Obama's War on Main Street

President Obama today declared war on "big oil" by asking Congress to remove that industry's numerous tax credits.  These tax credits which benefit the 98% of oil company shareholders who are middle income investors who have their shares tied up through retirement & mutual funds won't do anything to reduce the price of gas at the pump - they are, rather, incentives for that industry to become more accessible and productive.  This is rather a brazen play to the environmental lobby to punish "fat cats" who, in actuality, are most of our seniors who have put their money in stocks.  Obama went on to assert that he supported natural gas, though he seems not to understand that you have to drill for it (something most of these companies are involved in).  The worst part of the whole ploy (a dynamic distraction from the debt debate) is that Speak Boehner ate it up.

Business Tax

Controversy will fly as Congressman Ryan's plan moves on, especially its proposed Medicare reductions.  But something extremely bullish in terms of the markets are the lowered business taxes which could very well launch us right out of this recession.  On the day, stocks are generally up.  The financial world awaits to hear the Fed tomorrow give an unprecedented press conference, attempting to awe us just by show instead of awing us with substance.  Meanwhile, the President does nothing to turn attention to debt ceiling debate.

Distraction Time (Syria)

The White House "reminds" us that its hypocrisy on the Syria/Libya issue is not something that should be worried about, as both situations are generally the same.  We'd like to think that intervention in Syria would be as successful as ours in Libya (haha) - but we'll be content it seems with some frivolous sanctions, being they've had such a storied history of turning the tide in every case of their use.  Regardless, talk of military action in Syria and of stepping up pressure in Libya will probably dominate the news this week as the Obama administration tries to do everything it can to distract from the debate over raising the debt ceiling.  Any talk of a Balanced Budget Amendment would be detrimental to their tax and spend plans...so eloquently read to us last week off the teleprompters.

China Looms

The International Monetary Fund predicts now that China will surpass the United States as the world's economic superpower in 2016, a mere five years away. If you take the IMF at their word, I'd say their number is not too far off, the news is startling.  A few weeks ago, Herman Cain wrongfully asserted that China held 26% of America's debt (it is actually around 8%) but both Mr. Cain and the IMF's numbers are dancing around the issue: that our national debt, the impending national crisis, cannot be ignored for much longer.  Markets have reacted to the news timidly.  People don't know whether now to bank on a financial collapse or to get out of the way for one.

Inaction w/ Threats

Although there seems to be a lot of strutting around and talking big coming from Washington about what side "will do" regarding the deficit cap, I'd be seriously surprise if anything but the usual pandering went on.  I'd be downright shocked if we went to the wall on the issue, refused to raise the limit without REAL budget cuts (not just spending drawbacks) but there is a mood of apathy in the air.  The GOP does just what is necessary to avoid any real leadership, the White House presents no leadership, and us Tea Partiers are left fuming over all the inaction.

Invisible Hand

Regardless of the creeping socialism that Washington seems at both times to pile on us and feign to take away, there is doubtless a fact that 'the invisible hand' that guides our economy exists without their finagling.  The businesses of the future are not being brainstormed right now with considerations of the forests of regulations on file - would they ever come about if they were?  The people who will build the future of American service and industry are putting forth that golden principle in their minds that guides all creative capitalistic ingenuity: How can I get customers? 

It is the pursuit of someone's business that, in the end, will create the greatest curve of innovation and prosperity.  So why flub it up now with regulation, taxes, and wasted subsidy?

Algeria

It's so odd that Algeria's rebels - who are the only dissidents in the last year to appeal strongly to pro-Western secular considerations - are left essentially on their own.  We certainly can't help them, as helpful as they would undoubtedly be to the stability of the region and the fight against terror.  But with three wars ongoing, and the most recent fruitless adventure a political embarrassment, rallying any support behind an intervention would be impossible.  So these rebels - rebels we know, rebels who are are friends - are left to themselves, to lose.