Its been a while since my last blog. It's not for lack of subject matter. Like everyone I have periods where my motivation is not so high. I wont use the term depressed because I hate the term. Nowadays if you are "depressed" they have a pill for it. It is a shame we have sunk to a society who believes there are pills for anything. We all go through times where we are less happy or less motivated or less confident. When I was growing up, people didn't go to therapists or take pills, they learned to work through "stuff". "Work shit out" as the linebacker in the movie "the Replacements" said.
So for the last month or so, I have been trying to "work shit out". No answers yet, but I am sure I will get to them. My biggest problem is that lately I don't feel needed. When I was the primary earner, I provided all the money in my household, which made me feel needed. My job also was basically to help people ... again, it made me feel needed. When my kids were younger they needed me to help them with lots of things. Now that they are 20 and 16, they don't really need me.
For the first time in a long time, I feel more like a burden than an asset. But I will get through this, I just need to "work shit out".
On to Haiti. What a terrible, tragic, horrible event. Our government responded the way they always do. America to the rescue!. What I prayed for (in addition to all the Haitians that were impacted by this tragic event) was for a President to have the guts to say something like this:
Our hearts go out to all those effected by this tragic event. The American people, as usual, are responding with gifts of money as well as giving their time and energy in the form of doctors, nurses, and other professionals who have gone to Haiti to help them recover from this catastrophe.
Unfortunately, as a country, we no longer have the resources to give the millions of dollars in aid we have given in the past. Congress was recently forced to raise the debt ceiling to 13 TRILLION dollars ( a figure so large no one can comprehend it). We have an unemployment rate that is over 10%. We recently had to bail out some of our largest banks as well as two of our "big three" automakers. Our social security system will be unable to continue past 2020 unless we fix it. We are involved in 2 "big wars" as well as sending many of our military personnel to other battles around the globe. We still have a problem of illegal immigration to work out, and of course the "war on terror". For these reasons (and many others) we can not, as a country, afford to give you millions of dollars in aid.
We know that by not giving you aid we will subject ourselves to world wide criticism. After all, we are the "richest" country in world. Unfortunately we also have the wolds largest debt, and until we tackle that problem, our resources must be used to fix our roads, bridges, healthcare system, unemployment, immigration, homeland security, etc. Besides, its not like right now we get worldwide praise for all the good we do. Around the world we face criticism, terrorism, and outright hatred. Tacking on a few more criticisms will not be overwhelming.
When the big earthquake hits California (or any other state on the fault lines in America) we promise not to look to other countries for help. We will do as we have always done and"Work shit out" all by ourselves.
Again, our thoughts, prayers and hopes go out to you in this time of trouble, we just don't have the money to give.
I doubt we will see President Obama make such a speech. Too bad. It would guarantee his re-election. Sooner or later a President will make such as speech...he will have to. It will happen when they can no longer sell Debt. When our treasury bills go to junk bond status, they will have no choice.
I know my view will not be popular with some people, but this is America...and I am entitled to my opinion!
Tuesday, January 26, 2010
Saturday, December 19, 2009
I Almost Hope the Mayans are Right
Everyone knows the Mayan Calendar ends in 2012. With the looming failures of so many Government Programs 2012 might be the right time to "Cash Out"
Today I passed along an email about the failures of the Government run programs, so I decided to do a little research.
Medicare/Medicaid: The Trustees report that Medicare’s Hospital Insurance (HI) Trust Fund will become insolvent earlier in 2019 than reported last year. HI expenditure growth is estimated to average 7.4 percent each year over the next 10 years, a higher rate than either Gross Domestic Product (GDP) or Consumer Price Index (CPI) growth. This year the HI Trust Fund will spend more than its income, and from 2009 through 2017, about $342 billion will need to be transferred from the Federal treasury to cover beneficiaries’ hospital insurance costs.Looks like we will be facing another big Tax hike to cover that shortfall. For the full article go to http://www.hhs.gov/news/press/2008pres/03/20080325a.html
I couldn't find many references about the solvency of Medicaid (partly because Medicaid is funded 50/50 by the states and the fed). Since I live in Michigan which has a huge budget deficit, I am betting Medicaid is completely insolvent here.
Social Security: Under the long-range intermediate assumptions, annual cost will begin to exceed tax income in 2016 for the combined OASDI Trust Funds. The combined funds are then projected to become exhausted and thus unable to pay scheduled benefits in full on a timely basis in 2037. The separate DI Trust Fund, however, is projected to become exhausted in 2020. This statement was taken from THE 2009 ANNUAL REPORT OF THE BOARD OF
TRUSTEES OF THE FEDERAL OLD-AGE AND SURVIVORS INSURANCE AND FEDERAL DISABILITY INSURANCE TRUST FUNDS, a copy of which can be downloaded here: http://www.socialsecurity.gov/OACT/TR/2009/tr09.pdf Looks like we will be facing another big Tax hike to cover that shortfall.
The U.S. Postal Service: The Government Accountability Office is expected to add it to its list of "high risk" government operations. The GAO publishes a biennial list of high risk agencies, which they define as having "significant management challenges." It put out a list in January but is apparently updating it with the addition of the USPS in an effort to spur Congress to do something substantial to help keep it solvent. The GAO currently has a list of 30 high risk federal programs, policies and operations it says are "vulnerable to waste, fraud, abuse and mismanagement or in need of sweeping transformation.". USPS has been suffering financially for a while now, losing $2.8 billion in 2008 thanks to competition from FedEx and UPS and the fact that fewer people are sending mail. Anyone besides me wondering what the other 29 are? For the full article go to http://www.washingtonexaminer.com/opinion/blogs/beltway-confidential/Post-Office-to-get-hit-with-high-risk-rating-as-business-keeps-falling-51872987.html Another big Tax hike to keep the mail coming?
