How Obama Turned America into Venezuela


Hugo Chavez’s death was met with tributes from Iran, Bolivia, China and El Salvador. The Western left did not waste much time adding their withered roses to El Comandante’s coffin. George Galloway called him another Spartacus. Jimmy Carter described him as a leader who fought for the “neglected and trampled.” Michael Moore praised him for declaring that the oil belongs to the people.

Whether or not the oil belongs to the people is a matter of some debate considering how much of it ended up in Chavez’s pocket.

Chavez died with an estimated net worth of 2 billion dollars making him the 4th richest man in Venezuela and the 49th richest man in Latin America.

While the Bolivarian Spartacus lined his pockets with oil money, Venezuela’s middle-class was struggling to get by in a country where the private sector had imploded. Income increased on paper, but decreased in reality. Around the same time that Comrade Hugo was launching the third phase of his Bolivarian Revolution, inflation had decreased household income 8.8 percent while consumer goods prices increased 27 percent.

On his deathbed, Hugo Chavez devalued his country’s currency for the fifth time by 32 percent, after tripling the deficit during his previous term when the national debt had increased by 90 percent. From 2008 to 2011, Chavez’s oil-rich government increased the debt by nearly 50 billion in a country of less than 30 million. That same year, The Economist speculated that Venezuela might go bankrupt.

Chavez had swollen the ranks of Venezuela’s public employees to 2.5 million in a country where the 15-64 population numbered only 18 million. With 1 public employee to every 7 working adults, the entire mess was subsidized by oil exports and debt. When the price of oil fell, only debt was left.

Those public employees became Chavez’s campaign staff with no choice but to vote for him or see their positions wiped out to keep the economy from crashing. And they won him one last election.

The dead tyrant leaves behind the lowest GDP growth rate and highest inflation rate in Latin America. He leaves behind an economy where more than half the population depends on government benefits or government jobs. He leaves behind a giant pile of debt for the people and 2 billion dollars in misappropriated oil money for his heirs.

But we don’t need to look to a leftist banana republic south of the border to see how profitable fighting for the poor can be.

7 of the 10 richest counties in America are now in the Washington D.C. area. Arlington County alone added $6,000 to its average income in one year alone. D.C. and its bedroom communities got rich at twice the rate of the rest of the country and in the last election; Obama won 8 of the 10 richest counties in the country.

Washington D.C. is richer than Silicon Valley. Median income in the D.C. area hit $84,523 despite the city itself having horrendous unemployment and poverty statistics. The top 5 percent in D.C. earns 60% more than the top 5 percent in other cities and 54 times what the bottom fifth earns in that same city.

This wealth of government money isn’t a rising tide that lifts all boats. Income inequality in Washington D.C. is one of the worst in the nation. For families with children, the income inequality level in D.C. is double the average for the rest of the country.

But when you concentrate the wealth of the land in a single imperial city, then you end up with a sharp gap between the poor and the fighters for the poor. Mid-level jobs are disappearing, but high-level jobs continue to grow. Small businesses are going out of business, but lawyers and consultants are being hired at a breathtaking rate.

Washington D.C. has the highest concentration of lawyers in the country. 1 out of every 12 city residents is a lawyer. 1 in 25 of the country’s lawyers lives in Washington D.C. In 2009, the Office of Personnel Management reported that there were 31,797 practicing lawyers in the Federal government earning an average salary of $127,500 a year. Or to put it another way, the taxpayers were spending double Hugo Chavez’s 2 billion dollar net worth each year just to pay the lawyers.

That was in 2009. The numbers have undoubtedly gotten much worse since.

That same year there were 383,000 federal civilian workers with six figure salaries. Multiply that and you get all the debt that Hugo Chavez dumped on Venezuela being dumped out in a single year on American taxpayers.

The number of Federal civilian employees is only slightly higher than in Chavez’s utopian Socialist paradise, but average Federal employee salary clocks in at a mean $75,000.

Federal civilian employee wages and benefits run around $200 billion. The cost of the Federal workforce in a single year is more than double Venezuela’s entire national debt. During Nixon’s first year in office, $200 billion would have covered the entire Federal budget. Now it’s just the paychecks. In the United States Department of Health and Human Services, which oversees welfare and food stamps, among other things, 1,461 of HHS’ 64,750 employees earn over $155,000.

While the Obama Administration fires marines, it hires more civilian employees. 101 new Federal employees have been hired every day of Obama’s first term in office. In 1962, there were more American military personnel than Federal civilian employees. The number of military personnel has dropped sharply, but the number of civilian employees is higher now than it was then. And their salaries have become much higher.

