Obama’s Continued Disregard for The Rule of Law and Our Constitution!

By: Richard H. Frank

Friday May 20, 2011 marked the deadline for Barack Obama to request Congress to sanction Americas involvement in the Libyan conflict under the War Powers Act. True to form the administration chose to ignore the law and instead sent a letter to the Senate in an effort to circumvent the Constitutional power of Congress as the only body empowered to take this nation to war. The arrogance of this administration is beyond belief when the President stands before the Nation and chastises middle eastern countries for not respecting their people and governing using democratic principles established under the “rule of law.”

He has in effect abandoned Israel under his administration’s policy to supposedly promote democracy in the middle east when in one breath he confirms our commitment to that nation and in the next attempts to set the agenda for their negotiation for  peace with the Palestinians. What sort of deals has this administration made behind closed doors with Arab nations that impact the security of Israel, in exchange for enhancing  the prospects for Obama’s re-election?

His speech on foreign policy for the Middle East was filled with the Obama code words such as “investment” and promoting enterprise at the local business level through “grants” to encourage employment. All this coupled with forgiving $1 billion of Egypt’s debt and providing an additional one billion dollars for stimulus (investment) in the non- oil producing economy. It seems to me that the middle eastern governments have enough revenue from oil production to provide their own incentatives for stimulating employment in the private sectors of their economy. After all, just look at how effective Obama’s $816 Billion stimulus has been here in the United States.

It is time for Congress to take a stand against “His Royal Highness” and assert their equal Constitutional powers over the Executive Branch of government and reign in his attempts to circumvent Congress and the law. How long will our elected representatives allow this President to walk the narrow line that borders upon just cause for impeachment?

Contact your Senator now and demand that Obama follow the law or face the consequences for his illegal actions.

America Cannot Afford Another Four Years of Barack Obama!

by Richard H.  Frank

It is now 18 months prior to the 2012 Presidential election and already paranoid politicians and the liberal media are in full campaign mode.  The most paranoid individual, in my opinion, is our neophyte President, Barack Obama, whose double-talk is evident in every speech he delivers.  The blame game is in hyper-drive as Obama attempts to divert the realities of his failed policies to the worn-out campaign rhetoric of distortion and outright lies about the opposition.  His call for civility and transparency without vilifying individuals or organizations is laughable when in the next breath he reverts to using these exact tactics.

Somehow, the media and Democrats seem to believe that Barack Obama has proven his leadership ability to America through the assassination of Osama bin Laden.  Eventually, the truth will be known and show that in the face of the evidence provided by the CIA and military intelligence, Obama was forced to give the go-ahead to the plan conceived, not by him, but by the military, or be shown as the indecisive individual he has shown himself to be in the past.

President Obama and  his administration have a major problem to deal with in the upcoming 2012 election.  That problem is their dismal record of driving America rapidly into bankrutcy and the eventual collapse of the dollar.  Their failures are evidenced by the disasterous results from stimulus sending, corporate bailouts, increases in the deficit and policies that have prolonged the recession which now has all the signs of entering a double dip with new claims for unemployment exceeding 1.0 million last month.

The President’s position is that he and his Administration did not realize how bad the situation was when they assumed office, that his campaign promises such as reducing the deficit by half during his first two years and keeping unemployment no higher than 8% could not be achieved.  The truth is that America elected Obama to the highest Office in the land, an individual with zero experience at running anything, based on his rhetoric of hope and change and fundamentally changing America and the world.

Only now are “We the People” beginning to feel the impact of Obamacare and are coming to the realization of the distortions and outright lies told to America about the legislation.  I can only pray to God that our Supreme Court finds this disastrous piece of legislation Unconstitutional before it can be implemented further.

Obama’s latest target is once again to focus upon “big oil” and its enormous profits.  His latest attack is to remove any subsidies given to oil companies while demanding subsidies for solar and wind energy development.  If subsidies for oil are eliminated then so should those for solar, wind and electric vehicle development also be eliminated.  This will not happen as solar, wind and electric vehicles cannot compete economically with petroleum-generated energy.

