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Telephone number 800-282-2882, the email address, LRushbow at EIBNet.com on the 5th of July.
A big admission from Joe Biden.
The truth is, we and everybody else misread the economy.
We might even have the audio of this.
If we do, we'll get to it.
Yeah, here it is.
Grab number 17.
In fact, let's just stay in order here.
Let's 16, 17, and 18.
We'll start here with Obama Saturday, a portion of his weekly YouTube address.
In a little over 100 days, this Recovery Act has worked as intended.
Yeah.
Here's Joe Biden last Sunday, well, July 5th, on this week with Stephanopoulos.
And Stephi said 9.5% unemployment in June, the worst numbers in 26 years.
How do you explain that?
Because when the president, you, selling this stimulus package, you predicted at the beginning that if you get this package in place, unemployment will peak about 8%.
And now it's 9.5%.
Wall Street expert Meredith Whitney now today predicted 13%.
Either you misread the economy or the stimulus package is too slow and too small.
We and everyone else misread the economy.
The figures we worked off of in January were the consensus figures of most of the blue chip indexes out there.
Everyone thought at that stage, everyone, the bulk of CBO was a little bit higher, thought it would be a little bit higher.
But they're all in the same range.
No one was talking about that we would be moving toward, we're worried about 10.5% or maybe 9.5% at this point.
But we're looking at 10% now.
Well, look, we're much too high.
We're at 9, what, 9.5 right now.
And so the truth is there was a misreading of just how bad an economy we inherited.
I listen to stuff like this and my blood boils because, yeah, the economy was in a tank, but everything that's been done to fix the economy has just been continued by these people and the political solutions have not worked.
But see, it depends on how you define worked.
Because Obama himself said that the stimulus wasn't designed to work right away.
Nope, not designed to work right away, but it's working as intended.
And he urged patience.
So let's take this.
It wasn't intended to work right away.
Let's forget that for a second.
Let's go to where he said on July 11th.
This in Bloomberg, Obama said his $787 billion stimulus bill has worked as intended.
As he pushed back against Republican criticism that his recovery program has failed to rescue the economy.
It worked as intended.
If it's working as intended, that means it's right on schedule.
So 9.5% unemployment was expected.
If we are to believe the president, 9.5% unemployment was intended.
He's got to say now that going above 10% is part of the plan.
And according to Timmy the tax cheat, this is all healthy.
I mean, this is this is all.
What I want to focus on here is that he means it when he says it's working as intended.
And I don't think he knows, thinks that anybody is going to analyze it literally.
It is working as intended.
Now, what I'm going to say is shocking, and it's not believable to a lot of people because they simply can't believe that anybody elected to run America would intend these circumstances.
But these circumstances, which he admits he intends, are exactly why I wanted him to fail.
I did not want 10% unemployment and going higher.
I did not want people losing jobs.
I did not want the economy stagnating.
I wanted Obama to fail.
But when you look at his agenda and what he really wants to do, this is just perfect.
His centerpiece is healthcare.
Now, Ras Musson has a poll out today that more Americans oppose national health care than support it.
Not good for Obama.
It isn't going to matter if you think polls on issues in his agenda matter, then you've got another thing coming.
But it could matter in terms of the elections of 2010 if he goes ahead and rams this down everybody's throat when nobody wants it, or a majority of people don't.
But it's my firm belief, because nobody's this dumb, nobody is this economically illiterate.
They have to be doing this on purpose.
Folks, they are depleting the private sector of capital.
They are taking money away.
Everybody knows that to stimulate job growth, you have to provide incentives in the private sector for that growth to take place.
There are no incentives.
There are no incentives for anyone to invest.
There are no incentives for anybody to hire.
I mean, in great numbers, you've got pockets here where there may be some upticks in performance.
But overall, when you're up at 9.5% unemployment and heading higher, it's not possible to revive the private sector.
You need more people working.
And by the way, here's another thing.
To cement this, and the reason he wants this is because this is more chaos.
This will lead to more demand on the part of average Americans for somebody to come in and fix this.
And the irony is, is the people that are going to demand the government fix this are demanding the same thing the people who broke it to fix it.
So we have 9% unemployment.
We have utter chaos.
And it's really not even a question of wanting Obama to fail.
