Wisely Choices

If the Democratic nominee for President, Barack Obama, wins the Presidential election on November 4th, I'll be investing in the stock market on November 5th.

Why? Because Democrats haven proven time and time again to be much better at leading the economy than Republicans have. The Democrats approach the economy from the perspective that every American deserves to prosper, while the Republicans approach it with the idea that the rich need to get richer and that somehow some of those riches will "trickle down" to the rest of us.

This is more than just my opinion. It's also the opinion of Warren Buffet who is a strong supporter of Barack Obama. He's also the second richest man in America, so he knows a little bit about money. On top of that, it's also the opinion of Paul Krugman who supports Obama's economic policies and who also just won the Nobel Prize in economics. So yes, he knows a little bit about the economy.

But even more than the opinions of obvious experts like Buffet & Krugman to go on, there's the history of the last 80 years which shows that the stock market tends to go up much faster with Democratic Presidents than with Republican Presidents.

Of the last 12 Presidents only 4 have been Democrats yet the the best two Presidents for stock market returns have been Franklin D. Roosevelt & Bill Clinton (both Democrats of course.) The stock market went up 336% during Franklin D. Roosevelt's very long Presidency. It went up 259% during Bill Clinton's 8 years as President.

On the other hand the worst four stock market returns all came during Republican administrations. The worst of all was Herbert Hoover's -68% return during the Great Depression. Second worst? George W. Bush's -28% (so far.)

Only three of these most recent 12 Presidents had negative stock market returns during their Presidencies and all three were (or are) Republicans. Richard Nixon's -10% is the 3rd (along with Hoover & Bush Jr.)

While Jimmy Carter is pointed at by conservatives as an example of a failed Democratic Presidency, the stock market did actually go up 56% while he was President.

Carter was also talking about alternative energy way back then. Imagine where America would be today if we had gone that alternative energy route back then? We'd be way ahead of the curve in alternative energy. Carter was ahead of his time.

Barack Obama is the obvious choice for those of us who want to see this economy turn around. John McCain's economic policies are nothing more than more of the same. And we all know what a failure those policies have been over the last 8 years. Why would they do any better over the next four years?

Vote with your wallet. Vote for Democrat Barack Obama on November 4th. Invest in the stock market on November 5th.