Perspective and "Stimulus Bill"

Over the past week, we have a seen the market bounce nearly 1000 points from its low a couple of weeks ago. Certainly good news! Yet, in this day and age of bi-polar news reporting, where any bad day means the end of the world is coming, and any good day means the recession is over, it is important that we have perspective.

Perspective, to me, means keeping a view of immediate events within a broader long term outlook. Ultimately, whether government did, or did not, do anything relative to the current economic situation this recession would ultimately have a beginning, a middle and an end. When we lose perspective on that natural order of things, we react and overreact emotionally. We panic and take action for the sake of taking action. Doing something HAS to be better than doing nothing it is argued. Perhaps that is true. But what if it is not true?

What if spending what is now nearing $2 TRILLION dollars to reward failure and underachievement turns out to be the wrong thing? The fact of the matter is the US government spending $2 TRILLION to bail out this bank and that automaker, this insurance company and that investment house is akin to taking out a sub prime mortgage on the future economic stability of America.

This bill IS going to come due. You, your kids, and the next 2-3 generations of Americans are going to have to pay the price of rewarding failure. Banks and bankers made risky decisions, they gambled and lost. They failed. The American automakers allowed the unions to run roughshod over them for decades signing contracts yesterday that are crippling them today.

Hmmmmm signing something today to keep things going without keeping perspective of what that means for tomorrow......do you see the parallel between that and what the Obama Administration is doing? They are signing away trillions of dollars today to "keep things running", trying to garner support of some Americans by playing the fear game and scaring folks with words like catastrophe and depression and "we'll take from the rich and give to the poor". But there is going to be a tomorrow, and the bill is going to come due. How do you think we are going to pay for it????

Do you think it is just a snap of the fingers, tax the rich and tax businesses? If you believe that, there is a reality you are not going to like in your future.

Q: What happens when you tax the rich and businesses?
A: The rich take money they would invest and money they would pay taxes on, and they find ways to shelter their money. This leads to lower tax revenues and less investment. Exactly the opposite of what makes our economy go. Businesses, in order to hit EPS and keep stock prices climbing, lay off workers, cut back on investing in new technology, and lose their global competitive advantage. This leads to higher UNemployment, fewer jobs, slower economic growth.

But boy, we sure can feel good because the government is going to stick it to the rich and the businesses that take advantage of the rest of us! (Fact is, the rich own and invest in businesses that employ people. Businesses invest in new technologies to be more competitive, hire workers, and are a primary cog in the engine of the American economy. The dirty little secret the liberals and socialists don't want you to know is that lower taxes on the rich and businesses is better for the average American than raising taxes on the rich and on businesses.)

I hope you see this for what it is. A chance for government to exponentially increase spending and later on, increase taxes. And not just taxes on business. Your tax rate is going to go up. The Democrats, librals and socialists will ultimately come back and say "This debt is just too high and everyone must pay his/her share." (except those on welfare, but they already get rewarded for underachievement) This only leads to slower economic growth and growth in the number of people who become hopeless and dependent on government. This is as anti-American as anything I can imagine.

Let's keep some perspective as the market rises, and also as it falls.

Let's remember that there are things that are undeniably true, no matter what the biased media lead us to believe:

1. Taxes MUST be lowered dramatically for ALL Americans. When companies keep more of what they make, they invest in new technology and hire new workers. When people keep more of what they make, the buy more and save more, improving the standard of living for all. We CAN have it both ways....lower taxes for ALL Americans.
2. Government must be reformed and expenditures slashed. (Defending the country, upholding the laws of the land, ending the financial drain and strain on our states and cities caused by illegal immigration, rewarding achievement and enforcing personal responsibility and self-reliance)

It is time for action in America. It is time to stop bickering about issues we don't agree on, and time to come together around the things we do share as common ground. Together, we can add perspective back into the national consciousness and make the changes needed to move America forward in the right ways.