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As we approach the new year, the clowns will begin dropping out and all begin to take a serious view over who can be our next president.  By now a normal trend; it happens every four years.

The reason we have to put up with the clowns is  because across all of America, there is gross disenchantment over  the way things are.   A gross enchantment so huge, that unifies both the extreme right and extreme left into a larger classification.

These two opposite sides actually have a common denominator.  Both sides are both unhappy how the needs of real human beings are being trumped by those whom they have elected and trusted to serve them.

On the right it is the tea party types who are erroneously easy to dismiss as primitive forms of intelligence.  On the left is its those who exhale in triplicate just to hear themselves breathe, usually with complaints regarding how good programs are not good enough to their liking.

Or so each are characterized by the other side’s talk radio hosts…..

But in reality, both have a deep love of the America they grew up under and see it slipping away by the minute.  Both share the same vision that America needs to be great again, but simply differ on the approaches required to achieve that aim which can be characterized as such.  The left believes we need to change somethings in our system of governing; the right believes we have to change individual people one by one.

The common enemy in both parties surprisingly is the bloc of moderates spanning both parties who compromise too freely against their parties values and who seem  too prone to cater to business at the expense of individual constituent’s wishes and demands.  Rather bizarrely, we three parties, if you include this business class in the middle of both and only when two of the three agree, does anything get accomplished.

In Delaware this is played out in the opt out movement where the Governor (business party) used his veto and the head of the House of Representatives (business party) shows no sign of bringing it up to be overturned.. Enough votes (Dems and Repubs) are present to do so, just little procedural matter is all that is now boxing up the two wings wishes…’

Nationally the same scenario is being played out in that all the candidates are the same except one.  Only one candidate of either party is taking on corporate America.  All the rest are fortressed and supported by Corporate America marking all the differences actually existing between them as petty and insignificant when compared to the pressing needs at hand.

No matter who is elected, we can have no real change over the next four years unless that one who is different and from Vermont, wins.

So despite all the banter our main stream media is giving us, (whose staff is primarily and pathetically reduced to snooping on Twitter and putting that up as “real news”), the real question emerging as voters begin to look seriously, needs to be:  who will actually make that change that benefits me?

Only one.  Right now only one candidate’s platform can make the huge changes required to wean America off its penchant for developing profits, and turn America back to work on developing its people. Which is what the extremes of both right and left believe need to be done.

Because behind all the arguments about trade, abortions, shootings, and economics, the real solution to making your life better, is to put more money into your pocket as well as the pockets of the rest of the 99%.,…

Because you really aren’t politically free, unless you are also economically free. For unless you can quit that job you don’t like, can’t stand, or hate, and quickly find another one, you are not free.  If you have no choice but to work at that crumby job, you simply do not taste freedom.

Only one candidate’s platform will change that now;  it requires raising taxes on the one percent.

According to Fortune estimates, on this planet global households together have amassed over  $250 trillion in assets.   The one percent now owns 50% of that which translates into their ownership of $125 trillion in net worth. If this net worth were conservatively earning 7% per year in interest ($17.5 trillion), and the capital gains tax were raised to 50% marginal levels only on this select group, it would pump a lost $8.5 trillion back into the economy per year.

This is money that could be spent on combating global warming.  This is money that could be spent on making normal citizens earn more.  This is money that could be spent on ending hunger world wide. This is money that could rejuvenate cities providing great future for ones youth. This is money that could be spent on education.

And this money is absolutely free.

For the $7.5 trillion taxed and reinvested through governments around the world will offer (at minimum) a 2:1 rate of investment, meaning that the $7.5 trillion taxed and spent will generate a yield a $15 trillion return on that investment. Which since the wealthy own one half of all wealth, this means they get to re-pocket $7.5 trillion which they just gave up.  And if investment returns are higher, by ratios of 3, 4, 5,  even 10, they make out big time. Win, win, win.

Right now, only one person says he will do this.

Compared to this sea change, none of the other little things matter. If that yearly $7.5 trillion dollars through increased economic activity, is averaged out to all the 7.5 billion of this planets dwellers (of course it won’t be), it actually gives every single person a $1000 dollar increase of money they get to keep… They will see it in two ways; one they will see part of it in expenses going down and part of it in salaries going up.

