The cost of jobs

[Gwizz]

Yesterday we drove through an area of industrials parks.

We were amazed at the number of empty buildings with their for sale or for rent signs.

Seattle is said to have a better economy then the rest of the nation.  I wonder how honest this is?

To get re-elected our Governor said the state was in good shape. 

How after winning the election she says we are in deep trouble and must make deep cuts in the budget.

The national government told us a year late that we were in a recession.

Now with the signs that we may be heading into a depression, when well we be told?

I heard this morning that Obama is proposing to spend 1.3 billion dollars to create new jobs.  Since tax dollars are dwindling and with business paying the majority of the taxes collected and with the business economy rapidly failing,  Obama will have to create more debt.  With less taxes collected, this will mean more interest owed on the debt as payments are delayed.  Unlike the last big depression where we were able to fall back on our industrial might, so much industry has been farmed out to China and other countries of the world that the economic re-building blocks may be in short supply. 

We may lose more jobs then Obama can create, further delaying re-payment of this debt. This delayed burden could further hurt the economy in years to come, causing the economy to continue its' downward spiral for a long time.

I wonder what the real cost will be to create jobs in this manner?

It is interesting that Roosevelt a socialist, had to deal with a depression and the people were unable to pay the high costs of his Socialism.  Now Obama even more of a socialist will have to deal with a possibly even deeper depression and the people will again be unable to pay for the socialism Obama wants.

Maybe it takes a depression to save our freedom.   ::)

 

[Gwizz]

Well I thought I would update the first post on this thread.

Obama's Bailout stimulus bill together with the interest on the borrowed money, will cost tax payers close to a Trillion dollars.  This is a bunch more than the 1.3 Billion dollars that I Referenced earlier.  The Bill is over 1000 pages.  It was pushed through so fast, Congress didn't have time to read it let along digest it.  They just voted for it.  Why?  It is alleged to be 80% pork or pay back to those who helped Obama get elected. 

I have a calculator that can not calculate to a trillion dollars.  If my city started at the birth of Christ and saved in a hidden place a million dollars once a day, we still would not have saved a Trillion dollars by today.

(365 days X 2008 years = only 733 million.

It is also alleged that the tax payer will be unable to pay back the total of all US debt now estimated at over 10 Trillion.  Tax payers with a much higher tax rate will have a hard time just paying the interest.

Yet with all this, it is alleged that the US is in far better shape than the rest of the world.  The majority of  the rest of the world removed the regulations of banks sooner than the US did.  When the Liberals in the US did this, it opened the door for the criminals who seem to always circle around the money centers.

Roosevelt a socialist, had to deal with a deep depression when he miscalculated his direction and the people were unable to pay the high costs of his Socialistic spending. So the depression lasted longer than anticipated.  So how did the country recover?  ( In a nut shell) The private Federal Reserve Bank printed money and loaned it to the government and a few people made a killing on interest.  This greatly reduced the value of money but made a few more people very rich. They started huge companies that helped feed the War.  The people basically started over and after removing Socialism, our society became successful again.

Lincoln and Kennedy both fought against the Private Federal Reserve Banking system.  Lincoln refused to pay that interest and closed down the bank and arrested many, put some people in jail.  Lincoln had the government print money which helped him win the Civil War. Kennedy and his brother Bobby also apposed the Fed Reserve Bank.  It has been alleged that all three lost their lives because of their opposition.

There seems to be only two ways to come out of the deep hole that government has now put us in:  Very high taxes for a long time or a major revolt that could topple the US government.  Lets hope there is a third path.

It won't be Socialism.  We can no longer afford Socialism.  It would be like taxing the dead. 

 

[Gwizz]

I heard this morning that our Washington State Congress has adjourned without making any budget cuts.

The tax payers how have a 8 billion dollar debt to pay off. 

Per capita that is equal to California's debt rate

Washington is in the top 10 of states with the most debt.

Maybe the state is waiting to see if it can get a bail out from Obama.

