Posted by Liberty on March 15, 2009
“…the economy isn’t the only reason for our unease. There’s more to it. People sense something slipping away, a world receding, not only an economic one but a world of old structures, old ways and assumptions. People don’t talk about this much because it’s too big…”
I feel sad writing this but Peggy Noonan’s piece really resonates with me. She attempts to explain and define the malaise that we’ve found ourselves in. Read it and see what you think.
Posted in Uncategorized | Tagged: Depression, Economy, Fear, Instability, Peggy Noonan, Pill | Leave a Comment »
Posted by Liberty on January 24, 2009
This comes to us courtesy of Dr. Mark Perry of Carpe Diem. If you haven’t looked at Carpe Diem yet, I couldn’t recommend it more highly.
I have to admit that the two editorials by Dick Morris did leave me gloomy. So, when I ran across this posting, I had to link to it. Here’s a quick quote:
“Well, why are Americans so gloomy, fearful and even panicked about the current economic slump?
In one of history’s most painful paradoxes, U.S. consumers seem suddenly disillusioned with the American Dream of rising prosperity even as capitalism and democracy have consigned the Soviet Union to history’s trash heap. Hard times are forcing some people to turn their back on the American Dream.”
The question is, which economic slump is this article about? I’m not going to spoil it for you–click on through to Professor Perry’s blog to find out.
Posted in Conservatism, Educate yourself, Main Stream Media | Tagged: Carpe Diem, Dick Morris, Doom and Gloom, Economy | Leave a Comment »
Posted by Liberty on December 22, 2008
From Crosscut & Kent Kammerer this morning:
“We are now experiencing the full impact of WaMu layoffs and downsizing of hundreds of other Seattle area employers. While local businesses and the public are feeling the pinch, Seattle decision makers seem much less concerned.
Consider that the City just passed an increase in spending. Seattle’s budget for 2009, will be $3.9 billion. The general fund, which pays for most City functions, is $910 million, up 1.6 percent from 2007, and is projected to rise to $925 million in 2010. To fund the increase, the City will raise parking fees, raise the garbage rates 42 percent and water rates by 38 percent to help pay for the increase in spending. At the same time, it will reduce city revenues with property tax deferments to developers.
Mayor Greg Nickels also just announced that a Seattle top administrator needs a 37 percent pay raise to $302,000 per year. So, is spending on City employees getting out of hand, particularly in a time when many others are making salary sacrifices?”
Posted in Arrogant politicians, Liberalism, Redistribution of wealth, Taxes, Washington State | Tagged: Arrogance, Budget, Economy, Fiscal irresponsibility, Seattle | Leave a Comment »
Posted by Liberty on December 22, 2008
“After Japan’s asset bubble burst in the late 1980s, their economy took a sharp downturn, prompting government officials to try bailing out banks and investing in infrastructure, much like the activity and proposals floating around America today. The results were terrible.
With the government propping up poor business models rather than allowing further job losses, firms wound up operating over the long-term without making a profit or adding any value to society. Their utter lack of vitality earned these perpetual money-leaching entities the moniker ‘zombie businesses.’ And unless American policymakers understand the failures of the Japanese response, we will suffer the same zombie fate.”
Check out this article in Reason Magazine today that foreshadows the consequences that we’re likely to face in return for passing out government bailouts like Halloween treats. Ding dong, here’s $700 billion. Japan has dealt with a similar economic crisis and they made significant errors that prolonged the problem. We’re headed down that same road and I predict that Japan’s errors will be our errors.
“First mistake. The Bank of Japan tried to ease economic pains during their downturn through the 1990s by loaning large amounts of money to businesses. However, such attempts to recapitalize the market were counteracted by underlying management problems endemic to the dying firms.”
“Second mistake. With all those loans, the Japanese government was simply too integrated into the market to have adequate incentives to create the right policies. Daniel Okimoto, former director of the Asia-Pacific Research Center, points out that the interests of Japan’s economic bureaucracies, such as the Ministry of Finance, became interdependent with the banking industry.”