Only one person across both parties fields has the wisdom take on Wall Street now knowing that it gets more expensive to do so by each hour.  OUT of all the candidates on both parties… ONLY ONE is not beholden to the interests of the top 1%.

You need to send him  money, whether you’re a Republican or Democrat. Both party’s networks are thoroughly tainted by corporate money. But one person isn’t…

In 2002 we gave the top one percent a loan from the American people which was to make us all wealthier over time.  They got their money, and kept it; we were polite and nice about asking for restitution. Apparently enough time has gone by, they think it is theres.  Meaning, it’s now past time we called back our loan which we originally gave to the top 1% via the Bush Tax Cuts. …

 

 

 

 

 

 

 

 

 

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Please Riot Here

When riots happen in Wilmington, which i’m sure they will, I hope they will learn from Ferguson Missouri’s mistake.

That mistake is to riot in your own neighborhood… That is just plain silly. Did we attack ourselves when the Japs bombed Pearl Harbor? Or did we wage war with Japan?

Why people would loot and burn in their own neighborhood, is beyond me. I write this now, so when the opportunity to riot does occur, those with above average intelligence will have a plan to move the crowd out of their impoverished neighborhood, and instead riot in neighborhoods where the a) the loot is much better, and b) those responsible for the policy that has kept you down since Clinton left office, are directly affected. If you are going to riot, you should do in on the enemies home turf. Republican Country.

A riot has a purpose. It is to change things. To make things better by creating a situation that is worse than doing nothing, therefore something has to be done. Blacks didn’t protest on the back seat of the bus. They sat in the white section. Black students didn’t do their sit-in at the black counter. They did it at the white. Black students didn’t march into Tuskegee Institute with the National Guard. They marched into the all white University of Alabama. Martin Luther King didn’t do his marches within all black neighborhoods. He marched across the bridge into downtown white Selma….

So battling police in your own neighborhood, looting your own corner store, burning out yours and your neighbor’s houses, kind of double hurts you. Not only are you being oppressed by Republican Policies, but you are also setting those who support you, back even more….

So I’m writing this to tell you where to protest so it will do you some good.

It is called Westover Hills. There aren’t many people living there, but those that do are rich and very old and feeble. They couldn’t stop a crowd breaking into their house if they tried. Plus, when you loot, you could actually get something you could sell. Whose going to buy all the banana flavored Laffy Taffy you stole from the corner market? But you could easily swipe a Bose Stereo, or maybe find a safe with a couple of hundred thousand in it.

And instead of hurting mom and pop, or Uncle Joe and Aunt Alice, you would be hurting those whose money is directly responsible for you not having a good job, a good house, a good future. Those in Westover Hills vote Republican and it is Republicans who have allowed all the money to go to the top 1%… and none to you…

If you remember the Clinton Democratic years, it was different. You, or your mom and dad, did get richer every year and if that had only continued, you would have been doing rather well by now. But you got lazy and enough of you didn’t vote for Democrats in 2000 and now, we are stuck with the rich getting richer, and you and your neighbors, getting poorer…

So take the number 20 bus from 10th and Market side of Rodney Square and in 8 minutes and 15 stops later, you will be just north of the riot zone. Do your peaceful protests there, in the middle of the streets, and shout how Republicans have ruined everyone’s lives but those of themselves… When the riot police arrive with their single tank and tear gas, make them fire it at you so all those rich billionaires have to breath it too. Then when all hell breaks loose, break into the houses and rob yourselves silly. Don’t even worry. Unlike those corner stores, everything you take here is fully insured… Destroying their property, will in days, put all Delaware’s construction workers back to work. These guys are rich. They don’t dilly-dally around.

The main point is this? When you riot in your own neighborhoods which these Republicans never venture into, it only serves to reinforce their notion of you as a sub-human race. “Look at those pathetic people”, they will say over their Maker’s Mark and Hennessey, “they’re tearing up their own neighborhood. Maybe we should keep them doing it so they move and haul their sorry asses elsewhere.”

