Real Solution

If politics and partisanship where not standing in the way of progress, the economy could be made the powerhouse it once was virtually overnight. The answer is so simple that no one takes it serious. What polices could be enacted that would help the most people in the shortest period of time is the real question. I plan to answer that here, but first a few points must be made.

 

There are an estimated $2 Trillion setting in banks around the world that belong to companies and individuals who desire to bring that cash back to the US. It was earned in other counties but to bring it back to the US would require enormous taxes be paid when the funds are repatriated.  Keep this in mind while I discuss something else important to the solution.

 

Energy  is the life blood of our economy. The cost of energy plays a more superior role in the health of our economy than any other single element.  A strong manufacturing base is essential to economic recovery as well.  In order for the benefit to encompass the most people, ranging from the poorest to the very affluent we must lower energy costs. In addition, lower energy cost would help manufacturers become more competitive on the world stage.

 

Cutting energy cost significantly would create more disposable income for every family as the cost of nearly everything we buy would be less expensive. Savings on food, transportation, heat and electricity would serve to benefit American families, the effects of which could be felt quickly.

 

How do we do it?  Government needs to pass a law immediately that would allow all funds repatriated that are invested in energy and manufacturing without tax burden. Yes, the foreign funds could come back to the US and provide the capital necessary to fuel the next boom economy. Next, all taxpayer owned federal lands should be opened to energy developers who can demonstrate the ability to extract energy without harming the environment. The technology for which currently exists.

 

This should not be a partisan issue.  Instead of taxpayer stimulus, private funds should be used to stimulate the economy and drive energy cost lower.  Once these funds and land where made available for development, millions of jobs would be created many of which would support on the job training for the less educated.  As new sources of energy are brought to the market, less foreign sources would be necessary. It would create the largest economic boom of our lifetime and create jobs faster than we can fill them. All of this could be accomplished without a single taxpayer dollar being invested.

 

I know the devil is in the details, but this should be the foundation on which we the start to move toward helping middle America.

All I heard was “Bin Laden is dead and GM is alive”.

After four years, all you have to boast about is making one decision that anyone would have made and saving a few union jobs at taxpayer expense. Pretty sad in my view.

The President said business owners "did not build that, somebody else did that". Media pundits point to the infrastructure such as roads and bridges as the reason business were successful. What is wrong with that argument is simple. Government is nothing more than the vehicle used by the people to facilitate common goals. It is taxpayers and bond holders who build infrastructure. It is reminiscing of the chicken and egg argument, which came first? When Henry Ford and others started building cars, people wanted them and roads to drive them on. So the taxpayers supported road building. Car companies were not successful because of roads, roads where build because cars became something people wanted and more and more were becoming affordable.

Let’s consider where the funds necessary to build roads, bridges and other public projects come from. In large part, the money comes from fuel taxes paid for by individual and companies and highway use tax paid by trucking companies.  Government only collected the tax and funded projects that the people wanted and was willing  to support with their tax dollars.  On another note: I noticed today when I filled up my car that 51.8 cents was the amount of tax paid on each gallon of  gas. At $3.46/gal, that equates to approximately 15% in tax on each gallon. Compare that to the $.08 cent per gallon reported by various media outlets as being the profit oil companies make on each gallon for which they are chastised by politicians and the media.

The President and supporters point to the auto industry as an example of how government intervention saved the industry. The President said it is roaring back. What they don’t tell you  is that current GM is a brand new company that was given the valuable assets of the old GM while the non-performing assets and debt were left in the old GM where stock holders and creditor got swindled out of their investments. In the end, the real reason GM got in trouble  to start with has not  been addressed. GM problems were easy to understand, their cost was too high and the cars are priced too high for consumers.  The only ones to benefit from the GM fiasco is the union workers. The consumers is expected to continue buying overpriced cars or GM will fail again. 

As to the President’s comments on "shared prosperity", how does that work? It’s obvious that he is talking about redistribution. The constitution offers each the same opportunity to  pursue happiness. It does not guarantee it. Each  of us is free to pursue whatever dreams one can conjure up.  The opportunity to be all we can be and accomplish all that we can through legal and moral means should never be punished or frowned upon, and those who do achieve should never be penalized for being successful.

The other crowning achievement we heard much about during the DNC convention was Bin Laden is dead. Let’s be real, the military sought out and killed him. That simple. The President simply approved the action based on recommendations from military leaders.  Anyone in the same position would have done the same as the President did. In fact, I would suggest that if he did not approve the mission, he should be impeached. Although his part was small. He did his job on this one. So what?