Archive for economy

America’s Economy

Posted in uncategorized with tags , on April 23, 2022 by andelino

Why Joe Biden’s budget will bankrupt the United States.

The Roman Empire fell when the state could no longer obtain sufficient resources through taxation and was forced to debase its currency to raise revenue. The tax reforms of Diocletian in the third century were so draconian that many landowners were driven to bankruptcy, as those living off welfare became more numerous than those paying taxes. Historian Robert Adams summarizes this catastrophic state of affairs in his book Decadent Societies”, saying that “by the fifth century, men were ready to abandon civilization itself in order to escape the fearful load of taxes.”

Read more at “America’s Economy: Going the Way of Rome”

American Economy

Posted in uncategorized with tags , , , , , on May 12, 2014 by andelino

American Economy 01

My fellow Americans,

The “economy” is in a shambles. Everyone is “unemployed” and on the dole. You’ve all been “liberated” but for some strange reason that means you’re all now “living in squalor.”

There’s nothing in America “left” to redistribute.

The “food” is gone. The “gasoline” is gone. The “electricity” is gone. There’s nothing to do on “weekends” anymore. Everything is “closed.” The economy has been “shattered.”

American Economy 03

Even litter has become a “luxury” item that people fight over.

And the “progressive left” has decided this is good enough. They can afford “illegal” black market imported “stuff” from countries that are “way beyond” Obama’s reach.

Can you? No. Not unless you “want to go” to prison. Everyone “dies fast” in prison these days.

American Economy 07

Your job is simply to continue “rubber-stamping” democrats so they can continue to “rubber-stamp” Obama so he can continue to “rubber-stamp” the shadowy clique of bizarre crooked “creepy-crawly” creeps that he owes his life of “ease and comfort” to.

Do you want to live the “rest of your life” in the new squalor? Of course not. You’re “better” than that.

And that is why you need to “vote” for Republicans in the “next” election.

Their platform is to “attack, invade, and take over” all those rich countries that still haven’t gone “belly up” economically and still have “some” wealth we can “take and transfer” to the United States.

American Economy 04

Republicans don’t “care” if they have to “take over and enslave” the entire world. YOU, the American people “come” first.

Republicans are not “going to stand by” while America “goes” begging.

This will solve our “economic” problems and put America back up to “number one!”

American Economy 02

You can “vote” Democrat and live like a “beggar” or you can “vote” for Republicans, live in the “glory” of America supreme, and ride the “free cushy ride of unemployment” for the rest of your days.

The “rest of the world” still has money. Let’s go “take” it and we’ll be “rich!”

American Economy 05

Waving the White Flag

Posted in uncategorized with tags , , , , , , on March 3, 2014 by andelino

Waving the White Flag 02

Louisiana Gov. Bobby Jindal “accused” the Obama administration of “waving the white flag of surrender” by not taking enough “action on the economy.”

“What I worry about is that this president and the White House seem to be ‘waving the white flag of surrender’ after five years under this administration,” Jindal, a possible Republican presidential contender in 2016, told reporters.

“The Obama economy is now the minimum wage economy. I think we can do better than that. I think America can do better than that.”

Jindal spoke alongside other members of the “National Governors Association” following a meeting with President Barack Obama and Vice President Joe Biden.

Oklahoma Gov. Mary Fallin (R), chairwoman of the National Governors Association, announced that Obama would decide on the proposed “Keystone XL oil pipeline” from Canada within the next few months.

“I did ask the president when we could anticipate a decision on the Keystone pipeline and asked him to use his executive order power to do that,” Fallin said.

“Finally, he did come back and say that he anticipated an answer one way or the other in a couple of months. So we hope that we will know one way or the other what the answer will be.”

Jindal “framed” the Keystone pipeline in the larger “context” of the Obama administration’s “handling of the economy.”

“In the State of the Union, the president talked about using his ‘pen’ and talked about in subsequent speeches using his ‘phone’ to take executive actions and bypass Congress.”

“I made a few suggestions today,” Jindal said. “I’ve got additional suggestions on how do you do that if you were serious about growing the economy. Keystone pipeline is certainly one. Increasing drilling and leasing activity on federal land is another, things he can do on education and choice.”

Pipeline supporters say it would “create” at least 20,000 jobs and “produce” at least 800,000 barrels of oil, while opponents say it could “contribute” to global warming and “worry” about the possibility of spills.