He has failed, not the way I wanted him to fail.
He succeeded in his mind.
He has succeeded.
This is my whole point.
This is a man with a chip on his shoulder.
This is a man who seeks to get even.
He apologized for this country again on this latest trip.
He said we had nothing to do with the Cold War.
We had nothing to do with anything.
No, no, no.
He's out there apologizing.
And I just, I believe this man has his intention to cut this country down to size.
And that's why I think he chose Sonia Sotomayor.
I think we've got people here who have a deep resentment of this country.
He's into transfer and redistribution of wealth.
And to do that, he has to take wealth from somebody.
And he's taking wealth from those who produced it and created it.
And he's going to transfer it to those who can't give them health care, not jobs.
He's going to give them health care.
He's going to raise their taxes on cap and trade.
Obama is spinning right now about taking time.
But everything he said and says now about, for instance, health care is that it is needed right now to prevent future disasters.
This was never about being patient.
It was about immediacy, period.
He was going to implement his agenda regardless of the economic circumstances he encountered.
So it doesn't matter what Biden says.
Oh, it was worse than we ever thought it was going to be.
We had no idea it was going to be.
It doesn't matter.
It doesn't matter.
He's implementing his socialist.
Word turns people off.
Statist agenda.
He's whatever.
He is implementing his agenda to cut this country down to size regardless of the economic circumstances.
Stimulus was rammed through Congress by Obama and the Democrats before anybody could read the damn bill.
It had to be in place right now to prevent what's happening now, which it obviously has not.
Obama has failed.
His ideas in the popular lexicon have failed.
But I refuse to believe in his mind he's failing.
I don't think Obama's upset about any of this.
I don't think Rahm Emanuel's upset.
If they were upset about this, there would be an immediate plan to stimulate the economy with tax cuts, capital gains reductions, anything to get people moving, anything to get people investing, anything to get people spending, anything to get people hired.
This is my point.
There's nobody that's educated with a brain that believes what is being done will grow an economy.
It doesn't happen.
Now, maybe these guys have such vanity and such egos that they think, well, it's only failed because we haven't done it before.
Maybe that's the case, but I don't think so.
I think there's something far more devious and deceitful going on.
We had to have that stimulus bill in place right now to prevent what is happening now.
It didn't prevent it.
It is continuing to roll on.
Here's Obama, by the way.
Last Tuesday morning on the Today Show, F. Chuck Todd spoke to Obama, and F. Chuck said, Vice President Biden's characterization of your administration's initial economic assessment is just a misread, said that you misread the economy and so forth.
What about that?
Well, I would actually rather than say misread, we had incomplete information.
What I would say is that in some areas, you're seeing the economic engine turn.
But what we always knew was that A, this recession was going to be deep.
B, it was going to last for a while.
And we're going to make it last even longer, is what he didn't say, but what he should have said to complete the thought.
We are going to make it last even longer.
Now, here's the question.
We talked about this, all of us on our trip last week, because it really boils down to where is the breaking point?
Where is the tipping point where people who today and a month ago, two months ago, were still blaming all this on George Bush, when's the tipping point that they say, you know what?
Obama's not fixing any of this.
Everybody's convinced that that tipping point is going to occur.
This is the big unanswered question.
We don't know.
We don't know when precious independence.
Oh, and I got into a big knockdown drag out on one of the legs of the trip.
I got a big knockdown drag out with somebody.
We need to go get the independents.
We need to get the moderates.
And I said, that's how we lose.
That's how we got McCain.
That's how we everybody's, well, whoever these Obama voters are, to hell with what they're called, at what point are enough of them going to say, wait a second, this isn't working and it's his plan?
And that's the great unanswered question.
And then once that happens, and here's the next big unanswered question.
Once that happens, and I'm confident it's going to, people are still Americans.
Most Americans do not want to sit around and watch the permanent destruction of the private sector.
Most Americans, I don't care who they are, Hollywood liberals who are fleeing Hollywood, by the way, to make movies, they're seeking lower taxes in other parts of the country and world to make movies, have that story coming up.
Some point, ladies and gentlemen, enough Americans are going to not want to see the permanent destruction of the private sector where they earn their living, provide for their families and their futures.
At that point, they better have somebody to vote for.
There better be an opposition party that can handle the people fed up with the status quo.
