Joel C. Rosenberg's Blog Night and day: President Trump warmly welcomes Israel’s leader & the contrast with the Obama years

New post on Joel C. Rosenberg's Blog

Night and day: President Trump warmly welcomes Israel’s leader & the contrast with the Obama years couldn’t be more vivid. (My observations on the “two-state solution” & other major issues the two leaders discussed.) by joelcrosenberg (Central Israel) -- Israeli Prime Minister Benjamin Netanyahu has been warmly greeted and embraced this week by President Trump, Vice President Mike Pence, and by the Congressional leadership of both parties. As I told Laura Ingraham on her radio show today, the contrast between what we're seeing unfold with the Obama years could not be more vivid -- "it's night and day." Understandably, the five critical questions I raised on this blog yesterday remain to be answered. It will take some time for the Trump team to define its Mideast policies in all these key areas in granular detail, and for Trump and Netanyahu to come to agreement on how best to work together vis-à-vis Iran, ISIS, the Palestinians, and the extraordinary open door that currently exists with moderate Sunni Arab regimes in the region. But one thing is crystal clear: U.S.-Israeli relations are stronger and healthier than they have ever been. May our enemies take notice. A few observations on the dramatic last twenty-four hours: We finally have an American President who understands that the major threat in the Mideast to the Western world is Radical Islam, and that Israel is a large part of the solution, not the central problem in the region -- this is an enormous change from the last eight years and it will have very practical policy effects in the days ahead. During Wednesday's joint press conference, President Trump and Prime Minister Netanyahu sounded in synch on the threat posed by Iran and how terrible is the Iran nuclear deal agreed to by President Obama. [To read the full transcript of the press conference, please click here.] What remains to be seen are the details of the Trump administration to counter the Iran nuclear, missile and terrorism threat. The good news: Mr. Trump has quickly imposed new economic sanctions on Iran for their illegal missile testing. But much more needs to be done, including moving U.S. military assets -- including two aircraft carrier battle groups -- into the region to send a clear signal to the ayatollahs in Tehran that there's a new sheriff in town. More good news: Trump and Netanyahu both spoke of the importance of reaching out to the Sunni Arab states and finding a way to advance security and peace with them. President Obama consistently refused to work in a pro-active and bold manner with Israel, Jordan, Egypt, the Gulf States, the Saudis, Morocco and others to counter the Iran and ISIS threats. But something new and positive appears to be emerging. Yes, President Trump made big headlines by saying he is not committed necessarily to a "two state solution" to Israeli-Palestinian conflict. To be clear, Trump didn't actually say he was opposed to a two-state solution, but he said his position was to ask the parties to negotiate and agree upon something that works for both of them. In doing so, Trump revealed an understandable degree of skepticism that the Palestinians actually want a two-state solution that involves living in peace next door to a Jewish Israel state. To be clear: as an Evangelical, I am commanded to love my neighbors and my enemies, and I do love the Palestinians. Indeed, I'm doing my best to get to know Palestinians from all walks of life, and especially Palestinian pastors and Christian ministry leaders, many of whom I count as friends. I sincerely want the Palestinians to live in freedom and opportunity. I long to see their daily lives and future fortunes improved. I want every Palestinian parent to be able to raise their families in security and dignity, free from terrorism, poverty and injustices of all kinds. I'm especially heart-broken to see the tragedy that has befallen the Palestinians in Gaza who live under the tyranny of Hamas and deserve to be liberated immediately. At the same time, I find myself baffled that Palestinian leaders have consistently rejected a two-state solution for seven decades, ever since they and their colleagues in the Arab world rejected the U.N. Partition Plan in November 1947. In the final months of the British Mandate, the Partition Plan specifically called for the creation of both a Jewish state and a new Arab state West of the Jordan River. It wasn't all that the Jewish leaders or people of the time wanted, but they said yes. The Palestinian Arabs said no. The Jordanians built a vibrant, forward-looking state in the aftermath of the British Mandate. So have the Israelis. Why do the Palestinian leaders continue to reject peace, prosperity and progress? They have been offered a sovereign state of their own repeatedly since 1947, yet they say no again and again. It's deeply painful to watch such rejectionism, and the consequences it has for the average Palestinian person. What's more, it's painful to watch Palestinian school children be taught to glorify terrorists, and to yearn for the destruction of the State of Israel so that they can have all of the land from the Jordan River to the Mediterranean Sea. I'm not saying Israel has done everything right over years. Sadly, this is just not the case. But how are we ever going to have calm and security and a meaningful future on both sides if Palestinian children are being taught to embrace hatred and violence? Israeli schools don't fuel such incitement. Rather, Israeli Jewish children are mandated to learn Arabic from the fifth grade up. Yes, Prime Minister Netanyahu side-stepped using the term "two-state solution."  