The Year Was 1980

This man changed the economic landscape forever

Ronald Reagan came to power.

The year was 1980. The Prince of Voodoo Friedmanism Republican Ronald Reagan came into power. A true believer of Milton Friedman, an economist, Reagan preached the famous Friedmanism mantas: “ the social responsibility of business is to increase profits” and “less government is good government”. Reagan started the evil mixture of a witches brew by firstly, transferring assets from public to private ownership and secondly, the dissolution of laws that protect consumers and investors from materialism, excessive debt (corporate, government, and individual), the formation of huge conglomerates and ultimately the type of corruption symbolized by Enron, Bernard Madoff, and the debacle on Wall Street.

What has happen since then? Well, public investment in schools, hospitals, water and sewage systems, roads and bridges, sold to the private sector. Cities and states were forced to sell their sectors to the private corporation. All of the work built during and after the New Deal suffered neglect under the Friedman’s brand of economic voodooism. Next, came the trade policies (free trade agreements). The major multinational corporations benefited the most from these agreements.

The major disciples of Milton Friedman are George W. Bush, his father, Britain’s Margaret Thatcher, Canada’s Brian Mulroney, Alberta’s Ralph Klein, Iceland’s David Oddson, and Chile’s Augusto Pinochet. There were and still are many others. They rallied against any program that will benefit the middle and lower classes. Instead, the Presidents of the United States incurred unbelievable debt. For example, Ronald Reagan went from $800 billion when he came into office to $2.5 trillion when he left! George Bush Sr. from 2.5 trillion to $5 trillion. George Bush Jr. from $5 trillion to $10 trillion. The growth rate of debt was 8.75% -- similar to the growth rate of China’s economy! The debt is doubling every 8 years. The result: trillions of dollars deficit incurred by the federal government but , also, the creation of countless new billionaires.

The income of the middle class stagnated while their net home pay fell. The extreme in economic disparity is a mirror image what has taken place in the Third World countries that follow the preaching of Friedman’s teachings.

The final “spell” placed on the U.S. economy was the economic collapse of “free market” economy. Everywhere there was businesses going bankrupted, companies laying off workers and the economy tumbling into freefall. The Friedman’s “Royal Family” ;meantime, reaped huge salaries and bonuses. The Royal Family included the top CEO’s and executives from the largest multinational companies in the world (and some were saved by Obama’s bailouts)

Back to the case of economic disparities: When George W. Bush was elected president the 400 wealthiest people in the States was worth about $1 trillion. (average of $2.5 billion per person). Six years later (2007), their income went up 60% to 1.6 trillion dollars. At the same time, the real income of the average worker decreased by more than $2000 per month.

Remember this”

1) One of the biggest sin is ignoring the evil in the world.

2) If you don’t try to right it, you are part of the problem.

 

Comments 14 comments

American Romance profile image

American Romance 5 years ago from America

Libs love to use large words, look smart and twist and turn to make something believable! You failed to mention that once Reagans policies took hold the IRS had more tax revenue coming into the coffers than at any time in history! Reagan left office with a wonderful America and even the world was a better place!............You seriously want to bash Reagan while we are living under this horrible regime of Obama??? ......really?


road2hell profile image

road2hell 5 years ago from Linden, AB Author

Yes, I do. Living in a injust society is not my idea of democracy. As long as we let the rich elite control the economy, the worst things will get. Obama's hands are tied. He inherit a mess from the previous three Republications and only got worse. Obama's large deficit came from the massive bailouts as well as the increasing interest debt.

Oh Reagan made most of the revenue from fighting wars. Bushes just follow suit. You go ahead and live in this degradable society, but not blame Obama. This started with Reagen and is very difficult to reverse its direction.

Good Luck with a bright future in the States, looking for a job, a home and the so-called American Dream.


Ty Gillis profile image

Ty Gillis 5 years ago from Palm Bay, Florida

Wow, how quickly they forget about the Clinton 8 years. If you scratch your brain, look in a history book, you will find that the Country was in a Recession when George W. took office. 4 four prior to that the Republican Congress Balanced the Budget, but lost it when the Dem.s took office in the next election. Now "road2hell" if you think society is injust, try living without a check from the government. Try doing it on your own instead of whining about it. By the way business doesn't have any social responsibility to do anything, other than not producing an inferior product.

Instead of watching Chris Mathews, and Jon Stewart, why don't you try picking up a book. They have lots of books on history, economics, and Socialism. You might find them interesting. Like How do we pay for an Healthcare system when we can't even afford to pay the bills we have? How much of the Budget is owed to ourselves? How much does Obama spend on all these Vacations? Listen, if you want to feel better about voting for the guy, fine, but the rest of us thinking individuals out of your stupidity. Just don't make the same mistake again.