And when these two things happen and the tipping point, the convergent point actually occurs, is going to be an interesting thing to note.
Okay, well, take a break.
I'm going to come back and we're going to get to your phone calls.
Sit tight.
I know.
We're back at the EIB network.
Before we go to the phone, sorry, I want to make one point about what President Obama said last sound night that we played.
Grab number 18 again, Mike.
This is Obama disagreeing with his idiot Vice President Biden, saying that they didn't misread.
They just had incomplete information.
Now, that's fascinating to admit.
Listen to this.
Well, I would actually, rather than say misread, we had incomplete information.
What I would say is that in some areas, you're seeing the economic engine turn.
But what we always knew was that A, this recession was going to be deep.
B, it was going to last for a while.
All right.
Now, we had incomplete information.
Now, isn't that interesting?
The government and politicians always have incomplete information.
There are always unintended consequences.
That is why big government's always a failure.
But they think they know everything.
They think they know everything, but they never do.
They are always uninformed and have incomplete information.
And this is why free markets are the answer.
The government and politicians can never possess or gain the information the rest of us have when we live our daily lives and enter into daily transactions, trillions of them every day.
Now, since we already know that the stimulus has failed in what its stated purpose was, why then trust these same people with national health care?
How in the world can they have all the information on health care?
If they had incomplete information on the economy, because Bush lied to them or didn't give them all the data, which was predictable that they would use that as an excuse, when do they ever have the complete information?
Why in the world trust these klutzes to do anything?
And when their health care plan fails, what will they then say?
They didn't have all the information, didn't realize how complicated it was.
But folks, look, the bottom line, Obama doesn't want any of this to work.
I know that's just hard to believe.
You're thinking it's a radical statement.
It is not radical.
Is crucially important that you believe it.
He doesn't want any of this to work because everybody with a brain knows it won't.
This is my point, folks.
There's enough human and world and government and American history, this will not work.
And yet they're doing it anyway.
They want it not to work.
They're not this stupid.
They are this radical.
They do want the destruction, partial or otherwise, of the private sector.
And this, well, we didn't have all the information.
We're sorry, but there's nothing we can do about it now.
We'll just have to make the best we can.
Oh, you got cancer fine.
Get in line.
Third stage, and you're what, 70?
Forget it.
We're out of money.
We didn't have all the information we needed to handle everybody here.
Here's Bob as we start Empire, Michigan.
Great to have you on the program, sir, and welcome.
How you doing, Rush?
Pretty good, sir.
You know, right at the beginning of the presidency, about a month into it, if we remember, Biden had come out and he said that this might not work.
And at first, we thought it was Biden just being Biden and being stupid, but I think they're already getting the American people psyched up to basically run for cover and cover themselves, even though they were planning for it to not work, as you've been saying, in a very get-go.
I just don't see at this point how possibly, with what's been going on, it can work anyway other than the way that they've been planning it to work, which is making it not work.
Well, for now, that's true, but we can still stop them.
I mean, the effort to stop them.
I know it appears they've got the votes, but look at on health care.
House Democrats propose tax on wealthy to fund health care.
How many tax increases on the wealthy is that now?
We're going to have a value-added Senate Democrats cooled at a House tax on rich for health care.
You're sharing your headlines here.
Officials push for health care in spite of delay.
There's an opportunity to stop this.
As far as the stimulus is concerned, and here's another dosa reality for you, which we've mentioned before, but it doesn't hurt to repeat this.
Only 6% of it has been spent.
And the money that has been spent so far, do you know where it's gone?
The state governments.
It's gone to state governments to help them with their deficits.
Disguised bailouts.
The bulk of it doesn't start getting spent till 2010.
Now, what is 2010?
Why, for 435 members of the House and 32 members of the Senate, it's a re-election year.
And they get to pass around a lot of money, disguised as a stimulus package.
There's still time to stop a lot of this, but it's going to take somebody standing up and doing it.
Another Obama soundbite here on CNN Live this afternoon.
They aired a portion of Anderson Cooper's interview with President Obama.
Anderson Cooper said, Vice President Biden said that you misread the economy.
You said, no, no, no, we had incomplete information.
And nevertheless, you said you would not have done anything differently.
That seems contradictory.