The State Department, however, issued a “finding” this year that it would not have a “significant” impact on the environment.

After Jindal “accused” Obama of settling for a “minimum wage” economy, Connecticut Gov. Dan Malloy, a Democrat, jumped to the microphone to say “we just heard what I think ended up being the most partisan statement that we’ve had all weekend” and that “until a few moments ago, we were going down a pretty cooperative road.”

“Let me just say this, we don’t all agree on moving Canadian oil through the United States is necessarily the best thing for the United States economy,” Malloy said.

“That’s not to say that we don’t want to make sure we’re maximizing our access to American gas and American oil. So there are clearly differences here quite frankly. In many states we don’t get revenue from those oil sources or gas sources. So let’s be clear that there are differences here.”

Malloy went on to “defend” an increase in the minimum wage. The wage is $8.70 in his state.

“So let’s be very clear, there are many people like myself who support a minimum wage,” he said. “We did it once in our state this year, 45 cents. We have a plan to get to $10.10. I don’t know what the heck was a reference to white flag. But it comes to people making $404 a week. So let’s be clear we had a great meeting and we didn’t go down that road, and it just started again and we didn’t start it.”

“If that was the most partisan statement he’s heard all weekend, I want to make sure he hears a more partisan statement,” Jindal said in response.

“I think we could also grow the economy more if we delayed more of these ObamaCare mandates.” The reality is, if we’re serious about growing our economy, we shouldn’t accept a 2 to 3 percent growth. We shouldn’t accept a labor force participation rate that is the lowest it has been in 36 years.

“We shouldn’t accept policies like the minimum wage, which the Congressional Budget Office says would destroy 500,000 jobs. The CBO said that ObamaCare would result in 2 million fewer Americans working. America can do better.”

America can absolutely grow its economy. We shouldn’t be “waiving the white flag” when it comes to growth.

Jindal also declared President Barack Obama the worst president in his lifetime at his CPAC speech, saying his actions in the face of Russian troops occupying Ukraine in the past week had pushed him over the top.

“I spent a lot of 2011 and 2012 going around the country saying that President Obama was the most liberal and most incompetent president in my lifetime ever since former Democratic President Jimmy Carter,” Jindal said, referring to his time as chairman of the Republican Governor’s Association.

“But having witnessed the events abroad these last several days, as we see the president of Russia invading a neighboring country while our president wants to downsize our military, while our president brags about the increased spending on food stamps; seeing a president that doesn’t believe that a strong America leads to a peaceful, more stable world; seeing a president who doesn’t understand that a weak America leads to instability; seeing a president who doesn’t seem to understand that our allies, our enemies alike need and want a strong America.”

“You know, we have long thought and said this president is a smart man. It may be time to revisit that assumption. Or at least make a distinction between being book smart and being truly wise,” Jindal said.

“And so, today let it be heard — and I hope he’s watching — to President Carter, I want to issue a sincere apology. It is no longer fair to say he was the worst president of this country in my lifetime,” Jindal said. “President Obama has proved me wrong.”

Waving the White Flag 01

Prosperity

Posted in uncategorized with tags , , , , , , , , , , , , on April 24, 2013 by andelino

4107-67166

American Prosperity

My fellow “capitalist” exploiters there is a “terrible” thing happening in America.

The “masses” of unemployed Americans, undocumented workers and destitute poor entitlement folks are beginning to “see” through our ridiculous and “incompetent” leader Obama.

They are beginning to see that “everything” he does has been “destroying” them as a class by “fueling” the illegitimate “despotic” rule of fascist corporate ruling classes.

Here is what I “learned” from the New York Times of “all” places:

“Would you have been better off leaving your money in a bank in the United States or in Cyprus over the last five years?

The answer is:

“You would have been better off in Cyprus, even after the bailout, when your money was confiscated.”

Greece Euros

Greece Euros

Even after the bailout, which would require you to give up 10 percent of your deposit—12,760 Euros—you would be left with 114,840 Euros.

The American bank? The $100,000 you deposited at Bank of America five years ago is about $105,100, at the going rate of about 1 percent interest a year.”

In “other” words, the American people are “waking” up and taking “notice” that our “financial” genius in the White House is already “sucking” the savings out of the masses with his “class war” inflationary policies.

