We just had the best year for the auto industry in America in history.
On the campaign trail, Democratic presidential candidate Hillary Clinton has pitched herself as someone who will continue many of President Barack Obamas policies. At a campaign rally inKentucky May 16, Clinton praised the 2009 auto industry bailout, whichpeople view as an Obama success. We saved the auto industry, she said. Thats important in Louisville. Its important in Bowling Green. Its important in Northern Kentucky. Its important across this commonwealth. Thats a big difference between me and my opponent in the primary. I voted to save the auto industry, he voted not to. Its important to know that it was the right vote because we just had the best year for the auto industry in America in history. Weve alreadylooked into howClintons primary opponent, Sen. Bernie Sanders, voted on the auto bailout, which totaled an estimated$85 billion. But we were also curious about Clintons claim that 2015 was the best year for the auto industry in America in history. This is true by one big measure: Americans bought more cars and trucks in 2015 than ever before. But that success might mask long-term issues with American manufacturers, especially given foreign manufacturers growing market share. In 2015, Americans bought more than 17.5 million cars. The last peak was 17.3 million in 2000, followed by a collapse to 10.4 million at the height of the recession in 2009. Additionally, the past six years have been the longest period of sustained year-over-year growth in auto sales since the 1920s, according toAuto Alliance, a vehicle manufacturer association. Vehicle sales wax and wane with the economy.Wards Auto, an analytics organization, has tracked vehicle sales since 1963. When times are tough, vehicles become a discretionary purchase that consumers are willing to put off.Analysts believecar sales have done so well in the past couple of years because of a combination of the improving economy, cheap gas prices, available credit and low interest rates for loans. Experts we asked agreed with Clintons claim, saying the sales figures are a reasonable way to measure the auto industrys health. She's right, said Bruce Belzowski, managing director of the automotive futures group at the University of Michigan Transportation Research Institute. By any objective measure, the auto industry bailout is an Obama success story. The Detroit Three big automakers  Ford, General Motors and Fiat Chrysler reported strong salesin 2015 and projections for 2016. But its worth remembering that the record-breaking total vehicle sales figure isnt just for American-made cars.It includes foreign models sold in the United States, too. Of the 2.4 million cars sold so far in 2016, 71 percent were imports, according to theWall Street Journal. David Lewis, a professor emeritus of business history at the University of Michigan, compared 2015 to the golden age of the American car industry. Think of 1955, a record sales year, and a time in which well over 90 percent of the vehicles sold in the U.S. were manufactured by American companies, Lewis said. Even taking into account the number of foreign versus American car purchases, Clintons claim is reasonable because foreign car sales count as part of the auto industry, said Clifford Winston, a senior fellow in economic studies at the Brookings Institution. Foreign cars have been a growing part of the U.S. auto market since the 1980s. But it might not be fair to take her claim as proof of the long-term health of American manufacturers, Winston said. While the bailout resurrected struggling American auto manufacturers, its possible that it just stalled the companies eventual decline as consumers choose foreign cars instead. He also noted potential future threats from ride-sharing services and self-driving cars. Let us not get too excited about one or even a few years of successes with this industry that has been extremely turbulent and repeatedly rescued by the government, Winston said. All the while, the Detroit share has gone down. So that tells you something that any given year still may mask long-term issues. This is partially reflected in employment data. Employment among car dealers has in fact returned to its pre-recession high of about 1.2 million, according to the Bureau of Labor Statistics. But employment in the motor vehicle and parts manufacturing sector hasnt completely recovered. About 1.3 million people worked in this sector in the early 2000s; that figure dropped to about 620,000 at the height of the recession in 2009, and it has risen to about 920,000 in early 2016. But for the factories that made it out of the recession, all is well, Belzowski said. U.S. vehicle production in 2015 was the eighth-largest in history, at 11.9 million. Thats high  and almost double production in 2009  but still not quite as high as it was in the late 1990s and early 2000s. Some industry analystsexpect the good times to keep coming for the next few years, with 2016 breaking more records, according to theDetroit Free Press. Its a great time to be in the automobile business, and its particularly sweet for those who lived through the dark days of 2009 and 2010, said IHS Automotive analyst Tom Libby. Our ruling Clinton said, We just had the best year for the auto industry in America in history. With sales figures that exceed the pre-recession high, 2015 was a great year for the auto industry, including American manufacturers. This high point should be taken with a grain of salt because it might mask long-term issues with American manufacturers, especially given foreign manufacturers growing market share. Clintons statement is nearly accurate but requires that extra bit of context, so we rate it Mostly True.
Claim:  Barack Obama filed a lawsuit to require banks to "make loans to poor people." false Example:  [Collected via e-mail, September 2008] In 1994, a class-action lawsuit was filed against CitiBank, demanding that loans be made to poor people, and others who could not show proof that they could pay the money back. The basis of the lawsuit was the 14th Amendment, which requires 'fair and equal' treatment for all citizens. The legal theory was that failing to loan money to poor/indigent/unemployed people was, on it's face, a discriminatory act by lending institutions. Thousands of loans were processed, and of course many went into default, in part explaining why we're in the financial mess we're in. Now, it's easy for some people to point the finger of blame at Pres. Geo. Bush for this crisis, because he's sitting in the hot seat. What many people don't know is the suit was filed during the Clinton Administration. The lawyer filing the suit was none other than: Barak Hussein Obama. Origins:  This item seeks to dump much of the blame for America's current economic woes on Barack Obama by claiming that as a young lawyer, Obama filed a lawsuit requiring financial institutions to lend money to"poor people" and "others who could not show proof that they could pay the money back."  Although there is a (very) vague element of fact underneath this politicking, the piece quoted above is woefully wrong in all its particulars. The 1994 case of Buycks-Roberson v. Citibank Fed. Sav. Bank had nothing to do with requiring lenders to do business with people "who could not show proof that they could pay the money  Buycks-Roberson v. Citibank Fed. Sav. Bank back."  The case was a class-action lawsuit against Citibank Federal Savings initiated by a black Chicago woman, Selma Buycks-Roberson, who claimed she was unfairly denied a mortgage based on her race.  