Fannie Mae/Freddie Mac: Both are bankrupt. The U.S. taxpayer now stands behind about $5 trillion of GSE debt. This step was taken because a default by either of the two firms, which have been battered by the downturn in housing and credit markets, could have caused severe disruptions in global financial markets, made home mortgages more difficult and expensive to obtain, and had negative repercussions throughout the economy. In other words the taxpayers are on the hook for deadbeat mortgage payers "to save the economy" The complete report is available here: http://fpc.state.gov/documents/organization/110097.pdf Another big Tax hike to pay off the Trillion (if only 20% of the loans are bad) for Fannie Freddie
The Public Education System: While run mostly by local governments it would be hard to call the educational results of the K-12 system even average (more like below average). Going beyond the educational results to the Financial results and it would have to be called a disaster. Of course I live in the Detroit area of Michigan, where the DPS had such poor financial controls that a 500 Million dollar bond issue "disappeared". The decision (to have the state take over the finances of the Detroit public schools)follows months of controversy over the district's finances, with administrators going from declaring a fund surplus to saying the school system faces a $408 million deficit, forcing the board to approve hundreds of layoffs and other cuts. Vendors also came forward to say they weren't being paid, and the district had to rely on the state to advance funds so the school system could meet its payroll. For the full story : http://www.districtadministration.com/newssummary.aspx?news=yes&postid=51483 Another big Tax hike to keep the schools open?
Cash for Clunkers: I thought this was a great idea before I realized 30 employees were being hired by the new agency that NHTSA has created, the Office of the Car Allowance Rebate System. Another 200 “contractors” will also be hired to whom most of the work will be farmed out. Anyone want to guess what happens to the 30 people and the new agency once the clunker forms have been processed. The Government almost never eliminates agencies. You mean to tell me with all the bureaucrats in Washington, they couldn't find enough time to oversee some contractors processing a bunch of rebate forms?
God help us if we let the Government take over the entire Health Care System. Who could possibly predict the tax hike to do that?
As I said in the beginning, with all the tax hikes coming down the pike, 2012 might be be just the right time for our world to end!
Of course that's just my opinion
Today I passed along an email about the failures of the Government run programs, so I decided to do a little research.
Medicare/Medicaid: The Trustees report that Medicare’s Hospital Insurance (HI) Trust Fund will become insolvent earlier in 2019 than reported last year. HI expenditure growth is estimated to average 7.4 percent each year over the next 10 years, a higher rate than either Gross Domestic Product (GDP) or Consumer Price Index (CPI) growth. This year the HI Trust Fund will spend more than its income, and from 2009 through 2017, about $342 billion will need to be transferred from the Federal treasury to cover beneficiaries’ hospital insurance costs.Looks like we will be facing another big Tax hike to cover that shortfall. For the full article go to http://www.hhs.gov/news/press/2008pres/03/20080325a.html
I couldn't find many references about the solvency of Medicaid (partly because Medicaid is funded 50/50 by the states and the fed). Since I live in Michigan which has a huge budget deficit, I am betting Medicaid is completely insolvent here.
Social Security: Under the long-range intermediate assumptions, annual cost will begin to exceed tax income in 2016 for the combined OASDI Trust Funds. The combined funds are then projected to become exhausted and thus unable to pay scheduled benefits in full on a timely basis in 2037. The separate DI Trust Fund, however, is projected to become exhausted in 2020. This statement was taken from THE 2009 ANNUAL REPORT OF THE BOARD OF
TRUSTEES OF THE FEDERAL OLD-AGE AND SURVIVORS INSURANCE AND FEDERAL DISABILITY INSURANCE TRUST FUNDS, a copy of which can be downloaded here: http://www.socialsecurity.gov/OACT/TR/2009/tr09.pdf Looks like we will be facing another big Tax hike to cover that shortfall.
The U.S. Postal Service: The Government Accountability Office is expected to add it to its list of "high risk" government operations. The GAO publishes a biennial list of high risk agencies, which they define as having "significant management challenges." It put out a list in January but is apparently updating it with the addition of the USPS in an effort to spur Congress to do something substantial to help keep it solvent. The GAO currently has a list of 30 high risk federal programs, policies and operations it says are "vulnerable to waste, fraud, abuse and mismanagement or in need of sweeping transformation.". USPS has been suffering financially for a while now, losing $2.8 billion in 2008 thanks to competition from FedEx and UPS and the fact that fewer people are sending mail. Anyone besides me wondering what the other 29 are? For the full article go to http://www.washingtonexaminer.com/opinion/blogs/beltway-confidential/Post-Office-to-get-hit-with-high-risk-rating-as-business-keeps-falling-51872987.html Another big Tax hike to keep the mail coming?
Fannie Mae/Freddie Mac: Both are bankrupt. The U.S. taxpayer now stands behind about $5 trillion of GSE debt. This step was taken because a default by either of the two firms, which have been battered by the downturn in housing and credit markets, could have caused severe disruptions in global financial markets, made home mortgages more difficult and expensive to obtain, and had negative repercussions throughout the economy. In other words the taxpayers are on the hook for deadbeat mortgage payers "to save the economy" The complete report is available here: http://fpc.state.gov/documents/organization/110097.pdf Another big Tax hike to pay off the Trillion (if only 20% of the loans are bad) for Fannie Freddie
The Public Education System: While run mostly by local governments it would be hard to call the educational results of the K-12 system even average (more like below average). Going beyond the educational results to the Financial results and it would have to be called a disaster. Of course I live in the Detroit area of Michigan, where the DPS had such poor financial controls that a 500 Million dollar bond issue "disappeared". The decision (to have the state take over the finances of the Detroit public schools)follows months of controversy over the district's finances, with administrators going from declaring a fund surplus to saying the school system faces a $408 million deficit, forcing the board to approve hundreds of layoffs and other cuts. Vendors also came forward to say they weren't being paid, and the district had to rely on the state to advance funds so the school system could meet its payroll. For the full story : http://www.districtadministration.com/newssummary.aspx?news=yes&postid=51483 Another big Tax hike to keep the schools open?
