I was watching Shark Tank a few days ago. A guy from the middle of America came in with an invention for small trucks.
The invention was a useful one for truckers (I am not one of them), but required some serious investment.
The guy was adamant about producing his invention in America. He was talking about his hometown, where all the big employers have left, and unemployment and poverty are rampant. He was talking about his love for OUR country and that he dreams to contribute somehow to OUR prosperity, and to that of his hometown in particular.
The Sharks raised the issue of the costs of production in the U.S. (US) being much greater than that of overseas.
The guy countered, raising quality and trustworthiness issues with overseas production, citing some examples.
There was no doubt that the Sharks were impressed with the guy and his position. One of the Sharks actually cried remembering his dad, a factory worker, who was so proud of being a factory worker.
But none of them chose to invest in the guy’s invention out of concern that manufacturing it in the U.S. (US) would cost them more than that of overseas.
I understand their position, being a business woman myself, no matter how morally wrong that might be.
When I choose my contractors for a job, their rates are one of most important factors in my consideration. After all, I am in business to make money
Of course, the money I make are so slim (barely keeping my family above water), that I am in no position to follow my principles.
But the Sharks are. The Bush’s tax cuts, financial deregulations, and the NAFTA agreement (signed by Clinton) made them so much richer while the rest of us are so much poorer.
Yes, it’s true that the economy now is global and the labor market is in particular. Yes, Americans now compete for jobs with Chinese, Russians, Indians, etc., who can afford much lower wages. So the whatever jobs in America are left also offer lower wages (and that is how we get poorer).
As we get poorer, our government gets poorer (it’s income is our taxes). It can no longer offer comfortable retirement plans, etc., and must borrow to keep the poorest of the poor from hitting the pavement and rioting.
Talking to that guy, the Sharks cited Apple as an example of the company that manufactures offshore, yet employs 45,000 people in the U.S. thanks to great long-term planning.
But these 45,000 American employees are mainly salespeople who sell Apple products to us. As we get poorer (and we will – until the global labor market’s wages get equal everywhere, we are going to see our incomes slide), we would be able to afford iphones, Macs, ipads less and less (I cannot afford neither of them as we speak). Apple would have to then reduce its American sales force more and more, until it may get out of American market altogether. As its market shrinks, so will its production, and Apple itself will get poorer and poorer.
But that is really long term planning, and no business nowadays plans that far ahead.
Our “truck” guy is but a Don Quixote of our times. He is fighting the tsunami of changes that swept our world with the onset of the global economy.
I see Obama as such a Don Quixote as well. He is fighting the losing battle too, as he believes in compromises with the other side of the political isle to the point that he almost committed political suicide last August (remember the deficit ceiling debacle?). He seems to ignore the political reality, where Republicans are being ruled by 1 person, Grover Norquist, who is financed by the likes of brothers Koch, and the policies Republicans endorse and push are being carefully prepared and fed to them by ALEC, the group of 18 large corporations.
In such political reality, the welfare of the U.S. (US, the people) is pushed aside for the sake of winning the power and making more money for ALEC and the likes of Koch brothers (even though it is ultimately short-sighted goal).
One cannot even blame them. We all are faulty in that we want our prosperity now, counting that the future would take care of itself. This is true for Democrats like me just as much as it is true for Republicans.
Even though our money bills say “In God we trust”, we trust in money bills so much more.
It takes people with more money than their possible life span may require, like Warren Buffet, to raise above the Green God and put the welfare of their country first. But their voices are the lonely voices lost in the wilderness.
Everybody admires them and aspires after them, but no one hears them.
When Warren Buffet said that Bush’s tax cuts were intended to create the tide that lifted all boats, but in reality only all yachts were lifted, the yacht owners chose to ignore their idol.
The GOP now is months from nominating Mitt Romney, one of these yacht owners. He would surely uphold the policies that lifted his yacht. Even though his background shows more concern for the fellow Americans (like his health insurance reform in Massachusetts, for instance) then the greater majority of GOP leadership, one cannot forget that he is a Shark. He too would cry out of sympathy with a trucker and then send him away with nothing.
