Archive for the ‘Economy’ Category

Obama misses the point

May 4, 2009

As our new President finds way to increase government on the money of others (that would be corporations and other so called fat cats that don’t spend enough to be lobbyists) he is missing the point on closing loopholes in the tax code.  1st. the rich never pay their fair share of taxes, they always find a way to maximize their deductions (usually legally) 2nd. Good government is like good leadership or a good NBA ref, the best leaders, or refs stay out of the way of the players.  Sure government may have good intentions (ha ha) but when you force feed a nation jobs for people with little or no qualifications (homeland security anyone) you don’t get the productivity or net increase to local and small business you would if it was done with private and personal capital.  The problem with raising more tax money, if the fact that there is no incentive to become productive.  When a nation becomes to dependent on social security income, when a nation gives more health care to people who don’t have a job, don’t want a job, have a job, but earn cash, what crash the ER anyways than people that work under the gun for a private or public employer and pay their fair share of taxes, gee something is wrong.  Unfortunately, the best way to cut government is to have a much smaller tax base.  Local government, with a decrease in retail taxes, the loss of local car dealers, has had to tighten the budget, cut jobs, reduce services, which why more money should stay locally, and most people should keep their hard earned money to a. stimulate the economy spending on excesses b. save it to actual be self sufficient in retirement (what a concept) c. open small to large business that will hire people and provide services and economic goodwill to the local community

Credit Cards – the new indentured servitude

March 19, 2009

The biggest sham of this bank bailout, is that banks are making a killing on credit cards. Obviously, most people don’t know how banks make money than the mafia from a single piece of plastic.  They charge merchants a high fee (for the convenience, with all types of tricky contracts …let’s just say 2.5% off the top.  They charge you the customer a nice interest 12% if you are always on time, 25% or more if you where late one payment.  On top of the interest, they charge you $25-30 for late fees.  Their scam is that you pay the minimum but not enough debt where you file bankruptcy.  Their target markets are people that will be good wage earners, people who have a consistent paying record (credit score) and people with a lot to lose (business, homeowners).  Nothing they do is fair, the can change the conditions on a whim, and the biggest sham is how a bank says they can’t give you a line of credit but they can start you off with a credit card.  CASH IS KING, hopefully the public will fight back, with paying off their debts, bank with a local credit union or local bank and stay of the credit card crack.  Wall Street may have led down a dark road, DC and politicos opened the door, but I and a lot of American’s lighted the fire with line of credit and credit card debt.  If you have to ask the price and can’t pay in cash … you can’t afford it.

Young people and retirement

September 18, 2008

Here is the secrets to retirement your broker or banker won’t tell you.

1. Your broker job is to make money from commission, not to get you safely to retirement

2. Your banker wants to make money on the spread of interest rates, not promote your financial success.

3. You, alone are responsible for your money and no FDIC will protect you

4. FDIC does not protect you because it is backed by (not the government) but the fricking tax payers.  Anything this backed on the backs of hard working tax paying Americans comes at a cost (less health insurance, less credit liquidity, less money to buy goods and services, less education for our children, less healthcare for the mentally ill and elderly, a budget deficit, more taxes and fees and weaker dollar (Yep higher oil and stagflation) gotta love it.  Not to mention what is your rate of return on a FDIC product.  A whopping 3% on a CD backed by your and your children tax dollars.

5.  Your only hope for retirement is to be part of the upper middle class.  The group of people who have multiple investments (500K each spouse) plus in pensions or 401K, some form of passive income from commercial or residential property, on going business residuals (like insurance agents, Monavie, and other similar types of businesses) and a mortgage that is 80-90% paid off, and/or work way past 65+ like Ed McMahon.  People who depend on insurance products (like AIG type annuities), or stock market, or just real estate or lousy FDIC products for bailing them out on retirement need to get in the long line of people who count on government earmarks, the politicians, the bureacrats, the military, the lobbyists, the unions, the corporate bigs, the illegal immigrant population, the social security dependent baby boomers, the sick, the young and then guess what finally you.

The Great Main Street Hope

September 18, 2008

The housing crisis will come to an end when savy investors realize housing prices will not longer continue to fall.  When employment and wages match up with the decline in housing prices, we will have a bounce, a slow and painful bounce, but a bounce.  The only hope for that day is the job creation and profitablity of main street businesses.  Small business owners are the greatest source of new jobs in any economy, good or bad, and good luck thinking AIG or HP or GM will bring jobs back to middle America.  Hopefully, Obama and his Chicago political machine and tax agencies can keep their greedy paws away from sole- propietors and other small businesses.

Wall Street Condescending

September 18, 2008

Wall Street vs Main Street

 

The fall of the stock market places a lot of futures in the hands of the uncertain.  One thing is clear, is that we live in turbulent times and nothing is for certain.  Institutions of trust and respect, banks and governments do not have the interest of shareholders or the governed at stake.  Who is to blame, and how do we fix this crisis?

 

                We are to blame, we believe the rhetoric and lies from IB to stockbrokers to so called media journalists, when the critical mass of greed, (stock market crash of 1920, 1984, dot com bust, our housing crisis) gets overheated the only end in sight is a prolong recession and depression.  We will not be able to generate a competitive workforce when you buy more than we export.  Our legacy of spending will eventually convert us to the Spainairds  and Romans of old another decrepit empire.

 

                What is our great legacy, the legacy of land stolen from Indians, and Mexicans, the legacy of a create open society, a land of immigrants and opportunity to a country at war with itself who convenietly outsources its jobs for a tidy profit for the fortunate few. 

                One thing is clear, it is honor, integrity and a rigid moral compass that will get us through this mess.  When men and women of high moral fiber live and make decisions to the benefit of the hard working people of our great society we will resurge.  When people make money the old fashion way, with local service and goods, hard work, a fair contract with their employer and community, and government takes a lot less, and people save and share with the unfortunate we will rebound from this era of greed, pornography and disinformation. 

                Government will not protect the people.  It is the job of the people to protect the people. 

Economic Conscience

February 22, 2008

I am trying to develop a word, that should be part of our great countries vocabulary for years to come.  The word or phrase to be exact is economic conscience.  The definition or mine (is how does your decision to support or purchase from a vendor or retailer affect other American’s who make a median income in your neck of the woods).  Some easy examples when you buy a product from Walmart you are supporting The Saudis and Venezuela a person on minimum wage with no health care.  IF you buy from a local insurance agent, printer, farmer’s market you help someone that is in the middle or median tax bracket.  This should be a bigger deal, now that we live in a global economy.  The era of working at a 9-5 job without concern about productivty or relative productivity is long gone.  Relative productivity is how your performance compares to a global environment and how easy it is outsource to a third world economy without the usual political four year manuevers.  Has any one mentioned that the reason why middle or working class America is doing worse, is because we keep buying foreign products (oil and crap from China)?  Did your government force to buy at Walmart, did they force us to buy escalades and SUVS?  So why should they help us now?  I like to use the Grasshopper and the Ant fable.  We have a thing called a trade deficit.  We consume more than we produce.  Thank would make us the Grasshopper who plays all summer while the ants work hard.  Unfortunately, for a democrat the right thing to do is to tax the poor fricking ant because the grasshopper did not know better.  In the real story the grasshopper either dies or repents and humbles himself to the ants and works very hard the next summer, learning a very painful lesson.  When we buy locally, from a local bank, a local farmer, a local manufacturer the money grows and grows in a community.  When we buy from another nation (with very unfavorable trading laws the other way) we support the growth and development of places like Shanhai, Dubai, Mexico City and Dubai.