Cash for Clunkers: I thought this was a great idea before I realized 30 employees were being hired by the new agency that NHTSA has created, the Office of the Car Allowance Rebate System. Another 200 “contractors” will also be hired to whom most of the work will be farmed out. Anyone want to guess what happens to the 30 people and the new agency once the clunker forms have been processed. The Government almost never eliminates agencies. You mean to tell me with all the bureaucrats in Washington, they couldn't find enough time to oversee some contractors processing a bunch of rebate forms?
God help us if we let the Government take over the entire Health Care System. Who could possibly predict the tax hike to do that?
As I said in the beginning, with all the tax hikes coming down the pike, 2012 might be be just the right time for our world to end!
Of course that's just my opinion
Sunday, November 29, 2009
Guess Who's Coming to Dinner?
Michaele and Tareq Salahi crashed the Obama's first state dinner. Unless you have been living under a rock you must have heard about the DC couple who talked their way into the state dinner.
While the lack of security is somewhat of a concern to me, the bigger concern for me has to be that Obama obviously did not know who was coming to his own dinner! There are photos of them talking talking to the President and first lady and the vice president, as well as pictures of them walking through the receiving line.
Granted there were a lot of people at the affair, but we had a lot of people at my wedding, and if I did not recognize someone I asked my wife who it was. Wouldn't you think he would know (and recognize) everyone who was invited...after all, didn't he make up the guest list (or at the very least approve it)?
My veterinarian sees a lot of dogs and cats, yet he knows all the dogs and owners by sight. he cheats of course. He has a picture of every dog and the file contains both the dogs name and the owners. In the morning he looks at all the files so he can be ready to greet each client. When he walks through the door he greets the dog and us by name. It is a sign of respect. The message is he cares about who we are. With all the resources at his command, Obama did not "study" the guest list? I know he is a busy man, but doesn't it make a better impression on the visiting dignitaries if you actually know who they are? Worse yet, what message does it send to the world? Obviously the terrorists are thrilled with this info. If a couple can so easily infiltrate the white house, they must be licking their chops.
The Secret Service says the Pres was in no danger because all the guests passed through the magnetometer. Isn't the comment a bit specious (not to mention self serving). This was a dinner wasn't it? What were they eating with, foam rubber utensils? I am certain there were some steak knives lying around. An amateur could kill a man with a fork if he was motivated enough. I'm guessing there were plenty of bottles lying around. I remember how jagged the glass shards of a broken bottle are. The SS is downplaying the danger they subjected the President too.
The rest of the world just sees this as another example of our lack of attention to detail. That can't be good for our worldwide rep.
With all the challenges we face now, a couple of party crashers seems like a dumb thing to focus on, but its more than just the ease with which they crashed an important event. It reminds us of how sloppy we've become. Sloppy is not what we want the world to think about America
Shame on Michaele and Tareq Salahi. They put their greed and their desire for publicity and a reality TV show ahead of their responsibility for their country. Rather than put them on a reality show, we should put them on the first plane to Iraq or Afghanistan. Let them spend some time fighting for the country they so callously embarrassed.
In my opinion, the producers of the "real housewives" should not consider her for the show. If they do use them, advertisers and viewers should change the channel. With every problem we have right now, we did not need another one! No network should pay them for their story or photos...isn't that profiting from a crime (trespassing)?
While the lack of security is somewhat of a concern to me, the bigger concern for me has to be that Obama obviously did not know who was coming to his own dinner! There are photos of them talking talking to the President and first lady and the vice president, as well as pictures of them walking through the receiving line.
Granted there were a lot of people at the affair, but we had a lot of people at my wedding, and if I did not recognize someone I asked my wife who it was. Wouldn't you think he would know (and recognize) everyone who was invited...after all, didn't he make up the guest list (or at the very least approve it)?
My veterinarian sees a lot of dogs and cats, yet he knows all the dogs and owners by sight. he cheats of course. He has a picture of every dog and the file contains both the dogs name and the owners. In the morning he looks at all the files so he can be ready to greet each client. When he walks through the door he greets the dog and us by name. It is a sign of respect. The message is he cares about who we are. With all the resources at his command, Obama did not "study" the guest list? I know he is a busy man, but doesn't it make a better impression on the visiting dignitaries if you actually know who they are? Worse yet, what message does it send to the world? Obviously the terrorists are thrilled with this info. If a couple can so easily infiltrate the white house, they must be licking their chops.
The Secret Service says the Pres was in no danger because all the guests passed through the magnetometer. Isn't the comment a bit specious (not to mention self serving). This was a dinner wasn't it? What were they eating with, foam rubber utensils? I am certain there were some steak knives lying around. An amateur could kill a man with a fork if he was motivated enough. I'm guessing there were plenty of bottles lying around. I remember how jagged the glass shards of a broken bottle are. The SS is downplaying the danger they subjected the President too.
The rest of the world just sees this as another example of our lack of attention to detail. That can't be good for our worldwide rep.
