Global Investing

McCainonomics

October 3, 2008

Republican presidential candidate John McCain has admitted in the past that economics is not his strong suit. In an interview with Reuters this week, he expressed a desire for a Treasury secretary who inspires confidence and trust if he should win the White House. rtx92vl.jpgMcCain also aid he could balance the budget by 2013 if the economy gets going and if nothing is done to harm growth.Nothing worrying about any of that.

But the odd eyebrow may have been raised when the Arizona senator got onto the dollar, which he wants to bolster, and China. “The first step that has to be taken is obviously we have to stop mortgaging our economy to China … and asking them to finance our debt,” he said. This sounds like he wants China to stop buying U.S. Treasuries.

“That I think would have the most salutary effect in the short term,” McCain added.

China owned $518.7 billion of Treasuries at last count, or 19 percent of all foreign-owned U.S. government debt. Its purchases month after month have gone a long way to keep borrowing costs down for Americans and keeping the dollar up.  Economics 101 would tell you that if China did stop, rates would soar and the dollar would dive.

Comments
5 comments so far | RSS Comments RSS

Isn’t the goal to get rid of debt not to sell it? I think McCain was thinking along those lines. with less debt the dollar couldn’t help but grow stronger.

Posted by Ben | Report as abusive
 

Knowing that McCain and Obama voted for the socialization of our once great country I have the following to say:

The last nail in our democratic coffin was banged in today. We are now officially a socialist country.
My question now is: where do I send my bills to so that the government can pay them? These bills include but not limited to my mortgage payment (currently on time), my grocery,fuel, medical and of course fuel cost for both work and pleasure?

My congresswoman who voted for this bailout will not be getting my vote in November but maybe I should start sending her my bills.

Niether McCain nor Obama will be getting my vote. I cannot vote for a socialist minded individual. I will be writing in Mitt Romney

Posted by Steve | Report as abusive
 

You know I used to be a big Palin fan, but I recently saw this blog that really opened my eyes (http://everythingsarahpalin.blogspot.co m/) . Now I’m not one to easily be swayed but Carol, the lady who wrote this blog, had hundreds of sources and links to said sources .I could not believe that McCain choose her to be his VP choice after reading such a thing and I feel that others should be made aware of who Sarah Palin is exactly.

Posted by Morgan | Report as abusive
 

McCain and Palin are playing the same old Bush song. They say they are going to change things, but they are staying in Iraq, keeping the same old lower taxes message, and criticizing the other candidate.

Both McCain and Palin talk about jobs. Jobs is not a goal or a plan. We had WPA and CCC in the 1930s but these jobs did not lead to getting the country out of the depression. The shift to manufacturing in China has been one of the greatest failures there ever was. Lack of quality control, lack of environmental responsibility, and quick profits from low cost labor is all there is.

We have to get back to building the United States.

Posted by Fred Belz | Report as abusive
 

This is in response to the message posted by Morgan, Steve and Ben:

Dear Morgan, if you are not capable of doing your own research about a candidate, you don’t have the right to talk. If your only source is one website with the purpose to move your opinion from one side to the other, then you speak correctly. Research, analyze objectively and not emotionally, chart the sources and the points of interest to you, then you will arrive to apparent truths. Once you have apparent truths, then you can execute your judgment as to whom principles you relate.

If you study the design of our republic, you will notice that the power belongs to the “We the People”, but by you and I voting based on one person’s agenda cancels out the principles of democracy.

In a republic, we first elect the person who represents us before the government, that is your House of Congress nominee. Secondly the constitution allows for a 50/50 tie breaker by you and I voting for two more representatives called Senators. That is a total of 3 agents representing you and I to make legislation. The president is a tie breaker in the process of legislation, House of Representatives has One vote, the Second belongs to the Senate, and the tie breaker belongs to the president. If “We the People of the United States of America” want to over write the president’s vote, congress can take a new rollcall and do so. A president can only do so much.

Here is my suggestion to all Americans like you and I:

Make sure you are well represented in the United States Congress. Choose these agents wisely, then make them accountable, communicate with them, call, write, work your community. That is where the power is!

Read the United States Constitution, be a great student of it, and most importantly claim your rights as given upon you.

Same goes for your own State’s representatives and Governor. We live in a place of choice, we just have to know where the vote counts.

The books to read are:

United States Constitution and Bill of Rights
Your Own States Constitution and Legislation

These can be found online for Free!

Posted by David | Report as abusive
 

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