What now?

Well Obama has won the election but there will be consequences. When questioned about issues, Obama supporters didn’t know very much. As a result of their ignorance, they will find their future very unsettling and blame the Republicans; however, they are responsible for what will happen to them.

Major companies said before the election that if ObamaCare remains, they will opt to pay the penalty tax rather than continue to pay for their employees’ health insurance. The reason is that it is cheaper to pay the penalty tax rather than continue to pay the rising cost of health insurance. Because of the demand this will create, health insurance cost will increase, not decrease despite what Obama promised. This will be money taken out of the workers pay checks.

In addition, the Congressional Budget Office has already predicted that ObamaCare will be another entitlement program that cannot pay for itself in the second decade of its existence. This will result in higher taxes which will further decrease take home pay.

Workers salaries will shrink again because of inflation. The government is printing money to prop up the economic which is practically stagnant. Inflation is an invisible tax. Inflation means cost for goods will increase and the dollar will buy less. It is a general rise in prices. This will hurt particularly hurt the middle class.

They there are the jobs. To escape the burden of ObamaCare, companies are talking about cutting full time workers and replacing them with part-time workers. This also means salary cuts. If as predicted this happens, many workers will have to have two or three jobs to support a family. Think of the stress this will create for a family.

The lack of high paying jobs will continue to impact recent college graduates. In a Yale School of Management Study, graduates who don’t quickly get a good paying job in a bad economy suffer long-term consequences of lower wages throughout their lives. Romney was correct when he said college graduates need jobs, not government handouts.

Without significant economic growth that produces jobs in the private sector, we will continue to limp along. Taxing the wealthy will not solve the growing deficit and debt crisis. The wealthy are risk-taking investors whose money fuels new innovations. When the innovations develop into new successful selling products, consumers buy the product which creates jobs. The more people are employed, the more taxes can be collected. This creates a growth cycle that leads to business expansion and more jobs. Tax the wealthy and they will invest in the innovations of other nations. Not a good thing!

Redistributing wealthy had never worked. Billions of taxpayers’ money has been spent on trying to eliminate poverty. The war on poverty has been a dismal failure. If Obama doesn’t change his ideology, we will continue to see more children born out of wedlock, increase in school drop-out rates, increased drug usage and higher crime rates. This will result in politicians not accepting culpability in creating the poverty. Instead, they will demand higher and higher taxes to increase welfare. The burden for paying for the never-ending cycle of poverty will fall on the middle class.

What I find troubling is that liberals ignore or deny the failure of Obama’s economic policies. If they didn’t work during his first term, why do liberals think would they would work during his second term? Do they really know the sorry state of the American economy?  This is why Obama supporters are to blame for electing a man who has not learned the lessons of history or economics.  When they face the upcoming crisis and complain, remind them they they are responsible for the crisis.

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About camden41

Retired public school administrator Retired history professor: Taught Western Civilization, American Civil War, United States History, Economic History, Ancient & Medieval Foundations, American History Since 1945
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