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# US Stock Market 1992: "Idiot!

2026-07-07·x-repost-20260707-164503

US Stock Market 1992: "Idiot! The key is the economy!" On January 3, 1992, Clinton defeated George H.W. Bush in the election (winning with the electoral vote) and became the new President of the United States.

## “The ec onom y, stupid” One of his campaign slogans hit the hearts of Americans at the time: "The economy, stupid" (The key is the economy!) This slogan directly addresses the problem of balance sheet recession of U.S. household companies in 1991.

In the late 1980s, real estate, junk bonds, and savings and loan institutions were all problems with excessive expansion of assets and liabilities. Companies are reducing investment and employment in order to repay debts, and individuals are reducing consumption in order to repay debts, just like China today.

The entire American middle group is overwhelmed by debt, medical care, tuition and other necessary expenses. This is truly how everyone feels. So there are two more lines in Clinton's slogan: "Don't forget health care" and "Change vs. more of the same" "Don't forget health care"! To this day, medical bills are still one of the biggest killers for Americans.

In the 1990s, one of the three major expenses for a typical American family was medical expenses (the other two were mortgage payments and tuition fees). Capitalist society does not have universal health insurance. We will not elaborate on this issue and its success for now.

We will just say that Clinton’s campaign slogan did hit the core of the middle class-that is, to solve their medical bill problem. There is also a slogan: "Change vs. more of the same" (change, or continue to do it again). This slogan directly steals votes from the elder Bush. There is no point in returning to North Korea with the fruits of victory. Bush Sr.

has been with Reagan (as his vice president) for so many years. In 1991, he returned to North Korea with the victory of the Gulf War. To be honest, he was credited with successfully preventing another oil inflation, but no Americans still cared about him. In response to the economic recession, Bush Sr.

still followed "Reagan Economics" and did not pursue the expansionary policy of spending money like the Democratic Party later. Although there was some tax rebate policy and unemployment benefits, it could almost be said to be "weak" for the American middle class.

In terms of monetary policy, although Greenspan tacitly cooperated with the sharp interest rate cut, it really took effect when Clinton won the administration. The subsequent Clinton prosperity can be said to have picked up this fruit. During the 1991 election campaign, Bush Sr.

actually had another problem that had to be solved: The war was won, and the war was fought beautifully, but military spending pushed the deficit ratio to about 5%. , Congress did not agree, and demanded reductions in deficit spending.

In desperation, Bush could only increase the personal income tax ceiling from 28% to 31%, and then increase gasoline taxes and luxury taxes. Increasing the cap ratio and the luxury tax have nothing to do with ordinary working people, but they do have something to do with the rich.

Moreover, when Bush entered the White House in 1988, his campaign slogan was: "No new taxes." The Republican base that favors tax cuts exploded. At this time, people who prefer the Democratic Party think that your tax increases are just drizzle and not enough to save the government and the economy. So Bush Sr. didn't have a second term.

The situation at that time was indeed difficult. We wanted to stimulate the economy and get tax refunds. However, the United States had just finished the war, and Congress was pressing for the government to reduce the deficit and restore fiscal discipline. Clinton proposed three measures: 1. Short-term stimulus, like Keynes, injecting jobs into the market.

2. Promise Congress to reduce the deficit. 3. From indirectly promoting industrial investment to directly leading the government to lead industrial development. ## Where does the money come from?

If the bottom and middle class don't have money, then the rich should contribute more: the top income tax will continue to be raised to 36% from the 31% mentioned by Bush Sr., and the corporate tax will be raised from 34% to 35%. Clinton, the Democratic Party, does not need to please those old Republican money.

Even so, when the tax increase bill called the "Omnibus Budget Reconciliation Act" was voted on in the Senate, the votes were tied. In the end, the President of the Senate, Vice President Al Gore, had the right to exercise the so-called "tie-breaking power" and finally passed the bill with this crucial vote.

Then Clinton kept cutting military spending and cutting health insurance (cost control). Republicans and conservatives would definitely disagree with Clinton's actions, but what could they do? At first, Bush, who was tolerable, was removed from office, but now a Clinton, who is even more intolerable, has come to power.

The top-tier personal income tax has been increased from 28% to 31%, which is unbearable. Now that the top-tier income tax has been raised to 36%, we have to endure it. Humans do this kind of thing too many times to count.

