Bernie Sanders’ loyal fans are under the assumption that he can do what FDR did. Franklin Delano Roosevelt (FDR) became the President in 1932 during the Great Depression and was re-elected for stunning four times in a row.
FDR introduced social security and many other social programs and public projects that lifted millions of Americans out of poverty.
But Bernie won’t be able to replicate that. This is why:
FDR did something to finance all his programs that no current President will be able to do now — FDR confiscated all the gold in America. Yes, Americans were forced to sell all their gold to the Federal Reserve Bank which then printed dollars. It was gold-backed dollar that pumped up the economy. This is not a feasible solution anymore since a) Americans will rise up against the government in case of any such confiscation attempts, and b) Americans really don’t own gold like they used to do before.
What saved America was also World War II. America was playing the “neutral” role for a long time and manufactured/supplied weapons to all sides, including Japan and Germany. For example, Rockefeller and Koch brothers had huge business dealings with Hitler. Many Wall Street firms were financing all sides of the war. So, while Europe was killing itself, it was sending America all its gold for guns, ships and planes. America’s manufacturing boomed, thanks to World War II.
So, yes, war can be a boost for the economy. Maybe that’s why the elites are really trying to provoke Russia. Let’s hope they don’t succeed. As Einstein said “I don’t know how World War III will be fought, but World War IV will be fought with sticks and stones.”
FDR taxed the hell out of the Top 1% – raised the top tax bracket from 25% to 65% in a single move and then to 80%. It worked at that time because the rich had all the money within the U.S. But the rich have gotten smarter since then! Now the richest individuals and corporations have all their money parked in Cayman Islands and other offshore accounts, safe from the hands of the revolting mob. (Yup, more than $30 trillion in offshore accounts).
Going back to Bernie Sanders, he is promising the sun and the moon. He might even win the Presidency, but a lot of people are going to be very disappointed. As I have detailed before, 2016 might very well be the year of deep recession. And with the global debt bubble out of control – $200 trillion of government, corporate and household debts worldwide – the next recession will resemble a depression.
Go ahead and #FeelTheBern, but think critically and ask questions