?

acnn3 7

Actually, I don’t “wonder why” at all.

I know very well why all of the liberal propaganda, fake news, shamelessly tries to manipulate the news.

It’s all in an effort to support their anti-Trump narrative.

acnn3 1

acnn3 5

It’s just amazing to me how many people are still falling for this fake news.

acnn3 4

acnn3 2

Just watch the fanfare (I’m being sarcastic) about the market bouncing back on the fake news today.

There won’t be any.

acnn3 6

acnn3 10

 

I value your feedback and I’d love to hear from you!

If you’re not already “following” me and you liked my blog(s) today, please “click” on the comment icon just to the right of the date at the bottom of this article.  From there you can let me know you “like” my blog, leave a comment or click the white “FOLLOW” button at the bottom of that page, which will keep you up to date on all of my latest posts.

Thank you, MrEricksonRules.

The democrats are clueless about impeachment, clueless about economics, and just clueless in general.

According to Julia Musto of Fox News, “House Democrats don’t care about the needs of the American people because their hatred for President Trump is blinding, conservative radio talk show host Rush Limbaugh said Friday.”

“Appearing on ‘Fox & Friends’ with hosts Pete Hegseth, Ainsley Earhardt, and Brian Kilmeade, Limbaugh said that Democrats have ‘sacrificed every bit of concern for the American people’ in their efforts to impeach the president.”

aimpeach2 1

So, they really have sacrificed nothing!

“On Thursday, House Speaker Nancy Pelosi announced that Democrats will proceed with articles of impeachment against President Trump, declaring that the president’s conduct ‘leaves us no choice but to act.’”

Bawahaha!

You mean your hate for The President “leaves you no choice but to act.”

aimpeach2 4

“Her announcement comes after a heated House Judiciary Committee hearing Wednesday featuring four law professors — most of them notably Democrat-invited witnesses who presented arguments for impeachment.”

aimpeach2 5

“Pelosi claimed the facts are now ‘uncontested’ that Trump ‘abused his power for his own personal political benefit at the expense of our national security’ by allegedly using aid as leverage to seek an investigation of Joe Biden and his son Hunter from Ukraine.

aimpeach2 3

Excuse me, but Mrs. Pelosi wouldn’t recognize a fact if she tripped over it!

It’s also very hard to contest “facts” that don’t exist.

And the only “abuse of power” here is the congressional democrats trying to overturn the results of the 2016 election by promoting their impeachment fairytale…, which changes its focus every other day.

“However, the Trump administration and Republicans say the president did nothing wrong.”

“Trump accused Democrats of trying to impeach him over ‘NOTHING’ and warned that this impeachment could set a dangerous precedent in the future. Limbaugh said Democrats are motivated by one thing — hatred of Trump.”

‘“Democrats are wandering aimlessly and being propelled by one thing, you guys. You’re watching it. You watched it with the three so-called expert [Constitutional law] witnesses. We are watching pure, raw, hatred. They hate the man and they hate the people who elected him. They hate him because he beat them,’ Limbaugh explained.”

Actually, Rush, they don’t hate President Trump because he beat them.  They hate President Trump because he won’t play along with their “swampy” game.

They hate him because he’s not part of “the political establishment club.”

They hate him because he’s putting America and her people first and not them.

They hate him because he’s costing them and their friends’ money.

They hate him because he’s after the truth and not covering up the truth.

aimpeach2 7

“He [Rush Limbaugh] told the ‘Friends’ hosts that Democrats have ‘not a shred of evidence for any allegation they have made for three-and-a-half, going on four years’ and that Pelosi and her leadership are ‘almost sickeningly absorbed with destroying Donald Trump.’”

aimpeach2 6

‘“Meanwhile, Trump keeps plugging away. The economy is roaring, its future looks great, wages are up, Trump’s job approval numbers are up…The Democrat Party does not care about the things the American people [care] about,’ he said.”

aimpeach2 8

“On Friday, the Bureau of Labor Statistics reported the United States added a staggering 266,000 jobs in November with unemployment down to 3.5 percent — a 50-year low.”