Wizard Of Whimsy profile image

Wizard Of Whimsy 5 years ago from The Sapphire City

The so called "Clinton Recession" lasted 8 months and Clinton left GWB a surplus. You have a convenient amnesia and it's ironic that you have the audacity to call anyone else stupid. What books of propaganda are YOU reading?—Glen Beck's and Rush Limbaugh's?


tsadjatko profile image

tsadjatko 5 years ago from maybe (the guy or girl) next door

"injust society"? Yeah I know what you consider a just society - socialism - communism - everybody (except the elite government) equal - equal misery for all! Why don't you move to Cuba or maybe you'd be happier in China? Yet you choose to live here in an "injust society" I wonder why?


road2hell profile image

road2hell 5 years ago from Linden, AB Author

Big government? It's BIG BUSINESS that's the problem. Who do you think runs the government? Especially the Republicans.


tsadjatko profile image

tsadjatko 5 years ago from maybe (the guy or girl) next door

You obviously are a subscriber to the “We’re For the Little Guy Myth”! Peter Orzag, the former White House Budget Director,takes a job at Citibank. You remember Citibank, they got $45 billion in a taxpayer bailout. The actual job is unimportant. What is important for Citibank is having a guy on the payroll who can call the White House and they’ll take his call. They guy who replaced him as budget director, Jacob Lew, worked at Citibank from 2006 to 2009.

How about some more cronies? There is former Treasury Secretary under Clinton, Robert Rubin who became an executive-committee chairman at Citigroup. Treasury still owns 11% of Citi stock. As Obama raked in the campaign cash from Goldman Sachs, we have Timothy Geithner’s replacement as head of the New York Fed, William Dudley, was a former chief economist at Goldman Sachs. Former Democrat senator and Governor Jon Corzine was a previous chairman of Goldman Sachs.

But don’t worry the Democrats are looking out for the little guy. They ignore Fannie Mae and Freddie Mac in the financial regulations overhaul and hand the bill to the little guy. They bail out GM and Chrysler, turning over the bulk of the company’s ownership to the unions and hand the bill to the little guy. TARP money goes to foreign banks to cover their losses and they hand the bill to the little guy.

Crony Capitalism Reality

The reality is that Progressives like crony capitalism. After all, how can they possibly mount effective political campaigns without money? From the little guy? Forget it. They make deals with big business. They protect the big guys from competition from the free market capitalists and the big guys pour money into Democrat coffers. Think of all the money that flowed into Wall Street. Why? Because they were “too big to fail”. How many small and mid-sized banks were shuttered? Since 2008 there have been 314 bank failures in the U.S., only 18% of those had assets of over $1 billion.

The big guys can take enormous risks and if they pay off they make enormous profits and personal wealth for their management. But if the risks don’t pay off, do they go out of business? Hardly. They go to the government with dire predictions of a collapse of the economy unless the government steps in and when it does, the bankers get their big bonuses and the little guy gets stuck with the bill.

Really, the Republicans are in the pocket of big business? You road2hell, are a cornucopia of misinformation, and as such have appropriately named yourself.


TeaPartyCrasher profile image

TeaPartyCrasher 5 years ago from Camp Hill, PA

Road:

Two things, first AR will cling to his views even when he's little more than a serf to the Koch's etc.

Second, you've really sitrred the 'Tea Pot' by criticizing 'St. Ronnie'.


tsadjatko profile image

tsadjatko 5 years ago from maybe (the guy or girl) next door

Aha TPC a Typical liberal - when u know u can't win an argument you resort to name calling- so predictable. "A serf to the Koch's" U can't do any better than that?


TeaPartyCrasher profile image

TeaPartyCrasher 5 years ago from Camp Hill, PA

ts:

I don't need to. It's the truth, as a look at my hubs will show.


road2hell profile image

road2hell 5 years ago from Linden, AB Author

I agree with TeaPartyCrasher. The truth hurts doesn't it, tsadjatko?


tsadjatko profile image

tsadjatko 5 years ago from maybe (the guy or girl) next door

a cornucopia of misinformation


TeaPartyCrasher profile image

TeaPartyCrasher 5 years ago from Camp Hill, PA

'misinformation'?

Or just infomation not approved by folks like the Koch's?


road2hell profile image

road2hell 5 years ago from Linden, AB Author

To tsadjatko:

You forgot to mention Fascism. As Bernard Russell states in his book "Political Ideals", the definiton of fascism is when one group or organization controls the government and is really apparent that the mutinationals control it. Just as the Nazi Party control the German populous. the corporations ware winning the populous over but by sneaking, underhanded tricks. By blaming the government for any wrong doing, the corporations can rub their hands of any wrong doing. But, be careful, the Tea Party could be a compeitor for the controlling power.

So, it's your choice, let the corporations (or

Tea Party) have the power or socialism. Forget communism unless the capitalism Chinese become competitive.

Choose between these two: Which is the more "evil" of the two? Beware socialsim doesn't have to mean totalitarism, you can have a fair and just society with a fair and just "Big" government.

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