How can you say if you had known unemployment was going to go to 9.5%, wouldn't you have asked for more money in the stimulus?
These idiots is.
It's not contradictory.
Keep in mind that we got an $800 billion stimulus package, by far the largest stimulus package ever approved by a United States Congress.
And the stimulus package is working exactly as we had anticipated.
This was designed to be a two-year plan and not a six-month plan.
Now, it may turn out that the enormous loss of wealth, the depth of the recession that's occurred, requires us to reevaluate and see what else we can do in combination with the stabilizing second stimulus.
Well, there are a whole range of things, Anderson, that we've done.
Okay.
They're going waffling back and forth on a second stimulus.
If they do a second stimulus, there should be no doubt, ladies and gentlemen, that they're trying to cause all this to happen.
Remember, stimulus one was over a year ago, $176 billion.
Stimulus two is this boondoggle that we're living with now.
And stimulus three is on the drawing board here.
So it's patently obvious what's going on.
It's just going to require some people to finally associate who is largely responsible for this.
And don't forget this.
Now, on Friday, Eric Erickson at RedState.com posted the following.
According to Congress Daily, Tim Geithner testified before a House Agriculture and Financial Services hearing on the regulation of derivatives.
Noting the rising unemployment, Tim Geithner said what the economy is going through is a very necessary and healthy adjustment as Americans go back to living within their means.
He said we do not have an economy that's growing again.
Necessary and healthy adjustment, 9.5% unemployment is necessary and healthy exactly how.
This is the guy, remember, that was so needed, so needed, the only guy who could possibly understand TARP that we had to overlook his tax evasion.
And Obama talking about a two-year plan on his stimulus, that is a flat-out lie.
When did he ever say it was a two-year plan?
Anybody, do you remember him saying that?
Two-year plan?
We had to have it now.
Do you think they would have passed it if he said, look, it's a two-year plan, we can even gradually, wouldn't it come close?
And it's a giant pork bill to boot.
All right, Sean in Salina, Kansas, you're next.
Great to have you on the EIB network.
Hello.
Oh, well, first off, I'd like to say I really enjoy your program.
But I disagree with your thesis that Obama is trying to drive the economy into the ground.
That's sad.
That's unfortunate that you disagree.
People like you were going to need.
Yeah.
Well, here's the thing.
You say not a person with a brain out there would think that things are getting better.
But really, if you look at Wall Street and you look at how the stock market is doing, the stock market forecasts the economy by about six months in general.
And the stock market's been doing great.
So these people with brains who study supply, inventory, demand, et cetera, they think that things are headed up.
In the first place, Obama doesn't believe what you just said.
President Obama himself said that he, and so did David Axelrod, that they don't follow the stock market.
Because it's like a tracking pole.
It's up one day and down the next, and you can't make policy on the basis of the stock market.
They're going to do their agenda regardless of the stock market.
The stock market is not up.
The stock market's down from 13,000.
The stock market is not up.
And all you're talking about, inventories and things, there's nobody making anything.
The unemployment rate is 9.5% and going higher.
Look, I traveled.
I traveled the fruited plan.
I traveled the fruited plan all last week.
I'm going to share one observation with you.
Montana, Idaho, not Iowa, Oregon, Jackson Hole, Wyoming.
I asked the guys who are the investors building these golf course developments.
These are golf courses with homes, nice homes around them.
And I asked them, where are most of your people, where are most of the people investing in these?
California.
A lot of Californians in Cordeline, Idaho.
Leaving California or having partial residence in these other places.
Montana, that golf course, Stock Farm, was owned by Charles Schwab, who we happened to meet.
I'd met him once at the AT ⁇ T. Cordeline, Iowa.
Redmond, Oregon.
Where are these people coming from?
Did I say Iowa again?
It's verbal dyslexia.
Cordeline, Idaho.
Redmond, Oregon.
Jacksonville, Wyoming.
California.
First state they mentioned where people are buying homes to live on the golf courses that we played.
You know what a golf course development is, certainly.
Maybe people don't.
You got a golf course.
You got homes around it.
You've got a country club there.
It's either year-round or depending on where it is.
It's six months a year, what have you.
So mostly it's not full-time.
So where are the people from that are buying these houses to live here?
California, first state mentioned.