I’ve heard Obama talking about the same tax reform I’ve been screaming in the wilderness on these pages for years now: the reform where companies get financially rewarded for keeping jobs here and financially punished for sending them overseas. I am not counting on these reforms even if he gets to them (if he wins the election and has enough political capital to get the ball rolling), because he may compromise the life out of these reforms too – just as he did with health care, financial regulations, etc.
I think if our leaders cannot or are unwilling to take care of our country, we, the people, should start doing it ourselves. Please read New Economy, or Buy American, Stupid!
Posts Tagged ‘Obama’
SHARK TANK
Posted by Ella Moss on April 8, 2012
Posted in American economy, economy, FINANCES, global economy, labor market, opinion, personal finance, politics, predictions, Uncategorized | Tagged: ALEC, economy, Grover Norquist, labor market, Mitt Romney, Obama, politics, Shark Tank, taxes, Warren Buffet | Leave a Comment »
THE YEAR 2012
Posted by Ella Moss on November 26, 2011
I am going to base my predictions for the year of 2012 on Sibli chart out of all other possible horoscopes of the U.S., since it appears to be most responsive to actual events.
As you may guess, 2012 is promising to be another interesting year.
Since 9/11/2001, every year has been interesting. Until then, I did not even care much about politics, economy, or even mundane astrology. Now that I am clearly part of the “99″%, my life is increasingly tied up with the socio-economic tides sweeping the planet. So now I am taking a closer look at the ominous 2012 – which, according to Maya people, signifies an end to a 5000+ years cycle of the human history.
While I have no doubt that the world is going to survive it, the world as we know it is already changing – just take the look around.
2012 is going to bring more changes, especially to the U.S., since we also have to go through presidential elections.
My money is on Obama, since his Vedic planetary cycles don’t show much change – it will continue to be difficult, unsettling and depressing for him.
Our country is bound to see more turmoil: February 2012 is going to see more “Occupy Wall Street” activity, as Uranus is going back to square off with the U.S. Venus, just as it did in September of 2011, when the movement took hold.
But there are going to be significant changes, as North Node is going over the ascendant in the Sibly chart.
In natal astrology, a Moon’s node going over ascendant or midheaven signifies drastic change in that person’s life. I don’t think it should be that much different in mundane astrology. So I wold expect significant changes for the U.S. that begin to mount as of mid-January.
A lot of it would have to do with economy, as Mars is turning retrograde on 1/24/12, slowing everything down business-wise. It will hold the world’s economy at stand-still until 4/14, when it finally goes direct.
It starts its retrograde motion in 23′ of Virgo, while sitting on the U.S.’ Neptune in 10th house of the Sibly chart. Neptune, meanwhile, is finishing going over the U.S.’ Moon, which it has been doing for most of 2011. I read it as confusion and deception at the helm of the U.S. government that is completely putting the country adrift, and the U.S.’ stand in the world comes into question once again. Quite possible, our credit rating may get downgraded again.
People are going to take to the street in greater numbers in February as Uranus squares the U.S. Venus and the Sun goes over the U.S. Moon.
Since Saturn is squaring the U.S. Pluto in the 2nd house (financial assets}, the dismal economic prospects are more than certain through out most of 2012, especially through the first half of the year.
Even though Mars goes direct in April, Venus turns retrograde on5/15/12 and until 6/27/12, when it turns direct, we find ourselves in socio-economic la-la land.
So, January – June of 2012, the business community is likely to find itself hang in limbo of uncertainties. Only as we touch the terra firma in July, we might be able to begin to assess the damage.
Meanwhile, Uranus and Pluto begin to square each other in the sky in June and keep on doing so through early October.
Since each of these planets is capable to bring a revolution on its own, 2 of them are bound to stir mankind in every corner of the world. Serious wars/ accidents/ natural phenomena are also quite possible when these 2 planets are at each other throats. Iran is going to be most affected, if one of the mundane chart I found for it is correct – since it places Iran’s Moon right under transiting Uranus and being squared by transiting Pluto.
China is also likely to be in the news because of sudden transformations, as its Sun is being opposed by Uranus and squared by Pluto at that time.
European Union, Greece and Israel don’t get a direct planetary hit, so they will pull through OK for now.
For the U.S., the Fall of 2012 brings more positive outlook and, in December, we may even begin to feel that troubles are behind us.