The lawsuit sought to end the practice of redlining, a discriminatory practice by which banks, insurance companies, and other business institutions refuse or limit loans, mortgages, insurance, etc., based solely on the geographic area in which the applicant lives (a practice that commonly excludes minorities in inner-city neighborhoods, regardless of their income or ability to pay).  Specifically, the lawsuit charged that Citibank "rejected loan applications of minority applicants while approving loan applications filed by white applicants with similar financial characteristics and credit histories."  The case was eventually settled out of court, with some class members receiving cash payments and Citibank agreeing to help ease the way for low- and moderate-income people to apply for mortgages. redlining Although Barack Obama was involved with the Buycks-Roberson case, he did not file the lawsuit, nor was he the lead attorney in the matter.  He was a junior member of an eight-lawyer team that worked on the case: Obama admits he played a mostly behind-the-scenes role at his law firm, Miner Barnhill & Galland. He researched the law, drafted motions, prepared for depositions and did other less glamorous work during his three years full-time and eight years "of counsel" to the firm.  "He wrote lots of substantial memos, but he didn't try any cases," said Judson Miner, a partner in the firm who was Obama's boss. Obama represented Calvin Roberson in a 1994 lawsuit against Citibank, charging the bank systematically denied mortgages to African-American applicants and others from minority neighborhoods. "I don't recall him ever standing up and giving an impassioned speech  it was a lot of behind-the-scenes stuff," said Fay Clayton, the lead lawyer on the case. "He was the very junior lawyer in that case," said attorney Robert Kriss. "He had just graduated from law school. I don't recall him being in court at any time I was there. I was the lead lawyer for Citibank and he was not very visible to me." Kriss, Clayton and every other co-counsel and opposing counsel interviewed for this story praised Obama's legal ability, temperament and everything about his courtroom demeanor, even though, they agree, he didn't say much in the courtroom.  On Feb. 23, 1995, Obama billed 2 hours and 50 minutes for an appearance before Judge Ruben Castillo on behalf of his client, and also for reviewing some documents in advance of a deposition. That cost Citibank  which ultimately had to pay the winning side's fees  $467 at Obama's hourly rate of $165. Miner commanded the higher rate of $285 an hour. During his appearance before the judge, Obama said he would need more time to file a response to a motion, and the judge agreed. That was all Obama said during the half-hour hearing. His final bill on the case was 138 hours, or $23,000. Last updated:  5 September 2012    Associated Press.  "Some Cases Obama Worked on in His Career as an Attorney."   20 February 2007. President Barack Obamas State of the Union address was notable for its celebratory language about the state of the economy, following a recovery that was widely considered long and slow. Heres one of the claims Obama made: Tonight, after a breakthrough year for America, our economy is growing and creating jobs at the fastest pace since 1999. We initially read this to mean that both the economy and the number of jobs had been growing at the fastest pace since 1999. That would have been a problematic claim, since the final figures for growth in gross domestic product in 2014 arent in yet. However, when we asked the White House press office for clarification, they responded that the president was making two separate claims -- first, that the economy is growing, and second, that the United States is creating jobs at the fastest pace since 1999. The first of those claims is clearly true -- except for one quarter of negative growth in the first quarter of 2014, the economy has been expanding -- but we werent sure about the second part. So we decided to take a closer look at Obamas claim that the economy is creating jobs at the fastest pace since 1999. Looking at job growth over the course of the calendar year We looked at total nonfarm employment from December of one year to December of the next, using official figures from the Bureau of Labor Statistics. Heres what we found: Time period Total job growth Dec. 1998 to Dec. 1999 3,177,000 Dec. 1999 to Dec. 2000 1,946,000 Dec. 2000 to Dec. 2001 - 1,735,000 Dec. 2001 to Dec. 2002 - 508,000 Dec. 2002 to Dec. 2003 105,000 Dec. 2003 to Dec. 2004 2,033,000 Dec. 2004 to Dec. 2005 2,506,000 Dec. 2005 to Dec. 2006 2,085,000 Dec. 2006 to Dec. 2007 1,140,000 Dec. 2007 to Dec. 2008 - 3,576,000 Dec. 2008 to Dec. 2009 - 5,087,000 Dec. 2009 to Dec. 2010 1,058,000 Dec. 2010 to Dec. 2011 2,083,000 Dec. 2011 to Dec. 2012 2,236,000 Dec. 2012 to Dec. 2013 2,331,000 Dec. 2013  to Dec. 2014 2,952,000 So Obamas on target: The job growth during calendar year 2014 was higher than any year going back to 1999. Adding some context That said, the current recovery is hardly perfect. There have been three clear periods of job growth over the past quarter century. We looked at the gain in employment between the low point in jobs and the high point (or, for the current period, the most recent month). As this chart shows, these periods of expansion were quite consistent while they lasted. SOURCE: Bureau of Labor Statistics Heres the breakdown of the three job expansions: Time period Total jobs created Jobs created per month May 1991 - Feb. 2001 24.5 million 207,847 Aug. 2003 - Jan. 2008 8.2 million 152,167 Feb. 2010 - Dec. 2014 10.7 million 181,220 This shows that the current jobs recovery, while more robust and longer than the one from 2003-08, pales in comparison to the one that lasted from 1991-2001. Indeed, it pales in two different ways: The current job expansion has created 13 percent fewer jobs every month on average than the one in the 1990s, and it has so far lasted only half as long. The earlier expansion lasted for almost a full decade. Our ruling Obama said the economy is creating jobs at the fastest pace since 1999. The current jobs recovery isnt perfect, but Obama is correct that its the fastest since 1999. So we rate the claim True. Claim:  Account describes events connected with the 2013 Air Force Academy commencement ceremonies. false Example:  [Collected via e-mail, June 2013] Good friends of ours from here in  Elizabethtown, KY, just got back home from a visit to the Air Force Academy, in Colorado Springs where they attended the commencement exercises of the graduating class of 2013. In fact John's grandson was one of the graduates and John, being a retired US Army officer was able to swear in his grandson as a  brand spanking new US Air Force 2Lt. What an honor that must have been  for John and his family, but that's not the real story nor is it the historic significance of the 2013commencement celebration. You see 2013 is the first Air Force graduation on record that has occurred under a Sequester created by a nonfunctioning Congress and an unyielding Obama Administration. Due to operating under this Sequester the ceremonies proceeded as follows: President Obama regretfully declined the kind invitation of the Commandant of the Air Force Academy to be speak to the graduates and their families on the occasion of their graduation saying he was committed to addressing the graduates