Inflation with economic contraction = stagflation. That is exactly where Britain finds itself as it attempts to tackle its high levels of public debt. The massive austerity plan in Britain includes extensive spending cuts, increased taxes, and reductions in public services. In America, our government has chosen a different approach of spending our way to economic growth, hopefully leading to increased government revenues and reduction in the deficit. The question is how much pain you want to suffer because pain will hurt your electability. And that is the rub. At the end of the day, spending will be cut, government reduced, taxes increased, steady but unspectacular growth, and enough inflation to cut the size of the debt much to the chagrin of our debt holders.
With all due respect to President Obama, innovation is not the problem in the U.S. Our Universities, scientists, entrepreneurs, and the rest of the technical community still lead the world in invention and innovation. The problem is when it comes time to industrialize and enter mass production, the business is moving offshore to places like India and China. Massachusetts-based Evergreen Solar originally benefited from $43 million in assistance from the state of Massachusetts becoming the third-largest maker of solar panels in the United States. But now Evergreen Solar is closing its main American factory in Devens, Massachusetts, laying off the 800 workers, and shifting production to a joint venture with a Chinese company in China. The company cited the much higher government support available in China. How should the U.S. government intervene? Does intervention mean that we are not believers in the free market? Can we really be competitive without relying on subsidies or excessive tariffs?
According to TheAtlantic.com, 19% of children ages 2-5 can operate a smartphone app, but only 9% can tie their own shoelaces. I don’t know if I am impressed or scared.
Sign of the times. For the 1st time in its 102 year history, General Motors has sold more cars in China, 2.35 million, than it did in the USA, 2.21 million. That doesn’t do much for U.S. autoworkers.
I am getting tired of politicians telling us they must have an adult conversation with the American People about the state of our finances. An adult conversation? Really? Pompous jerk offs treat us like children that need to be talked to. Last time I checked, my finances were in much better order and my credit rating was better than Uncle Sam’s.
I know picking on Palin is like picking on chubby kids at summer camp. But could she be any more obtuse? Sputnik brought on the demise of the USSR because of the arms race? Could she have possibly missed the point by a wider margin regarding the President’s reference to the ‘sputnik moment’? I really hope both Palin and Bachmann enter the race for the GOP nomination. The debates will be pure comedic gold.
Is it me or is the last season of Big Love tough to watch? With over a dozen regular characters, there isn’t a single character I care about. Don’t you need someone to root for in a show to enjoy it? I think so.