Kevin Hassett points out that while Chairman Zero protests that he is not anti-Business and his advisers deny that there is a jihad against capitalism, his actions tell a different story. What follows is the Reader’s Digest version of Hassett’s thesis:
Imagine that some hypothetical enemy state spent years preparing a “Manchurian Candidate” to destroy the U.S. economy. What policies might that leader pursue?
He might discourage private capital from entering the financial sector by instructing his Treasury secretary to repeatedly promise a brilliant rescue plan, but never actually have one. He would significantly increase taxes on business in a time of recession. If our Manchurian Candidate leader really wanted to knock the country down for good, he would provide insurance against any long-run recovery by initiating massive new entitlement programs.
Let’s see how Obama’s plan compares with our nightmare scenario.
Treasury Secretary Timothy Geithner has been so slow to act that even Paul Krugman is criticizing the administration for “dithering.” On the tax hike, currently, the U.S. has the second-highest corporate tax on Earth and Obama is committed to ending any remaining competitive tax breaks. If any firms remain, they will be festooned with massive carbon-permit expenses because of Obama’s new cap-and- trade program.
Finally, Obama has set aside $634 billion to establish a health-reform reserve fund, a major first step in creating a universal health-care system. If you want to have health care for everyone, you have to give it to many people for free. Once we start doing that, we will never stop, at least until the government runs out of money.
But don’t call him a socialist. It hurts his feelers.