NOT A RECESSION... JUST GLOBALIZATION & GREED

What's happening to the economy now, should have been expected. The model of late has been get all you can get at any cost, which is capitalism at it's worst. Without question, capitalism is the best model when compared to the alternatives, but absolute power corrupts, absolutely, and that's exactly what's happening now. The endless pursuit of bottom line profitability has thrown true economic viability to the way side.

With all the dot com bombs, CEO Severances, mergers, buyouts, write offs, and the sub prime lending fiasco; none of this surprises me, at all. The never ending pursuit of increasing the bottom line has no limitations, and it is nothing short of waging a war against the American middle class. Whoever coined that phrase hit it right on the head.

But I can remember debating this very issue with my Economics teacher about 8 years ago, predicting just this type of fall out. Money almost always trickles up. Trickle down is nice in theory, but seldom does it work, nor is it practical.

Why does it make sense to an American business that is under performing to fire the CEO, give him a $100million+ package, take a cash infusion from foreign investors, then lay off workers, in an effort to kick up bigger profits to the shareholders? That would be the equivalent of someone with bad credit, unnecessarily claiming bankruptcy, getting a phat loan from the bank, then deserting his wife, and giving up all of his children up for adoption, in order to live a more affluent lifestyle. He may be well off now, but his entire family is suffering when he could have easily uplifted everyone, and secured his own future in the process as well.

The American middle class spends more than any other nation in the world. Efficiency should be the emphasis of every organization/individual, not downsizing. When those Americans don't have the money to go to theaters, shopping malls, restaurants, on vacations (domestic), put gas in the car, amusement parks, ball games, etc, etc... Although you might be seeing a bigger profit share now, it's bound to come back down once the projected sales figures come back. Only now, you have handicapped the spenders, so the only way for you to generate more income is to again restructure your company, make more cutbacks, and take money from investors (domestic/foreign) in order to retain your position in the financial markets. Again, how does that help America as a whole???????

That's why we have so many conspiracy theories. It seems the establishment is in bed with the very ones (i.e. SAUDIS) who wish to suppress this SUPERPOWER. If middle class Americans (the largest tax base in the country) are able to earn a "livable" wage, buy a home, buy a car, take a vacation (domestic), or just pay their bills on time; the profits will continue to pour in, just at a slower rate perhaps, but that's a small price to pay. A vast majority of borrowers, usually repay loans with interest, and it's usually carried out to term.

If I were running for president, I wouldn't insult Americans by giving them a $250 check. Each time they give a CEO a $100million pay day, that's the equivalent of giving over 48,000 working families a $1 an hour pay raise, based on a 40hr work week, which totals over $2K annually, each. Most of that $100 million would go directly back into the economy, as opposed to giving that money to one individual, who puts it in a tax free shelter, where it earns interest, and is only taxed when it is withdrawn, if it isn't protected by a loophole.

Let us work to restore the economy, don't give us a temporary hand out, that fixes nothing at the end of the day. I would encourage American businesses to retain jobs, by giving them a tax credit when they hire, and retain a certain percentage of American workers. The credit would be accrued, and paid out only after they retain at least 95% of that work force, and show significant progress reducing operating costs, for at least 4 years consecutively.

Have you tried calling your telephone company, tech support, or credit card company lately, especially after hours??? Chances are, those jobs have been exported. While that may be profitable in the short term, in the long run it's catastrophic, unless you can get those workers to adopt American spending habits as well. In the process you also lose a huge tax base. Customer service and tech jobs are essential pieces of the economy, especially since manufacturing is leaning heavily towards automation.

Overall, I think a flat tax on all goods and purchases, would be the fairest, and most efficient way to tax everyone equally and end the bickering. The IRS could be redeployed to enforce the flat tax instead of being bogged down trying to decipher thousands of tax codes and loopholes. No more payroll tax, no more itemized deductions, just a flat tax.

However, corruption is inevitable, and no system is fool proof. Globalization is needed to some extent, but what we really need is for everyone to stop being so d*&# greedy. Do we really need to have more than everyone else in order to feel successful? Learning to do more with less (EFFICIENCY) is key to the vitality of our economy, and I am afraid, to the vitality of mankind itself. Enable your citizens to earn a LIVABLE wage, and "WORK" their way out of debt, the benefits will be realized slowly, and steadily, but surely, without a doubt.