So people, you know, you can, we've talked about this once in the concept of federalism.
You can leave when a state goes nuts.
But when the federal government goes nuts, where do you go?
If you don't like what's happening in California, you can bum out.
But you can't bum out of the United States without renouncing your citizenship and moving somewhere else.
Now, I also saw, this is an interesting observation I thought, it'll be obvious to those of you who live in these places, all of these places are wintertime activity places.
Montana, Cordeline, Idaho, Oregon, and of course, Truckee, California, which is Lake Tahoe, is 6,000 feet, lots of snow there.
We're playing in a lot of places right underneath ski slopes.
Same thing in Jackson Hole.
Every car is an SUV.
Every car, nine out of 10 that we saw drives at SUV.
And I'm thinking, there's no way Obama's going to get these people to give these up.
They're not going to put up with it.
This is just something, this whole country is so massive.
It's so intricate.
It's so the private sector is so born of personal behavior and so forth.
And I just, it struck me, how these people would not be able to get around out there.
And they want to, it's a wintertime place.
It just strikes me as how it out.
He's going to try.
Don't misunderstand.
I mean, they're going to try to get rid of these things.
But I'm pausing here because there were certain things that was told about economic circumstances in some of these various places.
And I don't want to go into grit.
Well, no, because a lot of these places are high-end.
This is the thing.
It's not miserable, but these are big risk takers.
And they started these developments two and three years ago.
And real estate prices have seen the plummet everywhere and so forth.
Places the values pretty much hold up because there's a demand for them because it's they're they're high-end places.
But uh it this react to previous calling the economy is not that bad.
Certain pockets of it, it's it's not that bad, but you talk to the nine and a half nine and a half percent unemployed in Michigan.
It may reach 20 percent.
I mean it is bad in a lot of places, but what what compounds this is that there is nothing going on to improve it.
There are roadblocks everywhere to improving it, and they are being put there by President Obama.
And now we got Timmy Geithner so needed to get our economy going again.
Congress overlooked his tax evasion for multiple years.
He's never worked in the private sector, and he thinks you losing your job is necessary and healthy.
That's Barack Obama's America.
Let me ask you a quick question out there: How many of you think in your own mind, economy is not that bad?
I'm able to get gas.
I'm going to go to the movies.
It ain't that bad.
You remember when gasoline last spring, summer, fall, whatever it was, hit four bucks a gallon?
That's all we heard every day, all day, all the cable networks, how $4 a gas gallon gasoline was destroying people's lives.
And they were interviewing people with the hard luck stories and how they couldn't get to the grocery store, and they were cutting back on food.
Remember, now let me ask you, we are in a recession deeper than any since 1980, 82.
You see any of the hard luck stories in the state-run media that would lead you to believe the economy is as bad as no, you don't, and that's one of the reasons why you may not think it's as bad as it is.
But the numbers don't lie.
This is Anastasia in Wappinger's Falls, New York.
Nice to have you on the EIB network.
Hello.
Hello, Rush.
How are you?
Fine, thank you.
I just called to say that I went to Cardinal Spelman High School.
I was in Sonia Sodomeyer's 1972 graduating class.
And when Senator Leahy said that, I got so angry.
Wait a sec.
Wait, wait, I need to reset this up.
Did you know her?
Yes, I knew her.
We were acquaintances, but we weren't friends.
It was a class of 500.
Yeah, what happened here at the hearings today is that Pat Leahy, the chairman of the Democratic side of, well, at least chairman of the Judiciary Committee, said, Poor old Sonia, poor old Sonia, she had to work so hard.
Her parents didn't work so hard.
She didn't even have, she didn't have access to the classics.
She went to Cardinal Spelman High School at Bronx.
Somebody went to school with her.
Talk.
Yes, well, Cardinal Selman High School, to set it up, was a school that took above-average kids from New York City to go there.
And the tuition at the time wasn't very expensive.
So that I grew up in Washington Heights in the fifth-floor walk-up, so my parents could afford to send me there.
Actually, for two of the four years, I worked part-time so I could pay my tuition to go to school because of certain circumstances that happened.
But a lot of the kids were...
Well, it sounds like you're qualified to be on the Supreme Court.
You've had a hard life.
You're really here.
You have a fifth-floor walk-up?