When Government endeavors to pick winners and losers in the economy they alter the competitive playing field in favor of their ideological preferences through subsidies.  Unfortunately, the American Consumer pays the price for Government’s ideological preferences as opposed to free market principles of supply and demand.

Consider the impact curtailment and regulation of domestic oil production has had on the price per gallon of gasoline we pay at the pump over the past 25 years.

Dom.Production

Nominal Avg

Inflation Adj.

M/Barrels/Day

Price/Gallon

Pr@2010 Dollars

1986

8.75

$1.00

$1.70

1988

8

$0.98

$1.70

1990

7.5

$1.10

$1.80

1992

7

$1.08

$1.70

1994

6.6

$1.10

$1.60

1996

6.5

$1.20

$1.60

1998

5.9

$1.10

$1.40

2000

5.8

$1.45

$1.80

2002

5.75

$1.40

$1.60

2004

5.5

$1.80

$2.50

2006

5.1

$3.00

$3.25

2008

5

$3.15

$3.00

2010

5.5

$3.00

$3.00

May-11

5.5

$3.98

$3.98

Between 1986 and 2008 domestic oil production in the U.S. dropped by 43% and we saw a corresponding increase in the cost per gallon of 215%.  Critics of increased domestic production say the increase is primarily due to inflation and Mideast oil cartel manipulation of the price per barrel produced to meet worldwide demand.  They fail to acknowledge that energy prices have a dramatic influence upon inflation as well as Government’s recent move to monetize our debt by the massive printing of dollars that reduces the purchasing power of every American.

If we accept the argument of those that oppose domestic oil production but had just maintained the 1986 level of production, the price at the pump today would be $1.70/gallon, not $3.98.  Instead, we have wasted 25 years and cost our economy trillions of dollars transferred to the Mideast and lost millions of new jobs for Americans in the process.

Yet we see His Majesty Barack Obama while in Brazil pledging financial support to Brazil’s oil development industry and pledging the U.S. as a customer to their economy instead of pursuing domestic development at home.

One final point to be made about Obama’s vilifying big oil.  In 2003 there were 28 energy producers operating in the United States.  These firms had operating income of $828 billion dollars and paid Federal taxes of approximately $38 billion. The total capital employed by these firms was much larger – $638 billion which translates to a return on capital of 12.8%.  The average annual return on equity between 1973 and 2003 was 12.6% for fossil fuel companies and 13.1% for the S&P industrials.  In either event the oil producing companies’ return has historically been less than S&P companies due to the huge development costs for exploration and eventual production.  Let us also not forget that big oil accounts for 9.2 million jobs that contribute to our economy and the Federal revenue stream.

The opposition to Barack Obama and the liberal Democrats in Congress need to learn the facts and confront the lies of the Administration headon over the coming 18 months.  The barrage of half-truths and lies being gathered and edited into sound bites and talking points will not stand the test of the facts.

The record provides the evidence as to why we cannot afford to re-elect Barack Obama and the liberal Progressives in Congress and America should be forewarned that Barack Obama will do everything in his power to smooth talk, persuade, and “charm” his way into office and we must remain vigilant and continue to educate the uneducated about this man’s lack of qualifications for the Office.

The Failed Policies of the Past

by Richard H. Frank

How many times over the past 3 years, beginning with the 2008 Presidential campaign, throughout the first two years of Obama’s Administration, have we heard that “We cannot return to the failed policies of the past?”  Well, just what are those failed policies and where and when did they begin?  For the most part these policies have their beginning with our Founding Fathers enumerating their beliefs in our Declaration of Independence which state “We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain unalienable rights, among these are life, liberty and the pursuit of happiness.”