at West Point. Instead it was established that Vice President Biden was free and he would come to Colorado Springs. And, as to the  request for fly-over by the US Air Force Thunderbirds that was declined again due to the Sequester. After consultation with his chain of command the Commandant of the Air Force Academy notified the White House that due to the Sequester cancelling the traditional fly-over of the Thunderbirds that he was confident that the nation didn't need the added $1 million + expense to fly Air Force 2, of any configuration or model, and  the added expense of the Secret Service and their entourage required when the Vice President traveled. So just cancel  the initial request for a speaker from the White House for the commencement. So the commencement went off as planned sans representation from the Obama Administration. It looked like  this: The featured speaker was an Under Secretary of the Air Force, who is a decorated Viet Nam veteran. The Secretary flew back and forth from Andrews AFB to Peterson AFB In Colorado Springs on routine training flight conducted by the Air Force thus costing the American tax payers nothing. John tells me that there were  nearly as many Air Force General Officers in attendance as there were family members. He thinks a dozen or more 4 Star General, three or four times as many 3 and 2 Stars an untold number of 1 Star Generals. And, of course countless Colonels and below. Most of these officers were themselves alumni of the Air Force Academy and wanted nothing less than to present a perfect program for the graduating class. Since the Congress and the Obama Administration could not see fit to allow for a fly-over by the Thunderbirds, a number of the senior generals took matters into their own hands. And so, when the speeches, the hats were all thrown into the air, and all the family hugs were all made and it became time for the fly-over a roar of engines was detected from the West of the air strip and parade grounds there at the facility and everyone was treated to a fly-over by the Confederate Air Force. Looking up we saw vintage aircraft  from B-17s B-24s, B-25s, P-38s, P-51s and others all flown by our hero's from prior conflicts that still see fit to stay active for services such as this. It was a wonderful experience for all who were there. I am sure you will join me in  offering a salute to these serving officers who saw fit not to rob the 2013 graduating class of their day ofcelebration, and to our heroes who flew the  planes for this worthy occasion, and oh yes, to the many private donors who pitched  inand covered the expenses involved in bringing these aircraft in to Colorado Springs from various locations across the country. LADIES AND GENTLEMEN, WE SALUTE YOU!!!  Origins:  The U.S. Air Force Academy's (USAFA) graduation ceremony is typically marked by a flyover performed by the Air Force Thunderbirds aerial demonstration team, but in 2013 sequestration cuts ruled that out, resulting in the class of 2013's being the first group of graduates in modern memory to go without the traditional flyover.  Aside from that fact, however, virtually everything else in the account of those ceremonies reproduced above is inaccurate: graduation  President Obama did not "decline" to deliver the commencement address at the 2013 USAFA graduation ceremonies.  The President of the United States typically addresses the graduates of one of the four U.S. military academies (Army, Navy, Air Force, and Coast Guard) each year on a rotating basis, as do the Vice President, the Secretary of Defense, and the Chairman of the Joint Chiefs of Staff.  Since  President Obama had spoken at the USAFA graduation ceremonies in 2012, he was neither invited nor expected to do so again in 2013; instead, according to schedule, in 2013 he was invited to deliver the commencement address at the U.S. Naval Academy in Annapolis.  The Commandant of the Air Force Academy did not cancel a request for Vice President Biden to speak at the 2013 USAFA graduation ceremonies due to the cost of transporting him to the event.  The Vice President was scheduled at a different service academy in 2013, delivering the commencement speech at the U.S. Coast Guard Academy.  Because of sequestration and the attendant lack of funding, the USAF Thunderbirds have had to cancel all the events on their show schedule since 1 April 2013.  The Thunderbirds did not "decline" to perform a fly-by at the 2013 USAFA graduation, nor were they prevented from doing because the Obama administration supposedly refused to "allow" it  the Thunderbirds currently aren't able to appear anywhere due to unresolved budget issues between the administration and Congress. show schedule  The featured speaker at the 2013 USAFA commencement ceremonies was the Secretary of the Air Force, Michael B. Donley, not an "Under Secretary of the Air Force."  According to the USAFA Commencement Coordinator, only one four-star general (Gen. Mark Welsh, the Air Force Chief of Staff) and about eight active duty general officers attended the 2013 USAFA graduation ceremonies, not "dozens" of generals and "countless" other officers.  The Air Force officers who did attend were present as family members or guests of graduating cadets.  "Senior generals" did not "take matters into their own hands" to come up with a substitute for the usual Thunderbirds flyover. USAFA graduates and other flying groups took it upon themselves to contact the USAFA and offer their services to fill the void in honoring the 2013 graduating class, and their efforts were coordinated by the 306th Flying Training Group and USAFA Plans and Programs.  The flyover staged at the ceremonies included not just airplanes provided by the Commemorative Air Force (formerly known as the Confederate Air Force), but also by the Texas Flying Legends Museum and the National Museum Of WWII Aviation. The Texas Flying Legends Museum estimated that they expended about $100,000 in private and corporate donations to bring aircraft to Colorado Springs for the flyover. Texas Flying Legends Museum Last updated:  30 July 2013    Shear, Michael.  "Obama Calls for 'Moral Courage' at Naval Academy Graduation."   The New York Times  24 May 2013.    FoxNews.com.  "Museums Help Air Force Grads Get Ceremonial Flyover, Despite Sequester Cuts."   20 May 2013.    U.S. Air Force Academy. Criminals, beware. Just because you got away with an illegal activity doesnt mean the IRS isnt going to come after your earnings. Thats because just ahead of the 2021 tax season, the IRS released guidelines that required taxpayers claim items they have stolen, as well as earnings from illegal activities.  The claim made headlines in publications that joked potential criminals were running out of time to return stolen goods to avoid paying taxes on them. And went viral when the financial Twitter account @litquidity took to social media to remind taxpayers that tax szn is around the corner.  publications joked running out of time  And its true. Publication 17, which contains the IRS general rules for filing federal income tax returns, lists illegal activities under other income  categorized as self-employment activity  required to be reported to the federal tax agency.  