Of course, Pluto cruising through Capricorn until 2024 is not going to let us off the hook in 12/12. It will ensure that the world’s governments and corporations transform themselves completely by then, so it can begin to decide the human kind’s survival while moving through Aquarius.
But as far as 2012 is concerned, it is going to be one of the most tumultuous and difficult years in history, yet it does not spell the end of anything – not even the end of our troubles.
Posted in American economy, astrology, economy, FINANCES, global economy, politics, predictions, Uncategorized | Tagged: 2012, 2012 predictions, 99%, astrological predictions, business, China, corporations, economy, European Union, financial crisis, global economy, goverment, Greece, Iran, Israel, mars, Maya, Mayan astrology, money, Neptune, Obama, Occupy Wall Street, Pluto, predictions, presidential elections, presidential elections predictions, Saturn, Sun, the U.S., Uranus, Venus, war, worry | Leave a Comment »
AMERICAN ECONOMY S.O.S.
Posted by Ella Moss on August 9, 2011
So it happened.
In my predictions in Financial Crisis – It’s Not Over Until It’s Over I was wrong by pinpointing 8/1/2010 as the crest of our economic troubles. The economic tsunami came exactly 1 year later.
I think it is because I have mistaken Mars for a trigger of the events. As I’ve said in my article The Moon, the trigger was the lunar eclipse that came on the darkest day of last year – the winter solstice. It fell on those sensitive degrees, marked by planetary war on American Venus that I have described in Financial Crisis article.
This lunar eclipse made things darker and bigger. Not only our economy has trembled, but the political debacle over debt-ceiling marked the crisis of our government as well.
Our country is in the free fall, just like financial markets, because our government was found to be absolutely inept.
Here I’d like to cite from an article I found on the internet today:
“Economics professor Bradford Delong, from the University of California-Berkeley, says the damage done through the six months of wrangling over the debt ceiling, which analysts note has been lifted 78 times since 1960 and 49 times under Republican presidents, was a distraction the US could ill afford.
Writing in the Australian Financial Review, Professor Delong decries the neglect of all the “useful policies that might have been debated and enacted, but were not”, citing climate change initiatives, policies to boost employment, education and healthcare financing, plus improvements to America’s “decaying infrastructure”. These policies, he believes, would help improve the economy in the long run and bring down unemployment that, according to the US Bureau of Statistics, is at a high of 9.2 per cent. Looming large also was the loss of standing as “conductor of the international economic orchestra”, Professor Delong wrote, warning that if the US can no longer be relied upon as the arbiter of global governance, then the world needs to develop “other institutions for global management” – and fast.”
Well, Chinese are already issuing warnings of dollar devaluation, acting as the financial cop of the world – the title previously reserved for the U.S. government.
We are sliding from our perch of super-power to the “also has been” super fast, and there are not enough grown-ups on the Capitol Hill to save us. I think I was overly optimistic in all my predictions. I think I should revise them as follows:
a) the U.S. is going to be marred in prolonged depression, with real unemployment (counting those who are no longer eligible for benefits) at about 30%. The wage and property deflation are going to make 90% of the population to be so poor as living hand-to-mouth. Meanwhile, groceries, gas and transit costs are going to grow at 10% – 20% inflation rates.
The economy is going to contract until 2014, when it may begin to show some growth again.
The majority of the population will remain poor for many years to come though, as policies and competition over jobs would wipe out unions and, with them, the remnants of the middle class. In other words, we are no longer going to be the consumer society, with 70% of economy depending on consumption.
b) The crime and civil unrest would become much more evident for many years to come.
c) Politics would continue to make our government more and more disfunctional
d) The good news is we are likely to stop making wars abroad
e) Europe is not likely to be spared either. Once Germany is going to find itself unable to carry the rest of the European states, European Union is likely to disintegrate back into miriad of states, and so will the euro.
f) Chinese economy will faulter as well, as dollar and euro falls, but it will survive and will take the super-power title
g)Russia, Canada, Australia, Brazil and India will fair much better, getting stronger over the next decade, while the U.S. and Europe are going to struggle to survive.
h) Africa, Afghanistan and Middle East are going to continue to be the worst places to live in, maintaining the global terror threat.
In other words, it sucks, and whatever Obama or the next administration is going to do is going to be too little too late.