Not to mention a 3.1% growth in wages.

That is huge.

Wages had been frozen or in decline through all of the Bush and Obama years.

aimpeach2 9

The projected jobs number was 180,000, which many of these “expert” economic pundits seemed to scoff at.

I watched a couple of these “experts” who wanted to bet their co-pundits the actual number would be south of 150,000 and even lower that 90,000!

I watched others who decried an apparent weakness in the manufacturing sector, while feeling the employment numbers would come in low as well.

Then…,

BANG!

BOOM!

WHAMMO!

The numbers came out and 266,000 jobs were added in November!

266,000!

That 86,000 over the projected number!

That’s almost unheard of.

Have you ever heard the saying, “even a blind squirrel finds a nut every once in a while?”

These “economic experts” who are employed by the fake news media must have multiple disabilities, because they can’t seem to find their own butt with both hands!

‘“If you had to give President Trump a legacy right now, [it’d be] peace and prosperity. What every voter goes to the voting booth and wants to achieve with their vote: peace and prosperity,’ said Limbaugh, applauding Trump for not starting any new wars.”

“Limbaugh said Democrats are turning to impeachment because they ‘have nothing to run on in 2020,’ given the economic success under the Trump administration.”

Well, that’s true as well, but they’re really just trying to discredit The President, while attempting to keep everyone’s attention off of all of the wrong-doing their deep state friends have been involved with, with special concern being paid to the Obama administration.

“Limbaugh cited stalling legislation including passing the United States-Mexico-Canada-Agreement (USMCA) and lowering prescription drug prices as further evidence that Democrats are not working on behalf of the American people.”

‘“They have abandoned any pretense of any care or concern of what the American people want,’ he said. ‘After Trump wins 2020, they’ll keep going like he’s John Gotti. So people better get ready for this because this isn’t going to end because the Democrats are nothing but pure raw hatred.’”

aimpeach2 2

So apparently the democrats can’t “walk and chew gum at the same time,” like they said before this whole impeachment mess started.

WINNING!

aimpeach2 10

 

I value your feedback and I’d love to hear from you!

If you’re not already “following” me and you liked my blog(s) today, please “click” on the comment icon just to the right of the date at the bottom of this article.  From there you can let me know you “like” my blog, leave a comment or click the white “FOLLOW” button at the bottom of that page, which will keep you up to date on all of my latest posts.

Thank you, MrEricksonRules.

The democrat presidential candidates talk like our economy is in a recession!  What’s the truth?   

During these first debates, I’ve heard many of these democrat presidential candidates make all kinds of wild claims about our economy.

“Many people are forced to work two and three jobs!”

“The middle-class is being left behind in this economy!”

“The only thing Trump ever points to about the economy is the stock market!  What good does that do the millions of people who don’t own stocks?”

Then we have the candidates who claim President Trump is taking credit for an economy launched by Barack Obama!

dems 12

So, what is the truth?

Well…, if these words are coming out of the mouths of democrat politicians, then “the truth” is really not an option!

dems 2

But don’t take my word for it.  Let’s look at the facts.

According to Suzanne O’Halloran, of FOX Business News, “Investors soaked up U.S. stocks during the month giving the Dow Jones Industrial Average its best June in 81 years while the S&P notched its best [month] in 64 years.”

Now it is true that many people don’t own stocks…, but many do too!

If you have a 401k, or you have a pension at work, you’re invested in the stock market.

And the markets are a fairly good indicator of how the economy is generally doing…, at least it has been in the past…, before these “fake newsers” have chosen to abandon the truth and promote their own liberal agenda.

“The last time the S&P 500 performed this well, Eisenhower was making the first presidential appearance to be seen on color television!”

