Hello Folks,
The latest news garbage is telling us the banks need more bailout money. It makes my blood boil. They have taken the money they received so far and used it to strengthen their balance sheets. And to make acquisitions.
Think about this for a minute. We, the taxpayers give them money. Our political "leaders" (sarcastically in quotes because we have very little leadership) put NO STRINGS on the money to be sure that it has to be loaned out. The banks use the money to buy a troubled bank. They get a fire sale price. Then they profit from the good loans and write off their bad loans and merger expenses against future taxes due.
Of course to be a politician, you either have to be a saint or insane. There are very few saints so we are left with the insane running the country. But what a hell of a gig. Vote yourself an automatic pay raise every year (in marketing think continuity program) and have a medical plan and retirement plan that vests you after one term - as little as two years.
But back on topic again.
The banks ARE NOT making many new loans to businesses. Simplified economics lesson here. Businesses buy goods and services and employ people. The goods and services providers also buy goods and services and employ people. The cycle repeats itself to infinity. Cut cash to businesses they contract - give them access to cash they expand.
Now what do the employees do? Well they pay taxes which is good for government. They buy homes. They buy goods and services driving the cycle above. And by the way, state and local government collects sales tax revenue on most of the goods and services purchased by businesses and employees (think consumer).
What the nation needs is to get back to the basics. We need a citizen legislature (think strict term limits). These people need to have COMMON SENSE.
Will writing your existing senate and house members make this happen? Hell no, they created the system and will do everything they can to protect their "annuity".
We need a few everyday people (with common sense) to have the courage to risk the exposure of their skeletons (remember - no saints) for the greater good of the country and the world for that matter. These people will speak out, without political correctness and ambition. If they can build enough of a following they will get media attention. If they get media attention they can get elected.
And of course if they create a huge following , the few good representatives we have will also step up, and some of the bad ones will do the right thing to protect their turf. And change will happen.
We also need to DEMAND that our elected officials have the same retirement plan we do. Then watch how fast the Social Security System gets fixed. All it is now is a legalized ponzi scheme.
That is my view. Please comment either way. I am truly interested on your thoughts..
And on Sunday - Go AZ Cardinals!
Sincerely,
Chuck Trautman
2 comments:
Stop the sniveling! Politicians and banks need to be slapped across the face just as much as a three-year-old child who whines in the grocery store.
Banks aren’t the only ones with their soiled little palms stretched out, standing on the street corner with a cardboard sign that reads “will beg the government for $500 Billion.” I heard the adult industry is trying to get a piece of that pie. Colleges are doing it too.
Check out my article entitled –Oh no I missed the deadline at http://azcollegeplanning.com/2009/01/386/
Maybe we need a new Boston Tea Party! –J.D. Wyczalek AZ College Consulting, LLC
I received this email from Dr Dorn:
Hi Chuck,
It is impossible to post a comment to your blog post without having a google account. I tried. Here is my response if you care to post it with my name:
“Finally someone is actually thinking and has the courage to write about it!
Unless and until the American public wakes up and stops sleepwalking into the future---nothing will change. We will continue to allow ourselves to be led like sheep to the slaughter.
What we are seeing now is just the tip of the iceberg of the The Big Rollover that we have been warning about since 2005.
We are allowing ourselves to be robbed blind. We think that the government actually has our best interests at heart and will protect us. The banksters and their cronies are the ones being bailed out and we are footing the bill.
This is pure madness, and it's time to Wake Up America!”
Thank you!
Janice Dorn, M.D., Ph.D.
www.thetradingdoctor.com
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