WHAT CAN THE OBAMA ADMINISTRATION LEARN FROM ZIMBABWE?

Zimbabwe is in an economic mess because its totalitarian leader decided the best way to maintain power was to reshape the national economy according to the passions and fads of his people, says Schlomach:

• Complaints arose that large, white-owned farms continued to flourish, so he expropriated them.
• When the economy shuddered, he tried to make up the loss with government spending.
• And when he couldn't tax enough, he started printing lots of money.

In some ways, Zimbabwe's errors are being repeated in the United States, says Schlomach:

• In just four months, the Federal Reserve has more than doubled our nation's monetary base, setting the stage for historically unprecedented inflation.
• This has been in reaction to a serious economic downturn brought on by government policies that practically bribed us all to bid up house prices.

Our new president would do well to stop the government's financial hemorrhaging and let our economy find a new equilibrium by itself. Our problems have been exacerbated by an overly active government.

READ MORE

[image toon mny - worried goose re growing government]