Publication 17 general rules  Screengrab/IRS Publication 17  IRS Publication 17   "Income from illegal activities, such as money from dealing illegal drugs, must be included in your income on Schedule 1 (Form 1040), line 8z, or on Schedule C (Form 1040) if from your self-employment activity," read the 2021 the IRS guidelines. The guidelines also require that those who steal property must report fair market value as income in the year that the item was stolen. Of course, one can avoid paying taxes on such items so long as the person returns them to the person they were stolen from in the first place.   Screengrab/IRS Publication 17  IRS Publication 17   The handy regulations also list how to report embezzled funds, notes that bribes are considered nondeductible expenses, and notes that kickbacks, side commissions, and push money must also be included in the Schedule 1 (Form 1040), line 8z, or on Schedule C (Form 1040) if from self-employment activity. Its not just items or earnings obtained through illegal activities. That watch you found in the gym locker room? Yep, its taxable.  If you find and keep property that doesnt belong to you that has been lost or abandoned (treasure trove), its taxable to you at its fair market value in the first year its your undisputed possession, noted the IRS. Snopes spoke with an accountant who said that while the reporting requirements themselves aren't new, there was previously a separate form specifically for reporting illegal activity income. It's unclear to what extent people actually used the form in the past. Its not exactly clear whether law enforcement will be given information about individuals who report income from illegal activities. What is clear is that anyone under the age of 65 who made more than $12,550 in 2021 is required to file by April 18, 2022.  Sources Dolan, Debra. Time Is Running out to Return Stolen Goods to Avoid Paying Taxes on Them. Https://Www.Wdbj7.Com, https://www.wdbj7.com/2021/12/29/time-is-running-out-return-stolen-goods-avoid-paying-taxes-them/. Accessed 30 Dec. 2021. IRS Asks That Criminals Provide Its Cut of Stolen Property, Illegal Income. KXXV, 29 Dec. 2021, https://www.kxxv.com/news/local-news/irs-asks-that-criminals-provide-its-cut-of-stolen-property-illegal-income. Publication 17 (2021), Your Federal Income Tax | Internal Revenue Service. https://www.irs.gov/publications/p17. Accessed 30 Dec. 2021. Stole Something? IRS Says Stolen Property and Bribes Must Be Reported as Income. Usatoday, https://www.usatoday.com/story/money/2021/12/28/irs-says-stolen-property-must-reported-and-twitter-goes-wild/9035694002/. Accessed 30 Dec. 2021. Claim:  Three former Fannie Mae executives served on Barack Obama's 2008 presidential campaign as chief economic advisors.  Example:  [Collected via e-mail, September 2008] Here is a quick look into 3 former Fannie Mae executives who have brought down Wall Street. Franklin Raines was a Chairman and Chief Executive Officer at Fannie Mae. Raines was forced to retire from his position with Fannie Mae when auditing discovered severe irregularities in Fannie Mae's accounting activities. At the time of his departure The Wall Street Journal noted, 'Raines, who long defended the company's accounting despite mounting evidence that it wasn't proper, issued a statement late Tuesday conceding that 'mistakes were made' and saying he would assume responsibility as he had earlier promised. News reports indicate the company was under growing pressure from regulators to shake up its management in the wake of findings that the company's books ran afoul of generally accepted accounting principles for four years.' Fannie Mae had to reduce its surplus by $9 billion. Raines left with a 'golden parachute valued at $240 Million in benefits. The Government filed suit against Raines when the depth of the accounting scandal became clear. The Government noted, 'The 101 charges reveal how the individuals improperly manipulated earnings to maximize their bonuses, while knowingly neglecting accounting systems and internal controls, misapplying over twenty accounting principles and misleading the regulator and the public. The Notice explains how they submitted six years of misleading and inaccurate accounting statements and inaccurate capital reports that enabled them to grow Fannie Mae in an unsafe and unsound manner.' These charges were made in 2006. The Court ordered Raines to return $50 Million Dollars he received in bonuses based on the miss-stated Fannie Mae profits. Tim Howard - Was the Chief Financial Officer of Fannie Mae. Howard 'was a strong internal proponent of using accounting strategies that would ensure a 'stable pattern of earnings' at Fannie. In everyday English - he was cooking the books. The Government Investigation determined that, 'Chief Financial Officer, Tim Howard, failed to provide adequate oversight to key control and reporting functions within Fannie Mae,' On June 16, 2006, Rep. Richard Baker, R-La., asked the Justice Department to investigate his allegations that two former Fannie Mae executives lied to Congress in October 2004 when they denied manipulating the mortgage-finance giant's income statement to achieve management pay bonuses. Investigations by federal regulators and the company's board of directors since concluded that management did manipulate 1998 earnings to trigger bonuses. Raines and Howard resigned under pressure in late 2004. Howard's Golden Parachute was estimated at $20 Million! Jim Johnson - A former executive at Lehman Brothers and who was later forced from his position as Fannie Mae CEO. A look at the Office of Federal Housing Enterprise Oversight's May 2006 report on mismanagement and corruption inside Fannie Mae, and you'll see some interesting things about Johnson. Investigators found that Fannie Mae had hidden a substantial amount of Johnson's 1998 compensation from the public, reporting that it was between $6 million and $7 million when it fact it was $21 million.' Johnson is currently under investigation for taking illegal loans from Countrywide while serving as CEO of Fannie Mae. Johnson's Golden Parachute was estimated at $28 Million. WHERE ARE THEY NOW? FRANKLIN RAINES? Raines works for the Obama Campaign as Chief Economic Advisor TIM HOWARD? Howard is also a Chief Economic Advisor to Obama JIM JOHNSON? Johnson hired as a Senior Obama Finance Advisor and was selected to run Obama's Vice Presidential Search Committee  IF OBAMA PLANS ON CLEANING UP THE MESS - HIS ADVISORS HAVE THE EXPERTISE - THEY MADE THE MESS IN THE FIRST PLACE. Would you trust the men who tore Wall Street down to build the New Wall Street? Origins:  When one of the hottest issues of a presidential campaign is the meltdown of the mortgage lending industry and the collapse of the economy, a candidate's having economic advisors on his staff who are strongly associated with the system and practices that helped create the current mess likely wouldn't sit well with the public.  That's the premise of the above-quoted e-mail, which claimed that three men formerly associated with the Federal National Mortgage Association (commonly known as "Fannie Mae") were serving as "chief economic advisors" with the 2008 presidential campaign of Barack Obama.  However, although some of these men had at least tangential connections to the Obama campaign at one time or another, none of them had ongoing roles with that campaign as chief economic advisors. Franklin Raines, who formerly headed the budget office for the Clinton administration, became the first black CEO of a Fortune 500 company when he took over at Fannie Mae" in 1999.  Raines,  who had earned $20 million in salary and bonuses from Fannie Mae in 2003, resigned from his CEO position in 2004 after regulators determined that the company had violated accounting rules and created an illusory $9 billion in past profit.   