29th
Disinformation
It’s interesting to see so many people filled with disinformation in regards the economy and how one presidential candidate will influence it over another. The other day I heard someone declare that if you want this recession to turn into a depression, raise taxes (i.e vote for Obama), whereas if you want to presumably “save” our economy, lower taxes (i.e. vote for McCain).
While on the surface that’s nothing more than party brand loyalty chest thumping—conservatives have been harking on lowering taxes for decades even though their actions in government spending rarely ever coincide with fiscal responsiblity—it reflects something deeper. That is, this notion that the president, or for that matter Congress, actually have any real control over the economy.
Don’t people know this already? Don’t people know the Federal Reserve controls the economy, not the Federal Government? Do people really think that snipping a percent or two of taxes here or increasing taxes a point there will affect the growth or decay of our economy?
If you have an organization that directly controls the lending rate, which the Fed does; if you have an orginization that controls the input and output of money, which the Fed does; and if you have an orginization that is the predominant lender to the U.S. Government, which the Fed is, than that organization effectively controls the economy. At the least the Federal Reserve is the prime manipulator of the U.S. economy, not to mention that of the economies of the entire world.
What our politicians do, whether it be lowering taxes or raising them, is ultimately window dressing in the end. It is the Federal Reserve that is the real parent here. All any president or major politician can do is stand there with hand out and open like a child on trick or treat night, hoping for a sweet handout.
