So here is the scoop folks. And I use the common vernacular folks; to endear your thinking to be more along the line of, “we are all in this together”. Alas, if that were only true, maybe understanding the reality of why our economy is not expected to turn around anytime soon might be easier to swallow. The very nature of a conservatively based capitalistic society is that some of us will always be doing just fine, while the majority need to keep trying a little harder and not give up. Sadly, in a world where it has become common to bail on a mortgage just because it is underwater, that kind of thinking is getting to be old school.
The economy is in a bad way and for the majority of us it is not going to get better any time soon. Despite being told daily by the news media that we need to take our vengeance out on those in political office, we need to step back and see the bigger picture. Einstein once said, “you couldn’t solve a problem with the same reasoning that created it!” and in this case, getting the economy back on it’s feet is not a one, two do this or that process. If we fail to learn from our past, we surely will make the same mistakes again and again until we do learn.
Take for example the general line of thinking that the more we give to corporations the better it will be for all of us. One has to ask, how is that working for you America? We bailed out the banks, and they in turn went on a buying spree and bought other banks. Now they are stronger than ever and credit harder than ever to get. People are still loosing their homes left and right and what should have been an age of banks working with mortgagees to help save homes is non-existent. Better to foreclose and find a new buyer. With the new buyer you get all those great fees from closing costs! Aha, yes those were the days!
We saved Wall Street investors and they too rebounded and walked away from years of bad investing with their pockets full of our money. In many cases without ever having to worry about paying it back! Wall Street was then quietly reformed by a new law most agree gives us little protection from allowing the same thing from happening again.
We saved the car industry and they are coming back as well, but still states like South Carolina give foreign carmakers the key to the city to come to America to build their cars. The BMW plant they are building there runs a commercial that asks if we can actually believe that they would want to come here to build their cars? Given the incentives, the willingness of the state legislature to do anything the company wants it to do; yeah I can believe it.
Workers to a company are ends to a means. No company sets out to employ any more than they really have to. Costs being what they are and technology being what it is, American companies have cut their workforces to the bone. Telling us that the more money we give a company through tax breaks, incentives and the creation of enterprise zones are not sure fired means to increase employment. Workers that offer to take back benefits have also found that the less they work for is no sure fired way to save their jobs nor guarantee the company will create new ones with the savings.
(more to come)