Why President Obama failed on the economy

When President Obama was elected, he thought he'd be able to apply Eisenhower-esque solutions to our countries economic problems. Except for he missed something pretty important--Eisenhower was able to do what he did because the country (dare I say the globe) was in an economic depression. In 2008 we weren't yet in a depression, we were only headed there but still in a recession. In order for President to "save" our country he should have allowed the economy to collapse into a depression.

By now you've already assumed "this guy isn't the brightest crayon in the box." When it comes to economics you'd be right. But there are some basic economic principals at play here that the President and his advisers sort of ignored. Like the value of the U.S. dollar goes down when more people have dollars. This is called "inflation." The solution isn't to give people more money--the solution is to take money out of circulation. Prices will then go down because hell, fewer people have money to spend. It's not like throwing money at the problem has forced companies to hire people, so the layoffs that would ensue from price correction are something that happened anyway (perhaps not at the same level they would had we not bailed out everyone and their mother but still). Bringing the 1920s back would have allowed Obama to strong arm republicans into growing government to keep the safety net in tact; instead the safety net is fraying as the government tries to cut spending. New enterprises would grow out of necessity as people would turn to hustling. The 20s had bootlegging; the 80s had crack--who knows what would have arisen in the 2000s?

Granted, going from a capitalist country to a socialist one isn't necessarily the answer either. But this quasi-sociocapitalism isn't working. True capitalism would have allowed AIG and the auto industry to fail. But true capitalism recognizes additional enterprises would have sprang up to replace those institutions, perhaps doing what they did smarter and more efficiently.

Making matters worse is that our governments are now nickel and dime-ing the citizenry (and to some extent their own employees) in order to make up for keeping the safety net in tact as the economy tries to stay afloat or "bounce back." Only problem is the economy can only bounce back after it has a chance to hit the floor. By not letting the ball drop all the way, President Obama failed us.