{"id":8788,"date":"2010-08-24T15:32:42","date_gmt":"2010-08-24T15:32:42","guid":{"rendered":"http:\/\/blog.tmcnet.com\/blog\/rich-tehrani\/e-commerce\/simple_solutions_us_problems.html"},"modified":"2010-08-24T15:32:42","modified_gmt":"2010-08-24T15:32:42","slug":"simple-solutions-us-problems","status":"publish","type":"post","link":"https:\/\/blog.tmcnet.com\/blog\/rich-tehrani\/financial\/simple-solutions-us-problems.html","title":{"rendered":"Simple Solutions to US Problems"},"content":{"rendered":"<p>With housing in a  tailspin and many wondering how the US should get out of its economic  quagmire, the answer is as obvious as ever. The country has pulled tens  of millions out of poverty by allowing free market capitalism to allow  entrepreneurs to prosper. 99% of all useful inventions on the planet  have come from the private sector and watching politicians talk about a  summer of recovery when unemployment is at disastrous levels would be  funny if it wasn&#8217;t so sad.<\/p>\n<p>The free market didn&#8217;t create the  housing mess, government entities such as Fannie Mae and Freddie Mac  were government vehicles used to push housing on people who were not  economically viable candidates to own homes.<\/p>\n<p>Sure eventually Wall  Street got into the game but without the government artificially  inflating prices and supporting them, this mess could not have ever been  as bad as it was.<\/p>\n<p>Bush took credit when home ownership in this  country improved and so did Clinton but Barney Frank was the chief  architect of the housing Armageddon.<\/p>\n<p>Before you blindly trust any  politician with your future, take a look at the video below where he  says he never pushed home ownership when an earlier video from 2006  shows he was warned of a housing bubble and discounted the idea as he  said he would continue to push for home ownership.<\/p>\n<p><object width=\"480\" height=\"385\"><param name=\"movie\" value=\"http:\/\/www.youtube.com\/v\/GRVIeCYAJFk?fs=1&amp;hl=en_US\"><\/param><param name=\"allowFullScreen\" value=\"true\"><\/param><param name=\"allowscriptaccess\" value=\"always\"><\/param><embed src=\"http:\/\/www.youtube.com\/v\/GRVIeCYAJFk?fs=1&amp;hl=en_US\" type=\"application\/x-shockwave-flash\" allowscriptaccess=\"always\" allowfullscreen=\"true\" width=\"480\" height=\"385\"><\/embed><\/object><\/p>\n<p>Bottom  line is this man is a liar &#8211; the worst type of liar that there is on  the earth and I don&#8217;t care what party he is from. In part because of  Barney Frank millions of my fellow citizens are out of work and have  lost homes.<\/p>\n<p>All this while Obama continues to spout in speech  after speech about how the failed policies of the past are the fault of  George Bush.<\/p>\n<p>Thankfully the American people are smart enough to figure out they are being deceived which is why believe it or not, Bush is <a _cke_saved_href=\"http:\/\/www.washingtonexaminer.com\/opinion\/blogs\/beltway-confidential\/dem-survey-shows-george-w-bush-more-popular-than-obama-vulnerable-congressional-districts-101083189.html\" href=\"http:\/\/www.washingtonexaminer.com\/opinion\/blogs\/beltway-confidential\/dem-survey-shows-george-w-bush-more-popular-than-obama-vulnerable-congressional-districts-101083189.html\">ahead<\/a>  of Obama in popularity in key districts. Think about this for a moment,  Barrack Obama is the most articulate person many of us have ever heard  and our most inarticulate president is actually more popular.<\/p>\n<p>&#160;<\/p>\n<p><b>The answer to our problems are very simple but painful. Here they are:<\/b><\/p>\n<ul>\n<li>The  last ten years have seen a run up in construction and related retail  activity in the US which offset massive job loss &#8211; employment has moved  to China, India, The Philippines and elsewhere.<\/li>\n<li>We effectively masked this job loss the last decade by cheerleading real estate as an investment which does not go down.<\/li>\n<li>As a result of the crash, we are left with a population of unemployed who don&#8217;t want to work in jobs that are beneath them.<\/li>\n<li>Rather  than implore these people to get back to work by cutting unemployment  benefits, the Obama administration has pursued a policy of allowing  illegal immigrants to flow into the country and indirectly promising  them citizenship.<\/li>\n<li>As a result, remaining jobs are being filled  by immigrants and it should be mentioned that without low-cost immigrant  labor, companies competing internationally would be crushed which would  be an even more devastating blow to the US economy.<\/li>\n<li>Home prices  and other prices need to reset lower to be in line with China and we  need to find a way to slowly deflate them (actually they seem to be  doing this on their own) so someone earning a more modest wage can  afford to purchase a home without resorting to taxpayer assistance or  loans with teaser rates which will cause more housing bubbles in the  future.<\/li>\n<li>China is keeping a close reign on its currency and it  needs to allow it to increase in value &#8211; if it goes too far too fast  though, you won&#8217;t be able to afford anything in Wal-Mart which would  also be disastrous for a consumption-based economy.<\/li>\n<li>The US  government is too large to be effective at virtually anything. Even our  military which is one of the best in the world is bogged down because of  the size of government and is ineffective.