With the Federal Reserve just “handing” money over to our “too big to fail” banks at no “interest” this is “wiping” out any savings by “destroying” earnings on savings and “inflating” away the “existing” money of the workers and poor.

Our banks use the easy “free” money to buy into the “stock market” because with the economy so “screwed” up and “unproductive” there simply isn’t any “other” place to put money anymore.

Hopefully the big stock market “bubble” this is blowing up won’t blow up like all the other “bubbles” we’ve tried.

Obamanomics

There “once was a time,” back in the 19th and early 20th centuries, when a worker could “save” his money in the bank and it would “grow” so that in twenty or thirty years he’d have a real “nest egg” for retirement years.

This was because the government wasn’t “inflating” away his savings with “policies” to prop up the ruling classes of “oligarchical capitalism” and also because the “economy” itself grew creating more “plenty and lower” prices.

Those were “dark” days. Our class cannot afford to “return” to the days before we made “life” better and more “secure” for the masses.

clyde prestowitz

The “problem” is obviously that the Government does not “yet” have control of the people’s “savings and retirement” accounts.

Only Obama and his “devoted” minions know how to “invest” wisely. And as he repeatably proclaims“There’s more work to be done.”

In any event, with unlimited free “ObamaCare,” at a nominal cost, “old age” will no longer be an issue.

amdream

Debt Ceiling

Posted in uncategorized with tags , , , , , , , on January 16, 2013 by andelino

debt_ceilingEver feel like it is just one “crisis” after another? Get used to it.

While everyone “focused” on avoiding the fiscal cliff, we “cracked” our head on the debt ceiling. The U.S. government reached the statutory “limit” on how much money it can “borrow.”

Get ready for the next big “budgetary” fight—and this time expect a much bigger “hit” to your pocketbook.

Treasury Secretary Timothy Geithner told Congress that “emergency” measures were now in effect to “prevent” Washington from “defaulting” on its debt.

America has begun a “debt issuance suspension period” that would last through February 28, he said. We have “less” than 60 days to raise the “debt” ceiling, which is currently set at $16.394 trillion.

If we “don’t,” our creditors will soon stop “being” paid. A debt default could have “drastic” implications on how much America pays to “borrow” money.

Last year, due to concerns over the “debt ceiling,” a major credit rating agency “downgraded” U.S. debt. It was a “first” in U.S. history. It won’t be the “last.”

Now, after passing an unpopular last-minute “fiscal cliff,” Washington is set for the next “set of crisis” negotiations. The difference this time is that Republicans seem more “determined” to tackle government “spending”—and that means potential “reforms” to Social Security, Medicare and Medicaid.

Any reforms will almost certainly mean “cuts” to services and payouts. Democrats are “sure” to oppose. Democrats won the “fiscal cliff battle” by winning increased government “spending and taxation.” Who will win the next one?

US_Public_Debt_Ceiling_1981‑2010

If you thought the “last” battle over the debt ceiling was “bad,” wait till you see what this year’s could bring. And the “debt ceiling crisis” is only the beginning.

There is also the looming “sequester” issue—a legacy of 2011’s debt ceiling battle.

Sequester involves $110 billion worth of automatic, across the board “spending cuts” to every single government department. The cuts were scheduled for January 1, but due to an “inability” to agree on how to “avoid” the cuts, Congress “postponed” the date two months.

Indebted America has few choices to deal with its budget issues. “It can cut spending—and hurt the economy. It can raise taxes—and hurt the economy. It can increase borrowing—and hurt the economy. It can print money—and hurt the economy.”

Alternatively, it can do some “combination” of the four—and hurt the economy. Some options hurt “more than others.” Some hurt “more immediately.” Others hurt “much later.”

But here is the point: “There is no way to avoid the consequences of our debt.” Political attempts to “avoid” paying the “price” will make matters “worse,” not better.

There will be no “end” to the crisis. It will be “one crisis after the other” until you think they have gone on “forever.”

This is America’s “future.” This is “reality.” You can choose to “prepare” for it, or “suffer” the worst of it.

Fiscal Cliff

Posted in uncategorized with tags , , , , , , on January 15, 2013 by andelino

Follow Me

Fiscal Cliff

If the fiscal cliff “fiasco” shows one thing, it is that America is living in a “dangerous” make-believe wonderland.