Many Arabs are furious at this. But let's be clear: Netanyahu did not rule out two states living side-by-side in peace. Rather, he raised doubts that the Palestinian leadership are serious about making peace. Specifically, Netanyahu reiterated his key points from his famous 2009 speech at Bar Ilan University -- peace with the Palestinians requires two things: 1) Palestinians to accept Israel as Jewish state; 2) Israeli security control west of Jordan River. Notably, Netanyahu also did not say he was preparing to annex Judea and Samaria (ie, the West Bank), as many in his government are urging him to do (at least to annex "Area C.") Hopefully, Arab leaders will examine carefully what Netanyahu did and didn't say. Netanyahu did ask Trump for the U.S. to recognize Israel's annexation (years ago) of the Golan Heights as sovereign Israeli territory critical to our defensible borders. I hope Trump will agree to this. It is inconceivable to imagine the danger Israel would currently be in if the bloodthirsty Assad regime controlled the Golan Heights today (like so many American foreign policy experts insisted over the years should happen). It is rare for an American President to call out the Palestinian leadership for incitement and teaching hatred to their children in their schools and textbooks, but President Trump was factually and morally correct to do so. Noteworthy: This is first time since Netanyahu became the Prime Minister of Israel for the first time in 1996 that he has ever had a Republican President to work with. Netanyahu was beaming during the press conference, and it is clear that there is a much warmer chemistry between him and President Trump than there ever was between him and President Obama. Also noteworthy: 1) President Trump did not explicitly promise to move the U.S. Embassy to Jerusalem; he said he'd like to and he's looking at it carefully; 2) Trump told Bibi both sides have to compromise; 3) Trump said he doesn't want to see more settlement growth, but that this would be discussed further in their private meetings. Netanyahu will remain in Washington for several days. He had breakfast with Vice President Pence this morning. He met with Speaker Paul Ryan. He met with Congressional leaders from both parties. He's also doing some media interviews. Finally, it should be noted that Netanyahu is under investigation by police authorities here in Israel. There is speculation that he could soon be indicted on various charges. It's not clear whether this is a political witch hunt, or whether the allegations have solid facts supporting them. But it should be noted that it's possible that Netanyahu could have to step down from office -- or could be removed from office -- in the months ahead. Who would replace Netanyahu as Israel's prime minister? Let's cross that bridge only if we get to it. For now, let's pray for both U.S. and Israeli leaders -- for wisdom, discernment, clarity, and courage to chart a new and healthier path forward for both countries. Please pray, too, for their families and their advisors, and for Members of Congress -- both Democrats and Republicans -- to work together to safeguard America and our allies like Israel from the threats of Radical and Apocalyptic Islam. [This column is based on my personal beliefs and opinions. I share them in my personal capacity as a dual US-Israeli citizen and an author. They do not necessarily reflect the views of The Joshua Fund, which is a non-profit organization and takes no political or legislative positions.] ————— You can now pre-order Without Warning in hardcover, e-book and audio formats on Amazon, B&N, or any general market or Christian bookstore. It will release on March 14, 2017. Click here. Order The First Hostage today — the second in this series of political thriller about genocidal ISIS leaders plotting a terrorist attacks against Israel, Jordan and the United States — available in paperback, hardcover, e-book and audio formats. Order THE THIRD TARGET today , the first in this trilogy — now out in paperback. ———————-—- Would you like to make a secure, tax deductible investment in The Joshua Fund (www.joshuafund.net)? This is the non-profit organization Lynn and I founded in 2006 to educate and mobilize Christians to bless Israel and her neighbors in the name of Jesus, to care for the poor and needy in Israel (both Jews and Arabs) with food and other humanitarian relief, care for Holocaust survivors, care for Syrian and Iraqi refugees, and strengthen the Church in the epicenter. The Joshua Fund is a member in good standing of the Evangelical Council for Financial Accountability. Please click here to learn more. Thanks so much! Click here to read the 2016 Joshua Fund Donor Report — and watch the short videos, as well Subscribe (free) to the RSS feed (click here) and receive every new posting on this blog directly via email. joelcrosenberg | February 16, 2017 at 5:40 pm | Categories: Epicenter | URL: http://wp.me/piWZ7-6V3