They will not be in any hurry to lift one finger… “make them suffer more” will be their outcry. But … if you do it in THEIR neighborhood, they will at least wonder why? In their asking around, what’s the real cause of these people rioting, they will come to the conclusion that they, with all the money, need to invest more, need to hire more, need to pay more, and that if they had previously invested more in our people, this riot would never have happened. That is your key… Getting them to call their out-of-pocket legislators and say, “raise my taxes; we can’t afford any more riots like these, even if we are insured. It’s the third time this year. I’m too tired for another round of tax free shopping!”…

You can even walk there. So forget the bus. Just send the coordinates out on social media, and anyone with a phone app can get there…. It is pointless for you to have to bear the cost and trauma of what THEY caused. It makes such great sense for them to bear that cost, and after doing so, quickly create the changes you need to pull yourselves out of poverty…

So pastors and neighborhood watch leaders. Start talking your kids to riot in Westover Hills, instead of your own street. Isn’t it about time, the real criminals get to feel the heat?

They are the ones who put you there…. Make THEM pay, not those who are poor like you. And pick up something nice for me while you are there… A nice oriental carpet would be cool… blue and white if you find one.

Today the US is the strongest economy in the world. 6 months of over 200,000 hiring, lowest unemployment since 2008. So why are other nations not bouncing back?

Several reasons all show we had the right party in the White House at the right time. The opposite party proposed all the exact opposite policies of what actually worked….

Here is what is credited for our bounce back economy….

An Aggressive Central Bank. The Federal Reserve acted sooner and more aggressively than other central banks in keeping rates low,

Stronger Banks. The United States moved faster than Europe to restore its banks’ health after the financial crisis of 2008-2009.

A More Flexible Economy. Some economies have restraints placed on wages, unemployment, retirement, and favoring certain businesses over new innovators.

Less Budget Cutting Weighed down by debt, many European countries took an ax to swelling budget deficits. They slashed pension benefits, raised taxes and cut civil servants’ wages. The cuts devastated several European economies…

A Roaring Stock Market The Fed’s easy-money policies ignited a world-beating U.S. stock market rally. Higher stock prices would then make Americans feel more confident and more willing to spend — the so-called wealth effect.

Raising Taxes On Top Incomes: The Stock Market began it unparalleled climb, beginning the second week after the tax rates rose in January 2013 upon Obama’s inauguration, and has never since looked back….

The opposing party at each venture, argued for taking every exact opposite approach…. policies similar to that which Europe, Japan, and China followed. We would still be luckluster like those nations now had we a Republican running things instead of President Obama…..

It is important for these same policies to continue; so important that for this 2014 election, we need to do what we can to make sure these same successful policies can move ahead faster… Our nation’s economy would gear up a faster, if we just take off the parking brake… which by now does not even need to be called by name. We all know who they are…….

Dear Diary:

What if we raised income taxes on the top 1% several percent with a sunset clause not tied to a year, but based on achieving a certain state unemployment rate.? Perhaps 4.9%?

Work that through sometime soon, please?   

Thanks, 

me.

 Potential For Delaware To Have Unlimited Revenue Streams

Got this idea from a thread embedded in one of Steve’s posts.

We know the Racino’s are losing money.  It is because of competition.  Delaware needs a new idea, and Colorado provides the answer…

Of course some will object.   Just like everyone originally objected to the idea of gambling ever coming to Delaware…

Gambling is now so entrenched, it is not only a part of our revenue stream, but its owners get concessions from the state itself at the expense of raises to the state employees.  Soon, state wages will be replaced by scratch-off cards…..

On the other hand, the revenues from marijuana are amazing.  Delaware could pay for one fifth of its state’s educational budget by legalizing and taxing this revenue stream alone.($82 million) However the smart move would be to put all these revenues into an endowment fund for later, Maryland, Pennsylvania, and New Jersey are sure to follow suit as our fumes cross state lines and infiltrate their state halls….. just as they did with casino’s, and eventually that Delaware’s consolidation on that income stream dries up…. But with an endowment, we can keep the benefit filtering in for decades into the future…. “as far as the eye can see.”

Of course, the first word out of the mouths of those politically connected, would be… “what about our friends, the Racino owners?”

And there’s the rub.  They benefit too….  In what other state can you gamble and smoke weed at the same time?  We’ll have to build new toll lanes just for the traffic trying to get into this state!