Posted in American economy, astrology, economy, FINANCES, global economy, labor market, politics, predictions, Uncategorized | Tagged: Africa, astrological predictions, astrology, Capitol Hill, China, civil unrest, crime, dollar, economy, euro, Europe, financial crisis, global economy, government, great depression, India, mars, money, Moon, Obama, Pluto in Capricorn, politics, predictions, recession, terror, unemployment, war, worry | Leave a Comment »
THE ENEMIES IN OUR MIDST OR HOW TO KILL THE WORLD’S LARGEST ECONOMY
Posted by Ella Moss on June 11, 2011
I just heard on the news that the 3rd Al Queda biggie was killed, giving the U.S. the edge on that murky shapeless war on terror we have been officially waging since 2001.
While I am happy to hear these news, I think that even we were to win the 4 wars (1.this “war on terror”; 2. in Afghanistan; 3. in Iraq; 4. in Lybia), we’ve been waging since the fateful 2001 (and I am not counting the “war on drugs”), we are heading to lose our way of life.
It’s not the democracy I am worried about here, but material comfort and relative peace on the streets (outside of occasional shootings and muggings).
It appears that there has been another war waging, and it is on American economy.
It’s beginnings are murky. But I would trace it as far back as Reagan’s Administration, that first began an unofficial war on unions. Unions make labor-intensive manufacturing very expensive and eat into profits of investors.
Well, nobody likes unions (except for unions’ bosses), so what’s the big deal?
The big deal is that everybody likes the middle class.
The middle class is as essential to any economy, as an engine to a car. Without it, economy is dead.
Even if we were to end up with a few thousands of super rich dudes, while the rest of us would struggle to survive (i.e. the middle class would disappear completely), all the many billions of these super rich would not create the job growth a multi-million population requires. They would invest into emerging markets, not the dying ones.
Why would they create a factory of any kind in the U.S., where people are struggling to stretch a dollar to pay rent, bills and buy groceries and their discretional income is so tight that all they can afford is cheap Chinese goods in Walmart, when these super rich investors can build a factory in Brazil, or India, or same China, where people are eager to spend their increasing earnings?
By the way, is not it one of the main reasons, that the numbers of unemployed right now stay where they are despite us giving continuous tax breaks to these super rich?
Yes, the second attack on American economy began during the prosperous 1990s, when Clinton Administration signed away any kind of protection of American labor force, and internet was born (internet makes outsourcing a breeze).
Suddenly, American labor force had to compete with the labor force of other countries, and American people could no longer ask for wage increase, because the majority of the world’s labor force was so much cheaper and just as good.
It took about 10 years for Americans to notice that their incomes were stagnating while their bills grew. They kept waiting for their personal prosperity to come, while changing jobs, professions and investing into 401K and increasingly expensive real estate.
But Clinton Administration also approved the deregulation of financial markets.
Suddenly, the credit was so cheap and so available, that the American people have not noticed that their actual discretional income was dwindling to nothing.
Why worry, if one could still buy a McMansion, and buy even more stuff by turning the McMansion into an ATM machine?
Yes, 1990s were prosperous. The economy was booming as people were eager consumers. The problem was that everything was bought on credit rather then with actual money.
Everyone was expecting the actual income to catch up, as it used to.
But it did not, because so many jobs have either left the country or paid as much as in other (read CHEAPER) countries.
Eventually, the credit bubble had to burst, and it did in 2008.
If the federal government did not pump money into the banks that lost the money by lending it to population so indiscriminately, The economy would have simply collapse like it did in Argentina in 1990s.
Americans were saved, although suddenly they came face to face with their economic reality and realized they were so much poorer than a decade ago.
So many of them have lost their job, that those who did not no longer dared to ask for a wage increase or benefits or union perks. In fact, they started giving up their last benefits and perks just so they could keep a job.
And that is when the final attack on American economy began.
Since it was now the federal government that was pulling the economy down the road as its engine, the middle class, stalled, the enemies in our midst began to attack the federal government.
The ideas Obama put on the table were nothing short of brilliant: invest federal dollars into aging crumbling infrastructure and green economy – labor-intensive enterprises that must hire domestic labor force. Every created job would spur on 10s of other jobs, and the economy would begin humming again.
