What's your take on the economy?
I'm 23 years old, so naturally I know everything
Pardon if I am spouting a bunch of hogwash, and I would not base any investment advice off of this. It's simply the radio station my foil hat happens to be tuned into at the moment.
I believe we are simply seeing a corrective measure from the past 5 years of hard growth in many sectors, especially those constructed on shoddy foundations such as some of the lending practices in the financial industry.
With the devaluation of the dollar we are seeing inflation in our current necessities such as oil, natural gas, and any other import based products. However, this only opens the game to larger amounts of domestic production, something we have been lacking since the 1970s, and an increase in US based jobs. The problem is, the EU, and other nations have setup horrific tariffs and other taxation to prevent the big US blue chips from squeezing out their own companies. Hints of this come as the EU's latest decision to slap Microsoft in the danglies over it's practices in Europe. Quite simply the US foreign policy and it's past commercial gains have managed to leave some countries bitter, and I would argue, jealous.
US government spending is at an all time high. It is ridiculous to think this all came from so-called conservatives. I realize that we have had a number of major events in our country since the Republicans took over that have lead to expensive endeavors, namely Katrina, and 9-11, but where is the rest of our money going? How much longer will Congress allow massive amounts of pork to be passed along the bandwagon and sent out on a golden check of air? We waste so much of our tax income on the national debt that could be going to repairing aging problems in this country. If the US wants to revalue the dollar it should look into the supporting structure behind it! We got rid of the Gold and Silver standard that was backing the US Dollar, and it has declined ever since. Had we of stuck to the program I believe we would still have a strong currency, especially given the value of Gold (which has adjusted mainly as a result of USD currency fears). Dollar in the gutter, commodities are high... tis the mark of inflation and inflation is the forbearer of recession. It's not the days of Jimmy Carter levels of inflation, but we don't have Ronald Reagan coming in to the White House either. I believe we have the next Jimmy Carter coming in.
Rocky describes not only a mountain range but our stock exchange for the past 4 months. This instability in the market is another reason why foreign investment isn't coming in. With the US devaluing every day it's hard to keep the value in our product.
Reliance upon China has been a bad turn of events for us. I say this for a few reasons. The first is that the Chinese government requires that all equipment that enters it's factories is to be left in China. This means they are receiving our manufacturing technologies for free, as well as our equipment. It becomes state property. This property is then used to replicate US goods, as seen with their car manufacturers blatantly ripping off models of GM, BMW, and Japanese cars. The second is that we are funneling large amounts of money into China and allowing them to become a global economic power with very little self investment. We are building our future competition, for the sake of increasing the profit margin of US goods. This is not a solid long term solution, and it will begin to bite us hard in the next decade. The last is the increase in foreign commodity rarity. Everyone can name something that has increased in price in the last few years. The primary one would be oil, and many others would name off copper, steel, and other metals. Well this is simply because of the increase in global demand for these goods by China and other emerging markets. Someone commented to me that oil would go down if the US lowered demand, and I simply told him that any shortage in US demand would be picked up by the Chinese. This is evident in their current energy crisis, and what's sad is that the country hasn't even really began to modernize in most of it's population. Demand will sky rocket in the coming years, and OPEC will just shift their attention from the Americans to the Chinese.
So what does the US need to do in my opinion?
The first thing we need to do is check our spending at the Government level. It's hard to sail around the world if you have to stop every 5 minutes to scoop the water out of the boat.
Next we need to reduce the corporate tax rate. It is RIDICULOUSLY high in relation to the global market. I am a large supporter of the Fair Tax plan, which would absolve this tax. It would be the single, largest, over-night success we could provide for our economy.
Secondly we need to strengthen our US born manufacturing. Use tariffs on foreign goods that compete against American companies. Offer tax incentives for the purchase of American designed, American built, and American sourced goods.
Lastly we need to secure our future. We should abolish the Teachers union and force teachers to be responsible for their students. On the same note we should empower teachers to have an actual voice to improve their effectiveness. Students that achieve and excel in school should be given a grant reward on a yearly basis towards college education. It should be rewarded based upon exceptional strength in science or mathematics. Schools should be broken up into two types to reflect the European method. We should have an accelerated school for higher level students, and a normal / vocational school for other students. This ensures we are not holding back those that wish to achieve. Our current system absolutely fails those that want to achieve, and passes too many idiots into the workforce. We should remove upper level English and replace it with a series of Common Sense classes such as job skills, life skills, and other classes. Kids should be required to pass these classes or they are not to graduate. We should stop the idiocy of passing children along that don't have the skills, if they don't, they repeat it until they do. That simple. Our colleges should have more government and commercial grants to develop future technologies for our industry. Sure it's great you can create vacuums of nothingness using a laser shot off into some gas, but does that solve our current problems? No.
It's time for Responsibility in the Economy, and frankly we aren't going to get it.
