Cause of the collapse
What caused the economic downturn we are now experiencing? When I ask that question the answers I normally get are 1) the housing bubble collapse, 2) the near collapse of our banking system, or 3) the failed policies of the Bush administration. These answers are what the liberal media would like you to believe. If you hear this over and over again unchallenged, voters tend to believe it. The first two answers are the result of what happened, the third answer could have caused the recession.But, look at the facts. When President Bush entered office our country was in a recession as a result of the .com bubble collapse. His administration’s policies, even after 9/11, led our nation out of a recession into a period of growth. From 2001-2006 seven million jobs were created, tax receipts into the treasury set records, and the unemployment rates were at historic lows.
What changed? The 2006 elections. Because of the anti-war sentiment the Democrats took control of the House and Senate. The new tone in Washington, coming from Nancy Pelosi and Harry Reid, signaled a new era of big government. National health care, carbon taxes, cap and trade, value added taxes, and increased regulations frightened corporate America. Not knowing what the future business climate would bring businesses tightened their belts, stopped hiring, and began laying off employees. Laid off workers unable to find other employment, stopped spending and eventually quit making their mortgage payments. This started the snowball rolling down the hill and the recession started.
Because of the current business environment companies are sitting on $2 billion. To put this money to work Washington must change! We need to get back to a pro-growth, pro-business environment so we can begin creating jobs and get this country back to work.