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Bulls & Bears
125K Jobs Lost in June; CEOs Lash Out at President's Business Policies
Gary B. Smith: All this business bashing by the administration is taking a toll on job creators. President Obama is the most anti-business president since FDR. In order to create private jobs, entrepreneurs only need a few things. They need the government to get out of the way, they need lower taxes, and reducing red tape--so not major new costs that come with health care reform, cap and trade, etc. There isn't a person in this president's cabinet that has ever hired somebody, gotten a business loan, etc. These guys just clearly have no idea how to create jobs, wealth, or successful businesses.
Tobin Smith, NBT Media: The rhetoric that has come out of the White House has just amazed me. They've gone after health insurers, banks, etc. They've actually implied that health care insurers were in the business of hurting people. How are you supposed to build a health care system that works when you completely demonize the insurers? When you go after or threaten certain businesses, you hurt profits, and those companies do less hiring.
Steve Murphy, Democratic strategist: President Obama should be more focused on bashing corporate special interests. They aren't creating any jobs already, and they collectively took trillions of dollars from taxpayers without giving anything back. President Obama isn't bashing entrepreneurs or small businesses since those are the companies that actually create jobs. We need to invest more in them, and the administration should put its focus on doing more to stimulate private industry. It can come through tax credits for hiring new workers.
Eric Bolling, Fox Business Network: How has President Obama helped small businesses? He's now raised their taxes because most small businesses are people who own that business. Tax rates will be going up when Congress lets the Bush tax cuts expire at the end of the year. Health care costs are going up, and energy costs might be going up if cap and trade gets taxed. So they've done nothing to help small businesses out at all.
Pat Dorsey, Morningstar.com: I think the administration has been disappointing in terms of supporting businesses. They really haven't been that focused on doing a lot to help private industry and small businesses. I think on a larger scale though, there's a lot of deleveraging going on in the economy. Consumers are paying down debt, and credit creation is still heavily contracted. These are even bigger impediments to job creation and economic expansion.
New Plan Using Taxpayer-Funded TARP to Pay for Bank Reform
Tobin Smith: This is crack-based accounting. Washington has been really creative in terms of this stuff. To take TARP funds, which taxpayers actually got back, to pay for the costs of new financial regulations is ridiculous. TARP was created under emergency provisions to save the financial system. It was never intended, by law, to pay for other programs or legislation. Congress is literally robbing taxpayers of this money to pay for this financial regulatory bill.
Eric Bolling: We can't really be that surprised Washington is doing this. We kind of knew that when the $700 billion went out that anything given back would be used by Washington for other purposes. The problem was that the provisions of what to do with the money if the Treasury got it back weren't clear. I'm actually surprised they only took $11 billion of TARP to pay for this thing, not the full $21.2 billion they're estimating it'll cost to totally cover the bill.
Steve Murphy: Everyone complaining about using TARP money have crocodile tears. They just want Wall Street to keep doing what it was doing before. The objection isn't to money being used for implement these new regulatory oversights. We have to make sure that Wall Street can never again do to us what they did in 2008. Wall Street doesn't invest in jobs and businesses like they used to. We have to pay for these reforms. I'd prefer to have a bank tax, but if financing the bill with TARP funds is the only way it can get done, then we should do it that way.
Gary B. Smith: We can't forget that a lot of the TARP money was forced on the large Wall Street banks. They had to pay back those funds with forced interest. That's the supposed money we taxpayers made on those TARP loans. We still are out billions upon billions of dollars with the loans to AIG and the auto companies. Instead of blowing the money taxpayers supposedly made on TARP to fund this bill, use it to pay down the deficit, as it was originally intended.
Pat Dorsey: Aside from AIG and the automakers, TARP loans have been paid back. The funds were used to get the financial system through a liquidity crisis. It was money well spent at the time. If Congress needs money to fund the financial reform bill, then it should be appropriated separately.
Anger Mounts as Pro-Union Jones Act Seen Slowing Cleanup
Eric Bolling: It only took seventy-something days into the spill to start taking offers of foreign assistance that have been offered to us for months. Meanwhile this spill has been destroying industries right and left, from tourism, to fishing, to restaurants. It took way too long for the government to lift this act, and unnecessary damage was caused as a result.
Tobin Smith: This is insane. The reason a lot of foreign ships couldn't come in is because the EPA said they weren't lifting restrictions on the vessels. The administration just doesn't seem to understand how to effectively manage this crisis.
Gary B. Smith: This Jones Act really is just a union power grab. The only reason the administration lifted the ban is because there was such public outcry about not letting foreign vessels come in to help out. They knew it was making them look totally inept in terms of running the cleanup, so they started allowing the foreign vessels in to make themselves look good.
Steve Murphy: The idea that foreign vessels haven't been allowed to help is simply not true. They've been helping all along, and now the process is actually accelerating. This has had nothing to do with unions. The country needs more unions, not fewer.
Pat Dorsey: The Jones Act is an anachronism we should have gotten rid of a long time ago. Deep Water Horizon put out a press release a couple weeks ago saying 15 foreign countries were helping in the cleanup. The Jones Act is idiotic, but it's not really preventing foreign vessels from helping deal with the spill.