Monday, August 29, 2011
INSIDE JOB: How the American Economy collapsed in 2008 and how to prevent it in the future
The best way to sum up the American Economy the last ten years, can be done in two words, "Cowboy Economics". What that is in case you were wondering is an Economic System with essentially no rules, or where the rules that are necessary. Like anti Monopoly Laws aren't enforced, where people can make as much money as they can essentially get away with. No matter how much people screw innocent people out of their money. With rotten investments that plummet and then resign with huge bailout check from either the company or from Tax Payers. I'm speaking of the Enron Scandal of 2001-02 and the of course the Wall Street Scandal of 2008 that led into the "Great Recession".
Cowboy Economics along with Supply Side that I would call Borrow and Spend Economics, were the Economic Policy's of the George W Bush Administration. That to a certain extent the Obama Administration has continued on both fronts in their first two going on three years. So there's no wonder why three years later we are still trying to recover from the "Great Recession". And why we have a National Debt and Deficit of 14T$ and 1.8T$ respectfully. Because we haven't regulated the people with a lot of the money and the Federal Government hasn't been paying its bills going back to 2001. And as a result as a country we are paying a heavy price for it that we are still trying to as a nation, figure out how to get out of it. Look I'm a Liberal Democrat and I believe in American Capitalism and our Free Enterprise System and people being able to go out and make as much money as they can earn. Without any limits on how much money they can make, after taxes of course, as long as they do it as individuals. Which separates me from socialists who believe in collectivism, that no one should have a lot more money then others. But just as long as they earn that money and that they don't screw others out of making a living and that they have unlimited, free and fair competition and that there's a referee. Meaning government to step in when others hurt people by screwing them, which is what separates me from libertarians.
Socialists democratic as well as classical, put too much faith in government, libertarians on the other hand put too much faith in markets and Free Enterprise. So what we need instead is to have Free Enterprise, the ability for company's and individuals to go out there and make as much money as their production will allow them to earn. To earn not to take, earning the money you make, not screwing others out of making a living on their own. And walking away with a huge payoff for your work, big difference. Free Enterprise is the ability for individuals and business's to go out and makes as much money as they can earn. So long as they have free and fair open competition as well as anti Monopoly Laws. And where government is there to not try to protect people from themselves but to protect innocent people from the harm of others.
The problem with America is not American Capitalism our Free Enterprise System, the problem with America is that we've gotten away from it. And moved to a system of Cowboy Economics and Corporate Socialism where we subsidize company's just for making a profit. And then bail them out when they fail, the whole notion of "Too Big To Fail" is the whole problem right there. The point being they should've never been "Too Big To Fail" in the first place.
Click on the link of the blog to see a preview of the movie the Inside Job