But the enemies in our midst thought otherwise. Suddenly, federal deficit began to be used as a panic-inspiring weapon of choice.
Of course, the surplus that Clinton Administration left the country with would have been a much better deal. But if credit is sparse everywhere else, how else would you come up with money needed to pump the economy?
The enemies in our midst said, “Let starve the federal government of tax income, let’s keep taxes low so the few super rich would invest their money into economy. The government is too big and lives beyond its means. Its deficit is going to bankrupt our children”.
Americans love their children, so anything threatening the kids works as a great scarecrow.
They are also badly educated (read my American Education Reform ).
So Obama’s proposals were decimated, the government began shedding its work force, unemployment came back to its pick numbers, and unions everywhere lost their power and benefits.
Now there is no one to pull our economy from the brink. Those who are employed, work at REDUCED wages, that are getting closer to the 3rd world range.
Meanwhile, every single life staple, like groceries, rent, cable bills, insurance, etc. doubled or more in price (as compared to 10 yrs ago or less). Even those who work at median salaries have less money to buy desirable but unnecessary things.
This means that businesses producing and selling anything that is not a life staple make less profit so they begin to shed their labor force.
The less there is labor force, the less income the government gets. Since deficit is now a dirty word, the government has no choice but shed its work force and cut services to the impoverished population.
Now the time came to put the final nails into the coffin of what used to be the largest world economy: refuse to raise the ceiling on federal credit.
Once the federal government loses its credit-worthiness, watch American economy collapse into THE GREATER THAN THE GREAT DEPRESSION ditch.
The idiot dream of labor-intensive manufacturers like Koch brothers would come true:
labor in America would become as cheap as in Africa.
Unfortunately, the American workers would no longer be able to afford using the toilet paper they manufacture for Koch brothers. Like their African brethren, they would have to use tree leaves to wipe their asses. So Koch brothers would eventually go broke too.
No, it is not the federal deficit that threatens the future of our children. It is our inability to discern the enemies in our midst.
As for the scary federal deficit, it was Reagan administration that first racked it up into the trillions. Then Bush administration turned the surplus into another multi-trillion dollar debt. No one screamed of deficit while republicans were in power. The congress did not attack neither of the republican presidents for taking us into expensive wars (Reagan’s Panama blitz, Nicaragua fiasco, etc.; Bush’s Afghanistan, Iraq and the amorphous war on terror).
No, I am not happy at all with Lybia war either. I just don’t think it matters much anymore.
Like I predicted in 2008, “FINANCIAL CRISIS – IT’S NOT OVER UNTIL IT’S OVER”
Posted in American economy, economy, education, education reform, FINANCES, global economy, labor market, opinion, personal finance, politics, predictions, Uncategorized | Tagged: Al Queda, Bush, deficit, economy, financial crisis, global economy, great depression, India, Iraq, money, news, Obama, outsourcing, politics, predictions, Reagan, recession, taxes, unemployment, war, worry | 4 Comments »
REALITY CHECK
Posted by Ella Moss on September 24, 2010
Long long time ago, like maybe 30 years back, America used to have 2 political parties that had their country in mind when they were involved in sanely stately discussions.
But then suddenly media covering those discussions was branded LIBERAL, and this originally good word that stemmed from a synonym of freedom became a CURSE WORD.
So now anyone who is LIBERAL is BAD in America, that country of LIBERTY.
The mainstream media so does not want to be one-sided that it always brings two opposite views to discussion table. In order to make things interesting, the most contrasting views are picked, and anchors become referees of a new blood sport of politics.
In other words, the mainstream media no longer covers mainstream politics.
Then there is CONSERVATIVE media, that has dedicated several major TV channels, hundreds of radio talk shows and plenty of print media.
Have you heard of a liberal talk show? A democrat / left side of the isle talk show?
Of course not! LIBERAL, LEFT IS BAD – don’t you know?!
Ok, what about mainstream, that “middle of America” political view exposing media programming?
Yes, you can find that on Comedy Central, or some late-night comedy show. Because those few of us who are mainstream, “middle of America” sane people remaining in this blood-thirsty media-inspired rift of right and left have no other outlet to vent ourselves at all the political insanity around us except for poking fun.
No wonder no one is taking us seriously.