But the civilian employees are only part of the picture. The massive deficit spending has turned Washington D.C. into a treasure trove of government grants and stimulus plans on the favor train. The national debt grew by 6 trillion dollars in one term of Obama adding $50,521 in debt per household. That money was used to buy favors and support across the country.

While Obama ran on a platform of taking care of the poor, he was raiding the social safety net to buy support from a coalition of billionaires that paid him back with bundled contributions and SuperPACs. Green Energy tycoons got rich on loans and grants, while the middle class imploded. Billions in taxpayer money was traded for millions in contributions in one of the dirtiest deals to take place outside an actual banana republic.

Like Chavez, Obama presides over a poorer country whose poor are convinced that he is the only thing standing between them and absolute poverty. Deficit spending and high debt has destroyed any potential for GDP growth leaving America looking like an oversized version of Venezuela.

The new America is not a booming economy, but a political power structure built on unsustainable spending. Like Chavez, Obama has created an impossible trap that leaves half the country dependent on him and leaves his opponents with no alternative but to propose some form of austerity. It is an economic kamikaze maneuver that invariably ends with economic or political destruction.

Obama, like Chavez, has made economic recovery structurally impossible, perpetuating poverty in order to profit politically from the national state of misery. Chavez died before the consequences of his economic policies caught up with Venezuela. Like Chavez, Obama won a contentious election, but he has no easy escape from the economic destruction coming up on the road ahead.

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  • harrylies

    When Frontpage Magazine calls for the abolition of Social Security, well know you are serious. Social Security is just like Chavez.

    • JacksonPearson

      No it isn't.

      Social Security was very stable, and doing just fine until the politicos in Washington saw a big pile of cash they could steal from the SS Trust Fund. And steal they did…over 4 trillion. They called it borrowing. But I've always questioned, just exactly how were these criminal politicians going to pay that amount of money back to the Trust Fund? How…well the answer to that was easy, never. They instead created another boondoggle called ObamaCare…right?

      The democrats intentionally broke every promise that FDR made, when he created social security.

      • Hannah

        Also, they decided illegals would qualify for benefits of every kind…including Social Security.

    • mah29001

      Hey "genius", social security and Federal with holdings take money out of my paychecks every month you turdling. Wow, I'm surprised you want more of something you'll never get in the end.

  • ApolloSpeaks

    WHAT KILLED HUGO CHAVEZ?

    Was there foul play involved in his untimely death as some conspiracy theorists allege with the US somehow giving him the cancer that killed him? I don't think so. How can you kill someone with cancer who is a cancer? A more likely cause of the socialist billionaire oilman's death is that he died of lung cancer from all the deadly, toxic CO2 his poisonous state run petro business put in the air. After 14 polluting years what other explanation is there? BTW looks like Ahmadenijad was wrong and that Chavez wasn't Jesus Christ after all. How do I know? Three days have passed since his death and there's been no resurrection from the dead.

  • pierce

    So the USA is now the Venezuela of the Northern Hemisphere. It is becoming very possible with Obama's extensions of food stamp programs for our have-nots, and those to lazy to look for a job.
    Next some one will put Obama in the same class as Castro, and Amindinijad, revered by one and all. What a triumvirate, champions of the masses, less of course Chavez, but then it would have been a quartet.
    Wow Obama, Castro. Chavez, and Amindinijad all mentioned in the same breath, all champions of the people.

  • STEVEN CHAVEZ

    "And OBAMA will get a TOMB. Due to Obama's infatuation with Abe Lincoln, his TOMB will be set at the feet of Lincoln and will be called the 'OBAMA LINCOLN MEMORIAL.' After ten people protest that he should have his own memorial, it shall happen."

    When this happens, I will walk from Albuquerque, camp out for months, to be the first in line so I can PI-SS ON IT!

    • Big Irish

      move over Steve……

      • STEVEN CHAVEZ

        Hey, didn't you see I walked from Albuquerque, camped out, and was first in line? Are you an ILLEGAL who wants cuts to the front of the line? Hey, he's the one that lets you take cuts! "Move over?" Wrong memorial.

      • Lan Astaslem

        I'll make sure to walk my dog by it right after he has a big meal.

      • STEVEN CHAVEZ

        You know I'm being sarcastic. I made the point that Obama gives cuts to illegals. I almost got to go to Moscow in the late 80's but the Fall of the Wall ruined it since I was to visit with a Soviet-American Friendship Committee to play music. I seriously thought I would drink some vodka, I don't drink, while waiting in line to see Lenin and then vomit on him. I could have said, "The sight of him made me sick." Peeing on him would have surely sent me to the Gulag.

    • Frank Davis

      Steve, his grave will be VERY SOGGY by the time you get there!

