Have you noticed the cocky manner and strident tones of Obama's speeches lately? He takes on a self-righteous position with claims of reducing Washington DC spending by 17 billion dollars, while expanding spending by over one trillion. He goes on the attack against businesses for a few extra tax dollars, as if an attempt by our good companies at being competitive abroad deserves the same treatment as tax-cheats.

Obama targets foreign tax havens – from the Seattle Times

The Obama administration has found that a growing number of American companies are shipping jobs to other countries, taking advantage of lower corporate tax rates there. Many of them are at the same time writing off expenses on their U.S. ledgers incurred on behalf of those foreign divisions.

To level the playing field, Obama would bar firms from taking deductions for expenses of domestic operations that support their overseas investments until they pay U.S. taxes on the profits. He also would crack down on firms that overstate foreign tax bills. Moreover, he would reverse a Clinton-era rule that permits firms to transfer cash between countries more easily.

In practice, Obama officials said, that rule has been used to shift income away from higher-tax countries and into tax havens such as Bermuda and the Cayman Islands , allowing firms to reduce their tax bills.

The problem resulting from this is that the U.S. units that support the foreign divisions will next be moved abroad as well. The net result is even fewer U.S. jobs.

US companies attack Obama crackdown on foreign tax havens – per the U.K. Telegraph

If U.S. companies, at which the new tax rules are aimed react another way, then our ally Great Britain will lose jobs. It is clear that U.S. companies' ability to compete will be hurt.

President Obama faces tough opposition from both Republicans and Democrats on Capitol Hill. Senate Finance Committee Chairman Max Baucus, a Democrat from Montana, said the plans needed "further study".

President Obama faces tough opposition from both Republicans and Democrats on Capitol Hill. Senate Finance Committee Chairman Max Baucus, a Democrat from Montana, said the plans needed "further study".

Capitalists should fight back

Obama and all of his cohorts blame the current recession and credit crisis on the free market. We have not had anything close to a free market since 1913.

The age of capitalism or the free market came to an end with the creation of the Federal Reserve. And while it did not do a lot of damage until 1929, the seeds of destruction were planted, as the Fed enabled the deficit spending to fund the First World War.

While a case has been made that the Fed made easy money available in the 1920s, the fact is that the money supply was fairly steady and that the growth in stock prices was justified by growth in earnings, a correction was due by 1928. However, what really spooked investors was the repeated stories about the coming of the Smoot-Hawley Tariff.

Moreover, the final blow came in late Octover 1929 when news broke that the last obstacles to passage of the act by the Senate were gone. The certainty that world trade would be seriously damaged by the new tariffs sent people scrambling to divest shares. The forecast was confirmed as during the next three years, all of our trading partners enacted retaliatory tariffs, bringing world trade to a grinding halt.

Meanwhile, the Fed was paralyzed, reducing the money supply in late 1929 and through 1932. This did anything but ease worries of investors and entrepreneurs who needed to borrow.

The rest of the Great Depression you can read about elsewhere. It took almost twenty years before the market was back at the level of 1929. But we hardly had a free market any more.

The New Deal and countless regulatory acts since then have gradually strangled the market. It has been a regulated market and a mixed economy ever since.

So do not talk about the George W. Bush years as a time of free market capitalism. It was just another, though possibly the worst, period of fascist state capitalism.

Instead of enacting more anti-capitalistic controls on the market, turning sharply to the Left, this is the time to remove regulations and drastically cut all taxes. Get government out of the Economy just like we want it out of Religion.

Conclusion

Is there a shred of real capitalism left in the U.S.A. ? Obama's standing orders seem to be “Find it, take it out to the wood-shed and shoot it!” Even the IRS tells us that we should not pay any more tax than the tax code requires. However, to Obama, if you rationally try to reduce costs such as taxes, you now are an Enemy of the People.

It is time for the government, specifically president Obama, to show a little humility, appropriate for a servant of the People of the United States, and not our Master or Fuehrer. This is not a kingdom or morarchic democracy but a democratic republic. If the existing government cannot recognize the limits imposed on it by the constitution, it is clearly time to resist it, possibly to replace it with a legitimate government.