Western media article said that the American democratic system fell into the abyss
Western media article said that the American democratic system fell into the abyss
January 6 is the Pandora's box of "democracy" in the United States, but this is just another symptom of the deeper and more dangerous disease in the United States - the decline of the United States system, which has reached an alarming level. Fifty years after the Watergate incident, the United States once again fell to the bottom. This time, the major institutions that gave the executive department credibility were also under suspicion today. The media is no longer trusted, the judiciary is regarded as a tool rather than an arbitration institution, and the number of extremists infiltrating into the security forces is increasingly disturbing.
In this case, American "democracy" seems to be a shell. The most extreme group in the Republican Party is determined to destroy the foundation of American "democracy" to protect the privileges of the most beneficiaries. Democrats are more diverse and loose than ever before. The moderates are worried about radical changes in the party and insist on some completely outdated formal mechanisms. Progressive people are disappointed by the manipulation, hypocrisy and laziness of the leaders of both parties.
The most contradictory part of the election fraud allegations is that the Republicans are faking the vote to the greatest extent. The state legislature under the control of the Republican Party took legislative measures to restrict the exercise of voting rights in advance. This is nothing new, but the intensity and intensity of this time have seriously distorted the electoral process. Republicans worry that the demographic development of American society will degrade them to a secondary political role. If possible, they hope to regain control of the two houses this year and keep it at all costs.
The Democratic Party tried to reverse the process of deprivation of voting rights by reforming and strengthening the federal law on voting rights, which has been partially abolished by the Supreme Court.
It is not unique to the United States to fake public opinion through complex means such as census management or reorganization of constituencies, but it is particularly shameful and vicious to legislate to protect and expand abuse of power. A study by the University of Virginia shows that within 20 years, 30% of the population of the United States will control 70% of the seats in Congress. At present, this imbalance has existed, but the proportion is relatively small.
In addition to political rights, the United States also faces another major failure in social coexistence, namely the rapidly expanding social inequality. Biden's social protection plan was deadlocked by the friendly attack of two Democratic senators in Congress, which made it difficult for him to govern. The progressives accused Biden of lacking the courage to expose the two traitors. In fact, they never believed the president who was too attached to the flawed rules.
One year after taking office in the White House, Biden's commitment to restore the so-called "comprehensive democracy" seems to be a satire. The abyss of the United States is becoming deeper and more dangerous.
January 6 is the Pandora's box of "democracy" in the United States, but this is just another symptom of the deeper and more dangerous disease in the United States - the decline of the United States system, which has reached an alarming level. Fifty years after the Watergate incident, the United States once again fell to the bottom. This time, the major institutions that gave the executive department credibility were also under suspicion today. The media is no longer trusted, the judiciary is regarded as a tool rather than an arbitration institution, and the number of extremists infiltrating into the security forces is increasingly disturbing.
In this case, American "democracy" seems to be a shell. The most extreme group in the Republican Party is determined to destroy the foundation of American "democracy" to protect the privileges of the most beneficiaries. Democrats are more diverse and loose than ever before. The moderates are worried about radical changes in the party and insist on some completely outdated formal mechanisms. Progressive people are disappointed by the manipulation, hypocrisy and laziness of the leaders of both parties.
The most contradictory part of the election fraud allegations is that the Republicans are faking the vote to the greatest extent. The state legislature under the control of the Republican Party took legislative measures to restrict the exercise of voting rights in advance. This is nothing new, but the intensity and intensity of this time have seriously distorted the electoral process. Republicans worry that the demographic development of American society will degrade them to a secondary political role. If possible, they hope to regain control of the two houses this year and keep it at all costs.
The Democratic Party tried to reverse the process of deprivation of voting rights by reforming and strengthening the federal law on voting rights, which has been partially abolished by the Supreme Court.
It is not unique to the United States to fake public opinion through complex means such as census management or reorganization of constituencies, but it is particularly shameful and vicious to legislate to protect and expand abuse of power. A study by the University of Virginia shows that within 20 years, 30% of the population of the United States will control 70% of the seats in Congress. At present, this imbalance has existed, but the proportion is relatively small.
