| Topic: |
Religions > Atheism |
| User: |
"stoney" |
| Date: |
05 Jun 2004 07:33:59 PM |
| Object: |
Bush Is His Own Worst Enemy |
http://msnbc.msn.com/id/5137455/
BusinessWeek Online
Bush Is His Own Worst Enemy
Despite the economy's uptick, the President's poll numbers reflect
voters' lingering insecurity. Making tax his tax cuts permanent won't
alter that mindset
By Christopher Farrell
Updated: 12:00 p.m. ET June 04, 2004
The campaign for the White House appears as though it's Bush vs. himself
these days. Yes, John Kerry is on the campaign trail, giving speeches,
raising money, and airing political ads. Yet with little help from
Kerry, Bush seems able to tumble into political trouble all on his own.
The President's poll numbers continue to fall sharply, as the fog of
uncertainty enveloping the occupation of Iraq fails to dissipate. Doubts
surrounding the conduct of the occupation are deepening with
responsibility for the prison-abuse scandal moving up the chain of
command.
Some would say it's not all gloom and doom for the President on the
political front. The Administration has shown a remarkable degree of
flexibility on almost every major decision concerning Iraq in recent
days, rethinking its positions on sending more troops, embracing the
United Nations, reconstructing the Iraqi military, and its relations
with former Iraqi leader Ahmed Chalabi. And now, a new government,
albeit interim and with limited credibility, has been formed in the
country once terrorized by Saddam Hussein.
If only the Administration would show a similar flexibility in its
economic approach. But the Bush team seems determined to stay focused on
its main domestic economic message: making temporary tax cuts permanent.
PAIN AT THE PUMP. After all, the economy is giving Bush fits even though
the main Presidential forecasting models, which are mostly based on key
economic variables [like gross domestic product, inflation, and
unemployment], still show Bush winning handily come November. But it's
the economics of everyday life that are troubling people and showing up
in his poll numbers.
Take the surge in energy prices. The price of oil is up a third since
December. The nationwide average for unleaded gasoline is over two bucks
a gallon. The overall inflation rate may be subdued, but these price
increases are taking a lot of money out of people's pockets.
And interest rates are up. The rate on the traditional 30-year mortgage
is a full percentage point higher over the past two months, a shift that
has upped the price of owning home by some 10%. It's highly likely that
home prices have peaked and will come down somewhat with the change in
the interest-rate climate for the worse.
HOUSING'S FOUNDATION. Certainly, the housing market is vulnerable, with
home prices at worrisome heights. For instance, the household
price-to-earnings ratio [the ratio of the median existing house price to
apartment rents] was essentially stable for 15 years leading up to 1999.
Since then, it has soared, with home prices up a third and apartments
rentals flat, according to calculations by Economy.com, an
economic-consulting firm based in West Chester, Pa.
Contrary to popular perception, housing prices do go down. Median new
home prices fell 13% from April, 1990, to May, 1992. The decline was
closer to 20% in inflation-adjusted terms, says David Rosenberg, chief
North American economist at Merrill Lynch & Co. That drop in household
wealth hardly helped the re-election prospects of George Bush Sr.
Yes, the job market is improving. But the gains have only been recorded
over the past several months. Hundreds of thousands of previously
discouraged workers may now feel optimistic enough to look for work, but
it could take months before they land it.
TO-DO LIST. What's more, it might be another year or so before employees
are willing to risk marching into the boss' office and demanding a 5%
pay hike -- or threaten to walk. Job insecurity is now a way of
corporate life, with management well-versed in the mechanics of
downsizing, restructuring, outsourcing, off-shoring, and other
techniques that cast a pall over worker confidence.
None of this is to say the economy isn't gaining traction. Business does
see enough demand to boost capital spending and hiring plans. But the
everyday negatives could explain why the President isn't getting the
kind of bounce history suggests he should from an improving economy.
Perhaps he won't -- unless voters gain greater confidence in the
Administration's ability to increase America's energy independence, get
rid of most -- if not all -- of the mammoth federal budget deficit,
adopt a consistent trade policy, and a better articulate its approach
toward taxes. Until then, the Bush team's mantra of "make temporary tax
cuts permanent" will sound awfully thin, and beside the point.
Copyright © 2004 The McGraw-Hill Companies Inc.
Stoney
"Designated Rascal and Rapscallion
and
SCAMPERMEISTER!"
When in doubt, SCAMPER about!
When things are fair, SCAMPER everywhere!
When things are rough, can't SCAMPER enough!
/end humour alert
alt.atheism military veteran #11
{so much for the 'no atheists in foxholes' rubbish}
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| User: "Yang, AthD \h.c" |
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| Title: Re: Bush Is His Own Worst Enemy |
05 Jun 2004 11:57:17 PM |
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"stoney" <stoney@the.net> wrote in message
news:7dp4c0h7fjpc5fsmosrktvf72gc9t1o5cm@4ax.com...
http://msnbc.msn.com/id/5137455/
BusinessWeek Online
Bush Is His Own Worst Enemy
No doubt the NeoCons will blame this on the "liberal media", seeing as how
*BusinessWeek* is a mouthpiece of the vast liberal conspiracy.
Yang
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| User: "jwk" |
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| Title: Re: Bush Is His Own Worst Enemy |
06 Jun 2004 03:37:34 AM |
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Not while I still draw breath.
jwk
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