Raines had some dealings with the Obama campaign, but he never held any actual position within the campaign (much less as its "chief economic advisor"), and his involvement with it was not nearly as substantial as implied above.  As the Washington Post reported when a McCain campaign commercial attempted to link Raines with the Democratic candidate, the whole substance of the connection between the two men was that Raines "had gotten a couple of calls from the Obama campaign" in which they talked about "general housing and economy issues."  reported commercial Franklin Raines' predecessor, James A. Johnson, (former chief of staff to Vice President Walter F. Mondale), was CEO of Fannie Mae from 1991 to 1998. After Johnson left the company, regulators later discovered that Fannie Mae had engaged in fraudulent accounting practices in 1998 which manipulated its earnings so that executives could earn performance bonuses (up to $1.9 million in Johnson's case) they would not otherwise have been entitled to. discovered In May 2008, Senator Obama tapped James Johnson to be one member of a three-person panel tasked with vetting potential vice-presidential running mates.  Johnson (who was not serving as an economic advisor to the Obama campaign) resigned from that position shortly afterwards when news accounts reported that he had received more than $2 million in home loans at below average market rates from Countrywide Financial (a partner of Fannie Mae). Tim Howard, the former CFO (chief financial officer) of Fannie Mae, was caught up in the same accounting scandal that undid Franklin Raines, and (like Raines) resigned from the company in 2004.   We found no substantive connection between Tim Howard and the Obama campaign, however, much less any information supporting the claim that Howard was ever a "Chief Economic Advisor to Obama."   Last updated:  3 January 2012    Smith, Elliot Blair.  "Former Fannie Mae Execs May Face Investigation."   USA Today.  14 June 2006.    Superville, Darlene.  "Rise and Fall of Fannie Mae Chairman and CEO Franklin Raines."   San Diego Union-Tribune.  30 December 2004.    Weisman, Jonathan and David S. Hilzenrath.  "Obama's Choice of Insider Draws Fire."   The Washington Post.  11 June 2008  (p. A1).    The Washington Post.  "Linking Obama to Ex-Fannie Mae Chief Is a Stretch."   20 September 2008. Republican presidential nominee Donald Trump switched over the weekend from lambasting Hillary Clintons email policies to criticizing how President Barack Obama has handled the economy. Obama is the first president in modern history not to have a single year of 3 percent growth, Trump said duringan Oct. 28campaign rally in Manchester, N.H. We decided to look back at the economic data and found that Trump was right, as long as you're looking at the economic statistics a specific way. ABCs of GDP The Trump campaign didnt respond to our requests for more specifics, but we can make a couple of assumptions. When Trump talked of growth, he likely meant the percent change in gross domestic product, called GDP, which is the total value of goods and services in the country. The time frame hes using is indistinct, but a single year probably relates to the annual change in GDP. Looking at the economic statistics under those guidelines, Trump would be correct. But the comparison he's making about Obama provides a narrow view of the economy. I suppose hes using year-over-year data, with which the claim is true but misleading, Princeton economist Alan Blinder told PolitiFact Florida. Blinder and another Princeton economics professor, David Watson, examined GDP growth during presidential administrations in aJuly 2014 study. There are any number of historical vagaries that color what affects GDP during any administration, Obama included. Obama has overseen the country climbing out of a historical recession that left the housing market depressed, wages low, and businesses wary of investing. Hes also had a Congress that has largely pushed an austerity agenda against his wishes. And global crises like instability in the Middle East and slowed growth in China and Europe have lowered demand for U.S. products and pushed the dollar higher. The fact that the economy has steadily improved is actually fairly remarkable, considering what else has been happening, said Christian Weller, a University of Massachusetts Boston public policy professor and a fellow at the left-leaning Center for American Progress. Annual figures on GDP growth goes back to 1929, andoften is used to back upthesame talking pointonconservative media outletsthat Obama has not had a full calendar year of aggregate GDP growth of at least 3 percent. U.S. Bureau of Economic Analysis datashows Herbert Hoover, who was inaugurated in March 1929 and left office in March 1933, was the last president to have this distinction. Hoover presided over an economy mired in the Great Depression that shrank during his term. Every president since then has seen at least one calendar year with annual GDP growth of at least 3 percent or higher. The best average growth in a single calendar year under Obama is 2.6 percent in 2015, and never 3 percent or more. No president has experienced that since Hoover. But experts said Trumps use of modern history is vague, and using the annual change in GDP is perhaps not the best measure. The best data goes back to 1947, when the federal government started tracking GDP by quarter. That would give a more nuanced picture of the data  the economy in the first quarter of a presidency is often attributed to the preceding administration, for example. It also would coincide with the historical boom in the nations economy after World War II. Going by quarters, growth within a year washigher than 3 percent during two periodsduring Obamas presidency, Blinder said. Between the third quarters of 2009 and 2010, GDP growth was 3.4 percent. From the first quarters of 2014 and of 2015, it was 3.3 percent. Overall growth rates for several administrations have exceeded 3 percent, but Weller said context is important. Without complete data for 2016, the average growth rate during Obamas two terms was 2 percent, Weller said. That was on par with George H.W. Bushs term and faster than George W. Bushs average. Our ruling Trump said, Obama is the first president in modern history not to have a single year of 3 percent growth. Although Trumps light on specifics, thats accurate if he is looking solely at year-over-year figures for GDP growth going back to the Hoover administration. Experts told us that presenting the stats the way Trump did doesn't tell the whole story. And if we examine the data annually by quarters, Obama has presided over periods of growth topping 3 percent. We rate the statement Mostly True. https://www.sharethefacts.co/share/c46d6ec9-ea86-45ce-8245-091394df52e0 Curious about how Snopes' writers verify information and craft their stories for public consumption? We've collected some posts that help explain how we do what we do. Happy reading and let us know what else you might be interested in knowing. help explain let us know Political hopeful Kandiss Taylor, who is vying to be elected Georgia governor, launched her campaign tour on Feb. 17, 2022, and quickly shot up as a trending twitter topic after the GOP candidate was pictured alongside the words, Jesus, guns, babies.  Feb. 17, 2022 trending twitter topic  The campaign slogan appears to have been first made prominent by political analyst Arieh Kovler, who said on Twitter that the phrase was a hell of a campaign slogan.  