Quick Question

A lot of energy is going into highlighting Obama as a socialist for his openly stating that he intends to use the Federal tax system to redistribute wealth. That's not entirely accurate: he's not looking to tax wealth (and why would he: many of the rich are his most ardent supporters), he's looking to redistribute income. All in the name of "fairness". My response to him is along the lines of Jon Stewart's missive to Sarah Palin: "F*ck you". When the government actually goes about creating income rather than seizing it from others, then it can dole it out as it sees as fair.

But there's a better question. Assume that Obama's right and its the economy, not just the financial markets and financial sector, that is hurting. How will Obama's professed policies affect prospects for recovery? Even assuming the credit market rebounds (and early indicators are that it is), any economic recovery is going to require equity investors in the enterprises that will provide the growth. Has anybody asked Senator Obama or any of his advisers how his stated policies will facilitate growth in the economy? If so, I've not seen it.

But think about it for a second. You have some money you want to invest and you've got to choose where it goes. When the Obama tax increases (and his plan is premised upon allowing the current tax rates to expire) hit, there will be an immediate increase in incentive to invest outside the US. Then you look at Obama's support of the Employee Free Choice Act* (an oxymoron, to say the least) and its likely passage and implementation in an Obama administration and you have another major disincentive to invest in any business that could become subject to the Act. Moreover, those businesses that are potentially subject to the Act will have a very strong incentive to configure their operations in a way likely to keep its principal operations outside the reach of the Act. That could mean a flood of offshore outsourcing. Is any of this likely to create economic growth? Conversely, is it reasonable to predict that it will, in fact, impair growth and recovery?

More importantly, why isn't any of this being asked of Obama and his campaign?

* If you've got a job and you aren't a member of a union and don't want to be a member of a union, you really need to read that act and the analyses of it before you vote.