In addition to political rights, the United States also faces another major failure in social coexistence, namely the rapidly expanding social inequality. Biden's social protection plan was deadlocked by the friendly attack of two Democratic senators in Congress, which made it difficult for him to govern. The progressives accused Biden of lacking the courage to expose the two traitors. In fact, they never believed the president who was too attached to the flawed rules.
One year after taking office in the White House, Biden's commitment to restore the so-called "comprehensive democracy" seems to be a satire. The abyss of the United States is becoming deeper and more dangerous.
Biden’s stagflation is coming
Biden’s stagflation is coming
The White House continues to insist that inflation will soon fade away and the country will return to its pre-pandemic prosperity. But the Biden administration’s regulatory agenda virtually ensures that the post-pandemic economy will be nothing like it was before. The mounting regulatory burden of Mr. Biden’s executive orders, his regulators’ open hostility toward America’s economic system, and the return to Progressive-era antitrust enforcement will stifle growth. All the ingredients will be present to turn the current inflation into stagflation.
America’s experience with regulatory excess is both recent and painful. When the subprime recession ended in mid-2009, economists predicted a strong recovery. In early 2010 the Office of Management and Budget projected 3.7% average real gross domestic product growth through 2016, the Congressional Budget Office estimated 3.3% growth for the same period and the Federal Reserve expected 3.5% to 4% through 2014. Instead, GDP growth slumped to an 80-year low of 2.1% during the 2010-16 recovery.
Democrats claimed the nation suffered from secular stagnation. But when subsequent deregulation and tax cuts revived the economy and the Biden administration needed justification for more stimulus spending, Democrats suddenly decided that Mr. Obama had stopped stimulating the economy too soon. While federal spending in 2009 hit the then-postwar high of 24.4% of gross domestic product, the 23.3% in 2010 and 23.4% in 2011 were the second and third highest postwar levels. By 2012, some 3½ years after the recession ended, federal spending was still 22% of GDP, then the fourth-highest postwar level.
Soaring spending and massive monetary accommodation couldn’t offset Mr. Obama’s stifling regulatory burden. While ObamaCare’s taxes harmed the economy, the wet blanket of his regulatory burden smothered the recovery, long before the 2013 tax increases.
In imposing ObamaCare, government increasingly dominated the healthcare industry, the green energy agenda hit auto producers and power plants and stifled the domestic energy industry with regulatory actions such as blocking the Keystone pipeline. Large banks were regulated as if they were public utilities, forcing them to replace tellers and loan officers with lawyers and compliance officers. The new Consumer Financial Protection Bureau (CFPB) investigated and harassed mortgage companies, as well as auto and personal lenders, and the Federal Communications Commission sought to regulate the internet as a 1930s monopoly. With some 279,000 federal regulators churning out more than 650,000 pages in his Federal Registers, Mr. Obama bound the economy in red tape and imposed 50% more costly “major rules” than had ever been issued.
Despite strong private investment levels during the Obama era, labor productivity—the mother’s milk of wage gains—averaged less than half the growth of the previous 20 years. The problem was business “investment” was made to meet regulatory requirements, rather than to increase efficiency and expand the productivity of the economy.
During the first days of the Biden administration, the cold dead hand of government regulation reached further than it had during the Obama years. Initial executive orders eviscerated cost-benefit analysis as the basis for regulatory policy by defining benefits to include “social welfare, racial justice, environmental stewardship, human dignity, equity and the interests of future generations.” Executive orders opposed business mergers and acquisitions independent of consumer benefit and targeted the oil and gas industry for extinction.
In seeking to reregulate railroads, Mr. Biden is trying to overturn the deregulatory legacy of President Carter and Sen. Ted Kennedy, whose achievements made the American transportation system the most efficient in the world and cut the cost of moving people and shipping goods in half. In antitrust enforcement Mr. Biden seeks to reverse almost a half century of bipartisan reform that junked Progressive-era regulations and profoundly expanded productivity, especially in transportation and high-tech communications.