said  A look on Taylors official website proved that her campaign slogan indeed read, Jesus, guns, and babies with the added verbiage, morality over money!  official website  Screengrab/kandisstaylor.com  kandisstaylor.com A scroll through the South Georgia natives website also showed that she has served as an educator in the public school system for 19 years as a third-grade teacher, school counselor, testing coordinator, student-services coordinator, and homeless liaison. The welfare, education, and safety of our children are of utmost importance to me. I want to see the focus of our government move to issues that matter and impact our daily life. It's time to move away from the manipulation of special interest groups. Money and power have no place in influencing our public servants, wrote Taylor.  According to her website, those issues include a pro-life platform centered around gun rights, election reform, immigration, the economy, and education. Her website further read:  She is passionate about the working class, mental health, less government overreach, education, small business growth, gun rights, our farmers, the economy, right to life, and election integrity. Put simply, Jesus, Guns, and Babies! When asked what made her decide to run, she responded, I cant complain about what is going on if Im not willing to do something about it. The Governor's budget is 60% education, and who better to clean things up than a public school educator who knows where and what to cut! Taylor took to social media on Feb. 17 to announce her three-day campaign launch, The Paint Georgia Red Bus Tour, which features her Jesus, guns, babies slogan painted in bold letters outside of her campaign vehicle. As of this writing, tour dates past Feb. 19 were not made public. announce three-day campaign launch Snopes contacted Taylor for further elaboration on her campaign platform. We will update the article accordingly if we hear back. Gov. Tony Evers proposed that Wisconsin keep up with three of its neighbors and legalize marijuana, but the plan has already gone up in smoke. The GOP-controlled Legislatures budget-writing committee on May 6, 2021 removed legalizing marijuana -- and hundreds of other provisions -- from the governors proposed 2021-23 spending plan. In making the changes, and starting fresh, the panel created agap of about $3.4 billion. With that gap, and polls showing general public support for legalized marijuana, it brought to mind a claim from Evers that we had set aside: Regulating and taxing marijuana  much like we do alcohol  would generate more than $165M in revenue starting in 2022, Evers tweetedApril 14, 2021. In all, 36 states have medical marijuana programs (including Iowa), while14 states-- including neighboring Illinois and Michigan -- have legalized marijuana for recreational use: But what about the money? Is Evers correct that his plan would add $165 million to the states coffers in the upcoming budget? When asked for backup to the claim, Britt Cudaback, Evers communications director, pointed us to the states Budget in Brief document, released in February 2021, which includes more detail on how his plan would work. Under the plan, the state Department of Revenue would issue permits to those wishing to sell recreational marijuana. The Governors proposal imposes a 15 percent excise tax on the sales price of each wholesale sale by a permit-holding producer to a permit-holding processor, according to the budget document. In addition, the proposal imposes a 10 percent excise tax on the sales price of each retail sale. Retail sales, except for medical use, would be subject to the sales tax. So, how did the governor arrive at that $165 million figure? According to Cudaback, the budget office looked at data from other states, including Colorado, which was the first state to legalize marijuana, and made adjustments for population and reported marijuana usage. She noted that other states have relied on Colorados data in developing their own budgets, and noted that the estimates were on the conservative side, meaning they could be closer to the low end of potential tax revenue. According to the Evers figures, if sales were to begin Jan. 1, 2022 -- roughly six months after expected passage of the budget -- $165.8 million would be reached if tax collections were $19 per-capita. That is, if -- on average -- every person in the state bought enough marijuna to generate $19 in annual tax revenue. Here is the math: $19 per capita per year x 5.8 million population x 1.5 years = $165.8 million. That includes a projected $65 million from taxes on sales at the wholesale level, $67.1 million from retail taxes and $33.6 million from the sales tax. Its difficult to compare states because of their varying size and different taxing structures around marijuana sales. For instance, Illinois has a lower excise tax, but far higher sales taxes on recreational marijuana, and more than double Wisconsins population. According to the Public Policy Forum, a non-partisan think tank that has analyzed the Wisconsin budget, Illinois likely collectedaround $175 millionin revenue in its first year of recreational implementation. Thats not much more -- despite twice the population size -- than what Evers is anticipating. The administration's estimate appears to imply a pretty rapid implementation, the Policy Forum said. Nevada, meanwhile, has a 15% tax on wholesale sales and a 10% tax on retail sales, so its framework is generally similar. Infiscal year 2020, with just over half of Wisconsins population, Nevada collected $105.2 million. That said, the Policy Forum notes Nevadas unique tourism industry -- i.e., legalized gambling -- may make it a poor basis for comparison. Andrew Reschovsky, University of Wisconsin-Madison Professor Emeritus of Public Affairs and Applied Economics pointed out that forecasting revenue from a new tax is always difficult. He said the State Budget Office has taken the sensible approach and based its estimates on the experience of other states that have already legalized marijuana sales. But that doesnt mean its sure to come true. The Administrations forecast, like all revenue forecasts, is based on a set of assumptions, he wrote. While some of the Administrations assumptions may result in an under-estimate of tax revenues, I do worry that the state may be overly optimistic about the time needed to implement the issuing of both medical and recreational marijuana retail sales licenses and the time needed to open retail outlets throughout the state. In other words, the state may not be able to get a system up and running in time to meet the Jan. 1, 2022 date the budget projections are based upon. Based on the experiences in Massachusetts and California, this may be an overly optimistic estimate of the time it takes to license and open retail sales outlets, Reschovsky wrote. If the rollout process is in fact slower than anticipated, revenue during the next biennium may be lower than the Administrations forecast. Evers tweeted Regulating and taxing marijuana  much like we do alcohol  would generate more than $165M in revenue starting in 2022. Experts consulted by PolitiFact Wisconsin, generally speaking, had no quarrel with the states math, but questioned the implementation schedule baked into the estimates. In other words, if legalized marijuana were to go forward, it may not generate the revenue Evers claimed because it may take too long to get a licensing system in place, and to license and open retail outlets. In a nutshell, the Evers projections are plausible, but may be overly optimistic. For a statement that is accurate but needs clarification or additional information, our rating is Mostly True. Claim:  If John Kerry were elected President, the Secret Service would have to protect him and every property he owns for the rest of his life. Status:  False. Example:  [Collected on the Internet, 2004] You will pay upkeep/Secret Service for 5 Kerry mansions.  