The president’s un-American world view 3

Although the president said in his State of the Union speech last night that ‘The true engine of job creation in this country will always be America’s businesses’, which seems to be a pro-free market view, Erick Erickson at REDSTATE finds convincing evidence in the speech that Obama is against the free market, and probably does not understand how it works.

He quotes this passage:

To make college more affordable, this bill will finally end the unwarranted taxpayer-subsidies that go to banks for student loans. Instead, let’s take that money and give families a $10,000 tax credit for four years of college and increase Pell Grants. And let’s tell another one million students that when they graduate, they will be required to pay only ten percent of their income on student loans, and all of their debt will be forgiven after twenty years – and forgiven after ten years if they choose a career in public service. Because in the United States of America, no one should go broke because they chose to go to college. And it’s time for colleges and universities to get serious about cutting their own costs – because they too have a responsibility to help solve this problem.

And he comments

Barack Obama wants to create a new entitlement that will drive the costs of collegiate education through the roof. If a student knows that only ten percent of their income will be used to pay their student loans and no matter what those students loans are they will be forgiven after 20 years, neither the student nor the college has any incentive to save money. It is basic free market economics.

That the President of the United States would say such a thing and think it a good, responsible idea suggests the man is truly ignorant of or an enemy of the free market.

Beyond that, note the preference for government work. Job creators are given a disincentive. Job regulators are given an incentive. This is both perverse and noxious.

One cannot read through the State of the Union address and come to any other conclusion than that Barack Obama is declaring war on the free market. It is more and more clear that Barack Obama does not have an American world view.

A transcript of the whole SOTU speech can be found here.

Posted under Commentary, Economics, government, Progressivism, Socialism, United States by Jillian Becker on Thursday, January 28, 2010

Tagged with , ,

This post has 3 comments.