“Third mistake. The length of Japan’s asset deflation, recession, and liquidity struggles has been blamed largely on the lack of foresighted policies and political leadership. Politicians bent on retaining their power took action that sought to solve the present day concerns, such as infrastructure projects, without regard to their long-term effects. As a result, economic growth was not sustained.”
“Fourth mistake.Japan tried to climb out of its economic mess by raising taxes and cutting interest rates. Okimoto cites a series of policy mistakes in a report on Japan’s economic stagnation that includes a consumption tax hike, business taxes, and heavy-handed reliance on interest rate cuts that reduced investment incentives.”
Are you getting my drift here?
“Fifth mistake. With the Japanese government enabling lending to zombie businesses, taking cash away from productive ventures, and passing tax laws and other regulations that did not promote growth, the private sector was actively discouraged from investing.”
I encourage you to read the whole article–Anthony Randazzo has done his research. Clearly our politicians have not.
Posted in Conservatism, Obama, Redistribution of wealth, Taxes | Tagged: Bailout, Economy, Japan, Obama, Reason Magazine, Taxes | 3 Comments »
Posted by Liberty on December 6, 2008
Did you now that the United States pays 25% of the budget of the United Nations? According to the U.N. website, there are 192 sovereign states that belong to the U.N. Interesting.
Posted in Redistribution of wealth | Tagged: Economy, Redistribution of wealth, United Nations | Leave a Comment »
Posted by Liberty on December 5, 2008
“With Washington facing an expected deficit of more than $5 billion in the upcoming two-year budget cycle, environmental groups say they’re heading into the 2009 legislative session with a wish list that adds jobs and revenue.
‘This is not the year to be walking with your hands out,’said Clifford Traisman, lobbyist for the Washington Environmental Council and Washington Conservation Voters. ‘We believe our priorities go hand in hand with generating a stronger economy.’
As in earlier sessions, the groups have several key priorities, mainly focusing on cutting the effects of global warming. They want more energy-efficient buildings, to auction rather than give away pollution credits that allow industries to emit greenhouse gases and to have polluters pay fees to help clean up Puget Sound and other waters.”
Translation: “We want businesses to pay more for their buildings, pay for “pollution credits” so they may continue to do business and possibly even pay pollution fees.”
Mr. Traisman, how will making Washington even more inhospitable to business generate a stronger economy? Certainly the environmental agenda will require more bureaucrats to administrate the green-ness of buildings, the distribution of pollution credits and collect all the fines from the evil polluters. The last thing Washington State needs is more unelected government drones whose jobs are dependent upon money confiscated from citizens and businesses. And, there is growing dissent among the scientific community about the validity of global warming. Sure it’s been accepted as gospel by environmental groups, the main stream media and Hollywood celebutards but it would be a serious mistake to further hinder Washington’s economy based on an un-proven theory.
Also, I read recently that 20% of Washington’s working population is employed in some capacity by government. [Searching madly for the source on this, no luck so far but 1 in 5 or 20% is the figure that I recall.] Having 20% of the workforce directly dependent upon tax dollars for their own salary is not a good thing. That doesn’t even factor in all of the tax money that those people can potentially spend in the course of their jobs.
Posted in Environlunacy, Liberalism, Redistribution of wealth, Washington State | Tagged: Economy, Environlunacy, Liberalism, Washington State | 2 Comments »
Posted by Liberty on November 10, 2008
Professor Mark J. Perry [author of Carpe Diem blog] addresses this question in an article from November 7th’s Investor’s Business Daily.
“With joblessness and serious economic problems rising, the last thing we need is public policy that makes them rise even faster. Yet, there is a danger this could happen if President-elect Obama’s proposed punitive taxes on the oil industry are enacted and lead to less energy development.”
Posted in Liberalism, Redistribution of wealth, Taxes | Tagged: Economy, Obama, Oil industry, Punitive taxes | Leave a Comment »