  • HiPlainsDrifter

    As long as Obama is not tied to the destruction his policies cause, the low/no information voters, who now, seemingly, run the country, will always prevail.
    When a man is broke, with no prospects, any "lifeline", no matter how inefficient, will be considered a "godsend"…

  • LeRoy Matthews

    Study my Letter on Diana@Philosophyinaction.com.
    Stop Lying- Obama HASN'T turned America into Venezuela.
    The so-called "federal government" is not only Bankrupt, & Head- Over- Heels In Debt, It's Operating Way In The Red, & Has A Huge, & Increasing, Budget Deficit. There's virtually zero $ for anything whatsoever.
    (Instead of searching for Crazy Inbox, try June 5, 2012 p=6498.)

  • http://twitter.com/quark1912 @quark1912

    You gotta believe that we're on the eve of destruction – there is a song in there somewhere.

  • Fred Glass

    What would happen if half of those on the government payroll were laid off? Would they be able to find work? Are there enough jobs in the economy for them? And supposing that there were enough jobs would the typical government worker have the skill, intelligence & physical robustness to do them? Is it possible that government employment has evolved into a giant make work scheme as a substitute for welfare? Are our problems of not enough employment beyond political ideologies. And are the left wing ideologs really just power mad opportunistic thugs taking advantage of the predicament of overly productive technology?

  • Feisty Hayseed

    Obama has reoriented the Federal Government to become a money laundering machine to pay back his political supporters / contributors and to buy favors from present and future voters using American Taxpayers dollars. The beneficiaries include (but is not limited to) Public Sector Unions (SEIU, NEA, AFT), Trial Lawyers, Green / Renewable Energy Schemes (also major contributors), Federal Government Employees, Hollywood, Women's Rights Movement, Abortion Rights Movement, Gay Rights Movement, Public Sector Unions (UAW, Teamsters, AFL-CIO), Gun Grabbers (Gun Violence Controllers), Man Made Global Warming Alarmist "scientists" employed by U.S. and Global Government, and Illegal Aliens (living in the shadows). The final rinse cycle of the money laundering scheme sends the money directly to the Democratic Party or one of its many tentacles / shadow organizations.

    • Spider

      Spot on feisty

  • Ghostwriter

    I have no idea why there are people who liked Hugo Chavez. I always thought he was a pompous blowhard with some paranoid delusions. President Obama has little idea about how the economy operates and it shows.

    • Bill

      I like him the way he is now.

  • Hannah

    Well, since they now have an opening and a constitution and philosophy more to Obama's liking, why doesn't he apply to be their new presidente?

    Obama is better suited to an Islamic country or a dictatorship than the US Presidency. I'm sure a bunch of people would buy him a one-way ticket to the marxist hell-hole of his choice.

  • PacRim Jim

    In Obama's class-struggling world view, there are no Americans.
    There are simply us vs. them.
    Good vs. bad.
    It's called manichaeism, in case philosophy is still taught at the American monoversity.

    • Toa

      "Monoversity"…I like that!

  • itsy_bitsy

    Obama is quickly setting himself up as the first dictator this country has ever seen! His only view point is coming from how he gains power and wields it to enhance his position and enrich himself and his friends!

  • http://www.trinidaddigital.com/ Klaus

    ZC

  • slider 96

    LOL….good story Daniel , must polish up on my Spanish , ya know , now that we're Venezuela .
    Here's a good , take it and run with it man –

    “The President and Bo, the Obama family dog, ride in the presidential motorcade en route to PetSmart in Alexandria, Va. The President bought Bo some Christmas gifts at the pet store then walked nearby to Best Buy to purchase gifts for his daughters.” (Business Insider)

    The White House will close its doors to tourists next week.
    But Bo the Obama Dog gets to keep his motorcade.

    THAT by Jim Hoft , ya know the guy that won the Accuravcy in media award to be presented at CPAC.
    .

    • Daniel Greenfield

      Does sound like something he could have done online.

      Motorcades tend to be fantastically inconvenient. I've seen them in action. They can tie up an area for hours.

      It's just basic consideration here.

  • isahiah62

    "….the oil belongs to the people"

    well then if these damn hypocrites love Chavez for that, why do they despise Sarah Palin ??? She was able to make sure people in her stae did get a payback for their oil PLUS do it without confiscating or nationalizing anyone's company or embezzling any of the cash for herself…………………………….

  • ApolloSpeaks

    WHAT'S THE DIFFERENCE BETWEEN OBAMA AND CHAVEZ?

    Darker skin and less charisma. Otherwise they're equally destructive leftist loons very good at deceiving people into liking them while ruining their countries.