Full text

# US Stock Market 1992: "Idiot!

# US Stock Market 1992: "Idiot! The key is the economy!" On January 3, 1992, Clinton defeated George H.W. Bush in the election (winning with the electoral vote) and became the new President of the United States. ## “The ec onom y, stupid” One of his campaign slogans hit the hearts of Americans at the time: "The economy, stupid" (The key is the economy!) This slogan directly addresses the problem of balance sheet recession of U.S. household companies in 1991. In the late 1980s, real estate, junk bonds, and savings and loan institutions were all problems with excessive expansion of assets and liabilities. Companies are reducing investment and employment in order to repay debts, and individuals are reducing consumption in order to repay debts, just like China today. The entire American middle group is overwhelmed by debt, medical care, tuition and other necessary expenses. This is truly how everyone feels. So there are two more lines in Clinton's slogan: "Don't forget health care" and "Change vs. more of the same" "Don't forget health care"! To this day, medical bills are still one of the biggest killers for Americans. In the 1990s, one of the three major expenses for a typical American family was medical expenses (the other two were mortgage payments and tuition fees). Capitalist society does not have universal health insurance. We will not elaborate on this issue and its success for now. We will just say that Clinton’s campaign slogan did hit the core of the middle class-that is, to solve their medical bill problem. There is also a slogan: "Change vs. more of the same" (change, or continue to do it again). This slogan directly steals votes from the elder Bush. There is no point in returning to North Korea with the fruits of victory. Bush Sr. has been with Reagan (as his vice president) for so many years. In 1991, he returned to North Korea with the victory of the Gulf War. To be honest, he was credited with successfully preventing another oil inflation, but no Americans still cared about him. In response to the economic recession, Bush Sr. still followed "Reagan Economics" and did not pursue the expansionary policy of spending money like the Democratic Party later. Although there was some tax rebate policy and unemployment benefits, it could almost be said to be "weak" for the American middle class. In terms of monetary policy, although Greenspan tacitly cooperated with the sharp interest rate cut, it really took effect when Clinton won the administration. The subsequent Clinton prosperity can be said to have picked up this fruit. During the 1991 election campaign, Bush Sr. actually had another problem that had to be solved: The war was won, and the war was fought beautifully, but military spending pushed the deficit ratio to about 5%. , Congress did not agree, and demanded reductions in deficit spending. In desperation, Bush could only increase the personal income tax ceiling from 28% to 31%, and then increase gasoline taxes and luxury taxes. Increasing the cap ratio and the luxury tax have nothing to do with ordinary working people, but they do have something to do with the rich. Moreover, when Bush entered the White House in 1988, his campaign slogan was: "No new taxes." The Republican base that favors tax cuts exploded. At this time, people who prefer the Democratic Party think that your tax increases are just drizzle and not enough to save the government and the economy. So Bush Sr. didn't have a second term. The situation at that time was indeed difficult. We wanted to stimulate the economy and get tax refunds. However, the United States had just finished the war, and Congress was pressing for the government to reduce the deficit and restore fiscal discipline. Clinton proposed three measures: 1. Short-term stimulus, like Keynes, injecting jobs into the market. 2. Promise Congress to reduce the deficit. 3. From indirectly promoting industrial investment to directly leading the government to lead industrial development. ## Where does the money come from? If the bottom and middle class don't have money, then the rich should contribute more: the top income tax will continue to be raised to 36% from the 31% mentioned by Bush Sr., and the corporate tax will be raised from 34% to 35%. Clinton, the Democratic Party, does not need to please those old Republican money. Even so, when the tax increase bill called the "Omnibus Budget Reconciliation Act" was voted on in the Senate, the votes were tied. In the end, the President of the Senate, Vice President Al Gore, had the right to exercise the so-called "tie-breaking power" and finally passed the bill with this crucial vote. Then Clinton kept cutting military spending and cutting health insurance (cost control). Republicans and conservatives would definitely disagree with Clinton's actions, but what could they do? At first, Bush, who was tolerable, was removed from office, but now a Clinton, who is even more intolerable, has come to power. The top-tier personal income tax has been increased from 28% to 31%, which is unbearable. Now that the top-tier income tax has been raised to 36%, we have to endure it. Humans do this kind of thing too many times to count.

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