With all the challenges we face now, a couple of party crashers seems like a dumb thing to focus on, but its more than just the ease with which they crashed an important event. It reminds us of how sloppy we've become. Sloppy is not what we want the world to think about America
Shame on Michaele and Tareq Salahi. They put their greed and their desire for publicity and a reality TV show ahead of their responsibility for their country. Rather than put them on a reality show, we should put them on the first plane to Iraq or Afghanistan. Let them spend some time fighting for the country they so callously embarrassed.
In my opinion, the producers of the "real housewives" should not consider her for the show. If they do use them, advertisers and viewers should change the channel. With every problem we have right now, we did not need another one! No network should pay them for their story or photos...isn't that profiting from a crime (trespassing)?
Friday, November 20, 2009
Terrorists getting a Fair Trial?
I am not convinced the terrorists are going to get a "Fair Trial" When the Attorney General says in advance "I guarantee they will be found guilty", it begs the question: How fair can a trial be if the outcome is already guaranteed? But that's not the problem I have with giving them a civilian federal court trial.
My problem is that terrorists should not be given the same rights as American Citizens. Since they are not Americans, and since their goal is to destroy the American way of life, why should we afford them rights that they are not entitled to? Certainly they gave no thought to the rights of the thousands they killed in cold blood. These were not military combatants, they were everyday people
We all know that the Death Penalty is not really a death penalty in civilian court. In a military court if the terrorists are found guilty there is no appeal. They are basically taken from the court to the firing squad. In a civilian court if they are found guilty there will be appeal after appeal after appeal until 30 years later they are either executed or have their sentence commuted. In the meantime we are going to house them, feed them, let them watch TV, give them books and music and access to things they would never get in their home country.
I can hear the conversations in Afghanistan now. "Khalid, I have a great way to recruit new bombers" "How would do it Abu Khabab?" "We explain to them what will happen if they are lucky enough to be captured". "They will be given a trial where there is a chance they will be found not guilty." "In the meantime they will have a shelter with heat and air conditioning, a real toilet, running water, electricity whenever you need it, three meals a day with all the clean, pure water you can drink, and even juice or soda, cable television, the right to practice their religion, access to a library, and if they can't read these American Pigs will actually teach them how!" "They will have a lifestyle they could never dream of in Nawab City". "Brilliant Abu, don't forget they will not have to work, they get free medical and dental care, an exercise facility, A laundry, access to a shower with soap and shampoo, on a daily basis, and they may spit on, and throw feces and urine on the guards and call them American Dogs, without the fear of being beaten" "Khalid, when they hear the consequences are a better lifestyle than they ever dreamed for at least 30 years before they ever face the death penalty, we will have volunteers banging on our doors to help us kill the American Infidels."
OK maybe I am exaggerating a bit, but don't the consequences here seem trivial compared to what they have to deal with at home? On the other hand military prisons require hard labor, have far fewer amenities and the death penalty is swift.
Do we really want to give Terrorists a greater incentive to come to our Country and Blow Stuff Up?
The Civilian Criminal trial is a huge mistake...of course this is only my opinion. Do you share it?
My problem is that terrorists should not be given the same rights as American Citizens. Since they are not Americans, and since their goal is to destroy the American way of life, why should we afford them rights that they are not entitled to? Certainly they gave no thought to the rights of the thousands they killed in cold blood. These were not military combatants, they were everyday people
We all know that the Death Penalty is not really a death penalty in civilian court. In a military court if the terrorists are found guilty there is no appeal. They are basically taken from the court to the firing squad. In a civilian court if they are found guilty there will be appeal after appeal after appeal until 30 years later they are either executed or have their sentence commuted. In the meantime we are going to house them, feed them, let them watch TV, give them books and music and access to things they would never get in their home country.
I can hear the conversations in Afghanistan now. "Khalid, I have a great way to recruit new bombers" "How would do it Abu Khabab?" "We explain to them what will happen if they are lucky enough to be captured". "They will be given a trial where there is a chance they will be found not guilty." "In the meantime they will have a shelter with heat and air conditioning, a real toilet, running water, electricity whenever you need it, three meals a day with all the clean, pure water you can drink, and even juice or soda, cable television, the right to practice their religion, access to a library, and if they can't read these American Pigs will actually teach them how!" "They will have a lifestyle they could never dream of in Nawab City". "Brilliant Abu, don't forget they will not have to work, they get free medical and dental care, an exercise facility, A laundry, access to a shower with soap and shampoo, on a daily basis, and they may spit on, and throw feces and urine on the guards and call them American Dogs, without the fear of being beaten" "Khalid, when they hear the consequences are a better lifestyle than they ever dreamed for at least 30 years before they ever face the death penalty, we will have volunteers banging on our doors to help us kill the American Infidels."
OK maybe I am exaggerating a bit, but don't the consequences here seem trivial compared to what they have to deal with at home? On the other hand military prisons require hard labor, have far fewer amenities and the death penalty is swift.
Do we really want to give Terrorists a greater incentive to come to our Country and Blow Stuff Up?
The Civilian Criminal trial is a huge mistake...of course this is only my opinion. Do you share it?
Monday, November 2, 2009
The 16 Billion Dollar Question!
First I must apologize. My family has requested I stop putting personal stuff on the web. My explanation that it would never get lost and that after I am gone they can each have a copy without going to Kinko's was not acceptable. Because of that my blogs will be fewer and less personal. (perhaps that is for the best anyway. there are enough subjects I feel strongly enough about to keep me occupied!
So what exactly is the $16 Billion Question? Lets start with the number of zero's in 16 Billion. There are a few people in the world who do not have to look that up. Sadly I am not one of them. That knowledge belongs to the Gates, Buffets, DeVoss's, Davidsons, and Waltons of America. I will not apologize to the billionaires I left out because, lets face it, they are not likely to read this!
