Many Republicans were cheered by Hillary Clinton’s victories this past Tuesday. Rush Limbaugh had even recommended that Republicans cross parties and vote for her. And this may have played a critical role in Hillary’s campaign saving victories. Even though these developments have made for strange bedfellow, this should not distract from the liberal policies Hillary’s campaign is based on. She may be preferable to Obama but she is dangerous for America.
Hillary is a committed leftist who believes in the almost unlimited power of government to solve complex economic and social problems. We should not forget that this “government knows best” approach would have disastrous consequences for our economy and way of life.
Take her proposal for a moratorium on foreclosures and a five year freeze of interest rates on subprime mortgages. Ignoring basic economics, her proposal is likely to wreck the housing market in the name of saving it.
You don’t have to be an economist to understand that lenders provide loans based on the ability to recoup their investment plus a profit over time. Hillary’s plan removes this ability. Without the ability to recoup either the necessary interest or collateral they are simply being asked to take a loss.
Lenders facing a freeze on rates for five years will have to seek that profit elsewhere. This means higher interest rates for everyone else. Higher interest rates mean fewer homebuyers, greater downward pressure on housing prices, lost equity and even increased loan defaults.
Hillary’s plan is a draconian government solution that warps the market and punishes those who have been responsible in the name of saving unknown victims. Irresponsible borrowers are bailed out right along with those who might have been taken advantage of by unscrupulous lenders. Her disastrous proposal thus would damage the housing market, place a drag on the economy, and send the wrong signals to homeowners and potential homebuyers.
In Hillary’s worldview, however, citizens are always helpless victims rather than participants in the market. Government is the solution, not the problem. This pattern plays out in her approach to energy policy as well. Hillary proposes to “take back” the profits from energy companies by closing tax “loopholes” and “invest” it in government research. She claims this will result in the creation of thousands of “green collar jobs.”