Sunday, June 26, 2011

How to Get Out of the Economic Depression in America Today

Getting the Government Out of the Picture


Everyone in the belt seems to only listen to people that tells them to keep spending.  Somehow they think that we can spend our way out of this bubble economy.  Of course, that is completely illogical.  You cannot spend your way out of a bubble.  It makes you sense politically, economically or otherwise.  The only way to really turn this economic depression around is to stop spending and make cut backs.

End the Useless Department of Education
There are whole departments in the government that are completely obsolete, irrelevant and unnecessary.  They have names like department of education, IRS and homeland security.  The names seem completely necessary and we've been told that not having them and other would mean government collapse.  But, what is not said, is that they were mostly formed in this last generation's lifetime, not 200 years ago.  Everyone shies away from the phrase spending cuts, because they always fear that the first thing on the chopping block will be some monstrous cut to roads or something equally crippling.  That's the fear that has been put into the country, but the federal budget can be cut in nearly 1/2 before touching anything even close to necessary to run the government.

For example, a huge portion of the military budget, for instance, is spent on people not in the military at all.  People who have nothing to do with the running of any military actions.  They are simply leeching onto the military spending and bleeding it for all its worth.  However, when it comes to the floor to cut those people out of military spending, they turn it around to look as if the government is trying to cut military spending and not the leeches from the department.  A massive political campaign is started to change the rhetoric to make it look like "military" cuts would mean less troops, instead of less leeches.  Spending in the military alone could be halved and no military action would even be affected, due to this bloated budget for those who serve no purpose but to suck on the teet of American tax payers.

Unemployed Job Fair
With spending back to honest form you have to turn to taxes.  The single most honest way to create jobs via the government is one that rests in the only government's power to "create" jobs.  Honestly speaking, the government cannot "create" a job.  Not even a single one.  A "job" is something that generates profit for someone that is building capital.  The government does not build capital.  The government gains only tax payer dollars.  They do not generate anything.  So a government job, by definition, is not a true job.  So Obama and friends cannot create jobs by doubling census taker jobs, a temporary fix anyway.  It is all more rhetoric anyway.  Government can only perform one roll when it comes to the job market, hinder more or hinder less in job creation or destruction.  That is to say, the only role government plays in the job market is to get in the way of business to create jobs.

Since the government cannot create jobs of its own accord, and once we understand that their only role in the job market is one of hindering creation, then we have to understand how they hinder it and remove those hindrances, taxes.  The burden of taxation on employers and employees alike is monumental in the hindrance of job creation.  Of course regulation is the 2nd factor, but more prominent is taxation.  So to get out of the way of job creation, the only way to get out of this slump is through:

"a 100% payroll tax holiday for both employers and employees.  Instead of putting money into the economy, [through inflationary quantitative easing ] relieve the burden from employers and employees.  That will generate jobs like nothing else in the history of the US."
Obama proposed and passed a "payroll tax holiday", but in actuality it was a 2% reduction in SS collection, all the while income taxes rose, so there was no net gain for anyone except a few wealthier workers.  Most laborers saw a net increase in taxes and less take home pay.  It is this kind of double talk and double dealing, that is killing any honest effort to get the economy going.  This administration is literally bankrupting the country and the middle class, while putting on a show of being for the people.


Illegal Immigration



Many Illegal Aliens are Criminals Fleeing the Law
Finally, on job creation, we must have a massive exodus of illegal immigration.  Advocates for illegal immigration, do so for ulterior motives that are not in the best interest of the country.  Illegal immigration creates a substrata of labor that is even lower than entry level pay.  Illegal immigration undercuts even low paying wages.  You can wrest massive unemployment directly on the shoulders of illegal immigration, and this is very openly documented and researched.  It has become politicized by those same advocates for illegal immigration.  The reality is that state governments are finally seeing through the rhetoric and realizing that their massive segments of the population on unemployment are directly caused by illegal immigrants in their state.  They are taking it upon themselves to finally make a move and upholding the illegal immigration laws and removing the illegal immigrants themselves.

Make no mistake, over 90% of all illegal immigrants are Mexican nationals.  Advocates for illegal immigration always puts the onus on us to sympathize for those illegal immigrants by pointing out the terrible conditions Mexico has.  However, they never put the responsibility on the very illegal aliens themselves, but somehow make us, the US, the responsible party for having a more stable society than Mexico.  The reality is that Mexico probably needs to have a revolution to turn its country around.  But either way, that is not the responsibility of the US government, nor the states, nor its citizens.  That is the responsibility of the Mexican people and the Mexican government.  The Mexican government devalued its own currency on purpose, rendering their own upper middle class, poor, overnight, and rending those under that class into abject poverty.  That has nothing to do with the United States.  And, it should not be thrust upon the shoulders of our citizens and middle class to bear the brunt of a decision made by the Mexican government.

All of this illegal immigration has become so highly politicized that noone dares even mention the true reason for the state Mexico is in right now.  They only talk about how poor people are and what terrible straights the people are in.  They never mention why there is so much poverty.  If the upper middle-class were thrust into poverty overnight, of course the country is going to be thrown into social unrest.  But that is the responsibility of their government and their people have to hold them responsible, not come over here illegally and cast millions of Americans into poverty, while creating a new underclass of citizenry.

FAIR research suggests that "between 40 and 50 percent of wage-loss among low-skilled Americans is due to the immigration of low-skilled workers. Some native workers lose not just wages but their jobs through immigrant competition. An estimated 1,880,000 American workers are displaced from their jobs every year by immigration; the cost for providing welfare and assistance to these Americans is over $15 billion a year." The National Research Council, part of the National Academy of Sciences, found in 1997 that the average immigrant without a high school education imposes a net fiscal burden on public coffers of $89,000 during the course of his or her lifetime. The average immigrant with only a high school education creates a lifetime fiscal burden of $31,000. [ cite - Center for Immigration Studies report Immigration From Mexico - Assessing the Impact on the United States, subsection Impact of Mexican Immigration on Public Coffers. ]

Many states are now adopting Arizona's model of immigration policy.  The tax paying people who are now out of a job are clamoring too loudly for them not to listen.  The Obama administration may try to socialize and communize everything and smooth everything over with a veneer of "we're all in this together", but the reality is, the unemployed are not in this together.  They are out, and children and wives are starving.  That is a reality, no politics can brush aside.  Those same Mexican illegal aliens also never pay taxes and drain the economy by sending upwards of 70% of their payroll checks back to Mexico, making it the 2nd largest GDP for Mexico.  So not only are Americans losing jobs, they are also being drained of money.

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