Politicians are divorced from reality

Leaders in the US and Europe have lost touch and don’t care about stock markets or credit.

By Jim Cramer Nov 22, 2011 10:07AM

the street They aren't part of the real world. That's how I feel about the supercommittee lawmakers and Europe's politicians and central bankers. Neither group seems to care a whit about stock markets or credit.

 

In Europe, they just think about inflation. They still haven't rolled back the second rate hike. Can you imagine trying to do business with 17 different governments and a central bank that speaks of a binary world between slowdown and hyperinflation, when the truth is that the options are a severe recession/depression or inflation?


The risks and rewards are diametrically opposed to reality. The future of the European Union and the euro is in the balance and the bureaucrats debate some sort of euro bond safety net that can swing into action only after the private investors in banks are wiped out.

 

Meanwhile, federal unemployed benefits and the incentives to go back to work are going away courtesy of congressional squabbling to make the president or congress look bad. In the real world, no one cares about this stuff. Just in Washington, where all that matters is getting elected. I wonder if anyone cares about peoples' savings. That seems like an irrelevance to Washington. Both parties are to blame.

 

Post continues below:

Without real action, and left to their own devices, Europe will certainly crash under the weight of the $40 trillion in obligations. We will most likely be brought down with it for a severe hit that you can ride out in the best of the best stocks and the companies that have the most yield and are able to pay for it.

 

But let's understand each other: If something doesn't occur, we are way too high. Every index. And some of our banks are going to be called into question as viable entities once again.

 

So much ground lost. So much good squandered. And the politicians in Washington don't care enough, and the bureaucrats in Europe are oblivious to all but the worries of a euro weakened by printing money.

 

Raise more cash? Why not for the nimble, for those with higher-dividend-yield stocks? It's still the best place to be. But it is a really bad best place unless leaders wake up, and fast, either here or over there.

 

Right now, neither seems likely.

 

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jim cramerJim Cramer is a co-founder of TheStreet and contributes daily market commentary to the financial news network's sites. Follow his trades for his charitable trust.

92Comments
Nov 22, 2011 12:18PM
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Why yes Jim,  they have lost touch with reality, you say it like it just happened yesterday. These bastards need to be kicked in the nuts every morning and then reminded just who they are suppose to be working for. All these sons of bitches should be put on minimum wage for the rest of there term, see how dedicated they are then!!!!!!!!!!
Nov 22, 2011 4:15PM
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The politicans (most of them) who are in office now are mostly millionaires or on their way to becoming so.  They have no idea of what the average family has to face - How dare Newt tell the protestors to get a job - after they take a bath.  Has he even the slightest idea that we have 9% unemployment and many more (including college graduates) who are way underemployed?  I really feel we should impeach most of congress and start out again with people who are actually doing their jobs - and not taking vacations -- many times at taxpayers expense.  How did we come to this?  No one should be allowed to stay in Congress for more than one 6 year term and they shouldn't be getting a pension -- they shouldn't be making this their permanent job.  We may have to have a 3rd party to overcome the slackers.  My apologies to the few in office who do a good job and love their Country and care about the people..
Nov 22, 2011 4:44PM
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I have nothing against Congresswoman Gifford & feel bad for what she has gone thru, but do you think that she would be doing as good as she is if she had a regular HMO or PPO healthcare plan? Do you think "Obama Care" would have given her the care that she has gotten?  It makes me wonder how many of our servicemen have sustained similar injuries & haven't gotten anything close to the care that she has gotten because she is a Congress Woman.  That is how out of touch they are!
Nov 22, 2011 4:43PM
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Congress is only interested in what they can get out of it.  American people are stupid to continue voting these same idiots back into office.  They are not interested in what is good for America, only what is good for them and those that pay them under the table.  Some of the most dishonest people we have in this country are in Washington, D.C. People VOTE THEM OUT.
Nov 22, 2011 3:39PM
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Island with a palm treeWe have Billionaires such as Bill Gates and Warren Buffett telling congress to stop cuddling the rich. I saw 200 Patriotic millionaires on TV saying "raise our taxes it wont hurt us, we love america and want to do our part", yet when Congress was asked to raise taxes 1% to help put middle class Americans back to work, they said" That's to much for the wealthy to burden" Out of touch or out of their minds?Confused
Nov 22, 2011 4:21PM
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Throw All the bums out!!!!   Don't people get it? Congress knows while their approval rating is the worst in their history it's meaningless!! Because each will continue to get re-elected so all they worry about is their own power and self-enrichment. Just say no! Vote all of the bums out!
Nov 22, 2011 2:06PM
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They don't care about the PEOPLE!  They are only worried about living their lavish lifestyles at our expense.  Unlimited travel, free perks, unrealistic perceptions about what the American people actually need. 

 

VOTE THEM ALL OUT OF OFFICE!