Well that’s putting it in perspective!

Let’s take a look at the jobs picture now.

“According to the Labor Department, 5 million Americans work more than one job, a figure that hasn’t changed much in recent years and remains lower than it was during the 1990’s boom.”

Those 5 million people represent a lowly 2.2% of American workers…, hardly “many people,” as the democrats claim.

According to Heather Long of The Washington Post, “U.S. unemployment fell to 3.6 percent, the lowest [overall] since 1969.”

That’s the lowest in FIFTY years, in case you’re counting.

“The United States has more job openings than unemployed people, a situation some economists call “full employment.”

The unemployment rate for African Americans is at its lowest rate EVER!

The unemployment rate for Latino Americans is at its lowest rate EVER!

The unemployment rate for Asian Americans is at its lowest rate EVER!

Did I just say EVER?  EVER is a long time.

dems 9

How about women?  How are they doing?

According to Elaine Parker, of RealClear Politics, “Women Are Winning in the Trump Economy!”

“By almost every economic measure, women are flourishing in today’s economy. Female unemployment is currently at a 50-year low of 3.9 percent, less than half the rate it was as recently as President Obama’s second term.”

“The number of women-owned businesses has [also] grown by 114%, and… there are an estimated 11.6 million women-owned businesses, about 40 % of the total businesses in the country.”

Heather Long adds, “Low unemployment is forcing employers to raise pay and become more aggressive about hiring and training workers. Average hourly earnings rose 3.2% in the past year, well above inflation, and lower wage workers enjoyed some of the largest gains as companies scrambled to fill jobs and many states have raised their minimum wage.”

Now that’s how you raise the minimum wage…, not by passing some law.

Interest rates are still relatively low, and they’re expected to stay there for a while.

The price of gas is low…, and according to Javier Blas of Microsoft News, “America turned into a net oil exporter last week, breaking almost 75 years of continued dependence on foreign oil and marking a pivotal — even if likely brief — moment toward what U.S. President Donald Trump has branded as ‘energy independence.’”

“The shale revolution has transformed oil wildcatters into billionaires and the U.S. into the world’s largest petroleum producer, surpassing Russia and Saudi Arabia. The power of OPEC has been diminished, undercutting one of the major geopolitical forces of the last half century.”

“Oil historians said the country has been a net oil importer since the mid-1940s, when Harry Truman was in the White House.”

That’s over 75 years, just in case your counting.

Along with jobs and wages, most Americans saw their taxes go down, thanks to The President’s tax cuts.  The middle-class has definitely not been “left behind in this economy!”

And as far as Barack Obama being able to claim any credit for this economy…, I think I saw him wandering around, still searching for the “magic wand” that President Trump apparently found!

dems 15

So, we can see that by any measure, that President Trump’s economy is not only good, but in most cases historically good…, all-time good…, and just a couple of years ago, unimaginably good.

So there you have it.

Who appears to be lying?

Me, or our collection of democrat candidates, along with the rest of the democrats and the “biased, liberal propaganda, fake news media.”

If I wasn’t able to convince you after all of this that the democrats have a problem with the truth…, then you might be a liberal…, and I have this bridge I’m selling if you’re interested.

WINNING!

dems 3

dems 10

dems 6

dems 4

dems 1

dems 7

dems 5

dems 11

NOTE:  If you’re not already “following” me and you liked my blog(s) today, please “click” on the comment icon just to the right of the date at the bottom of this article.  From there you can let me know you “like” my blog, leave a comment or click the “Follow” button which will keep you up to date on all of my latest posts.

Thank you, MrEricksonRules.

 

What the heck has happened to Venezuela?!  I’ll break it down for you.

Let’s look at a basic and condensed timeline, pertaining to Venezuela, for starters:

1992 – Venezuela becomes the 3rd richest country in the western hemisphere, behind only the United States and Canada.

1993 – President Carlos Andrés Pérez is impeached for embezzlement of public funds.

