The only thing that has sustained the economy has been the Federal Reserve. Up until this point, Fed Policy has been as close to 100% correct as it could have possibly been.
The Senate and the House of Representatives have been totally wrong. Until such time as their policies become appropriate, the status of our economic well being will stay diminished.
The only policies that will help us into a healthy and long term uptrend must consist of some of the following.
1. Confidence on the part of the business community.
2. Recognition by the President that you can't pay people in the middle class or any class steadily increasing wages, if corporate profits are not increasing at the same time.
3. The only way to get out of our deficit is to increase individual income, increase corporate profits, increase dividends and increase capital gains. These increases will result in a growing tax base and will allow the deficit to eventually be wiped out.
4. Avoid anything that increases taxes, reduces consumption and weakens confidence, as this will only cause the deficit to grow.
5. Government spending has to be increased by putting into place infrastructure, such as new schools, on a massive basis.
6. Tax deductions have to remain in place as long as they induce economic growth.
7. Tax rates have to stay approximately where they are.
8. The leaders of Congress and the Executive branch must stop creating an environment where "success" is not respected and rewarded but is diminished and punished through taxation and regulations.
If you don't grow the economy steadily there is a smaller and smaller pie to take from, which is an absolute recipe for diminished returns to all segments of society.
The Senate and the House of Representatives have been totally wrong. Until such time as their policies become appropriate, the status of our economic well being will stay diminished.
The only policies that will help us into a healthy and long term uptrend must consist of some of the following.
1. Confidence on the part of the business community.
2. Recognition by the President that you can't pay people in the middle class or any class steadily increasing wages, if corporate profits are not increasing at the same time.
3. The only way to get out of our deficit is to increase individual income, increase corporate profits, increase dividends and increase capital gains. These increases will result in a growing tax base and will allow the deficit to eventually be wiped out.
4. Avoid anything that increases taxes, reduces consumption and weakens confidence, as this will only cause the deficit to grow.
5. Government spending has to be increased by putting into place infrastructure, such as new schools, on a massive basis.
6. Tax deductions have to remain in place as long as they induce economic growth.
7. Tax rates have to stay approximately where they are.
8. The leaders of Congress and the Executive branch must stop creating an environment where "success" is not respected and rewarded but is diminished and punished through taxation and regulations.
If you don't grow the economy steadily there is a smaller and smaller pie to take from, which is an absolute recipe for diminished returns to all segments of society.
Simple plan but logical.
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