I'm 23 years old, so naturally I know everything
Pardon if I am spouting a bunch of hogwash, and I would not base any investment advice off of this. It's simply the radio station my foil hat happens to be tuned into at the moment. I believe we are simply seeing a corrective measure from the past 5 years of hard growth in many sectors, especially those constructed on shoddy foundations such as some of the lending practices in the financial industry.
With the devaluation of the dollar we are seeing inflation in our current necessities such as oil, natural gas, and any other import based products. However, this only opens the game to larger amounts of domestic production, something we have been lacking since the 1970s, and an increase in US based jobs. The problem is, the EU, and other nations have setup horrific tariffs and other taxation to prevent the big US blue chips from squeezing out their own companies. Hints of this come as the EU's latest decision to slap Microsoft in the danglies over it's practices in Europe. Quite simply the US foreign policy and it's past commercial gains have managed to leave some countries bitter, and I would argue, jealous.
US government spending is at an all time high. It is ridiculous to think this all came from so-called conservatives. I realize that we have had a number of major events in our country since the Republicans took over that have lead to expensive endeavors, namely Katrina, and 9-11, but where is the rest of our money going? How much longer will Congress allow massive amounts of pork to be passed along the bandwagon and sent out on a golden check of air? We waste so much of our tax income on the national debt that could be going to repairing aging problems in this country. If the US wants to revalue the dollar it should look into the supporting structure behind it! We got rid of the Gold and Silver standard that was backing the US Dollar, and it has declined ever since. Had we of stuck to the program I believe we would still have a strong currency, especially given the value of Gold (which has adjusted mainly as a result of USD currency fears). Dollar in the gutter, commodities are high... tis the mark of inflation and inflation is the forbearer of recession. It's not the days of Jimmy Carter levels of inflation, but we don't have Ronald Reagan coming in to the White House either. I believe we have the next Jimmy Carter coming in.
Rocky describes not only a mountain range but our stock exchange for the past 4 months. This instability in the market is another reason why foreign investment isn't coming in. With the US devaluing every day it's hard to keep the value in our product.
Reliance upon China has been a bad turn of events for us. I say this for a few reasons. The first is that the Chinese government requires that all equipment that enters it's factories is to be left in China. This means they are receiving our manufacturing technologies for free, as well as our equipment. It becomes state property. This property is then used to replicate US goods, as seen with their car manufacturers blatantly ripping off models of GM, BMW, and Japanese cars. The second is that we are funneling large amounts of money into China and allowing them to become a global economic power with very little self investment. We are building our future competition, for the sake of increasing the profit margin of US goods. This is not a solid long term solution, and it will begin to bite us hard in the next decade. The last is the increase in foreign commodity rarity. Everyone can name something that has increased in price in the last few years. The primary one would be oil, and many others would name off copper, steel, and other metals. Well this is simply because of the increase in global demand for these goods by China and other emerging markets. Someone commented to me that oil would go down if the US lowered demand, and I simply told him that any shortage in US demand would be picked up by the Chinese. This is evident in their current energy crisis, and what's sad is that the country hasn't even really began to modernize in most of it's population. Demand will sky rocket in the coming years, and OPEC will just shift their attention from the Americans to the Chinese.
So what does the US need to do in my opinion?
The first thing we need to do is check our spending at the Government level. It's hard to sail around the world if you have to stop every 5 minutes to scoop the water out of the boat.
Next we need to reduce the corporate tax rate. It is RIDICULOUSLY high in relation to the global market. I am a large supporter of the Fair Tax plan, which would absolve this tax. It would be the single, largest, over-night success we could provide for our economy.
Secondly we need to strengthen our US born manufacturing. Use tariffs on foreign goods that compete against American companies. Offer tax incentives for the purchase of American designed, American built, and American sourced goods.
Lastly we need to secure our future. We should abolish the Teachers union and force teachers to be responsible for their students. On the same note we should empower teachers to have an actual voice to improve their effectiveness. Students that achieve and excel in school should be given a grant reward on a yearly basis towards college education. It should be rewarded based upon exceptional strength in science or mathematics. Schools should be broken up into two types to reflect the European method. We should have an accelerated school for higher level students, and a normal / vocational school for other students. This ensures we are not holding back those that wish to achieve. Our current system absolutely fails those that want to achieve, and passes too many idiots into the workforce. We should remove upper level English and replace it with a series of Common Sense classes such as job skills, life skills, and other classes. Kids should be required to pass these classes or they are not to graduate. We should stop the idiocy of passing children along that don't have the skills, if they don't, they repeat it until they do. That simple. Our colleges should have more government and commercial grants to develop future technologies for our industry. Sure it's great you can create vacuums of nothingness using a laser shot off into some gas, but does that solve our current problems? No.
It's time for Responsibility in the Economy, and frankly we aren't going to get it.