It’s September and with september comes the time to set up the next legislative session in Legislative Hall.

The first issue of business is revenue.  Delaware needs to generate more revenue.   The more revenue generated here, the more people go to work and the more people go to work, the higher the wages must rise to attract labor…

The way to put Delaware on the fast track to economic growth is as always, to raise taxes…

Here is the first proposition on the table.

Creates four high-income tax brackets for taxpayers with taxable incomes exceeding $250,000, $300,000, $500,000 and $1,000,000. This increased tax will be in effect for 7 years..

  • Imposes a 10.3% tax rate on taxable income over $250,000 but less than $300,000-
  • Imposes an 11.3% tax rate on taxable income over $300,000 but less than $500,000–
  • Imposes a 12.3% tax rate on taxable income over $500,000 up to $1,000,000–
  • Imposes a 13.3% tax rate on taxable income over $1,000,000-
  • All capital gains will be assessed by the level with which they fall into the categories above.

Currently the highest tax rate is 6.95 for all income over $60,000.  A travesty really.  Someone making $400,000,000,000,000,000 is paying the same rate as someone earning one penny over $59,999.99….

As a special request, I would ask that all this income be earmarked to improving our schools.  No one making $400,000,000,000,000,000 could possibly argue against paying more for that!  Public school education is necessary for the continuation of America.

I would further ask that each existing school district offer an accurate budget proposal based on what they actually would need to make themselves run smoothly, deducting the money they should receive from their referendums, and send in the remaining budget shortfall into the state.

If it takes $120 million to run a district, and you only have $90 million to spend, it is no wonder we have problems in education.  The state should fund the $30 million and should take that $30 million from the higher assessments that Delaware so desperately needs.

Time to start discussing it.

 

 

 

Courtesy of Frank Capra

 

Any investor knows you buy low and sell high.  Buying high and selling low makes you a loser. The same goes with a business.  Buying a business doing very well, will leave you no room for growth.  Your pie can only get smaller, as more businesses arrive on your block and begin exploiting the fact you are so busy, by offering similar quality and prices with lower wait-times.  Their profits grow; while both your market share and profitability decline.

This is why people like monopolies so much.  One can consistently almost guarantee one’s income and profitability.

Now because of “math” it is easier to show great gains on low profitability options, more bang for the buck, than on high ones.  The closer one is to zero the higher percent increase one can show their clients.  If you have just one customer sale, it is easy to have a 100% increase by having 2 customer sales; someone just has to walk into your store.  But if you have 1000 customer sales per day, then it is rather hard to jump up to 2000 customer sales per day.  Where are you going to put them?

Understanding this  is critical to growing the economy.

History lesson.  In the summer of 2007 ARM’s started defaulting as the higher rates kicked in, starting a mushrooming effect up and down the securitized mortgage chain.   In 2008 when Lehman Brothers collapsed,  all hell broke loose.  The world financial markets came within 20 minutes of collapsing entirely.  But the US under George W. Bush restored confidence in the dollar, and people decided to leave their investments alone and let them ride.  That is his most defining moment.  That is one memoir I want to read.

Fortunately Ben Bernanke was an expert on the Great Depression.   Bolster the banks, keep money solvent, coddle corporations, and keep the infrastructure intact.   Knowing full well, if it totally collapsed (like a small town losing its factory) there would be no economic driver to hammer the economy back into shape.

For this reason, great pains were taken to assist big business on their bounce-back.

They bounced back very well.  Only this time, they didn’t need as many people to work for them.  Over the last decade, software had become smart enough to replace many jobs people had previously occupied..  Just that before the recession,  it wasn’t that obvious, It was only after one let people go and ran well or better without them, that one realized how just how fat you were beforehand.

So this brings us to the point.  We have invested in corporate bounce-backs as far as we can go. We have hit the ceiling as far as getting a return on our investment.  On the other hand, now on the labor side, we have great opportunity.  Every little investment over there into into putting people to work, will return great dividends very quickly.

We have to realize there as simply some jobs in society that cannot be performed by machines inside  corporate establishments or a banks.   Those jobs, simply put, are ones whose duty is to watch corporate giants and banks to insure that they comply within the law and prosecute them fully when they step out.

