Confused by Congress raising the “debt limit” and what it means? Here is a great explanation, in simple terms.
This deserves a look. BigGovernment.com is reporting on recent comments from the CEO of Emmerson Electric. David N. Farr, speaking at an industrial conference, said the federal government is “doing everything in [its] manpower [and] capability to destroy U.S. manufacturing.” He also lists several things the government is doing to “help the U.S. economy grow.” It’s obvious from his choice of terminology in this list that “help” is being used in a sarcastic sense.
- $1.41T Deficit 10% of GDP
- $12T of Government Debt Going to $20+T in 10 yrs
- Print more money – “Quantitative Easing”
- Non-Targeted $800B Stimulus
- Wall Street & Car Bailouts
- Cap & Tax Legislation?
- Government Healthcare takeover: $1+T
- Taxes and Regulations (increasing)
- Lack of U.S. $ Support
The whole slide presentation available here, but the scary part is the rest of the slide. It shows the job loss associated with recessions of 1980, 1982, 1990, and 2001 compared with the current statistics. The recessions of 1980 and 2001 peaked at 2.8 and 2.7 million jobs lost, and took 28 and 47 months respectively to recover. To date, we’ve lost 7.3 million, and about 22 months in, we don’t know if we’re on the way back up yet or not.
All in all, this is not very encouraging. Bear in mind that it is coming from a man with 28+ years experience in industry. He should know what makes a manufacturing business expand, and what makes one hesitate. Compare those credentials with the experience of the current administration. President Obama’s cabinet has FAR LESS private experience than any administration since 1900. With only about 8% coming from the private sector, the closest in comparison was President Kennedy’s cabinet, which had about 28% private sector experience. Most were closer to 40%, or even 50% from the private sector. If you ask me, if you want to create more private employment, ask the successful business people to run things.
(Note: These numbers include secretaries of State, Commerce, Treasury, Agriculture, Interior, Labor, Transportation, Energy, and Housing & Urban Development, but do NOT include Postmaster General, Navy, War, Health, Education & Welfare, Veterans Affairs, and Homeland Security. They reportedly come from a J.P. Morgan research report, but I don’t have the original link.)
You would think the “Jobs Summit” held Thursday would include someone like the U.S. Chamber of Commerce to balance things out. After all, the Chamber of Commerce knows a little bit about business. But no, they haven’t “toed the line” on healthcare, so they weren’t invited.
So, with over 90% of the administration from government (or possibly academic) positions, is it any wonder why it’s “politics as usual” in Washington, while our economy drags along?