Details are emerging about the “fiscal cliff” deal passed by the Senate  and it makes no sense.

The new bill to avert the “fiscal cliff” contains no net spending cuts,” according to the Congressional Budget Office (CBO). That’s right: “none, zip, nada.”

All that talk about “slashing” spending and “raising” taxes to get our finances in order was apparently “hallucinatory” politician doublespeak.

The CBO reports that the bill includes $25 billion in “new cuts,” of which $2 billion will take effect in 2013.

But these cuts will be absolutely dwarfed by $330 billion in “new proposed spending” over the next decade!

America’s politicians are “delusional” if they think there won’t be economic “consequences” to this folly.

The world is “locked” in a recession. Serious economists like John Mauldin and Bill Gross “warn” that the economy will be “lucky” to grow at a 2 percent rate.

We are “spending” $3.2 trillion per year, but are only “collecting” $2.2 trillion per year in taxes.

America’s $16.3 trillion debt has “surpassed” 100 percent of its gross domestic product—a level that has “triggered” meltdowns in other nations.

Foreigners are already “refusing” to lend us the difference, so the Federal Reserve is “creating” money out of “thin air” to cover the difference.

And now our leaders in Washington plan on “increasing” our debt another $4 trillion over the next four years.

By the time Obama leaves office, America’s debt will likely “exceed” $20 trillion, and our debt will hit a “whopping” 125 percent of GDP—if everything goes well.

There are also tens of trillions of dollars’ worth of “Medicare and Medicaid” promises politicians have made but have not “set aside” money for.

If that was the sum total of all the “debt” America had to contend with, it would be bad enough, but the “nightmare” is only starting.

America still has all the “debt” accumulated by various state, local and municipal governments—“debt” that will take generations to pay off, if ever.

There are also the massively “underfunded” state pensions—more “promised” money that only exists in politicians’ “fairy tales.”

Don’t forget “corporate debt,” or the multitude of various “personal debts,” such as car loans, mortgages, student loans, credit cards and “medical debt.”

This new “budget bill” clearly illustrates that America is “past” the point of “no return.” It may seem “insane,” but politicians are still not ready to face “reality”—that means we should prepare for “worse” economic times ahead.

If you “voted” for Obama and you “agree” with the slip of paper below you should “abstain” from voting for “life” especially considering Obama doesn’t believe in the slightest that the federal government has a spending problem.

fiscal_cliff_lessons

Hit the Road, Barack

Posted in uncategorized with tags , , , , on August 20, 2012 by andelino

“Hit the Road, Barack – Why We Need a New President”

By Noel Sheppard  August 19, 2012,
After some of the recent Obama-loving/Romney-bashing Newsweek covers, the one hitting newsstands Monday is guaranteed to turn some heads. Under the picture of our dear leader are the words, Hit the Road, Barack: Why We Need a New Leader.”

The article is written by Niall Ferguson, a British historian and economist that backed John McCain in 2008. After an introduction, Ferguson made his case:

In his inaugural address, Obama promised “not only to create new jobs, but to lay a new foundation for growth.” He promised to “build the roads and bridges, the electric grids, and digital lines that feed our commerce and bind us together.” He promised to “restore science to its rightful place and wield technology’s wonders to raise health care’s quality and lower its cost.” And he promised to “transform our schools and colleges and universities to meet the demands of a new age.” Unfortunately the president’s scorecard on every single one of those bold pledges is pitiful.

He continued:

The total number of private-sector jobs is still 4.3 million below the January 2008 peak. Meanwhile, since 2008, a staggering 3.6 million Americans have been added to Social Security’s disability insurance program. This is one of many ways unemployment is being concealed.

In his fiscal year 2010 budget—the first he presented—the president envisaged growth of 3.2 percent in 2010, 4.0 percent in 2011, 4.6 percent in 2012. The actual numbers were 2.4 percent in 2010 and 1.8 percent in 2011; few forecasters now expect it to be much above 2.3 percent this year.

Unemployment was supposed to be 6 percent by now. It has averaged 8.2 percent this year so far. Meanwhile real median annual household income has dropped more than 5 percent since June 2009. Nearly 110 million individuals received a welfare benefit in 2011, mostly Medicaid or food stamps.

Welcome to Obama’s America: nearly half the population is not represented on a taxable return—almost exactly the same proportion that lives in a household where at least one member receives some type of government benefit. We are becoming the 50–50 nation—“half of us paying the taxes, the other half receiving the benefits.”