After Raising Rates Once During The Obama Years, The Fed Promises Constant Rate Hikes During The Trump Era - Michael Snyder THE ECONOMIC COLLAPSE BLOG

After Raising Rates Once During The Obama Years, The Fed Promises Constant Rate Hikes During The Trump Era

Posted: 14 Dec 2016   Michael Snyder  THE ECONOMIC COLLAPSE BLOG

Now that Donald Trump has won the election, the Federal Reserve has decided now would be a great time to start raising interest rates and slowing down the economy.  Over the past several decades, the U.S. economy has always slowed down whenever interest rates have been raised significantly, and on Wednesday the Federal Open Market Committee unanimously voted to raise rates by a quarter point.  Stocks immediately started falling, and by the end of the session it was their worst day since October 11th.

The funny thing is that the Federal Reserve could have been raising rates all throughout 2016, but they held off because they didn’t want to hurt Hillary Clinton’s chances of winning the election.

And during Barack Obama’s eight years, there has only been one rate increase the entire time up until this point.

But now that Donald Trump is headed for the White House, the Federal Reserve has decided that now would be a wonderful time to raise interest rates.  In addition to the rate hike on Wednesday, the Fed also announced that it is anticipating that rates will be raised three more times each year through the end of 2019…

Fed policymakers are also forecasting three rate increases in 2017, up from two in September, and maintained their projection of three hikes each in 2018 and 2019, according to median estimates. They predict the fed funds rate will be 1.4% at the end of 2017, 2.1% at the end of 2018 and 2.9% at the end of 2019, up from forecasts of 1.1%, 1.9% and 2.6%, respectively, in September. Its long-run rate is expected to be 3%, up slightly from 2.9% previously. The Fed reiterated rate increases will be “gradual.”

So Barack Obama got to enjoy the benefit of having interest rates slammed to the floor throughout his presidency, and now Donald Trump is going to have to fight against the economic drag that constant interest rate hikes will cause.

How is that fair?

As rates rise, ordinary Americans are going to find that mortgage payments are going to go up, car payments are going to go up and credit card bills are going to become much more painful.  The following comes from CNN…

Higher interest rates affect millions of Americans, especially if you have a credit card or savings account, or want to buy a home or a car. American savers have earned next to nothing at the bank for years. Now they could be a step closer to earning a little more interest on savings account deposits, even though one rate hike won’t change things overnight.
Rates on car loans and mortgages are also likely to be affected. Those are much more closely tied to the interest on a 10-year U.S. Treasury bond, which has risen rapidly since the election. With a Fed hike coming at a time when interest on the 10-year note is also rising, that won’t help borrowers.

The higher interest rates go, the more painful it will be for the economy.

If you recall, rising rates helped precipitate the financial crisis of 2008.  When interest rates rose it slammed people with adjustable rate mortgages, and suddenly Americans could not afford to buy homes at the same pace they were before.  We have already been watching the early stages of another housing crash start to erupt all over the nation, and rising rates will certainly not help matters.

But why does the Federal Reserve set our interest rates anyway?

We are supposed to be a free market capitalist economy.  So why not let the free market set interest rates?

Many Americans are expecting an economic miracle out of Trump, but the truth is that the Federal Reserve has far more power over the economy than anyone else does.  Trump can try to reduce taxes and tinker with regulations, but the Fed could end up destroying his entire economic program by constantly raising interest rates.

Of course we don’t actually need economic central planners.  The greatest era for economic growth in all of U.S. history came when there was no central bank, and in my article entitled “Why Donald Trump Must Shut Down The Federal Reserve And Start Issuing Debt-Free Money” I explained that Donald Trump must completely overhaul how our system works if he wants any chance of making the U.S. economy great again.

One way that Trump can start exerting influence over the Fed is by nominating the right people to the Federal Open Market Committee.  According to CNN, it looks like Trump will have the opportunity to appoint four people to that committee within his first 18 months…

Two spots on the Fed’s committee are currently open for Trump to nominate. Looking ahead, Fed Chair Janet Yellen’s term ends in January 2018, while Vice Chair Stanley Fischer is up for re-nomination in June 2018.
Within the first 18 months of his presidency, Trump could reappoint four of the 12 people on the Fed’s powerful committee — an unusual amount of influence for any president.

By endlessly manipulating the economy, the Fed has played a major role in creating economic booms and busts.  Since the Fed was created in 1913, there have been 18 distinct recessions or depressions, and now the Fed is setting the stage for another one.

And anyone that tries to claim that the Fed is not political is only fooling themselves. 
Everyone knew that they were not going to raise rates during the months leading up to the election, and it was quite clear that this was going to benefit Hillary Clinton.

But now that Donald Trump has won the election, the Fed all of a sudden has decided that the time is perfect to begin a program of consistently raising rates.

If I was Donald Trump, I would be looking to shut down the Federal Reserve as quickly as I could.  The essential functions that the Fed performs could be performed by the Treasury Department, and we would be much better off if the free market determined interest rates instead of some bureaucrats.

Unfortunately, most Americans have come to accept that it is “normal” to have a bunch of unelected, unaccountable central planners running our economic system, and so it is unlikely that we will see any major changes before our economy plunges into yet another Fed-created crisis.