1998 – A collapse in confidence in the existing parties saw the election of former coup-involved career officer Hugo Chávez and the launch of the Bolivarian Revolution and socialism. The “Bolivarian Revolution” refers to a left-wing populist social movement and political process in Venezuela led by the late Venezuelan president, Hugo Chávez, who founded the Fifth Republic Movement in 1997 and the United Socialist Party of Venezuela in 2007.

1999 – The “revolution” began when a “new” Constitution for Venezuela was written.

2001 – Venezuela voted for a socialist president to address “income inequality.”

venezuela 8

2004 – Private healthcare is completely socialized.

2007 – All higher education becomes “free.”

2009 – The private ownership of guns is banned.

2012 – Bernie Sanders is quoted as saying, “Venezuelans are living the American dream better than Americans.”

venezuela 6

2014 – Government opposition leaders are imprisoned.

2016 – Food shortages become a widespread problem.

venezuela 13

2017 – The Venezuelan constitution and elections are suspended.

2018 – The country’s economic policies lead to extreme hyperinflation, with an inflation rate of 1,370,000% by the end of the year.

2019 – It is estimated that more than 3 million people have fled Venezuela in recent years.

2019 – Venezuelan protesters are attacked and killed by their own government in order to suppress their dissidence.

 

Venezuela’s socialist governments have been in power since 1999, taking over the country at a time when Venezuela had huge inequality.

But the socialist polices brought in which aimed to help the poor backfired, and made the situation even worse, of course.  Companies now controlled by the government failed, and price controls to make basic goods more affordable to the poor by capping prices meant that Venezuelan businesses no longer found it profitable to produce them.  Eventually, the government subsidies of all facets of the economy were unsustainable.

In only 27 years Venezuela has turned a “rags to riches” story into a “riches to rags” story.

venezuela 5

Like Margaret Thatcher, the former Britsh Prime Minister once said, “The trouble with socialism is that eventually you run out of other people’s money.”

Does any of the Venezuela story sound familiar today in America?

There certainly appear to be some similarities in the early stages happening here.

venezuela 2

We see an impeachment happy democrat Congress trying to overturn a presidential election.

We see many democrat politicians and democrat presidential candidates calling for a new constitution or drastic changes to our existing one.

venezuela 10

We constantly hear democrat politicians and democrat presidential candidates touting government solutions for “income inequality,” don’t we?

venezuela 9

We hear democrat politicians and democrat presidential candidates calling for a complete government takeover of our healthcare system.

Many democrat politicians and democrat presidential candidates are proposing “free” college.

And lastly, we hear many democrat politicians and democrat presidential candidates calling for radical changes to our gun laws, changes to the 2nd amendment or the complete removal of our right to bear arms.

The intentions of the American democrat party are apparent.

The democrats want to destroy America as we know it.

venezuela 3

The choice here is painfully clear.

If you want to follow in Venezuela’s footsteps…, elect democrats.

It’s as simple as that.

The only people who benefit from a socialist government are those in government.

venezuela 7

They apparently long for power that badly that they are willing to turn everyone elses life into a living hell for their own sakes.

They can only do this if we let them, however.

Remember…, the Venezuelan people voted for what they got.

In the end…, it’s their own fault.

And in the end…, we’ll choose our own fate as well.

venezuela 12

 

NOTE:  If you’re not already “following” me and you liked my blog(s) today, please “click” on the comment icon just to the right of the date at the bottom of this article.  From there you can let me know you “like” my blog, leave a comment or click the “Follow” button which will keep you up to date on all of my latest posts.

Thank you, MrEricksonRules.

 

Up and up The Fed’s interest rate goes, where it’ll stop nobody knows!

The Federal Reserve raised the nation’s borrowing rate by 0.25% for the fourth time this year, despite months of objections from President Trump.

