On Mon, 12 Jan 2009 02:20:22 -0500, "Eisboch"
wrote:


"Vic Smith" wrote in message
.. .


I know. But on Jan 21 we can blame it all on Obama according to your
logic.
Seriously, we are in bad shape. Not sure there is a way to recover.
I need to think about this some more.

Do that and get back to me.
I'm going to make a cup of coffee.
Should be enough time for you to work it out.

--Vic


I used the word "logic" to refer to your previous acknowledgement that you
hold the sitting POTUS responsible for whatever the current state of affairs
is. So does Harry. That's why you were lumped together. Perhaps I should
have used the word "illogical". :-)

Yabut. You may have noticed Obama is being blamed already.
And he's not even prez yet!
Anyway, we'll see how logic stands up to politics and the blame game
soon enough.

Ok. Back from thinking. Here's the dilemma and my idea.

According to the economic think tank panel on the CNN presentation, the
prime reason for the economic mess we are in is our credit card mentality.
It goes way beyond credit cards however. We want, so we buy with money we
don't have. Sub-prime mortgages follows the same mentality and brought the
life style problem to a head.

The (almost) unanimous recommendation of the panel was for the country to
return to a post depression mentality and concentrate on savings. People
who lived through the depression learned a lesson and were much more fugal
in their spending habits, putting money away for a rainy day. Somewhere
along the line we shifted away from this mentality, and got into a buy now,
pay later style of living. Saving for the future changed it's meaning to
401k investment planning, relying on others for a secure future.

But now, here's the current problem in trying to recover from this mess:

The government's solution is to encourage us to spend more now. The
"stimulus" programs are intended to encourage spending. This is 180 degrees
out of phase of what most conservative economic experts recommend and
continues the "I want it now" mentality. It probably won't work because
smart people *are* concerned and will most will put any extra money received
through give a ways or tax reductions into savings.

Here's my proposal.

Forget about big business bailouts and stimulus checks/tax relief programs
to private individuals.
Establish a federal version of the state small business administration
(SBA) programs and use a fraction of the bailout monies being spent on
bailouts to provide start-up funding or growth funding for small businesses
nation-wide. This is where 80 percent of the population works. Some of
those who have lost jobs will apply for start-up funding to create new ones.
Obviously not all new businesses will make it, but those that do will hire
more people, many from the unemployed ranks. Small businesses are better
suited to focus on new technologies, green programs, or service sector areas
anyway because they don't have the diverse baggage to carry like big
business.

A recovery won't be fast, but it will be based on a solid footing and will
open the door to re-establish manufacturing in the US.

It's good to see somebody giving it serious thought, and you mentioned
manufacturing, which *nobody* in the elite is doing in a broad sense.
They just ignore balance of trade.
With all the talk of a "green economy" and Detroit picking up some of
the manufacturing for it, it's still not making sense.
What's to keep the Chinese from jumping headlong into making
windmills, solar panels, etc., at half the cost?
You're going to have all the globalists, and that includes Obama,
kowtowing to the WTO.
You just can't survive is a "strong" fashion without manufacturing
most of your own goods, and we aren't even close anymore.
Tom has mentioned, and I've mentioned that it's a new world with
globalism. Drastic upheavals are in store. If the upheavals take a
nationalist path, we won't have cheap foreign toys anymore, but we
will be a stronger nation. If we continue on the globalist path, we
will wither away. That's how I see it.
Most the current national pols are globalists.
Let's see what Obama does about H1B visas for instance, and the other
alphabet soup of visas that cost America jobs.
I've seen the H1B's virtually destroy a sector of U.S. IT.
Then you have the "hunger" factor with American management.
They got fat and happy, and forgot what hard work is, preferring to
offshore their responsibilities. I've seen this up close, and it's
another manifestation of globalism. And I'm not talking about the
money grubbers after bonus money for cutting costs, but the sharp guys
in technical management who built the businesses but just don't want
to do the hard work anymore.
Globalism found this a fertile area just as these guys reached the
lay-back-and-relax stage. The rest of the world is hungrier than us.

--Vic