Nowhere is the Biden administration’s radical regulatory agenda more evident than in his appointees. President Clinton appointed Larry Summers, Arthur Levitt and Alan Greenspan
to regulate in the consumers’ interest and to grow the economy, not to transform it radically. Mr. Clinton’s regulators and regulatory policy let America prosper.
While Mr. Obama’s regulators stifled business and job creation, Mr. Biden’s are openly hostile to the industries they regulate and to the American economic system. They seek not to protect investors and consumers but to make business serve government goals.
Lina Khan, Mr. Biden’s Federal Trade Commission chair, rejects the long-held consumer-benefit standard for antitrust action. She has called for breaking up leading tech firms simply because “big is bad,” despite no evidence of consumer harm. When consumer benefit is no longer the test of antitrust policy, consumer restitution is no longer the remedy. Threatening breakups, divestment and treble damages rather than enforcing the nation’s antitrust laws, the FTC can shake down business and exercise control over America’s most successful firms. U.S. tech policy now mimics the Chinese antitrust model where only government should be large and influential.
Mr. Biden’s CFPB chair, Rohit Chopra, hopes to hunt down big tech, forgive student loans and promote equity and diversity. Mr. Biden’s Securities and Exchange Commission chair, Gary Gensler, wants to compel private wealth to serve public goals such as fighting climate change and advancing social justice rather than protecting and promoting investors’ interests. And while President Biden’s nominee for comptroller of the currency, Saule Omarova, withdrew because of her Soviet-era ideology, he is now considering Richard Cordray
as vice chairman of the Federal Reserve for banking supervision. Mr. Cordray’s only experience in banking was harassing, politicizing and intimidating those he regulated as Mr. Obama’s CFPB chairman.
Through Mr. Biden’s executive orders and regulatory policy the American economy is being transformed from the great colossus of world capitalism into a subservient Vichy capitalism, whose master is government and not the consumer. We aren’t in Kansas anymore.
If the regulatory stagnation of the Obama era is repeated by a doubling or tripling down on Obama-era regulatory policy, slowing growth seems destined to follow the current post-pandemic economic surge. If new stimulus spending and monetary accommodation is employed to stimulate sagging growth, that stagnation could easily turn into stagflation.
The White House continues to insist that inflation will soon fade away and the country will return to its pre-pandemic prosperity. But the Biden administration’s regulatory agenda virtually ensures that the post-pandemic economy will be nothing like it was before. The mounting regulatory burden of Mr. Biden’s executive orders, his regulators’ open hostility toward America’s economic system, and the return to Progressive-era antitrust enforcement will stifle growth. All the ingredients will be present to turn the current inflation into stagflation.
America’s experience with regulatory excess is both recent and painful. When the subprime recession ended in mid-2009, economists predicted a strong recovery. In early 2010 the Office of Management and Budget projected 3.7% average real gross domestic product growth through 2016, the Congressional Budget Office estimated 3.3% growth for the same period and the Federal Reserve expected 3.5% to 4% through 2014. Instead, GDP growth slumped to an 80-year low of 2.1% during the 2010-16 recovery.
Democrats claimed the nation suffered from secular stagnation. But when subsequent deregulation and tax cuts revived the economy and the Biden administration needed justification for more stimulus spending, Democrats suddenly decided that Mr. Obama had stopped stimulating the economy too soon. While federal spending in 2009 hit the then-postwar high of 24.4% of gross domestic product, the 23.3% in 2010 and 23.4% in 2011 were the second and third highest postwar levels. By 2012, some 3½ years after the recession ended, federal spending was still 22% of GDP, then the fourth-highest postwar level.
Soaring spending and massive monetary accommodation couldn’t offset Mr. Obama’s stifling regulatory burden. While ObamaCare’s taxes harmed the economy, the wet blanket of his regulatory burden smothered the recovery, long before the 2013 tax increases.