And all this despite a far bigger hike in the federal debt than we were promised. According to the 2010 budget, the debt in public hands was supposed to fall in relation to GDP from 67 percent in 2010 to less than 66 percent this year. If only. By the end of this year, according to the Congressional Budget Office (CBO), it will reach 70 percent of GDP. These figures significantly understate the debt problem, however. The ratio that matters is debt to revenue. That number has leapt upward from 165 percent in 2008 to 262 percent this year, according to figures from the International Monetary Fund. Among developed economies, only Ireland and Spain have seen a bigger deterioration.

Ferguson also took aim at the media’s coverage of Obama:

Yet the public mistakes his administration’s astonishingly uninhibited use of political assassination for a coherent strategy. According to the Bureau of Investigative Journalism in London, the civilian proportion of drone casualties was 16 percent last year. Ask yourself how the liberal media would have behaved if George W. Bush had used drones this way. Yet somehow it is only ever Republican secretaries of state who are accused of committing “war crimes.”

Indeed. As we’ve seen in the past three and a half years, Obama can do virtually anything he wants and his media will either applaud or look the other away. That said, after spending the bulk of his lengthy piece chronicling the current White House resident’s missteps, Ferguson spoke glowingly about Paul Ryan:

He is one of only a handful of politicians in Washington who is truly sincere about addressing this country’s fiscal crisis….But one thing is clear. Ryan psyches Obama out. This has been apparent ever since the White House went on the offensive against Ryan in the spring of last year. And the reason he psyches him out is that, unlike Obama, Ryan has a plan—as opposed to a narrative—for this country.

The voters now face a stark choice. They can let Barack Obama’s rambling, solipsistic narrative continue until they find themselves living in some American version of Europe, with low growth, high unemployment, even higher debt—and real geopolitical decline.

Or they can opt for real change: the kind of change that will end four years of economic under performance, stop the terrifying accumulation of debt, and reestablish a secure fiscal foundation for American national security.

The Rich Don’t Make Us Poor

Posted in uncategorized with tags , , , , , on August 8, 2012 by andelino

The Rich Don’t Make Us Poor
by Charles Kaupke

We’ve been hearing a lot lately about the need for the wealthy to “pay their fair share” so that the federal government can pay down its debts and continue to fund programs to provide basic human necessities for the poor, such as food, shelter, and prophylactics. Their argument is that the greedy rich have been stealing increasingly large percentages of the nation’s GDP, and have been hoarding their riches, rather than generously giving them to the federal government to be used for the common good.

The only solution is to increase taxes on the rich, so that instead of letting billionaires covetously hold onto (and thus waste) their excess wealth, which they don’t really need, the government can take that cash and use it much more effectively, to give the rest of us free stuff. After all, it just isn’t fair that some Americans control billions of dollars’ worth of wealth, while others struggle to make ends meet.

Sounds plausible, right? Of course it does. Unfortunately for those who make a living out of inciting class warfare, it’s not true. There are a number of errors embedded in the above explanation of our nation’s woes, but let’s cut to the central one: the fallacy that there always has been and always will be a fixed amount of wealth in the world, and that wealth is merely shifted back and forth among people, but it is never really increased. Economists call this the “fixed pie” fallacy.

This is not a new fallacy. In fact, it’s been around for almost as long as economics has been a science. Let’s look at one relatively recent example: in his 1912 work The Servile State, English historian Hilaire Belloc presents his case against capitalism, arguing that by its very nature it is immoral. Belloc – who was not an economist – has become especially popular among some Catholics who decry capitalism as being antagonistic to Christian social and political virtues, and who pine for the idyllic days of subsistence farming and feudal lords. For many of these people, The Servile State is their only exposure to economic thought. This is a shame, because Belloc is a prime example of someone who fell for the “fixed pie” fallacy.

Belloc defines capitalism as a “society in which private property in land and capital, that is, the ownership and therefore the control of the means of production, is confined to some number of free citizens not large enough to determine the social mass of the state, while the rest have not such property and are therefore proletarian.” The definition Belloc offers is a sign of a deeper mistake on his part: the belief that economics is a stagnant business. His definition of capitalism paints a picture of the wealthy few hiding their money in mattresses, while the rest of us languish with no hope of ever acquiring wealth or living well.