Wouldn't this only be taking money out of the tax payer's other pockets.

It is interesting the sector with the lowest un-employment rate is the government. This is nation wide.

[Gwizz]

Lately, I listened to an economist say: don't spend your cash now, as the dollar will first inflate as the price of houses, cars, appliances, etc. drop in price and people continue to buy less.  You will be able to buy more by waiting as the value of goods bottom out and the dollar buys more.   

But he said this inflation of the dollar will be short lived. 

The value of the dollars will start down (deflate) as companies become more efficient and increase prices in an effort to increase profits and pay the extra taxes to support the new tidal wave of Socialism. 

Also, as more dollars are printed and put into circulation and as China and other countries who have large holdings of US dollars, will start spending these inflated hi-value dollars.   (It is in their best interest to do so)

The dollar will quickly start deflating and thus buy less goods.  How deep the US dollar deflates toward a depression will depend upon the US debt.  Debt may already be too deep to recover from.

Japan's experience with deflation was different.  Their extra spending did almost sink them but generally, the world was strong and helped them bail out their mistakes.  Now the US is making the same mistakes and the whole world is hurting and not able to help. 

There are other factors, but those are the main ones. 

I would like to pass the massive debt onto the elites who caused this problem and benefit from it.

If a government goes bankrupt, does that mean the people that fund the government would also be bankrupt?

[thomasjordan]

Time to start stocking up on gold and silver coins, maybe.  Those have intrinsic value when paper money does not.

[Gwizz]

There are some happy workmen remodeling the house next door.  A whole gaggle of them.

Of course as nosy as I am, I was next door and one of the workmen said until this job he had been out of work for two weeks.  The speculator who bought the house, hired a large crew and the job should be done in a hurry.   

I had to build a brim along the fence, knowing that they would be pumping the frogs out of the swimming pool.  Whoops, that might cause an environmental problem,  They are rubber frogs that sing.  They must take a double AA battery that never seems to run down.

I live slightly down hill and the water runs across my lawn to the creek.  I didn't want green water in the creek nor rubber frogs.

When we return home yesterday, two layers at the end of my block wall was missing.  There had been a misunderstand on who owned the wall and it was being moved to another spot that was on this neighboring property.

It was moved back and everything was friendly.  Of course the shot gun helped.  just kidding.  The only guns I own are on my tanks.

This is cutting into by playing time on the People's RR of China map.

I have been trying a new strategy since I have been losing on this map more than I win.  About 5 losses to 1 win.

But I get close.  I'm playing it only on expert and I keep making mistakes.  I continue to send AI trains to the wrong station and discover this after I have sold all of the AI's stock and went back to run my own RR.

Well this RT2 RR business is out of place but I will leave it anyway until someone complains.

[Gwizz]

Well yesterday the house next door went on the market.  I had no rubber frogs in the creek from the activities. 

Back on topic--------

Yesterday I heard that only 3 states had actual reduced taxes to stimulate the economy.

Texas having lowered taxes the most had the greatest increase in new jobs.

It was also having a large increase in population.  It also has no income taxes.

States that were increasing taxes the most were losing the most jobs and people.

Washington State has no income taxes; but, makes up for this by being the 2nd highest in other taxes.

For example:  It is very expensive to die in Washington; But I've never heard the dead complain.  Maybe they leave quickly.

Of course this year our Liberal state has increased the taxes even more following Obama's lead.

The result, more companies have been down sizing or going out of business.

Our leaders keep saying we are now at the economic bottom; but each tomorrow finds a new bottom.

Saying it is so, doesn't make it so.  Our leaders must have flunked math to really know. 

They don't know what a promise is, either.

I'm going to tear this computer apart and upgrade it.  So, I might be off line for a day or two, since I have other duties that will keep me busy as well.  I try to work inside when it rains.  It looks like rain today.

[thomasjordan]

I lived in Tacoma for 8 years.  It always rains up there.