For the rest of us (including our Senators and Congressmen which I will make clearer in a few paragraphs), a billion dollars is a one followed by nine zeros (eleven if you count the pennies, but if you have a billion dollars you probably round off to the nearest dollar, or the nearest 100,000 lets face it), or more precisely 1,000,000,000.00. so $16 billion is $16,000,000,000.00
An article by Justin Fox in last weeks Time Magazine made me furious. The Obama Administration was answering the charges about whether or not the stimulus package was working. Their defense was that 30,000 jobs were directly or indirectly produced by "the first $16 billion" (God help us if there is a second $16 billion, bear with me and you will understand). House Minority Leader John Boehner said that such exulting was "beyond the pale" since "3 million private-sector jobs have been lost since it became law". Even he did not get the $16 billion question!
Since I am neither a billionaire or a math whiz I had to resort to a calculator to find the amount we spent per job created. Since my calculator can not handle numbers in the billions (without using scientific notation), I had to drop a few zeros. Take four zeros off of 16 billion and you get 1,600,000 (written out 1600000 0000 cancel the four zeros on 33,000 and you get 3.3). So divide 1.6 Million by 3.3 (luckily that number does make sense to me) and you get 484,848.
Pulling it all together $16 Billion divided by 30,000 jobs created means each job cost the American Taxpayer (that is us folks) Almost HALF a MILLION DOLLARS per job! ( I know I rounded up but if you made $484,848.48 you would tell everyone you made half a million) Feel free to check my math. I had to do it 3X because I could not believe the numbers myself. I assumed that I missed a zero somewhere and it actually only cost $48,884.00 per job created. NOPE!
Those better be some great F in jobs that were created! I am betting the jobs were most likely in the $48,000.00 a year range. Give my friend Doug Savage ( Bearing Service Inc) a fraction of that money and he would create meaningful jobs. Give Lee Iacocca a fraction of that money and we could buy Chrysler back from the French-and rebuild it to an American Icon! Give John Rakolta (Walbridge Aldinger) a fraction of that money and watch how many good paying construction jobs are created. The list of course is endless but the point is made. The private sector creates good jobs for far less money
So we finally get to the $16 Billion Question (I actually have a lot more than one question, but let's start with this one!)
So what exactly is the $16 Billion Question? Lets start with the number of zero's in 16 Billion. There are a few people in the world who do not have to look that up. Sadly I am not one of them. That knowledge belongs to the Gates, Buffets, DeVoss's, Davidsons, and Waltons of America. I will not apologize to the billionaires I left out because, lets face it, they are not likely to read this!
For the rest of us (including our Senators and Congressmen which I will make clearer in a few paragraphs), a billion dollars is a one followed by nine zeros (eleven if you count the pennies, but if you have a billion dollars you probably round off to the nearest dollar, or the nearest 100,000 lets face it), or more precisely 1,000,000,000.00. so $16 billion is $16,000,000,000.00
An article by Justin Fox in last weeks Time Magazine made me furious. The Obama Administration was answering the charges about whether or not the stimulus package was working. Their defense was that 30,000 jobs were directly or indirectly produced by "the first $16 billion" (God help us if there is a second $16 billion, bear with me and you will understand). House Minority Leader John Boehner said that such exulting was "beyond the pale" since "3 million private-sector jobs have been lost since it became law". Even he did not get the $16 billion question!
Since I am neither a billionaire or a math whiz I had to resort to a calculator to find the amount we spent per job created. Since my calculator can not handle numbers in the billions (without using scientific notation), I had to drop a few zeros. Take four zeros off of 16 billion and you get 1,600,000 (written out 1600000 0000 cancel the four zeros on 33,000 and you get 3.3). So divide 1.6 Million by 3.3 (luckily that number does make sense to me) and you get 484,848.
Pulling it all together $16 Billion divided by 30,000 jobs created means each job cost the American Taxpayer (that is us folks) Almost HALF a MILLION DOLLARS per job! ( I know I rounded up but if you made $484,848.48 you would tell everyone you made half a million) Feel free to check my math. I had to do it 3X because I could not believe the numbers myself. I assumed that I missed a zero somewhere and it actually only cost $48,884.00 per job created. NOPE!
Those better be some great F in jobs that were created! I am betting the jobs were most likely in the $48,000.00 a year range. Give my friend Doug Savage ( Bearing Service Inc) a fraction of that money and he would create meaningful jobs. Give Lee Iacocca a fraction of that money and we could buy Chrysler back from the French-and rebuild it to an American Icon! Give John Rakolta (Walbridge Aldinger) a fraction of that money and watch how many good paying construction jobs are created. The list of course is endless but the point is made. The private sector creates good jobs for far less money
So we finally get to the $16 Billion Question (I actually have a lot more than one question, but let's start with this one!)
Where did the Half a Million Dollars Go?
I am not an economist, but wouldn't it have been smarter to find 30,000 unemployed people and give each of them a $150,000.00 to spend? I know the answer our politicians are going to give us is a lot of the 16 Billion went to the stimulus checks they sent out, but again, if it cost us Almost HALF a MILLION DOLLARS per job was that such a smart idea?
My guess is a considerable amount of the "stimulus money" went to stimulate the friends and relatives of the Congress and Senate. I know that sounds cynical, but I am from the Detroit area where hiring idiot relatives (without even a high school diploma) and paying them outrageous sums of money to do do Jack-you- know-what (or to not even show up) was taken to an art form by our previous Mayor the Dishonorable Kwame Kilpatrick.