I suppose there could be instances of that happening, but they certainly won’t continue for any sustained period of time. Think about it – if the wealthy hoard their money and don’t do anything with it, how do they support themselves? You don’t live well by having money; you live well by using money. In order to use it, you have to give it to someone else in exchange for goods or services that they give to you. Entrepreneurs get wealthy by using their resources to provide others with jobs. This increases their own well-being, as well as the lives of those they hire; both employer and employee benefit by being part of a useful business from which they can make a living. So the idea that the wealthy are able both to hoard their money and to live well, even affluently, is absurd.

Historical reality bears out the fact that in capitalism, people become rich by putting what capital they have to good, productive use, and that anyone, no matter how poor they start out, can become wealthy. Mitt Romney’s Bain Capital, which leftists love to hate, and other venture capital groups risk their own money to provide small entrepreneurs with the means of jump-starting their companies, providing jobs both for those working in venture capital firms, and those employed by entrepreneurs.

Many famous entrepreneurs, such as Henry Ford, Sam Walton and James Cash Penney became fabulously wealthy not by hiding their money in a mattress, inheriting it, or cheating on their taxes, but by delaying gratification, providing workers with decent paying jobs, and putting in long hours for years, to build and maintain successful companies that serve their employees and their customers well. The historical reality of entrepreneurs gives the lie to two of Belloc’s assumptions: that the wealthy can maintain luxurious living standards by sitting on their wealth, and that capitalism prevents the poor from working their way up the economic ladder.

Sadly, it seems that many Americans, including the Occupy crowd and even our own President, are not aware of the unique and amazing power of entrepreneurship: the ability to use our resources and God-given talent to better the lives of those we work with and those we serve. Only when we as a nation remember that the phenomenon of money can be used in a dynamic way to participate as co-creators with God, will we begin to work our way out of the economic mess we are in.

Taxes Everywhere

Posted in uncategorized with tags , , , on July 17, 2012 by andelino

The next time you hear a politician use the word “billion” in a casual manner, think about whether this is who you want spending your tax money.

A “billion” is a difficult number to comprehend, but one advertising agency did a good job of putting that figure into some perspective in one of its releases.

a. A “billion” seconds ago it was 1959.
b. A “billion” minutes ago Jesus was alive.
c. A “billion” hours ago our ancestors were living in the Stone Age.
d. A “billion” days ago no-one walked on the earth on two feet.
e. A “billion” dollars ago was only 8 hours and 20 minutes, at the rate our “government” is spending it.

While this thought is still fresh in our brain, let’s take a look at what is happening with the “$85 billion” that we gave to AIG
The first week after receiving the bailout money, they spent $440,000 on a retreat at a luxurious California resort on your tax money. When is the last time you vacationed at a plus resort anywhere?

And though reports show that Congress is upset and looking for answers, today’s news story tells of AIG getting an additional “$37.8 Billion” to help it deal with a rapidly dwindling supply of cash. Is this amazing or what?

Washington, D.C. HELLO!!!… Obviously you are not looking out for our best interest. STOP GIVING AWAY OUR MONEY!!!!

This is too true to be very funny…

Tax his land,
Tax his wage,
Tax his bed in which he lays.

Tax his tractor,
Tax his mule,
Teach him taxes are the rule.

Tax his cow,
Tax his goat,
Tax his pants,
Tax his coat.

Tax his ties,
Tax his shirts,
Tax his work,
Tax his dirt.

Tax his tobacco,
Tax his drink,
Tax him if he tries to think.

Tax his booze,
Tax his beers,
If he cries,
Tax his tears.

Tax his bills,
Tax his gas,
Tax his notes,
Tax his cash.

Tax him good
and let him know
That after taxes, he has no dough.

If he hollers,
Tax him more,
Tax him until he’s good and sore.

Tax his coffin,
Tax his grave,
Tax the sod in which he lays.

Put these words upon his tomb,
“Taxes drove me to my doom!”

And when he’s gone,
We won’t relax,
We’ll still be after the inheritance TAX!!