According to Lucy Bayly, the business editor for NBC News, “President Trump fears higher interest rates will take the steam out of the nation’s booming economy.”

She continues by saying, “As head of the Federal Reserve, [Jay] Powell has found himself uncharacteristically singled out for criticism over the central bank’s handling of interest rates, with Trump saying he ‘maybe regretted nominating Powell to the position.’”

“I have a hot economy going,” President Trump said in October, and “every time we do something great, he raises the interest rates.”

Ms. Bayly feel sthat, “Powell’s challenge at this juncture has been to make it clear that the Fed’s decision was data driven and not due to any deference to the political establishment, which would have risked the central bank’s credibility as an independent agency.”

That’s kind of funny.  Why does it seem that “The Fed,” the central bank, only seems concerned about its credibility when there is a Republican president?

During an interview with “Yahoo Finance,” Edward Stringham, an economist, Professor of Economic Innovation at Trinity College and the president of the American Institute of Economic Research, said, “We’ve had artificially low interest rates for years.”  The Fed has apparently admitted to this because Mr. Stringham goes on to say that, “The Fed has said that they want to get away from that [artificially low interest rates].”

What does “artificially low interest rates” mean?  Why would The Fed be dealing with anything that is “artificial?” I take it to mean that The Fed had lowered the rates, or kept them low, for reasons other than financial and/or economic merit.

In other words, it sounds kind of “swampy” and politically motivated to me.

Well, let’s take a look at the recent history of The Federal Reserve Bank, how they’ve handled the rates, and you decide.

When George W. Bush took office in 2001, the interest rate was at 6%.

By June of 2003 the rate was down to 1% due to a recession, the 9/11 attacks, and a war in The Middle East.

The rate was then back up to 5.25% by June of 2006.

It then was down to 1% again by the end of Bush’s term, mostly due to another recession, the housing crisis, bank failures and the bank bailout.

On December 11, 2007, the rate dropped from 4.5% to 4.25%

January 22, 2008, the rate then plummeted to 3.5%

Only eight day later, on January 30, 2008, the rate went down to 3%

On March 18, 2008, the rate dropped to 2.25%

On April 30, 2008, the rate fell to 2%

On October 8, 2008, it fell to 1.5%

Twenty-one days later, on October 29, 2008, the rate dropped to 1%

After Barack Obama was elected president, on December 16, 2008, the rate went to .25%

Note: .25% is the lowest funds rate possible.

Then, for the following 7 YEARS, or basically most of the “Obama years,” the federal interest rate sat there at .25%!  For 7 YEARS!!!

It wasn’t until December of 2015 that they managed to raise the rate to .5%.

The rate stayed at .5% all of 2016 until Donald Trump won the election, at which time the rate immediately went up to .75%.

So, even though all of the “biased, liberal, fake news media” financial “experts” were predicting a stock market crash if Donald Trump won, and all kinds of other economic misfortune, The Federal Reserve felt it was a good time to raise the federal interest rate.

Interesting.  Ponder that for a moment.

Then over the next two years of the Trump Presidency, The Fed chooses to raise the rate 6 more times, all the way back to 2.25%!

On March 16, 2017, the rate goes to 1%

On June 15, 2017, we’re up to 1.25%

On December 14, 2017, the rate goes up to 1.5%

On March 22, 2018, it climbs to 1.75

On Jun 14, 2018, 2%

On September 27, 2018, 2.25%

And on December 19, 2018, The Fed raised it another .25 to 2.5%

 

“The economy continues to punch well above its weight,” said Steve Rick, chief economist at CUNA Mutual Group. “Although trade tensions and tariffs continue to present uncertainty, the economy has been running red-hot for a long time…”

Is that what you call “a long time” Mr. Rick, a little over a year?

It seems these economists and know-it-all eggheads are in quite a hurry to slow our economy down.

Why?

Why was it OK for Americans to sit through all of these down times for close to two decades, but then when we finally turn it around they want to throw down all of these speed bumps?

