Democrats and the DJIA by the Numbers

By Caomhin

I went through and pulled the numbers in an effort to visually demonstrate the effects that the Democrats have had on the economy.  I remember thinking to myself, after a horrendous 2006 election season, “how bad can they possibly screw things up,” under the false assumption that the Republicans could regain Congressional majority by adhering to core small government, free market beliefs.  Here’s the graph I have compiled, which I will supplement afterwards with some data points:


So what do the bullet points represent?  Dates, Events, and the Dow Jones Industrial Average (.DJIA).  Here are the data points:

Date Event .DJIA
4 January 2007 The Day After Democrats are sworn in as the majority in the Senate and the House. 12480.69
3 November 2008 The Day before the election. 9319.83
5 November 2008 The Day after the election. 9139.27
5 January 2009 A larger Democrat majority is sworn into office in the Senate and House. 8952.89
21 January 2009 The Day After Obama is sworn in. 8228.1
3 March 2009 End of Business Yesterday 6726.02

Note the decline since the Democrats first took control of Congress.  Take special note, too, that the first round of ill conceived bailouts did not exponentially accelerate the decline (this round occurred near the end of 2008), so despite the implementation of the first egregious assault on the free market, the markets still didn’t collapse upon themselves.  But You’ll notice that the rapid decline starting happening on January 5th, the day after the Democrats increased their majority stake in Congress.  It went into hyper drive on the 21st of January, the day after Obama was inaugurated.

The decline in the Dow Jones Industrial Average from January 4th 2007 until January 5th 2009 was 3887.8 points, a decrease of 31.15% over the course of two years.  The decrease between January 5th 2009 and March 3rd 2009 was 2226.87, a decrease of 27.06%…in less than three months.

The news of subsequent bailouts and the environment has been known for sometime, the market always has a way of factoring in variable rather quickly from the time of announcements.  You’ll recall that interest rate changes are usually figured in the day before they are officially announced.  So obviously, something else here is at play, some variable that was previously unaccountable and unpredicted by the market that is now in process of being factored into the equation.

I believe that by highlighting the statistical data from these events and points in time, it’s quite obvious (and easy) to illustrate that since the consolidation of power by the Democrats on January 20th 2009, the markets are declining at a much faster rate than they previously had been.  The “Stimulus Bill”, the “Budget,” and other policies announced and being pursued by Obama and liberals in Congress were not accurately predicted.  Despite the warnings of many economists and advocates of the free market, experts were POSITIVE that Obama was not some radical tax and spend liberal, but a centrist, that he would not pursue destructive policies that would destroy jobs, drive money out of the private sector, and would not make Wall Street out to be some sort of monster.  They were wrong.  They miscalculated badly and now the markets are adjusting to this realization.

I’d also like to touch on one other point.  As Obama is going to be in permanent campaign mode for the next four years (good God, it’s only been 6 weeks), his allies in the media are going try to cover him as best they can.   It will be interesting to see from where they will start their data points when to go to hype him up even more, but rest assured, we will not let them get away with it.  We’re going to hold them accountable.


3 Responses to “Democrats and the DJIA by the Numbers”

  1. 1 Tom Awtry March 4, 2009 at 9:13 am

    Very well authored and understood!

    I favor President Obama’s Stimulus plan, as you can see by my recent posting:

    And sure hope it works for all Americans, everywhere!

  1. 1 » Democrats and the DJIA by the Numbers Trackback on March 4, 2009 at 2:00 am
  2. 2 Pages tagged "consolidation" Trackback on March 5, 2009 at 3:08 am

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