<\/li>\n<li>Yet the government keeps doing more and adding departments &#8211; as if that somehow will make them more competent.<\/li>\n<li>Most  consumers are saving more and spending less, the government has done  the opposite and to gain favor with unions who funnel money back to his  campaign, Obama has massively increased the size of the government who  often join unions and has pushed legislation which favors union shops in  government contracts. This in turn increases costs for all tax payers  making companies less efficient when it comes to global competition.  This in turn means less jobs.<\/li>\n<li>Just as our households are leaner  and meaner the federal government needs to cut about 50% of its spending  including military spending. Of course not all at once but you can&#8217;t  recover from a massive recession with decreased revenues by hiring more  federal workers. And what are these people doing that wasn&#8217;t being done a  few years ago. Are we hiring for the sake of hiring? Is this the way to  compete with other countries?<\/li>\n<li>Like many I was thrilled to see a  minority president elected because I thought it would help build  bridges in the country and moreover encourage all minorities as they see  that anyone in America can make it to the top.<\/li>\n<li>I expected Obama  to bring the nation together and moreover I expected him to tell  minorities about the importance of the family (minority parents are far  more likely to have children outside of marriage) and explain the direct  link between being a single parent and being in poverty. The reality is  you are <a _cke_saved_href=\"http:\/\/www.associatedcontent.com\/article\/365483\/poverty_and_the_single_parent.html\" href=\"http:\/\/www.associatedcontent.com\/article\/365483\/poverty_and_the_single_parent.html\">6 times<\/a> more likely to live in poverty if you are a single parent &#8211; this is a staggering statistic.<\/li>\n<li>And  the reality is if more and more of our youth spend their time  scrounging for food they aren&#8217;t focusing on learning to compete  effectively in a global employment market.<\/li>\n<li>Obama is uniquely  qualified to take these issues on but has refused to do so and as the  clock ticks he has done his best to increase taxes on the wealthy and  demonize the successful in the medical, insurance, financial and oil  industries.<\/li>\n<li>What the President needs to know is that the wealthy do things two things with their money; spend it and invest it.<\/li>\n<li>In both cases, jobs are created.<\/li>\n<li>In  other words, the more money which comes out of the private sector &#8211;  especially from the wealthy and is siphoned off to pay off special  interest by politicians, the less jobs are created.<\/li>\n<li>The most important point to remember is that poor people don&#8217;t every ever ever create jobs.<\/li>\n<li>China  and India understand business and many of my international customers  tell me frequently that the US seems to have no cohesive economic  policy.<\/li>\n<li>I disagree as it seems our economic policy is directed  at increasing taxes, fees and uncertainty on small business owners and  those people who hire in the US.<\/li>\n<li>The democratic agenda seems  geared to ensuring there are a handful of very high paying union jobs  while the rest of the country is out of work.<\/li>\n<li>The ideas<br \/>\nhere are  not complicated and I have found that the people who generally disagree  have never had to make a payroll or worry about the employment of  people who work for them.<\/li>\n<li>We have a tremendous system of democracy and freedom in the US and are the envy of the world for this and many other reasons.<\/li>\n<li>But  when you are facing a crisis of job creation the people to listen to  are the ones who create jobs for a living and not the professors who  have no experience managing a budget.<\/li>\n<\/ul>\n<p>So these are my ideas and I create jobs for a living &#8211; I&#8217;d love to hear your views on the matter.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>With housing in a tailspin and many wondering how the US should get out of its economic quagmire, the answer is as obvious as ever. The country has pulled tens of millions out of poverty by allowing free market capitalism to allow entrepreneurs to prosper. 99% of all useful inventions on the planet have come<\/p>\n","protected":false},"author":44,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[162,1682],"tags":[],"post_mailing_queue_ids":[],"_links":{"self":[{"href":"https:\/\/blog.tmcnet.com\/blog\/rich-tehrani\/wp-json\/wp\/v2\/posts\/8788"}],"collection":[{"href":"https:\/\/blog.tmcnet.com\/blog\/rich-tehrani\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.tmcnet.com\/blog\/rich-tehrani\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.tmcnet.com\/blog\/rich-tehrani\/wp-json\/wp\/v2\/users\/44"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.tmcnet.com\/blog\/rich-tehrani\/wp-json\/wp\/v2\/comments?post=8788"}],"version-history":[{"count":0,"href":"https:\/\/blog.tmcnet.com\/blog\/rich-tehrani\/wp-json\/wp\/v2\/posts\/8788\/revisions"}],"wp:attachment":[{"href":"https:\/\/blog.tmcnet.com\/blog\/rich-tehrani\/wp-json\/wp\/v2\/media?parent=8788"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.tmcnet.com\/blog\/rich-tehrani\/wp-json\/wp\/v2\/categories?post=8788"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.tmcnet.com\/blog\/rich-tehrani\/wp-json\/wp\/v2\/tags?post=8788"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}