Nov 22, 2011 5:26PM
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2012 VOTE OUT ALL INCUMBENTS INCLUDING OBAMA
Nov 22, 2011 4:09PM
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All of congress should be replaced, regardless of how good a senator or representive they are.  This is why term limits are a must.  Everyone say's yes: replace congress, except not my congressman/woman.

 

If everyone is on the bandwagon, who is going to pull the bandwagon?  I never thought I would see America as corrupt as Mexico, but, that day is here.

Nov 22, 2011 3:48PM
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Can we impeach all of the congress, and start over
Nov 22, 2011 3:30PM
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They dont care about the stock market or credit because they make their money fron bribary and kickbacks not by investing like me and you... they are walking thieves!
Nov 22, 2011 3:41PM
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Republican legislators don't care about America, they only care about Norquist and his tunnel vision view of what America should be and how to get there, ie kill social security, kill medicaid, kill medicare and then make sure the wealthy pay next to nothing in taxes. This isn't a recipe for jobs, it's a recipe for disaster and rioting in the streets. Trickle down economics has never worked and never will, just ask Reagan's budget director.  It's a fact that rich Americans and American corporations are A WASH with cash, so where are the jobs they're supposed to be creating?
Nov 22, 2011 12:02PM
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The founder of home depot said it best on cnbc (can not buy credibility). After being on cnbc he is depressed about economy and life. Media shills-political crooks etc. distort the real world and create any buzz that will sell. Kick the bums out of the do nothing congress and Buy American and support our Troops.
Nov 22, 2011 2:05PM
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Their is a big conflict with politicians. They get elected and who do they represent? Themselves or the voters who put them there. Their some much involved in how many $ they will get that voters are put on the shelf until the next election. They are completely out of touch with the working class and only relate to the rich have it alls. American politicians are failing America , the financial system and the citizens..
Nov 22, 2011 4:54PM
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to all who say "vote them out" whom do you suggest we vote for to take their place?

can't you see that with the 2 party system you'll just be voting for whom the owners

allow on the ticket?by voting them out you will just be voting more of the same in. voting is

a scam to make you think you have control but you never have and never will

 

Nov 22, 2011 3:28PM
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Elected Politicians- they all talk about money in terms of Billions & Billions and Trillions of $ on one hand. On the other hand they are Cheating  the Middle class America and SENIORS by taking away needed Medicare Benefits and Healthcare availability.  Meanwhile they all live  shameless High Life, some of it   given to them by Corporations and Lobbyists (Corruption in the US). These elected greedy Politicians are conveniently Divorced from Reality and clueless to the needs of those who elected them in the first place.

Come Election Time, we American citizens should demand restoration of AMERICAN DREAM.

Wonder if Politicians will abandon Lobbyists from their offices? Can they stand for Election on the Principles set forth by our Founding Fathers and not being influenced by Lobbyists?

(How come the Law Makers put themselves above the Law and do INSIDER TRADING?)

Nov 22, 2011 3:16PM
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Unfortunately most politicians, regardless of party, take their marching orders from the the pressure groups like the military and their suppliers and not the electorate.  It is time to vote out every politician with more than two terms and to elect independent candidates to replace them.  While doing that we need to implement a two term limit so they don't consider congress as a job for life.  Maybe then congressmen/women will be concerned about the health of the US as their prime job.  The only way we can recover is when politicians are willing to make hard decisions and not be concerned about their life time jobs.  As it is currently, we have a congress filled with crooks and cowards who point fingers at everyone else instead of having the guts to accept responsibility and make hard decisions.
Nov 22, 2011 2:25PM
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I understand it's great fun to name call and play partisan politics.  The politicians are elected  by us.  The reality is the quality of politicians reflects the quality of the typical American.  Frankly, this is nothing new.  From the very founding of the country, the system has been dominated by powerful interest groups who easily manipuated the masses with popular slogans. 

 

The issue that truly interests me is how easily the masses are, again, being manipulated with the whole "entitlement" issue.  The elephant in the room is the massive "entitlement" called the military.  How any one can be convinced cutting 50 billion from an estimated true military budget of over one trillion will jeopardize our safety is another reflection of how easily we are taken in by slogans and officials playing into our pet peeves.  And not mention of doing something about the worst most expensive health care system in the industrialized world. 

 

Decades ago they bought our votes with alcohol.  Now it's mass media and 15 second BS TV ads. But then 15 seconds is about as long as one can hold an Americans attention.

Nov 22, 2011 12:32PM
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During a political campaign everyone is concerned with what a candidate will do on this or that question if he is elected except the candidate; he's too busy wondering what he'll do if he isn't elected.

Everett Dirksen

Nov 22, 2011 6:26PM
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Comparing the congress or the super committee to a bunch of spoiled 5 year old brats is an insult to spoiled 5 year old brats!
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