Do you have empathy for people?
Do I have empathy?
Oh, you're qualified for the court.
Yeah, I guess so.
My kids would say so anyway.
My kids would.
But Cardinal Selman's a wonderful school, and she had the same curriculum as I did and other kids that went there.
And we had Shakespeare and Bronte and all the classics, and she had to take everything that everybody else did.
She was number one in the class.
She was the smartest one there, and her academic achievements were wonderful.
But the school was filled with Sonia Sodomyers and myself, and that's what made it such a great school, too, is that you are telling me that you had to take Shakespeare.
Yes.
That you had to read Emily Bronte.
Well, those are, maybe those are not the classics.
Maybe the classics are Marx and Hegel.
But did you read Karl Marx at Cardinal Spelman?
No, you didn't.
It was a...
Well, that's it.
That's the answer.
The right classics.
She wasn't exposed to Marx.
She wasn't exposed to.
That didn't happen until she got to Princeton.
No.
It wasn't in Cardinal Spellman, that's for sure.
She was very well steeped in the classics, coming from a Cardinal Spellman, which is a wonderful school.
I've got the current curriculum for Cardinal Spellman of Steve Gilbert at sweetnessandlight.com just said I'm printing it out now.
Hang on, just don't go away out there, Anastasia.
Okay.
Let's see.
I'm just waiting for this lightning fast printer to spit it out.
Here it is.
All right.
Here is the summer reading for September 2009, class of 2010.
So if you're going to summer school at Cardinal Spellman Haskrule, where you and Sonia Sotomayor graduated.
Yes.
Same class, 1972.
Right.
Tests will be given on all reading assignments during the first week of classes.
Yes.
Government and Economics, a Civil Action by Jonathan Haar, required reading.
Political Science, 1984 by Orwell.
AP American History, Lies.
My Teachers Told Me Everything Your American History Textbook Got Wrong by James Lowen.
AP Politics and Government.
Hardball by Chris Matthews.
And the nine by Jeff Toobin.
Let's see.
Marketing.
You've got to read the color purple, one flew over the cuckoo's nest, and Heart of Darkness required reading Cardinal Spellman this year.
Now, here are requirements for graduation for all Cardinal Spellman Haskrule students, and I guess this is as this is current.
Four years of religion, four years of English, four years social study, four years phys ed, three years math, three years science, two years foreign language, one year of art music, and a half year of health.
Let's see, for a New York State Regents Diploma, two years of foreign language.
Well, I don't specifically see the classics on this list here.
No, but I was in 1972.
Well, I know, I know.
I was looking to see if they were still there, and I'm just, I don't, I'm not, the specifics are not mentioned, but I can tell you, we call Orwell a classic.
Yeah.
Would you call, okay, Orwell's a classic.
Chris Matthews a classic.
No.
Jeff Toobin a classic.
No.
Let's see.
Color purple, new classic.
One flew over the cuckoo's nest, a classic.
I guess so.
No.
No, no, no, no, no.
In 1972, that's where you learn about Hillary, though.
Right.
But one, one, in 1972, it was a little bit different, and you were given more classics.
Even my daughter, who was 16 in the high school up here, doesn't have any classics on her.
Everything.
She's an AP English.
Everything was different in 1972.
That's true.
In high school, when I say it's 1960, I graduated in 69.
And I remember we had an English lit teacher, classics.
She worked for a guy, or she studied under a guy who made a whole bunch of films that they showed in class.
I can't forget his name, but he's a big guy out in California, big education guy.
Her doctoral thesis was on the 250 minor characters of Shakespeare.
And this woman was our teacher.
Now, I'm 18, 17, 18, and we were reading Beowulf.
And, you know, I hated it.
But we had to read this stuff.
And the idea that a New York high school was not teaching that stuff and a little high school in Cape Girard, Missouri had on its curriculum, it's just a little hard to believe.
But we have the answer now.
Anastasia has confirmed they didn't teach Marx and Hegel.
So Obama bops into Ghana.
He says, as an American president who has the blood of Africa within me and then starts telling Africa what it's got to do.
Now I have German and Dutch blood in me.
Does that entitle me to get off the plane in, say, Berlin and start telling them how to do things?
I know, I know, I know.
That's right.
That's not, it's a very important step in American hit.