It is good to be John F. Kerry....... The F stands for Forbes in case you ever wondered. He is one of the richest Senators in Government. When someone is elected president, it means the Secret Service has to protect the President and his family as well as his property. The Kerry's have five US properties not counting the several foreign properties they own too. The cost to run these homes are more than what the average American could afford, even if the rent was free, and all you had to pay the water, gas & electric. Including ground keepers, maintenance, pool, and house keepers. To be President would require the taxpayers to pay for all that now if elected. Including a complete staffed Secret Service security 24 hours a day. In addition to that we will have to pay for each of their homes for security improvements even if they never go to them all there is that just in case. Who do you think will pay for all this? We Pay! This takes all the expense off Kerry and puts it on us. Nevertheless, factor another major cost to Americans that Kerry does not want you to know about. Becoming president would automatically include taking care of all their properties with Secret Service Agents that includes 5 agents per 6 hour shift 4 times a day 365 days of the year for the rest of their lives so long as they own those properties. It comes with being President once you are elected. It requires us the taxpayers, to pay for this as well as his annual salary as well as his retirements including the cost of living adjustments to boot.  These salaries and agents protect all their real estate property with Secret Service Agents and pay the bills for the rest of his life. In addition, feed the Secret Service Agents and rotate new ones every 6 hours for the rest of his life. Do the math. Five properties need to be protected. This requires five Secret Service Agents per shift, daily every six hours, per property! That is 20 Secret Service Agents per day per property everyday including Holidays. Wow, what does that cost? Lets say an average of 20 agents per property, each earning a about $60K per agent to survey the perimeters and protect. Now times that by five properties so far. That is if the Kerry's do not buy any more properties afterwards. This also includes the Agents vehicles and repairs, gas, meals, days off, paid vacation, and medical plan visits etc per agent. Who pays? YOU pay, the whole time they are alive after becoming President! Is this the best use of our tax money electing Kerry to take care of all their properties both foreign and domestic? On the other hand, shouldn't he pay for his own? Yet, the Presidential salary could not afford it. The more I think about paying for Kerry's properties everyday, just makes me happy keeping President Bush all the more merrier. Without raising taxes to boot. How on earth would Kerry pay for everyone to have Healthcare, increase our military, and have us pay to protect his investments, all without raising our taxes? Tax and spend Kerry is his party motto. Which really has to make you wonder why anyone with his wealth, would take a salary of that of a U.S. Senator, never mind wanna be President? Do you believe him now why he needs to be the Prez? To serve the people? On the other hand, the people serve Him and his wife! IF YOU AREN'T COMPLETELY APPALLED, THEN YOU HAVEN'T BEEN PAYING ATTENTION Origins:   The fact that Senator John Kerry's middle name is "Forbes" is about the only piece of information this latest political diatribe gets  right. John Kerry and his wife, Teresa Heinz Kerry, together own several homes, but since they signed a prenuptial agreement and have kept their premarital assets separate,  a Boston townhouse (which John Kerry mortgaged in 2003 to finance his presidential bid) is the only one of these homes that they technically own as a couple.  The government is obligated to provide Secret Service protection to the President and his immediate family, so if John Kerry were elected to that office, of course he and his family would be entitled to the same level of security detail that the Secret Service provides to every President.  That protection might indeed include the use of public funds to pay the costs of installation and maintenance for security systems at some of the Kerrys' homes, because the protection of First Families is viewed as a right and proper charge upon the nation.  Security measures of this level would not be specific to the Kerrys; the homes of all Presidents are treated this way, as (to a lesser extent) are the homes of all former Presidents.  homes It is not true, however, that every single residence owned by the either of the Kerrys (whether it be in America or abroad) would be staffed by five Secret Service agents around the clock, and that those agents would be guarding the Kerrys and all their properties for the rest of John Kerry's life.  Secret Service staffing levels vary as the situation requires, and lifetime protection for former Presidents and their spouses was eliminated by Congressional legislation in 1997.  President Clinton and his wife, Hillary, are the last First Couple who will receive such a benefit; President George W. Bush and all who succeed him in the White House will be limited to receiving Secret Service protection for a period of not more than 10 years from the time they leave office.  protection In any case, the idea that U.S. voters would have to pay higher taxes if John Kerry were elected President in order to "protect his investments" is just silly.  The projected U.S. federal budget for 2005 is $2.4 trillion  the amount of money spent to protect the President and his family (whoever that President might be) is but a teeny-tiny fraction of a drop in that vast bucket.  The only thing sillier than that notion that taxes would have to be raised to protect a putative President Kerry is the suggestion that the cost of Secret Service protection should be a factor in voters' choosing who should serve as President of the United States. budget For more information about the protection afforded former Presidents, see our article about a similar rumor that was attached to the previous First Couple when President Bill Clinton left office in 2001. article Last updated:  2 October 2004    Sources:   Burger, Timothy and Kenneth Bazinet.  "Hil and Bill Buy 3M Home, Sweet Home in Capital."   [New York] Daily News.  30 December 2000  (p. 6).     DeFrank, Thomas.  "1st Family's N.Y. Bunker."    Fuchs, Marek.  "First Family's Arrival Changes the Focus of Secret Service Office."   The New York Times.  29 October 2000  (Weekend Calendar; p. 5).     Grove, Lloyd.  "The Reliable Source."   The Washington Post.  12 January 2001  (p. C3). Claim:  Protest against federal spending encourages Americans to mail tea bags to the White House.  