Monday, August 30, 2010

The Economy!

The economic recovery from the near depression, which started in December of 2007, has slowed. Companies are reported to be, “flush,” with plenty of cash, yet they’re not spending the money on developing their companies (capital expenditures) or hiring new employees.

Why not?

The talking heads of business journalism say it is because the companies are uncertain about the future.


There is not now, nor has there ever been, a crystal ball; certainty about the future. The real reason is that the companies want a republican majority in one, or both, chambers of the federal legislature. Republicans have encouraged the regulators to stand by and trust businesses to do the, “right thing.”

This approach has given us: the failure of the entire Savings and Loan industry (mortgage providers) in the late 1980s; Enron; World Com; the failure of two, of three, US auto manufacturers; BP; a trip to the edge of depression in 2007 (driven by bad home mortgages failing: known as sub-prime mortgages from their initiation); $10.2 trillion in federal deficit by January 20, 2009 (the day before President Obama was sworn in); etc…

Is this what you, the voter, want returned to political power?

Why would you want that?

Saturday, August 28, 2010

A few quick perspectives...

First, the economy is stuck, not growing/recovering, because the consumer is not consuming these days. The experts are speculating wildly as to why this is, because the answer (that a surprising number of said experts already know) is unpopular; denied.

When manufacturing, customer and back office services jobs are being moved overseas, jobs in the USA are eliminated. These former employees, with no job/paycheck, were also known as customers. The newer, really low cost employees (who live in the countries where the jobs are moved) are not being paid anywhere near enough to consume like the Americans they replaced.

Consumers are 70% of the American economy, and this sector will remain comatose till equivalent new jobs become available to them.

Second, immigration problems will not go away until the USA is no longer a desirable destination. Fear mongers say foreigners (Latinos) are swarming across our unsecured (southern) borders, then taking our jobs and committing lots of crimes. Jobs are not being taken by these foreign invaders; employers are actively seeking out these hard-working, low cost laborers once they are here in the USA.

Meanwhile, immigration auditors from the Obama administration are actively demonstrating how easy it is to check an individual’s ability to seek employment in the USA, and how many employers have not taken these simple steps. The hypocrisy becomes apparent when one is able to determine how many of the fear mongers are benefiting from the work done by these hardworking illegal immigrants.

As to the crime wave allegedly being propagated by these illegal immigrants storming across our borders, FBI statistics indicate that crime rates have consistently trended lower recently in the border regions of the USA.


A simple point to remember is that everybody in the USA is, or is descended from, an immigrant; indigenous populations included. None of these immigrants asked if it would be o.k. before coming to the USA, and none need ask now!

Homer Simpson said it best: “DOH!”