We need these jobs.  We really need them now.  After all, people do not work best without any accountability.  In fact the opposite is mostly true.   When you have to personally answer to a boss, you are more productive. Even when  that demanding boss is oneself; they still answer to someone. Consider the opposite.  If you could be paid whether you did work or not,  would you be as productive as you are now, where if you don’t do work, you don’t get paid?  Or would you take advantage of that opportunity, to heck with productivity, and seek to experience some of the quality of life you missed hereto? Our corporate entities and banks need to answer to a boss. That boss should be the American People via their proxies. the government watchdogs.

Those record breaking Corporate profits which are achieved by cheating society, are not really profits towards society’s benefit at all.  Some one has to eventually pay for them.  If you pump toxic chemicals into the ground to avoid paying for their disposal, at some future point when they hit a water table, society will have to pay to remove them and the damage they caused as well.

It is cheaper now to prevent that action while we have tons of money, than it will be to fix it when we simply do not.

The small business method to fix our economy, is to hire more government workers (invest in a brand new business) and pay for them out of the corporate earnings (our business already tapped out) because they can run with less people.

It is really no change from before.  Except for the person writing the check.  Prior to the recession these people worked for a corporation and got paid by their company. Where we need to go, is to have these people work watching over their former corporations,  now getting their pay checks written by the government, which gets its extra funding to cover their pay, from taxing the excessive profits those corporations are making.  Why are the making them?  Because they aren’t working as many people….

This is quite sustainable when viewed from this perspective, as would be readily seen by the owner of a small business.   If we were happy in the nineties, back when everyone was better off each year than they were before,  then we can be happy again, just by keeping all portions similar, just moving labor from the private to the public, and increasing assessments on the private sector to pay for it.

There are those who will scream.  They are selfish. They will be proven wrong.

As our planet becomes more crowded, we need more solutions. Some solutions are not very profitable and for that reason, we need a government capable to grow to meet them.

The old arguments of government being the problem, are long gone.  They weren’t true ever, though a lot of people believed them back in the day.  The opposite is certainly true now.  As a society we need more watchdogs working to make our lives better.  As a society we really don’t need more profits.  We have too many of them now and really, what good are profits really doing for us? None. Instead, we need more people working and buying things..  Nice things that someone’s got to make…

It is time to pivot in how we view the entire American economy.  Let’s hire us some watchdogs and cut the deficit while doing so, by increasing the rate of taxes on all those profits being sucked up in excess because a lot of workers got fired..

Economic theory, which is basically bullshit, is often coached in mathmatical terms to disguise the fact that it is pure bull.  However there are some very simple concepts which make very good common sense, and if one looks at that, instead of how to use current data to justify one’s action politically, one comes up with obvious surprising results.

Labor Demand < Labor Supply

That is why so many people are out of work.  Now here are the players.

  1. Workforce Market
  2. Corporations
  3. Commodity Market
  4. Foreign Investments
  5. Financial Markets
  6. Households
  7. Government

Government is our last option.

So our workforce if we compare the same counting today as was during the Great Depression, is running at 85% capacity.  Meaning 15% are unemployed.

Going down the list then,

Corporations are at their best ever. Corporate profit the highest percent of GDP ever.

Financial Markets also are at their best ever.  Dow Jones is at record highs.

Commodities are performing well, all indications are of a long term bull market.

Foreign Investment is at an all time high.  Never have we had this much outside money.

Real Household Income is declining.  We are headed downwards and are currently tied with 1994 as it rose out of the 91 recession, and prior to that, tied with 1984 as we were coming out of the 1982 Recession.

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Bottom line with government out our equation, we have the investment side of our economy all doing spectacularly well, and the household side going down.

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Proof enough that the free market system, or capitalist system does little for the good of any nation, just as little good it did prior to the legislation that became law after the crash of 1929 when Democrats swept the Federal Government.

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Government is the great equalizer.  For a fix, government needs to step up and side with We the people (or households), and as a referee would in any sporting event, make the playing field fair.

It can to it in either of two ways. It can impose necessary restrictions upon businesses which increase their demand for labor at the expense of their corporate profits.  For example, pass legislation to imprison CEO’s for malfeasance. Only then in order to keep their heads out of hot water, they hire environmentalists, social engineers, accountants, and other highly trained personnel whose prime function is to make sure the company is not doing anything shady.

