Hillary Clinton is scheduled to deliver a speech in Ohio today. She will attack Donald Trump on the economy.
“The core proposition of her speech in Ohio is if you put Donald Trump behind the steering wheel of the American economy he would be very likely to drive us off a cliff, and working families would bear the brunt,” Clinton’s senior policy advisor, Jake Sullivan, told Politico. “This is not just a supposition or assertion. This is the natural conclusion you reach when you look at the combination of his policy proposals, his reckless and erratic temperament, and his record in the private sector of consistently doing harm.”
The Trump campaign might respond by stating the obvious: the Democrats have already driven the economy over the cliff and we are rapidly approaching the rocks below.
Democrats and their Republican co-conspirators have done an excellent job of destroying the economy. Since Hillary’s husband signed NAFTA, around five million jobs have been transferred to low-wage authoritarian hellholes in China and Asia. Democrats have pushed hard for the Son of NAFTA, the TPP or Trans-Pacific Partnership. A central player in TPP is Vietnam. The average hourly wage in Vietnam is $1.05 per hour. Transnational corporations are lining up to offshore more jobs there. Vietnam is so important to the neoliberal globalist “free trade treaty,” Obama traveled to Ho Chi Minh City last month.
40 million more jobs could be sent offshore over the next two decades if the current trend deindustrializing America continues under TPP, notes Professor Alan Blinder of Princeton University.
“Jobs offshoring benefitted Wall Street, corporate executives, and shareholders, because lower labor and compliance costs resulted in higher profits,” writes Paul Craig Roberts, the former Assistant Secretary of the Treasury for Economic Policy under President Reagan. “Despite promises of a ‘New Economy’ and better jobs, the replacement jobs have been increasingly part-time, lowly-paid jobs in domestic services, such as retail clerks, waitresses and bartenders.”
As previously noted, it was Bill Clinton who set the stage for the subprime fiasco and the crash of 2008. By the time Clinton left office in 2000, the so-called dot com bubble was beginning to burst and stocks fell to around half their peak value, destroying $10 trillion in wealth. This produced a brief recession at the start of the Bush administration which set the stage for the current “Great Recession,” more accurately described as a depression.
It really doesn’t matter who sits in the Oval Office. If the Federal Reserve and the central bankers continue their massive asset purchases and the Fed continues its unprecedented monetary expansion, the result will be another crash, one more calamitous than the previous. Historically low interest rates guarantee ever larger and more portentous asset bubbles waiting to implode.
“Our central bankers, regulatory agencies, and fiscal policies have created a financial system so distorted and removed from real assets and real cash flow generation that corporate executives can rake in billions in bonuses while producing almost nothing of real value. Investing in the real American economy is just not worth the risk. The massive long-term obligations assumed by American companies high on low interest rates will slowly crush the life out of our economy,” writes Yonathan Amselem.
Hillary Clinton is Fed friendly. Amidst calls for an audit—and demands the private banker cartel be disconnected from the economy—Clinton proposed more lipstick be slathered on the pig.
“The Federal Reserve is a vital institution for our economy and the well-being of our middle class, and the American people should have no doubt that the Fed is serving the public interest,” said Clinton spokesman Jesse Ferguson. “That’s why Secretary Clinton believes that the Fed needs to be more representative of America as a whole and that commonsense reforms—like getting bankers off the boards of regional Federal Reserve banks—are long overdue.”
Clinton’s “vital institution” specializes in manufacturing destructive inflation and piling up debt, policies obviously not in the “public interest.”
David Stockman, the former Director of the Office of Management and Budget under Reagan, writes that “there is way too much inflation on the main street America and that’s why its real wages and living standards are sinking ever lower. To document that fundamental proposition we have modified the CPI to include a heavier weight for the four horsemen of inflation—food, energy, medical and housing—that hammer the budgets of the overwhelming bulk of main street households.”
The Federal Reserve solution offered by progressives? More PC mania. Democrats in Congress believe the Federal Reserve should include “the voices of women, African-Americans, Latinos, and representatives of consumers and labor are excluded from key discussions, their interests are too often neglected.”
Clinton’s Ohio speech trashing Trump’s economic proposals may fall short of the mark. According to a CNBC poll conducted this week, the New York businessman is ahead of Clinton as the better candidate for stocks, regulating Wall Street, dealing with the budget deficit, and large companies, even if she bested him as the better candidate for the lower and middle classes, according to Politico.
The establishment is firing back, attempting to chip away Trump’s lead.
On Monday, a report from Moody’s Analytics written by a former John McCain advisor predicts Trump’s proposals would cause a recession and a loss of 3.5 million jobs during his first term.
“We are confident that when people come to understand what he’s proposing, and how he has conducted himself in the past as a businessman, and the ways in which he has hurt a whole lot of people—working people, small business people, investors—that they will come to [that] conclusion,” said Sullivan.