Example:  [Collected via e-mail, March 2009] Mailing Tea Bags to Washington, DC What a wonderful idea, I just wish it had been mine. I have a feeling that USPS is going to have a hell of a lot of tea to contend with, after all it only costs 42 cents to send a message, hopefully heard round the world!!! So please mark your Calendars There's a storm abrewin'. What happens when good, responsible people keep quiet? Washington has forgotten they work for us. We don't work for them. Throwing good money after bad is NOT the answer. I am sick of the midnight, closed door sessions to come up with a plan. I am sick of Congress raking CEO's over the coals while they, themselves, have defaulted on their taxes. I am sick of the bailed out companies having lavish vacations and retreats on my dollar. I am sick of being told it is MY responsibility to rescue people that, knowingly, bought more house than they could afford. I am sick of being made to feel it is my patriotic duty to pay MORE taxes. I, like all of you, am a responsible citizen. I pay my taxes. I live on a budget and I don't ask someone else to carry the burden for poor decisions I may make. I have emailed my congressmen and senators asking them to NOT vote for the stimulus package as it was written without reading it first. No one listened. They voted for it, pork and all. O.K. folks, here it is. You may think you are just one voice and what you think won't make a difference. Well, yes it will and YES, WE CAN!! If you are disgusted and angry with the way Washington is handling our taxes. If you are fearful of the fallout from the reckless spending of BILLIONS to bailout and "stimulate" without accountability and responsibility then we need to become ONE, LOUD VOICE THAT CAN BE HEARD FROM EVERY CITY, TOWN, SUBURB AND HOME IN AMERICA. There is a growing protest to demand that Congress, the President and his cabinet LISTEN to us, the American Citizens. What is being done in Washington is NOT the way to handle the economic free fall. So, here's the plan. On April 1, 2009, all Americans are asked to send a TEABAG to Washington, D.C. You do not have to enclose a note or any other information unless you so desire. Just a TEABAG. Many cities are organizing protests. If you simply search, "New American Tea Party", several sites will come up. If you aren't the 'protester' type, simply make your one voice heard with a TEABAG. Your one voice will become a roar when joined with millions of others that feel the same way. Yes, something needs to be done but the lack of confidence as shown by the steady decline in the stock market speaks volumes. This was not my idea. I visited the sites of the 'New American Tea Party' and an online survey showed over 90% of thousands said they would send the teabag on April 1. Why, April 1?? We want them to reach Washington by April 15. Will you do it? I will. Send it to; 1600 Pennsylvania Ave. Washington, D.C. 20500. Forward this to everyone in your address book. Visit the website for more information about the 'New American Tea Party'. I would encourage everyone to go ahead and get the envelope ready to mail, then just drop it in the mail April 1. Can't guarantee what the postage will be by then, it is going up as we speak, but have your envelope ready. What will this cost you? A little time and a 40 something cent stamp.. What could you receive in benefits? Maybe, just maybe, our elected officials will start to listen to the people. Take out the Pork. Tell us how the money is being spent. We want TRANSPARENCY AND ACCOUNTABILITY. Remember, the money will be spent over the next 4-5 years. It is not too late. Of course, if you agree with the way things are being done now, just delete!!!!! Origins:   On the evening of 16 December 1773, a group of American colonists who called themselves "The Sons of Liberty" furtively boarded the ship Dartmouth, which was docked in Boston harbor with a load of East India Company tea.  Working  through the night, the colonists dumped over 45 tons of tea into the waters of the harbor as a protest against the Tea Act passed by the British government.  The event, which came to be known as "The Boston Tea Party," was one of the seminal events of the American Revolution and remains one of the most iconic moments in all of U.S. history. In 2009, the iconic status of that event was referenced in the name of the New American Tea Party, described as a "coalition of citizens and organizations concerned about the recent trend of fiscal recklessness in government" who have begun coordinating events around the U.S. with the announced goal of protesting largesse in federal spending.   The item quoted above seeks to take up the "Tea Party" spirit by encouraging Americans to mail tea bags to the White House on 1 April 2009 (in order to arrive by 15 April, the day on which income tax filings are due) as a form of symbolic protest against "the way Washington is handling our taxes."  (The concept is vaguely reminiscent of a 1955 campaign that had citizens mailing small bags of wheat to President Eisenhower to encourage the U.S. to provide surplus food to flood victims in China.) New American Tea Party events wheat Of course, everyone is free to choose whether or not to participate in symbolic protests, so such actions don't have much in the way of verifiable "true" or "false" aspects  the only issue is how effective the chosen form of protest is likely to be.  With that in mind, we offer a few caveats for those inclined to participate:  An entry in the New American Tea Party blog states that they don't endorse the effort: entry We have received hundreds of questions about an email circulating that urges folks to send tea to Washington on April 1st or April 15th.  This effort is not endorsed by the New American Tea Party, so we can't answer any questions about it.  Given the more stringent security procedures for mail handling enacted after 9/11, there are no guarantees envelopes containing mailed teabags will get through to the White House without being discarded or significantly delayed, something also noted in the New American Tea Party blog: It is a neat idea, but things like that will likely either be held up getting scanned or end up getting thrown away due to security precautions. (A subsequent New American Tea Party blog entry suggested that just mailing the labels from tea bags might be a way of avoiding this potential pitfall.) entry  Envelopes that cannot be run through USPS sorting machines are subject to an additional 20 postage surcharge. A mailed item is considered  nonmachinable if: nonmachinable  It is a square letter (the minimum size for a square envelope is 5 x 5 inches) It is too rigid  does not bend easily It has clasps, string, buttons, or similar closure devices It has an address parallel to the shorter dimension of the letter It contains items that cause the surface to be uneven The length divided by height is less than 1.3 or more than 2.5  The specific aims of the tea bag protest are not clearly articulated in the e-mail quoted above, so senders might wish to include explanatory notes with their envelopes stating the desired outcome, such as: "I enclose this teabag as a protest against the passage of any further economic stimulus packages that provide money to businesses without provisions for strict transparency and accountability in how that money is to be spent" or  "I enclose this teabag as a protest against the passage of any further economic stimulus packages that include earmarks." Last updated:  12 March 2009    Idaho Statesman.  "Local Group Stages 'Reckless Federal Spending' Protest."   27 February 2009.    WJXT-TV [Jacksonville, FL].  "'Tea Party' Protests Wasteful Spending."   MSNBC.  2 March 2009.