It can also split the corporations into multiple smaller ones, each now requiring a new president, several new vice presidents, new HR’s, new financial planners, etc and with one fell swoop, increase the demand for labor.  This too, comes at the expense of corporate profits, which are currently huge primarily due to economies of scale.

And it can indirectly create demand by raising taxes.  When taxes go up on profit- earned, less profit gets earned by design; less “reported” profit, less money handed over in taxes.. Meaning the bulk of that money is now spent being reinvested into the business just so it can’t be taxed.  Building projects, higher wages, more R&D gets spent into the economy,  This too, comes at the expense of corporate profits on the books.

But that is why higher tax rates are actually the best alternative.  Higher tax rates tend to create less taxes, so government still needs to stay small.  The revenue collected is lower for the simple reason that if there was absolutely no tax, all the money earned would belong to me.  But if more of what I earn goes to you, then I will figure out a legal way to keep more for myself, and report less.  So whereas as tax rates go up, total tax revenue comes down;  the net effect is that more money goes into our economy thereby creating more demand.

The demand for labor then gradually rises to equal the supply and if it continues on its upward path, yes, yes, so there are more jobs than workers, then competition begins pushing the individual wage rates higher.

Which adds to the increased demand.

Using tax rates works best for now instead of the government interfering with day to day operations of all businesses, it actually creates an environment where each business can operate independently to its own best interest, and as they do, the demand for labor rises even more…..

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Anyone who argues for less government input into the economy is in the wrong century and can’t read economic figures that are plain as day.  So how does one interpret the cries for less regulations that are hurting corporate profits?  Easily. One realizes that sooner or later corporate profits have no choice but to fall, so our household income can increase. Loss of corporate profits is a “good thing”.

One should mention in the same breath, that labor’s percent of wages is deteriorating all across the world.  It is a world wide phenomenon.  The answer is simply that deference of all governments over the past decade and a quarter, has been given to those in charge of investment.

Policies favoring Investment must now take a back seat to those which put people back to work, which if done, raise the incomes of all of us… Even those of  the 1% , though not as much as they have been lately been accustomed.  But everyone still benefits.

Raising taxes is where we need to go.

===

The tycoon wishes to remain anonymous because he is one of the most solid Republican monetary supporters.

But when asked how he reads this chart, here is his compelling answers….

“Aside from the obvious, that we have had 39 months of continuous private sector job growth, something not seen since the Clinton Era, I suppose the biggest question remains as to “why” the glitches. Why are there parts that drop down in the recovery and seem to go backwards?

Here, let’s just go through the time-line. Let’s start at the bottom of the inverted pyramid… The general climb out of the hole was due to TARP money which jump-started construction projects and the big infusions to banks which kept the economy from falling off the cliff into the pit of no return. It culminated with a big push of Census hiring in March of 2010. Most attention was on Obamacare at that time and with everyone’s lack of attention from the president, congress, and corporate, things languished for several months. Also one must remember that the Republicans looked like they would make big gains in 2010 and turn all Obama’s directives around. That would be very bad if it were so, and no one sank any money into investment until the election determined things.

Those who figured Obama would win, (Northeast and California) invested heavily in October only to be mistaken and with the Tea Party rattling their sabers upon their win, no one invested anything at all. We all thought the economy would crash and burn again. Up until the election we fully expected the Bush Tax Cuts to be eradicated, so our goals had been to move our funds over into areas where they would not be taxed, primarily investment into our own companies. As the tax laws became extended, many of us were not in the right zone at the right time to take advantage of the two year grace period that tends to better reward those investing in liquid assets as opposed to longer term job creating ones.

By 2011, in February we realized the Tea Party was nothing but a boil, a cyst, a sham, and things would hold current at a status quo. February, March, and April we made plans to go forward and grow. Then in May, the first debt crises occurred and shocked, we all pulled back. The Tea Party did not vote on its unceremonious raise and emergency measures were begun to be implemented by the Federal Treasury. In June, we rode our previous success fully betting that no one, not even the Tea Party would be foolish enough to destroy America’s credit rating for their own political gain. By July, we knew we were horribly wrong. We pulled back on every investment option we possibly could.

