Economy Fixed

runrunner · Nov 9, 2012

Fixing the Economy is simple but will most likely never happen but I hope I am wrong.
Wonder how many will read this? Sure will be interesting to hear opinions.

How To Fix The Economy... In One Simple Chart - Business Insider

Monty · Nov 9, 2012

I would wonder ... how much of those charts reflect programs by the government to stifle corporations from investing here in America, and how many programs are designed to "keep them down on the far", via welfare.

The figues you present may indeed 100% accurate, but why?

Taking from one, and giving to another ... seems I have heard that theory before .. didn't work then, won't work now.

But what am I saying? It's worked since WPA and Lyndon Johnson .... and the poor are so much better off now! Huh?

runrunner · Nov 9, 2012

Notanewbie said:
I would wonder ... how much of those charts reflect programs by the government to stifle corporations from investing here in America, and how many programs are designed to "keep them down on the far", via welfare.

The figues you present may indeed 100% accurate, but why?

Taking from one, and giving to another ... seems I have heard that theory before .. didn't work then, won't work now.

But what am I saying? It's worked since WPA and Lyndon Johnson .... and the poor are so much better off now! Huh?

From your reply I don't think you read the whole article. More jobs higher wages = good economy fewer jobs lower wages = bad economy. corporations won't do this because it would reduce there profits over the short term. In short they don't care about us just profits. They are not willing to invest in America.

xiggi · Nov 9, 2012

runrunner said:
From your reply I don't think you read the whole article. More jobs higher wages = good economy fewer jobs lower wages = bad economy. corporations won't do this because it would reduce there profits over the short term. In short they don't care about us just profits. They are not willing to invest in America.

Their job is not to invest in America. When i hear that argument i shake my head. Companies sit on profits during bad times to survive possible worse times. They invest in growth that doesn't happen and they could be out of business.

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davekc · Nov 9, 2012

runrunner said:
From your reply I don't think you read the whole article. More jobs higher wages = good economy fewer jobs lower wages = bad economy. corporations won't do this because it would reduce there profits over the short term. In short they don't care about us just profits. They are not willing to invest in America.

Most large companies are now international verses 20 years ago. Their function isn't to invest in the US for anything other than profit. A company owned by the Japanese are worried about their own country before they are going to worry about anything here.
One market dries up, they move to another.

Humble2drive · Nov 9, 2012

Because paying Americans more will not just lead to a reduction in near-term profits. It will also lead to faster revenue growth. Because American consumers--the customers of all our companies--will have more spending money.

This is a long term strategy that requires short term sacrifice with the hope that it will provide an overall increase in revenue and profits in the future .
It is based on an assumption that consumer spending would drive the increases in revenue. This is an unproven assumption; therefore, it poses a risk to corporations. The need to maintain or increase the current value of a corporations stock price precludes the option of intentionally risking a reduction in current profit potential.
What if? Consumers used the money to pay off debt or increase their savings?

It could absolutely work; however, it would only work if a great majority of major corporations implemented it together and consumerism remained the overriding financial goal of Americans. Unfortunately, it won't happen in the real world.

bobwg · Nov 10, 2012

that guy

RLENT · Nov 13, 2012

xiggi said:
Their job is not to invest in America. When i hear that argument i shake my head.

You know what makes me shake my head ?

The idea that some conceive patriotism to merely be associated with fawning adoration of all things military and blind acceptance of anything that might be done by the government (at least in the area of foreign policy, provided one's own party is in power) ... but yet cannot see that those in business - particularly who have benefited enormously from this country, in terms of their personal enrichment - might have some patriotic duty or obligation towards their country, to help ensure it's economic continued prosperity ...

It's the sort of cognitive dissonance and moral blindness that just boggles my mind ...