Lets face it, he must have learned that from his mom Carolyn Cheeks Kilpatrick (D-MI) Congresswoman representing Michigan's 13th District and his dad Bernard Kilpatrick . For more info on the dirty dealings of the Kilpatrick Family check out the blog of Skeptical Brotha, but do it when you have time (their criminal misconduct can fill a book just on the surface). http://skepticalbrotha.wordpress.com/category/carolyn-cheeks-kilpatrick/ I am guessing she and a lot of other Senators and Congress persons benefited directly or indirectly from the "stimulus money".
Unfortunately the $16 Billion Question will never be answered, but that does not mean we shouldn't ask them! I am forwarding this page to my elected officials. Whether you choose to do so is, of course, entirely up to you. I am also sending a copy of this to everyone in my address book and asking them to do the same. This is not a Republican or Democratic problem, This is an American Problem! Remember the comment about the "first $16 Billion" implying a "second $16 Billion" can not be far off. We can not let this go on. Our fore fathers started a revolution over much smaller numbers (even adjusted for inflation) than these.
My feelings are a wholesale replacement of all our elected officials is needed. The approval ratings of congress as a whole is less than 20% yet incumbents keep getting elected. The feeling seems to be "Government Sucks but our guy really looks out for us". NO NO NO. They all are guilty of looking after themselves. Tell me another profession where you can put in as little as 6 years and walk away with a pension equaling 100% of your salary, for life! Plus the best medical benefits in the country with zero copay, zero deductible and no premiums for life as well. You can't because there are none! Realize folks, they voted this benefit package for themselves. We did not get to vote on whether this was fair. If a publicly traded company offered their employees such a deal, there would be a shareholder revolt and every executive of the company would be fired for voting for such a ridiculous compensation package. why should we tolerate this from our elected officials.
There will be more on this subject I assure you but for now I will finish with this. If you agree with all or part of this, send a copy (or just the stuff you agree with) to your elected officials. I am including a link where you can find out how to contact them. Encourage as many of your friends to do the same thing. We need a government who looks after us for a change. One which severely limits the lobbying of special interest groups. One which quickly deals with the problems our country is facing. One which allows us, their employers, to decide on their compensation and benefits, or perhaps limits itself to the average of all the salary and benefits packages in the country. The "Compensation Czar" was good enough for the companies who took a tax payer bailout, why should the tax supported government officials be treated better?
As usual just my opinions. I hope you share them, and will share them with as many people as possible.
Elected officials contact information can be found at: http://conservativeusa.org/mega-cong.htm
and you don't have to be a conservative to use the info on their site!
I am not an economist, but wouldn't it have been smarter to find 30,000 unemployed people and give each of them a $150,000.00 to spend? I know the answer our politicians are going to give us is a lot of the 16 Billion went to the stimulus checks they sent out, but again, if it cost us Almost HALF a MILLION DOLLARS per job was that such a smart idea?
My guess is a considerable amount of the "stimulus money" went to stimulate the friends and relatives of the Congress and Senate. I know that sounds cynical, but I am from the Detroit area where hiring idiot relatives (without even a high school diploma) and paying them outrageous sums of money to do do Jack-you- know-what (or to not even show up) was taken to an art form by our previous Mayor the Dishonorable Kwame Kilpatrick.
Lets face it, he must have learned that from his mom Carolyn Cheeks Kilpatrick (D-MI) Congresswoman representing Michigan's 13th District and his dad Bernard Kilpatrick . For more info on the dirty dealings of the Kilpatrick Family check out the blog of Skeptical Brotha, but do it when you have time (their criminal misconduct can fill a book just on the surface). http://skepticalbrotha.wordpress.com/category/carolyn-cheeks-kilpatrick/ I am guessing she and a lot of other Senators and Congress persons benefited directly or indirectly from the "stimulus money".
Unfortunately the $16 Billion Question will never be answered, but that does not mean we shouldn't ask them! I am forwarding this page to my elected officials. Whether you choose to do so is, of course, entirely up to you. I am also sending a copy of this to everyone in my address book and asking them to do the same. This is not a Republican or Democratic problem, This is an American Problem! Remember the comment about the "first $16 Billion" implying a "second $16 Billion" can not be far off. We can not let this go on. Our fore fathers started a revolution over much smaller numbers (even adjusted for inflation) than these.
My feelings are a wholesale replacement of all our elected officials is needed. The approval ratings of congress as a whole is less than 20% yet incumbents keep getting elected. The feeling seems to be "Government Sucks but our guy really looks out for us". NO NO NO. They all are guilty of looking after themselves. Tell me another profession where you can put in as little as 6 years and walk away with a pension equaling 100% of your salary, for life! Plus the best medical benefits in the country with zero copay, zero deductible and no premiums for life as well. You can't because there are none! Realize folks, they voted this benefit package for themselves. We did not get to vote on whether this was fair. If a publicly traded company offered their employees such a deal, there would be a shareholder revolt and every executive of the company would be fired for voting for such a ridiculous compensation package. why should we tolerate this from our elected officials.
There will be more on this subject I assure you but for now I will finish with this. If you agree with all or part of this, send a copy (or just the stuff you agree with) to your elected officials. I am including a link where you can find out how to contact them. Encourage as many of your friends to do the same thing. We need a government who looks after us for a change. One which severely limits the lobbying of special interest groups. One which quickly deals with the problems our country is facing. One which allows us, their employers, to decide on their compensation and benefits, or perhaps limits itself to the average of all the salary and benefits packages in the country. The "Compensation Czar" was good enough for the companies who took a tax payer bailout, why should the tax supported government officials be treated better?