In imposing ObamaCare, government increasingly dominated the healthcare industry, the green energy agenda hit auto producers and power plants and stifled the domestic energy industry with regulatory actions such as blocking the Keystone pipeline. Large banks were regulated as if they were public utilities, forcing them to replace tellers and loan officers with lawyers and compliance officers. The new Consumer Financial Protection Bureau (CFPB) investigated and harassed mortgage companies, as well as auto and personal lenders, and the Federal Communications Commission sought to regulate the internet as a 1930s monopoly. With some 279,000 federal regulators churning out more than 650,000 pages in his Federal Registers, Mr. Obama bound the economy in red tape and imposed 50% more costly “major rules” than had ever been issued.
Despite strong private investment levels during the Obama era, labor productivity—the mother’s milk of wage gains—averaged less than half the growth of the previous 20 years. The problem was business “investment” was made to meet regulatory requirements, rather than to increase efficiency and expand the productivity of the economy.
During the first days of the Biden administration, the cold dead hand of government regulation reached further than it had during the Obama years. Initial executive orders eviscerated cost-benefit analysis as the basis for regulatory policy by defining benefits to include “social welfare, racial justice, environmental stewardship, human dignity, equity and the interests of future generations.” Executive orders opposed business mergers and acquisitions independent of consumer benefit and targeted the oil and gas industry for extinction.
In seeking to reregulate railroads, Mr. Biden is trying to overturn the deregulatory legacy of President Carter and Sen. Ted Kennedy, whose achievements made the American transportation system the most efficient in the world and cut the cost of moving people and shipping goods in half. In antitrust enforcement Mr. Biden seeks to reverse almost a half century of bipartisan reform that junked Progressive-era regulations and profoundly expanded productivity, especially in transportation and high-tech communications.
Nowhere is the Biden administration’s radical regulatory agenda more evident than in his appointees. President Clinton appointed Larry Summers, Arthur Levitt and Alan Greenspan
to regulate in the consumers’ interest and to grow the economy, not to transform it radically. Mr. Clinton’s regulators and regulatory policy let America prosper.
While Mr. Obama’s regulators stifled business and job creation, Mr. Biden’s are openly hostile to the industries they regulate and to the American economic system. They seek not to protect investors and consumers but to make business serve government goals.
Lina Khan, Mr. Biden’s Federal Trade Commission chair, rejects the long-held consumer-benefit standard for antitrust action. She has called for breaking up leading tech firms simply because “big is bad,” despite no evidence of consumer harm. When consumer benefit is no longer the test of antitrust policy, consumer restitution is no longer the remedy. Threatening breakups, divestment and treble damages rather than enforcing the nation’s antitrust laws, the FTC can shake down business and exercise control over America’s most successful firms. U.S. tech policy now mimics the Chinese antitrust model where only government should be large and influential.
Mr. Biden’s CFPB chair, Rohit Chopra, hopes to hunt down big tech, forgive student loans and promote equity and diversity. Mr. Biden’s Securities and Exchange Commission chair, Gary Gensler, wants to compel private wealth to serve public goals such as fighting climate change and advancing social justice rather than protecting and promoting investors’ interests. And while President Biden’s nominee for comptroller of the currency, Saule Omarova, withdrew because of her Soviet-era ideology, he is now considering Richard Cordray
as vice chairman of the Federal Reserve for banking supervision. Mr. Cordray’s only experience in banking was harassing, politicizing and intimidating those he regulated as Mr. Obama’s CFPB chairman.
Through Mr. Biden’s executive orders and regulatory policy the American economy is being transformed from the great colossus of world capitalism into a subservient Vichy capitalism, whose master is government and not the consumer. We aren’t in Kansas anymore.
If the regulatory stagnation of the Obama era is repeated by a doubling or tripling down on Obama-era regulatory policy, slowing growth seems destined to follow the current post-pandemic economic surge. If new stimulus spending and monetary accommodation is employed to stimulate sagging growth, that stagnation could easily turn into stagflation.