Two hundred and five years later our 40th President, Ronald Reagan, expressed his economic principles as having their roots deeply planted based on freedom, individual responsibility and the power of our free enterprise system to create and sustain America as the beacon of freedom and prosperity for the rest of the world to emulate.

Contrary to the Democratic view of Reagan’s policies as having been a monumental failure, the Joint Economic Committee reported in April 2000 that Reagan’s record included sweeping economic reforms, deep across-the-board tax cuts, market deregulation and sound monetary policies to contain inflation.  The results were the largest economic boom in American history and the creation of an estimated 35 million jobs.

If, indeed, these policies of the past were failures how do the Democrats, Nancy Pelosi, Harry Reid and Barack Obama explain the following facts as reported by the Joint Committee of the House and Senate for the 106th Congress?


1983-90 1991-99 Total Period
Real GDP Expansion Expansion
Total Growth 35.70% 33.00% 80.90%
Av.Annual Growth 4.10% 3.30% 3.60%
Real GDP/Person
Total Growth 26.70% 22.40% 54.20%
Av Annual Growth 3.20% 2.30% 2.60%
Real Consumption/Person
Total Growth 26.80% 24.10% 56.90%
Av Annual Growth 3.20% 2.50% 2.70%
Industrial Production
Total Growth 28.90% 38.70% 78.90%
Employment
Total Growth 19.9 M 16.4 M 35.0 M
Dow Jones Ind.Average
Average Annual Growth 14.50% 16.10% 15.00%

Today the Democrats assert that tax cuts initiated by the Reagan Administration and compounded by the Bush Administration in 2001 have drained the U.S. Treasury.  Let’s look at the facts and reality of the situation.

  • Total Federal revenues doubled from approximately $517 billion in 1980 to more than $1 trillion in 1990.  This amounted to a 28% increase in revenue in constant inflation-adjusted dollars for the period.
  • As a percent of GDP Federal revenues declined slightly from 18.9% in 1980 to 18% in 1990.
  • Individual taxes climbed from $244 billion in 1980 to $467 billion in 1990.  A 25% increase in inflation-adjusted dollars while lowering the marginal tax rate for individuals.

So what is the real failure of these policies of the past?  Looking at the facts it certainly could not be attributed to the lack of growth and the resultant increase in revenues to the Federal Government.  Therefore, something else must account for the current economic and fiscal difficulties we find our country in today.

The real culprit lies within Congressional spending.  If you provided an additional dollar to our Federal Government, rest assured Congress would find a way to spend $1.50 on some social crisis, real or imaginary.  Let us look at the record the facts for the ten-year period between 1980 and 1990.

  • Federal spending grew from $591 billion in 1980 to $1.25 trillion in 1990.  This is an increase of 35.8% in constant inflation-adjusted dollars.
  • As a percent of GDP Federal expenditures grew slightly from 21.6% in 1980 to 21.8% n 1990.  Congress loves to cite percentages when it suits their purposes to aid their extravagant, out-of-control spending binges.
  • Contrary to popular belief, inflation-adjusted defense spending increased by 50% from 1980 and 1989.  It was curtailed at the end of the cold war and fell by 15% from 1989 to 1993.
  • However, means-tested entitlements, excluding Social Security or Medicare, rose by over 102% between 1980 and 1993 and continued to rise ever since.

Critics of the Reagan economic policies argue that the Federal tax burden was shifted to lower-income groups and away from upper-income groups by adding the Social Security payroll tax to the burden.  Ronald Regan’s tax changes were in the income tax marginal rates, not the Social Security payroll tax.

Payroll tax increases were imposed by  Congress and proponents of Big Government entitlements over the past 50 years.  It is Congress and not the Reagan Economic policies that should be held accountable for the redistribution effects of Congressional spending legislation.

One again, let us review the facts.  If we include the Social Security payroll tax as argued by critics of the Reagan tax cuts:

  • Payments for the top 1% of taxpayers increased from 12.9% in 1980 to 15.4% in 1989.
  • the top 5% from 27.3% in 1980 to 30.4% in 1989.
  • The top 20% from 56.1% in 1980 to 58.6% in 1989.

