Bad News is Good News?

[exedir]

OK, not to script, but then again what is, oh, right, reality TV shows. Nope, we live in OZ where the munchkins are hard working, industrious and afraid of the Wicked Witch, or is that fear of flying monkeys, nevermind.

The 4th Quarter GDP(Gross Domestic Product) took a dump and, wait for it...., the Unemployment Rate went up! Hmmmm...., and then again so is the stock market, who seems intent to follow the yellow brick road, wherever that is leading us. But we are told, no, don't look at the numbers, don't look at those behind the curtain, just know someone is to blame. And of course, we know who the job killers are and those that want to send the country into recession, if not worse, ah.....those other guys, the money grabbing ones.

And yes, there is an explanation, it is wonky, tiresome and boring, we did not spend enough government money last quarter. Yup, it was Congressional Washington where Wicked Witch lives with her monkeys. Not the Emerald City, also a part of Washington, a different zip code of course, they were celebrating the everlasting victory of our times, more or less, and certainly less in the 4th Quarter.

As to unemployment, what unemployment? In the beginning of 2008 it was 7.8% and 5 years later it is 7.9% and maybe a sign of the new normal, for now. And yet, wait for it..., those that were employed made more, actually a lot more. Now, what does this all mean, well, smoke and mirrors and a great show in that there were extraordinary events involved, mostly too wonky even for CNBC but, that seems to give us an idea that there is more to come in 2013, which will set the table for 2014 and the midterm elections, national, state and local.

And no, there is no place to hide.

[LoveLife&Laughter]

Scott Brown won't run for Kerry's seat either.  Where is the Tea Party?

[exedir]

I'm not sure how relevant this is to the subject but what this does is throw open the election to a primary process in both Republican and Democrat parties to come up with a candidate.  

Clearly Governor Patrick has pushed the issue with the appointment of his chief of staff.  It could just be the place keeper needed for the next Democrat candidate, but puts an odd taste of cronyism into the mix and one wonders where the Frank appointment went off track, if one was looking for symbolism by the governor's choice.

[Dennis Barsten]

Lost their bags...

[LoveLife&Laughter]

The Religious Right Conservatives have launched a new flurry of complaints about ObamaCare denying them their Constitutional Religious Rights of Freedom of Religion (contraception).

Meanwhile the Religious Right Conservatives have launched a new flurry of laws in nine more states to make the Constitutional Right of Abortion impossible to get for anyone who needs one, denying the religious rights of other religions.

[LoveLife&Laughter]

It worked well in 2010  because some liberals are lame, but I do believe they have learned their lesson and some normality should return after 2014/2016.  Got to cure an infection before one can get better.

[LoveLife&Laughter]

You know, after looking at Ex's numbers, I'm starting to think that the biggest threat to America's economy has nothing to with Comrade Obama's secret plan to have the government take over the entire economy. Instead, the real danger is the GOP's insistence that we embark on even more austerity, shrinking the public sector even smaller—and putting even more people out of work.

[P.A.]

I think that has been their plan for years. Just look at who ran up most of the debt they now complain about. Remember Cheney's "deficits don't matter".

[exedir]

Again, you can't spend your out or tax your way of the current economic cycle we now are in, growth is the only answer.  But to grow you have to invest.  

Now, a Keynesian's like Paul Krugman would say that's the ticket, however, there is a difference in government spending and what actually is public investing.  The public sees cash flowing out with government checks, not as largess and not what it is buying, in most cases, living and health care expenses some necessary, some less necessary but all acknowledged as vote worthy. 

Things like education, job training and support green energy is all very noble, but probably not going to do much in that education without purpose, training with no goal and to use stuff of fantasy and fiction, not ready for prime time will not produce the return that is necessary.  

We will have not enough doctors, will have not enough health care support technicians, will not have the necessary scientists and engineers just through the spending of support funds, what is necessary the will that is manifested in dedication and commitment of those that deal with students, and the parents and students themselves to take the hard road required to attain, not occupy, an education. 

[LoveLife&Laughter]

"...growth is the only answer.  But to grow you have to invest."

We'll need more revenue to accomplish that -- the opposite is more austerity, shrinking the public sector even smaller—and putting even more people out of work.

[exedir]

The idea of generating revenue, created out of the air is, of course, not true.  There is no free lunch, even if you have the printing presses.

What is happening is that we have stashes of cash stuffed all over the financial world, but it is parked in mostly government securities supporting the ongoing tower of debt.

What has been lacking is any momentum to use that cash to invest.  Part of the problem is uncertainty, another part is the lack of return on investment for those that invest, be it public or private.

The point of the 2009 stimulus as announced was to pump funds into "shovel ready" public projects, whereas most of the borrowed money was put in to operational budgets of states and local governments to bridge what was to be but a pause in revenue generation by states and local governments.  That didn't happen, the bridge that is.   What did happen, was the money was spent in support of salary and benefits and the "shovel ready" part was a myth, a myth because of the process of approval and review that constrains most of what can be done due to rules and regulations required to actually do anything, and very little immediately, there is no start button in government to push that doesn't have built in delays.

[LoveLife&Laughter]

The stimulus not creating jobs is the "Stupid Talk" Bobby Jindal warned us about.  

To initially be ignorant is a mistake, to continue to try to fool people is mental. 

http://stimuluswatch.org/index.php/project/by_state