Accounts Receivable Tax, Building Permit Tax, CDL License Tax, Carbon Tax, Cigarette
Tax, Corporate Income Tax, Dog License Tax, Federal Income Tax, Federal
Unemployment Tax (FUTA), Fishing License Tax, Food License Tax, Fuel Permit
Tax, Gasoline Tax, Health Care Tax, Hunting License Tax, Inheritance Tax, Inventory Tax, IRS
Interest Charges (tax on top of tax), IRS Penalties (tax on top of tax),
Liquor Tax, Luxury Tax, Marriage License Tax, Medicare Tax, Property Tax,
Real Estate Tax, Service Charge Taxes, Social Security Tax, Road Usage Tax
(Truckers), Sales Taxes, Recreational Vehicle Tax, School Tax, State Income
Tax, State Unemployment Tax (SUTA), Telephone Federal Excise Tax, Telephone
Federal Universal Service Fee Tax, Telephone Federal, State and Local
Surcharge Tax, Telephone Minimum Usage Surcharge Tax, Telephone Recurring
and Non-recurring Charges Tax, Telephone State and Local Tax, Telephone Usage
Charge Tax, Utility Tax, Vehicle License Registration Tax, Vehicle Sales
Tax, Watercraft Registration Tax, Well Permit Tax, Workers Compensation Tax.

Not one of these taxes existed 100 years ago and there was prosperity, absolutely no national debt, the largest middle class in the world and mom stayed home to raise the kids.

Obama’s Surprising Tax Logic

 I am Barack Obama and I approve of this message

Mood Disorder

Posted in uncategorized with tags , , , , on June 13, 2012 by andelino

It’s time the federal government exercised divine fiat to increase the pay of minimum wage workers, Rep. Jesse Jackson Jr. said at a Capitol Hill news conference on June 6. “It is time to bail out working people who work hard every day,” he said. “The only way to do that is to raise the minimum wage.”

How much more should companies pay their employees? According to Jackson, a whopping 38 percent! Under his proposal, the minimum wage would jump by $2.75 per hour to $10 per hour. According to the New York Times, Jackson is pushing his agenda from a new angle—“that raising the minimum wage will encourage Americans to spend more and stimulate the struggling economy.”

If only it were so simple.  The last time the federal government raised the minimum wage was in 2009—right in the midst of a recession. This too was sold as a way to “stimulate” the economy. Back then it raised it from $6.55 to $7.25. The Wall Street Journal quoted experts saying that the move would add $5.5 billion to the economy. If simply raising the minimum wage by 70 cents adds $5.5 billion to the economy, why stop there?

Because it doesn’t work. For one thing, money doesn’t appear out of nowhere. It has to come from somewhere. If businesses have to pay their employees more, they will have to increase prices (or go bankrupt)—which means that all those minimum-wage workers at Burger King will be spending their newly enlarged paychecks on higher priced food. But it doesn’t stop there. Wal-Mart employees will be spending their empowered paychecks on higher priced clothes. The oil change at the local garage will cost more. The electronics at Best Buy will mysteriously cost more. Stationery at Staples will inflate. The list goes on.

It doesn’t stop there either. It won’t be just the minimum wage employees that pay more. People already making $10 per hour who do not get a raise will pay more. Businesses that do not have minimum-wage employees that buy products from businesses that do will pay more. The government, which hires contractors, will pay more. Which means taxes will eventually need to go up.

Everyone will pay more. Surprise, surprise—no free lunch. But while everyone is paying more, one group of people will not be paying more.

What group is that, you ask? The poor people who lose their jobs. Many companies that pay minimum wage, pay that because that is what they can afford. Some jobs are only worth paying $7.25 per hour. At $7.25, I might hire someone to rake my lawn. At $10 I might consider letting the leaves blow down the street. Raising the minimum wage is like legislating poor people out of work. And that means that more will need to be paid out in unemployment insurance, and food stamps, and government health care.

Increasing payroll costs is not a way to stimulate the economy. It is, however, a great way to increase unemployment and hurt the low-skilled, low-paid workers that you are trying to help. And it is also a great way to exacerbate the recession.

With America in a recession, now would be the perfect time to raise the minimum wage—if you wanted to hurt the economy.

If this sign is not preaching the truth, I don’t know what is! Let’s say politicians only earned $7.25/hr, the federal minimum wage. They may be a bit more sympathetic to the plights of working families and the under-employed. Following the instructions on this sign may be a good first step to changing things for the better.

Did I hear Jesse Jackson, Jr. to be the first one to offer to work for the minimum wage to set a good example for the rest of the politicians?

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