Total Federal tax payments declined for four groups accounting for 80% of wage earning taxpayers:

  • The second-highest 20% went from 22.2% in 1980 to 20.8% in 1989.
  • The middle 20% went from 13.2% n 1980 to 12.5% in 1989.
  • The second lowest 20% from 6.9% in 1980 to 6.4% in 1989.
  • The lowest 10% from 1.6% in 1980 to 1.5% in 1989.

Today, and over the coming two-year Presidential campaign, Barack Obama and the Democrat machine will vilify anyone that supports the Reagan economic policies of small Government and individual freedom.  Their efforts to rewrite history will not stand the test of facts surrounding the most successful economic policy of the 20th Century.  The real threat to our economic well-being is that of Big Government intervention into our everyday lives and the nanny state mentality of the liberal progressives retaining power in our Federal Government.

During Ronald Reagan’s State of the Union Speech in 1986 he said “Government growing beyond our consent had become a lumbering giant, slamming shut the gates of opportunity, threatening to crush the very roots of our freedom… What brought America back?  The American people brought us back – with quiet courage and common sense, with undying faith in this Nation under God, the future will be ours, for the future belongs to the free.”

If the Reagan legacy is a result of “the failed policies of the past” then I say it is time to return to those policies and not those of the Big Government liberal progressive proponents.

Media Manipulation of Bin Laden Death!

by Richard H. Frank

The national news media in the United States is intent on setting the agenda of importance for news commentary for the American public.  The editors of reported stories in today’s 24-hour/7 day reporting by both national, international and cable news outlets has created an atmosphere of creative, speculative and entertainment reporting as opposed to presentation of fact.  Even Fox News that reports under the banner of “Fair and Balanced” has fallen into the trap of presenting the sensational and “one-upsmanship” in an effort to capture viewer ratings.

The latest example is the announcement of the killing of Osama Bin Laden on May 1, 2011.  Certainly this story carries a significant level of importance for the families of those killed in the World Trade Center, the Pentagon, or Shanksville, PA as well as for those brave people who spent a decade in pursuit of this despicable terrorist.  Unfortunately, those persons that choose to politicize the killing for purposes of advancing their individual careers, ideology or personal gain as opposed to having served the principles of justice demean the accomplishment of America’s brave military personnel.

For the past three days, mainly due to the insatiable appetite of the media, we have set aside reporting on all major issues confronting this nation and focused on the killing much as with a continuing soap opera.

Little, if any, reporting has taken place regarding national disasters from fire, flood and tornadoes occurring here in the United States. What of the Government actions with regard to the 2012 budget, soaring deficits and the impending debt ceiling deadline?  Oil prices continue to soar resulting in record high gasoline prices that translate to punishing increased costs on the very survival necessities for life in America.

Emotionally the death of Bin Laden is something to be celebrated.  Practically, it does little, if anything, except create a martyr for terrorists to affect the war being waged against radical islamic terrorism.

The media loves to embrace the practice of distraction from the real issues facing America when it comes to the Obama Administration. The most recent examples are the week spent reporting on Obama’s long form birth certificate now followed by the incessant, unrelenting reporting on the Osama Bin laden attack and his subsequent death.

The media needs to pack it up and get on to reporting the important issues of the day.  Like it or not, following the liberation of Kuwait, President Bush “41”  ‘s approval ratings were in the 90% range.  Sixteen to 18 months later the dismal economy cost him reelection. The same forces are present today to a greater extent but are not reported by the media.  Distraction from the economic, fiscal and Constitutional issues are the agenda of the media.  Their attempt to manipulate the news will fail as the facts of continuing unemployment, deficit spending, the foreclosure crisis, high taxes, and soaring energy prices are felt by every American family.