MaggieMae
Reality bits
- Apr 3, 2009
- 24,043
- 1,635
- Thread starter
- #41
These are simply absurd rationalizations even though many of them are demonstrably true.
The continuation of the Empire after the end of the European empires in about 1968 was and is an unnecessary massive drain on the economy. Money spent outside the US reduces the money spent and therefore the jobs created here in the US. Even in Japan which does spend big bucks to subsidize US troops stationed there, even those garrisons are probably a drain on the domestic US economy. Want the economy to turn around, phase out the imperial outposts to what is needed for intelligence gathering.
Second the drive to increase financial leverage while attacking savings with the tax code and inflation has reduced real investment. That has been continuous since the last deflationary year of 1958. What creates jobs is real aftertax savings invested in real capital equipment that provides goods and services at ever lower prices.
Third policies that ignore population will cause trouble. The huge jump in "Furlough babies" in 1943 has been a known depressant of economic activity in 2010 and years following since guess what, 1943. Early retirement into social security was known to be a problem for 2005 and years following for just as long yet Greenspan tried and succeeded to keep the housing bubble going as the leading edge of the baby boom was trading down.
Now do you get it?
I get THAT, but now answer why, in spite of all the history elaborated above, the economy soared in the 90's with a higher tax rate and it's now in the tank with a lower tax rate, and none of the variables were significantly different.
PLENTY variables were widely different, starting with access to capital and a watershed moment of technology development.
I was addressing just those variables mentioned. But since you mention two more, there's still a problem with the scenario. Why wasn't there more access to capital for small businesses, minority entrepreneurs, etc., during the Bush administration? How much further has technology evolved in the last 10 years than it did in the 10 year before it? Computer technology is moving a light-speed these days.