As usual just my opinions. I hope you share them, and will share them with as many people as possible.
Elected officials contact information can be found at: http://conservativeusa.org/mega-cong.htm
and you don't have to be a conservative to use the info on their site!
Friday, October 16, 2009
The Native American Tear Commercial
Years ago there was an anti littering commercial where a car throws a bag of garbage out of the car window at the foot of a Native American. He looks at the camera as a single tear rolls down his cheek. The Movie Kingpin recreated the commercial with Randy Quaid as the Native American.
I had my own "Native American Tear" moment on the way home from dialysis. There are 2 GM plants and a supplier building between my house and the dialysis facility. All three of the buildings are HUGE. If you have never seen an automotive assembly plant it is hard to understand how massive they are. They occupy acres of land and are surrounded by huge parking lots to accommodate the 3-5 thousand workers cars. When the plants are running these parking lots are jammed with cars and there is the perceptible hum of activity, like a beehive when you get close. The amount of activity with people coming and going (especially during shift change when as many as 6-10 thousand workers are either coming or going) is awe inspiring. Chevy used to run commercials calling Chevy "the Heartbeat of America". When you see a plant in action, you can tell it is literally the heartbeat of this country
Automotive manufacturing created the middle class in America. Union wages and good high paying manufacturing jobs, both salaried and hourly, were a HUGE part of the development of our country as a world power. Were it not for the "Arsenal of Democracy", converted automotive factories cranking out tanks and planes at a pace Germany could not hope to match, WWII most like goes to the Nazi's. 6.6 million jobs (down from 13 million YIKES) in America are directly auto related. The auto companies purchase aluminum, copper, iron, lead, plastics, rubber, textiles, vinyl, steel, computer chips, and a lot of things you never think of like post it's, software, pens, envelopes, paper clips, staplers, television, radio, and print ad's. Every car also needs insurance, car care products, service and repair, this list could go on for pages. Auto sales account for 20 percent of U.S. retail sales and generate tax revenues of more than $10 billion.
Those 6.6 million U.S. workers represent a total greater than the populations of 38 states according to a new University of Michigan study. Overall, the number of jobs associated with total automotive industry activity (direct, indirect and induced) represent 5 percent of the private-sector jobs in the United States, accounting for $243 billion in employee compensation (5.6 percent of compensation in the U.S. economy).
The plants I passed are idle. The parking lots are overgrown with weeds. It looks like a "Wild West Ghost Town". I think I even saw some Tumbleweeds and sagebrush. As I thought about the impact of these shuttered plants, the single tear almost rolled down cheek. Then I got angry. I understand the "free trade" issue, but I am far more interested in "fair trade". We allow access to our markets to countries who through a multitude of rules and reg's prevent our access. As a result, we have been exporting our jobs to countries around the world. We can not continue to allow this to happen.
What really got me mad was the recent purchase of GM and Chrysler by our government. They should not be buying them, they should be protecting them. The jobs they create are too important to the country to allow them to be outsourced. I'm not talking about creating impenetrable walls around the industry, but how about some incentives to help them out?
The recent "Cash for Clunkers" is a great example, but as I said in an earlier blog, why give the incentive to foreign autos? There are a host of things our government could do to encourage people to buy American. How about making interest on American auto loans tax deductible, or eliminating the sales tax on American autos. Do what other countries do, make it smarter to buy American than Foreign. The resulting job creations will far outweigh the loss in tax revenue. Every out of work American not only does not pay income tax, they draw money from the system. Some small changes would make a huge difference
I wish I had a picture to post. I'm sure it would bring a tear to your eyes as well. Michael Moore did a film about the economic impact on Flint when the auto companies pulled out. The problem with the movie was he got the wrong villain! It was not GM, it was the government with all its free trade rhetoric. Although I am a Reagan fan, he got that part wrong. We don't need free trade, we need fair trade. If you are not willing to do that, then you need incentives to encourage people to buy American. This is true of all American products from cars to computers, from fruits and veggies to software and soda pop. We have all the reason we need to buy American, but people make decisions with their wallets. 2 products of equal or near equal quality one American one Mexican, we are going to buy the best value (usually the cheapest). Lets give Americans an even better reason to buy American.
As I understand the role of our Government, it is primarily to protect us from all enemies foreign and domestic. While it is difficult to justify labeling other countries enemies, some are certainly enemies of our economies. How about a little protection?
Just my opinion
I had my own "Native American Tear" moment on the way home from dialysis. There are 2 GM plants and a supplier building between my house and the dialysis facility. All three of the buildings are HUGE. If you have never seen an automotive assembly plant it is hard to understand how massive they are. They occupy acres of land and are surrounded by huge parking lots to accommodate the 3-5 thousand workers cars. When the plants are running these parking lots are jammed with cars and there is the perceptible hum of activity, like a beehive when you get close. The amount of activity with people coming and going (especially during shift change when as many as 6-10 thousand workers are either coming or going) is awe inspiring. Chevy used to run commercials calling Chevy "the Heartbeat of America". When you see a plant in action, you can tell it is literally the heartbeat of this country
Automotive manufacturing created the middle class in America. Union wages and good high paying manufacturing jobs, both salaried and hourly, were a HUGE part of the development of our country as a world power. Were it not for the "Arsenal of Democracy", converted automotive factories cranking out tanks and planes at a pace Germany could not hope to match, WWII most like goes to the Nazi's. 6.6 million jobs (down from 13 million YIKES) in America are directly auto related. The auto companies purchase aluminum, copper, iron, lead, plastics, rubber, textiles, vinyl, steel, computer chips, and a lot of things you never think of like post it's, software, pens, envelopes, paper clips, staplers, television, radio, and print ad's. Every car also needs insurance, car care products, service and repair, this list could go on for pages. Auto sales account for 20 percent of U.S. retail sales and generate tax revenues of more than $10 billion.
