Biden Outsmarts His Own Party in Wealth Transfer Grab

Biden Outsmarts His Own Party in Wealth Transfer Grab

(UnitedVoice.com) – For nearly a decade, the Democrats publicly wrestled with the idea of racial, gender, and wealth inequality. While some think liberals may be well-meaning, they were publicly undermining the greatest economic system in the history of the world. Instead of asking for common-sense reforms using the free enterprise system, Democrats continue to seek ways to use the federal government’s power to overhaul America’s economy for what they hope will be a sizable political reward at the voting booth.

The Left continues to try to use the tax code to bridge the wealth of racial, gender, and every other gap. President Joe Biden is focusing almost exclusively on race in the first six months of his presidency. This time, he may be outsmarting his own party and showing the Left the way forward. On Tuesday, June 1, Biden announced part of his plan to transform the US economy’s dependence upon the US government instead of the free market. He’s expanding on his executive order on racial Equity signed in January that would make the government decide winners and losers and could come with dire consequences long-term.

Biden Ignores the Successes of Trump

Joe Biden is far from the first president concerned about racial inequality and discrimination. Former President Donald Trump’s strategy to boost minority communities was to create tax policies and end burdensome regulations on businesses. It worked.

In 2018 and 2019, there were more jobs available than people to fill them. It benefited minority communities the most as plentiful jobs and fewer people to fill them forced wages higher. Instead of using the power of the free market, Biden is planning on using the administrative state’s authority through burdensome regulations that could hurt those he intends to help over the long term.

It won’t be the first time the government over-extends itself into the private sector. In the 2008 housing crisis, the federal government was largely responsible for the crash by forcing mortgage lenders to provide credit to people who couldn’t afford it through the Community Reinvestment Act. The result was devastating as millions of American’s lost their homes, jobs, and quality of life.

Biden Plans to Use Administrative State to Overhaul the US Economy

The president plans to issue new rules through a first-of-its-kind inter-agency effort to force the appraisal value of homes higher and force new regulations to combat housing discrimination. In addition, he’s going to use federal tax dollars to boost federal contracting with small, disadvantaged businesses to the tune of an additional $100 billion over five years. The administration also plans a $10 billion Community Revitalization Fund.

Long-term, Biden is outsmarting his party. While they argue about legislation that can’t pass in Congress and use divisive rhetoric, Biden is taking action using the administrative state. Like all things, it has limits. Last week, two federal judges ruled that the Small Business Administration (SBA) violated the equal protection clause of the US Constitution when the SBA prioritized people of color over white people in distributing certain taxpayer-supported COVID-19 relief funds.

The rulings won’t stop Biden from trying to use the power of the government to determine winners and losers, and it’s all part of his greater “equity” plan. Trump showed America the way to correct the wrongs of the past. Biden is returning to the racial politics of division that divide Americans and potentially harm those he intends to help long-term.

Don Purdum, Independent Political Analyst

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