The Grand Design ($4 Trillion Budget Arrangement) never did come about. If it had we would have thrown everything into getting on the ground floor of the next boom. But by August 2011 we were confident enough to begin putting some of our extra money now trickling in over to self-investment and it continued straight through January 2012.

That was when Republicans began their Primary campaign in earnest and the Democrats were silent by having no primary or no opponent to which to reply; all bets were that the Democrats were very vulnerable. In fact, it looked like it could be a clean sweep of both Houses and the Executive. This would mean all new investment was futile. The Fed would raise interest rates according to all these Republicans against soft money, costing banks billions and overall investment would slow to a crawl. This slide lasted until the juxtaposition of the two party conventions back to back, which gave us all a clear idea of who would win. I mean who would you want behind the shoulder advising the policy of the next president:  Bill Clinton or Clint Eastwood? The fruits of our investments through Sept and Oct. paid off through November and December. Although we too had quite a scare after the first debate.

Then came the Sequester. It is hard to remember now that we really thought we were going off a cliff back then. Once settled, January’s hiring was alread done but February received the spike of top money shifting from taxable investments over to job producing non-taxable investments. The stock market jumped  as world money became content that America had finally finished with its infatuation that the top 1% carry the economy as a whole and should be taxed less, jumped back in. Problems in China and Europe made sure we were the world’s safest investment at the time.

Currently it appears that our entire economy has matured in 2013… if anyone looks at the chart, you see that the spike in February almost perfectly cancels out the dips in January and March, and that the average across all 6 months is very consistent, almost the same number.

In fact, we have plateaued. This is where our economy is right now, growing steadily with population growth and nothing more. There is nothing any more that anyone can do to increase private sector hiring.

Nothing will change I figure until the House of Representatives gets enough democrats and government hiring can begin anew.”

“Oh” I said, “so now you are a Democratic supporter?” lol.

“NEVER!” he responded. “However I’ll admit that Republicans are absolutely worthless when it comes to growing economies.”

And there, you have “the rest of the story….”

First off.  Any one can say anything.  I can say we should seriously colonize a  nearby class “M” planet.   I can find 40,000 reasons why the human race should do so.  But, if you were to ask me how we would get there,  I couldn’t tell you.  But I would try.

I would blame the bad people here.  I would say we need to get good people in positions of power. People with “vision”. I would say, we aren’t and haven’t been trying hard enough to allocate resources towards that.  I would say that if we just rewarded those who worked on it, we’d get there. I’d say that if we paid some of my fellow science friends to figure what we are doing wrong, my fellow science friends with your money, would surely lead the way….

But in the end, after all your money was spent, all we’d have left to show for it…  is an idea; that idea being that you know, that we should colonize a nearby class “M” planet….

Just in case you couldn’t see through the metaphor, this is what the Rodel Foundation has done….

I could go on and on with details, but it would be just copying  this person who already has.  Instead, I promised you a hole in their reasoning , didn’t I?  Well, that’s what I promised so let me deliver.

Let us assume you recruit the best.  You go after the trophy winners where ever they may be…   you excite them with your presentation, you optimism and you give them a pen to sign the contract….

They pause, and ask.  How much will I get paid?

A quick check of sources  shows Delaware’s starting wage is $39,099.  From the top that puts Delaware as  the 10th highest starting salary.   If you think a teacher with a portfolio of student loans more than owed on one’s house is not going to go to the highest bidder, you aren’t thinking correctly. Which means Delaware is already starting out of the gate with a handicap of 10.

So isn’t it silly, you tell me, to spend all the federal RTTT  funds on recruiting the “best” teachers or professionals and then, forget to pay them because we are strapped for cash the following year?   Can you say 8% pay cuts?  Exactly how long ago was that?

What makes anyone think that a really good teacher who has an inside track in Connecticut, Pennsylvania, Massachusetts, Wyoming, California,New Jersey, Maryland, New York and Alaska is going to give it up to come to Delaware for less?

If you want talent, you have to pay for it.  The idea of waving a magic wand and good teachers will come, is not grounded in reality.   We might as well be recruiting on a class “M” planet.