Those 6.6 million U.S. workers represent a total greater than the populations of 38 states according to a new University of Michigan study. Overall, the number of jobs associated with total automotive industry activity (direct, indirect and induced) represent 5 percent of the private-sector jobs in the United States, accounting for $243 billion in employee compensation (5.6 percent of compensation in the U.S. economy).
The plants I passed are idle. The parking lots are overgrown with weeds. It looks like a "Wild West Ghost Town". I think I even saw some Tumbleweeds and sagebrush. As I thought about the impact of these shuttered plants, the single tear almost rolled down cheek. Then I got angry. I understand the "free trade" issue, but I am far more interested in "fair trade". We allow access to our markets to countries who through a multitude of rules and reg's prevent our access. As a result, we have been exporting our jobs to countries around the world. We can not continue to allow this to happen.
What really got me mad was the recent purchase of GM and Chrysler by our government. They should not be buying them, they should be protecting them. The jobs they create are too important to the country to allow them to be outsourced. I'm not talking about creating impenetrable walls around the industry, but how about some incentives to help them out?
The recent "Cash for Clunkers" is a great example, but as I said in an earlier blog, why give the incentive to foreign autos? There are a host of things our government could do to encourage people to buy American. How about making interest on American auto loans tax deductible, or eliminating the sales tax on American autos. Do what other countries do, make it smarter to buy American than Foreign. The resulting job creations will far outweigh the loss in tax revenue. Every out of work American not only does not pay income tax, they draw money from the system. Some small changes would make a huge difference
I wish I had a picture to post. I'm sure it would bring a tear to your eyes as well. Michael Moore did a film about the economic impact on Flint when the auto companies pulled out. The problem with the movie was he got the wrong villain! It was not GM, it was the government with all its free trade rhetoric. Although I am a Reagan fan, he got that part wrong. We don't need free trade, we need fair trade. If you are not willing to do that, then you need incentives to encourage people to buy American. This is true of all American products from cars to computers, from fruits and veggies to software and soda pop. We have all the reason we need to buy American, but people make decisions with their wallets. 2 products of equal or near equal quality one American one Mexican, we are going to buy the best value (usually the cheapest). Lets give Americans an even better reason to buy American.
As I understand the role of our Government, it is primarily to protect us from all enemies foreign and domestic. While it is difficult to justify labeling other countries enemies, some are certainly enemies of our economies. How about a little protection?
Just my opinion
Tuesday, October 13, 2009
I don't want to talk about it
I haven't blogged in a couple weeks. It isn't for lack of material or time. I have had a number of things I wanted to blog about. The reason I haven't is I know there are members of my family that would not want me to put certain things on the web, so some of my best ideas have gone into my private diary.
Lately things have been kinda tense around my house. It is just my wife, my youngest daughter, and me, now that my oldest is away at college. I expected things would be a little easier, but I expected wrong. It seems my youngest has "picked up the slack" when it comes to creating tension.
I tried to find out what is going on, but her response was "I don't want to talk about it Dad". Thinking my wife knew what was going on I asked her. Her answer was "I don't want to talk about it.
I called my oldest who is away at school with some great news (I got her a software program she has been asking for). When i talked to her, she seemed a little down, so I asked her what was wrong. Her answer...(do I have to say it) "I don't want to talk about it Dad"
I don't understand it. It is not just me. My kids "don't want to talk about it" with my wife either. I hope this is just a phase that's going on in my family. To me, the way to resolve problems is to talk about it. But what can you do if no one else wants to talk? I have honestly begun talking to myself (sad isn't it?) I guess in a way that is what this blog is, me talking to myself and trying to capture my thoughts ideas and feelings before I leave this world behind.
But really....I don't get it, and the problem is no one can (or will) explain it to me. When I try to gently prod them, they clam up and repeat (in ever increasing volume) "I don't want to talk about it"
Oh well, all I can do is keep trying and hope someday they trust me enough to open up. Until then I will just keep talking to myself...and to you.
I keep reminding myself that anything worthwhile takes time and persistence. I have the persistence...do I have the time?
Lately things have been kinda tense around my house. It is just my wife, my youngest daughter, and me, now that my oldest is away at college. I expected things would be a little easier, but I expected wrong. It seems my youngest has "picked up the slack" when it comes to creating tension.
I tried to find out what is going on, but her response was "I don't want to talk about it Dad". Thinking my wife knew what was going on I asked her. Her answer was "I don't want to talk about it.
I called my oldest who is away at school with some great news (I got her a software program she has been asking for). When i talked to her, she seemed a little down, so I asked her what was wrong. Her answer...(do I have to say it) "I don't want to talk about it Dad"
I don't understand it. It is not just me. My kids "don't want to talk about it" with my wife either. I hope this is just a phase that's going on in my family. To me, the way to resolve problems is to talk about it. But what can you do if no one else wants to talk? I have honestly begun talking to myself (sad isn't it?) I guess in a way that is what this blog is, me talking to myself and trying to capture my thoughts ideas and feelings before I leave this world behind.
But really....I don't get it, and the problem is no one can (or will) explain it to me. When I try to gently prod them, they clam up and repeat (in ever increasing volume) "I don't want to talk about it"
Oh well, all I can do is keep trying and hope someday they trust me enough to open up. Until then I will just keep talking to myself...and to you.
I keep reminding myself that anything worthwhile takes time and persistence. I have the persistence...do I have the time?
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