Saturday, March 01, 2008

Why George Bush gets a "F" as CEO of America

I try to be fair and balanced in my views of politicians. I realize its hard to serve millions of people, political interests and a very complex international community. However, I feel when it is all said and done, the President needs to be treated like a CEO of a corporation, and should be judged and graded accordingly.

Instead of dwelling on "approval ratings" and the political opinions of radio show hosts, I will judge President Bush on the basics. Much like when you look at a Company's Profit and Loss and Share price... I am going to attempt to do the same.

#1 - National Debt as Percent of GDP

This is an interesting way to measure the economic policies and spending of a President, because the GDP may vary, so it gives a fair way to compare how he manages spending. Under Bush, it went up around 10%. Not Good.

#2 - Annual Gross National Deficit

Another good way to see how a President manages money is looking at the Total National Deficit. Bush has taken us from a Surplus to 600B deficit. This is like taking a company from Profitable to Bankrupt in 4 years (see the graph how quickly the debt mounted). If Bush were a CEO, he would have been fired in 2002.

#3 - Strength of the Dollar

As we all know, our currency is our stock price in the International Market. It effects all aspects of our economy, and our ability to strengthen trade with other countries. You can see the same trend patterns going from 2000 to 2008. Our dollar was becoming stronger pre-Bush and then from 2001 onward the dollar weakened significantly. (btw, the graph is going up, because it is showing how many dollars it takes to buy a Euro)

#4. The Price of Oil

Usually I wouldn't consider the Price of Oil to be a major component of grading a President, but since this is a very relevent to this President, I think it makes sense to review. Notice during Bush's reign it had gone from $30 to $100 per barrel. So not only has oil tripled in price, but our dollar has weakened almost 50 percent.

In conclusion, I don't care if you are a republican or democrat. I don't care what you opinion is of the war, global warming or same-sex marriage - you have to conclude that George Bush may be the worst economic president in the history of the US.

You cannot argue against the facts:

1. He increased spending
2. He increased the debt
3. He weakened the dollar

As an entrepreneur and a small business owner - It makes no sense to me how someone could perform so horrible as the CEO of America. You can assign some of the blame to the tech bubble, 9-11 and the recent housing market... but every President has gone through similar crisis and was still able to not completely destroy the economy.

George Bush gets an "F" as CEO of America.

... and if you don't agree with me, then you are in the minority. Here is another graph of Bush approval ratings.... pitiful.