- Banks and the Financial Institutions: These institutions believe that they may take over control of businesses and the American people by squeezing every last penny out of them in the forms of fees, foreclosures, arbitrarily changing interest rates on credit cards, and other means! In the process, banks are shooting their own feet. Charging fees shall not make bank clients pay on time when the bank clients themselves have economic problems. Foreclosures shall not put extra money in these institutions pockets. What this is creating is harm to the creditworthiness of those whose homes are foreclosed or being foreclosed on. Reporting these foreclosures to credit agencies creates an even worse situation, for both the institution and the bank clients. By doing this, not only will financial institutions empty the base on which they stand, their further existence is threatened because these institutions depend on these clients for revenue. The final self-destructing act kicks in, when banks destroy the diminishing base of bank clients by imposing higher interest rates on the remaining customers who pay on time in order to compensate for losses suffered from non-paying clients. Most Americans live on some kind of fixed income. Changes to this equation would cause individual Americans increasing trouble by continuing to make payments on time. Taking all these inept, destructive steps and measures into consideration, the institutions destroy their clients' creditworthiness and their own base of existence as a financial institution. In the end, what banks end up doing is shooting themselves in both feet, leading to their own demise. Can Americans expect any help from these inept and destructive behaviors by these financial institutions? Solutions to these financial behaviors must have accountability of their actions so as to not destroy the economy.
- The Wall Street: Wall Street is the place of all professional, sophisticated and "psychopathic" swindlers, speculators, schemers, crooks, thieves, Ponzi schemes and deception in the world. Wall Street is the most corrupted place on earth. Wall Street is also the single biggest creator of all financial problems that America and the rest of the world currently face. Stock markets around the world are directly intertwined to Wall Street. Yet, sadly, most Americans have handed over their life-savings to this group, hoping that these "experts" would protect and increase their retirement funds and their net worth. Is there a need to say more? Both Wall Street and Security and Exchange Commission (SEC), which overseas Wall Street, are both in need of serious reform. Will we as Americans see fair and honest reforms happen? Not anytime soon.
- The Fed: Unfortunately, the most this institution can do is to protect the "big" banks and the financial institutions, for which they were given the power to do just that. The Federal Reserve was created by the Federal Reserve Act on December 23rd, 1913. The Federal Reserve was established to furnish an elastic currency and to establish more effective supervision of banking in the United States. Has there ever been a single effective measure taken by the Federal Reserve to spur positive economic activity, growth or "supervision" of the banking system? In order to create a vibrant economy, the United States needs sound economic planning along with a strong currency! Has the Federal Reserve created a vibrant economy with a sound economic system and a strong dollar? Has the Federal Reserve contributed anything essential within our economy? On the other hand, if the Federal Reserve were to be abolished today, could its tasks not be carried out by any other financial institutions that would require the further existence of the Federal Reserve as an independent entity? Think about it.
- Governors: Governors are currently fixated on balancing budgets without realizing that this action shall not create a single new job within their perspective state economies. Jobs are obviously badly needed, as state unemployment rates have been or averaging above 10% or higher. At this time, if governors and state legislatures were to start working on balancing budgets, it would end up destroying more jobs and compound the existing unemployment problems even more. Again such actions would create no new jobs as a result of this type of economic move. Why would balancing a budget cause problems? Any contractive economic measure would eliminate many of the existing jobs already in place. Similarly, finding state financial solutions by cutting state pension funds is shortsighted because it would not be a long-term solution either. However, the real solution for state pension shortfalls and all other economic woes is still jobs, jobs and jobs, especially within the evolving energy sector. Another solution is for governors to make the healthcare system more affordable by creating cost efficiency within the healthcare industry, but not arbitrary axing the healthcare budget. What are the governors doing or what other ideas will they comment on when it comes to fixing state financial problems? What could happen is that governors will essentially contribute to more unemployment, increase more economic difficulties and financial bottlenecks dealing with state budgets, and deficits they intend, or "hope" to get rid of! These governors do not understand one basic concept: A state economy cannot be run like a business!
- Rich & Superrich People: The Rich are just like financial institutions on a destructive trip. How can this group of people expect to remain rich if the base that made them rich or could keep them rich is being dismantled and destroyed? Extracting money from middle-class Americans that do not have jobs to help spur economic growth with more money to spend will eventually bring The Rich the same destiny that financial institutions are currently going through. What shall create prosperity are three things: 1) a vibrant economy with a working middle-class, 2) a strong dollar, and 3) an even and fair distribution between the gaps of wealth so that all Americans will prosper.
- Corporate America: Corporate America that is now striving towards a short-term profit-maximizing goal should note that CEOs will get away with huge incomes, other financial compensations and benefits. But these companies and their employees will not get ahead. As an example, General Motors and Chrysler were lucky to have received help from the Federal Government, but this luck does not exist for other American companies. We must re-create and bring back the United States manufacturing base back if this nation is to be made strong once again.
- Lawyers: The huge problems the legal profession causes to the U.S. economy are more than the $95 billion in legal fees made alone. There are hundreds of billions of dollars in uncounted social costs, wasted resources, lost production, and everything else that goes along with it. The question is, do we need a legal system? Certainly we do, but not the way we have it now. The legal system needs to be drastically reformed, not only tort reform, but the entire system needs an overhaul if we are to create a vibrant economy. One solution would be to create a payment schedule with a set fee based on the value of cases being dealt with. This one time fee should apply until the case is resolved. No doubt, initially, lawyers would resist this type of reform with every possible legal maneuver that could be thought of. If this solution was to be given a chance to work, America's economy shall prosper. Eventually, lawyers would be enjoying a prosperous economy in which the legal profession would be directed towards preventing problems in order to keep associated social cost low rather than creating an escalating and rising social cost. It must be noted that a "perfect" economy would be one of which would have "zero" legal cost along with the associated "social cost." Since this will never happen, at least, in the U.S. economy, we must always strive to lower those two costs.
- Outsourcing: How naive can investors be, and believe to make profits if companies are outsourcing their manufacturing base to low-labor-cost countries? Similarly, politicians believe that by outsourcing they would not have to deal with unemployment when these jobs have been outsourced. Why? Short-term profit maximization is no alternative to future losses and social costs of all types associated with outsourcing!
(Note: You can view every article as one long page if you sign up as an Advocate Member, or higher).
3
3
1