What do you think?  Is it a case of “the swamp’s” willingness to sabotage the country for the sake of their own survival and desire for power?

I’m thinking that is the case, but then again, I’m becoming more and more cynical by the day.

 

NOTE:  If you’re not already “following” me and you liked my blog(s) today, please scroll down to the bottom of the page and click the “Follow” button.  That’ll keep you up to date on all of my latest posts.

Thank you, MrEricksonRules.

federal interest rates

 

President Trump’s economy has been making deposits and it’s earning interest!

What I’m talking about here is the federal funds interest rate.

Simply put, in the United States, the federal funds rate is the interest rate at which banks and credit unions get money from the Federal Reserve.

The lower the fed rate is, the lower the rate that businesses and consumers pay when they borrow money.

The lower the fed rate is, the lower the rate is that we earn on CDs, Savings accounts, etc.

The federal funds target interest rate is determined by a meeting of the members of the Federal Open Market Committee (FMOC) which normally occurs eight times a year, or about every seven weeks.

The FOMC consists of twelve members, the seven members of the Board of Governors of the Federal Reserve System, the president of the Federal Reserve Bank of New York, and four of the remaining eleven Reserve Bank presidents, who serve one-year terms on a rotating basis.

As of September 2018, the target range for the Federal Funds Rate is 2.00–2.25%. This represents the EIGHTH increase in the target rate since tightening began in December 2015 (only a month after President Trump was elected).  Obama never experienced even ONE increase.  

The last full cycle of rate increases occurred between June 2004 and June 2006 as rates steadily rose from 1.00% to 5.25%.  This occurred during the presidency of Republican President George W. Bush.

The Federal Reserve then began lowering rates in September 2007.  Between September 2007 and December 2008 the target rate fell from 5.25% to a range of 0.00–0.25%, the lowest rate in the Federal Reserve’s history.  This occurred as Democrat President Barack Obama took office and the rate remained at 0.25 or less his remaining 7 years in office.

So Obama’s economy basically enjoyed 7-8 years of “free money” from the government and still could not pick itself off of the floor.

Additionally, I find it peculiar that “The Fed” NEVER chose to increase its rate under democrat president Obama, but increased the rates on a regular basis under republican presidents, Bush and Trump.

There are two ways to react to this.  Either we had rate increases under presidents Bush and Trump because their economies were more successful and warranted them (which Obama would argue is not the case), or, the individuals at “The Fed” are a biased group that did all that they could do (rates of 0.0%) to prop up the Obama economy.

I suspect it’s a little of both, but it is annoying when we hear former President Obama take any credit for President Trump’s economy, when the Obama economy could not generate enough steam to even get the Fed’s rate off of ZERO PERCENT.

Of course, the “biased fake news media” has chosen to report and emphasize the negative aspect of the story here (higher interest rates for consumers) rather than report on the general overwhelming success of our economy.  It is very apparent now that they are just unwilling to give President Trump ANY credit for anything that could be perceived as positive.

CNN Business News or all the people out there crying because they are currently paying the outrageous rate of 5.0% on a home loan are not going to get any sympathy from me.  When my wife and I got our first home loan the rates were between 11.0% and 13.0%!  And they had been higher than that!

President Trump has said he is concerned and mad about rising interest rates.  He’s worried The Fed is raising interest rates too fast, in a way that will unnecessarily slow the economy, because they’re concerned about a “phantom inflation threat.”

All in all, I guess these are good concerns and good problems to have.

President Obama never had to worry about his economy being slowed down.

If it would have been slowed down any more it would have going in reverse!

 

NOTE:  If you’re not already “following” me and you liked my blog today, please scroll down to the bottom of the page and click the “Follow” button.  That’ll keep you up to date on my latest posts.

Thank you, MrEricksonRules.

fed reserve resized

 

Blog at WordPress.com.

Up ↑