by Viraj Shah
The world is patiently waiting for the impact of President Trump’s policies. While the world is occupied in a patient frenzied state to see what Trump has up his sleeves, a monumental American problem is slowly creating troubles for the economy. The American debt problem is not ending and with $20 trillion of national debt, the condition doesn’t seem to improve. Celebrating the Obama Legacy- the humility and grace of the former first family, is not enough. We need to look at the darker side of the coin and the possible ruin it may bring to the American dream.
Pandora’s Box of Troubles
Debt fuels the American economy. However, it is the mounting debt of about $20 trillion ($19.944 trillion precisely) that creates problems for the economy. Obama’s eight years in office were remarkable in adding more debt- approximately $9.3 trillion. This means that Obama administration almost doubled the national debt in less than a decade. Is this the legacy that we are looking forward to?
By that number, we added a debt of hundred million dollars every hour during Obama’s presidency. Certainly, the Obama administration was not as graceful as it appears on the outside. The debt is insurmountable. Every full-time employed person in the US is carrying a debt of $75,129 thanks to Obama.
— Yehuda Minkus (@yeminkus) July 28, 2016
Obama has done more damage to America than all presidents before him combined. He has driven the American economy into a state of doom. He claims to have bettered the state of employment. But the truth is that the new employment created by him is not even productive. Creating more minimum wage jobs and adding more waiters and waitresses to large food chains will not make a difference to the country’s economy.
The US Treasuries are distressed now. In November 2016 alone, US papers amount to $936 million were sold by foreign central banks. These sales have now gone on an all time high, which signals further issues for the economy.
Wages are down ▼▼
Student debt is skyrocketing ▲▲
We want a better America for young students. LIKE if you do, too. pic.twitter.com/lq1Vdtr3sB
— StudentDebtCrisis (@DebtCrisisOrg) January 27, 2017
The Welfare Story
Obama also left the country with the highest welfare spending ever. Capitalism took a huge blow under his administration and even though numbers told a different story, the effect of such blatant socialist policies were felt by the average American. Another examples of wasteful expenditure by the former president is his $7 billion pump into the education sector. The program funded by this money had no real impact as published in the ‘School Improvement Grants: Implementation and Effectiveness’ report published by Department of Education.
We all know that the American economy is showing signs of an imminent recession. However, we are still not ready to blame the policies that landed us in this trouble. We are not in a catastrophe right now but this does not mean that the effects will not be felt in the future. Many eminent economists have already predicted a US recession in 2017-18 and the impact will be higher than the 2008 crisis. If so much damage has already been done, will President Trump be able to revive the economy or will he merely be able to keep everything together.
Once can only hope that the debt problem does not become a hindrance for President Trump. However, history will not forget Obama if things go wrong.