Well, until today, maybe, since Colbert was actually granted audience with congress (or vice versa) today, and hundreds of thousands of people are planning to attend Stewart’s rally in Washington.
Yes, comedians are now organizing rallies, since they are the only true representatives of sane people in the U.S. that speak for us.
Democrats don’t really represent us anymore since they turned into spineless push-overs. Republicans don’t really represent us, since all they really care about is power, and to that end they are ready to obstruct any bill presented by democrats no matter how reasonable or beneficial it might be. They only say “yes” to the right to bear arms (because democrats say “no”). They used to say “yes” to cutting taxes. But now they “no” to that too, because democrats propose that (I’m talking about the small business tax credit that is being stalled by them, and allowing the Bush tax cuts expire for dwindling middle class).
Now there is also TEA party. That party is straight from Alice in Wonder Land (remember the Mad Rabbit and his cohorts?).
I hope, Stewart at his rally would propose the creation of SANE PEOPLE PARTY. Because we are left with no representation.
Posted in American economy, economy, FINANCES, opinion, politics, Uncategorized | Tagged: Alice in Wonder Land, Colbert, comedy, conservative media, democrats, economy, liberal media, life, mad rabbit, media, money, Obama, rally, republicans, sanity, small business, Stewart, talk show, tax cuts, tea party, Washington | 2 Comments »
SHRINKING DOLLARS
Posted by Ella Moss on June 25, 2010
A few days ago a friend of mine confided that she did not have a raise in 10 years, and now her company is cutting her hours.
My friend is a physical therapist.
I am an owner of a tiny business in a completely different field. My income is neither wages nor salary. It is the net profit from my business. Yet I have the same predicament. My income remained flat for 12 years.
When I was single, living in a posh building in a posh part of town and paying $900 in monthly rent, which included utilities, that was a pretty good income, and I was certainly a middle class girl.
Moreover, my income increased steadily through the nineties, and I was certain of a decent future for myself.
I was so certain, in fact, that I did not bother to save for a rainy day.
I did whole a lot of traveling, skiing, and other fun things.
Then I got married, had a kid, moved to a cheaper part of town where I got an apartment twice as big for monthly rent just a bit higher than my previous digs.
My income remained the same because my subcontractors kept raising their rates but my clients began to cheapen out. Excuses were understandable: we did have a recession in 2000, then in 2001 (“9/11″), then in 2003, etc.
I probably could get out of my shell and get more clients to increase my income, but my kid and failing marriage kept me busy.
Then in the fall of 2007 I finally became a single mom, and 2 months later the FINANCIAL CRISIS hit me (my business is closely related to the insurance industry so I’ve experienced the crisis long before the rest of America did).
In 2008, my income went down significantly. So now I had no choice and got out of my shell, and got myself many more clients. I have also reduced rates of my subcontractors.
Yet my income did not jump. It simply went back to the pre-crisis level, because I had to cut my rates also. Everyone is in the bind.
I am not even talking about payment time-table that is now 4 times as long. Before the crisis, if a company took 2 months or longer to pay, I was on their case already. Now I don’t even bother with inquiries till 4 months past due.
It is my flat income that gets me, because my life is twice as expensive now. My rent now is $1510/mo, plus utilities that are twice what they used to be in 2000. My ground phone line that I use for fax only is also twice of what it used to be in 2000. So is my transportation expense, internet, my cell phones, etc.
My monthly grocery bill has grown now more than twice, even though my son and I eat much less than my ex (it used to be that half of my monthly grocery budget went to his propitiation).
In other words, it takes now twice the amount of dollars to cover living expenses, and they say there is no inflation.
There is no inflation, because our incomes have deflated.
It used to be that incomes would grow almost at the same rate as inflation of overall prices. It was called inflation, and was supposed to be a bad thing for economy.
Now I miss inflation. Because the value of my dollar has shrank 50% or more, but I don’t have more paper in my wallet to make up the lost value. My paper income remains flat, but the real income has shrank.
I am no longer a middle class girl, I am a working poor one, and my future looks pretty bleak. I have no extra dollar to save, I have no pension coming, and as an entrepreneur I have no other safety nets like unemployment benefits, which my ex is enjoying now.
Instead, I am working 3 times as much as I used to, and spend so much more just to get the same shrinking dollar.
I would not be writing about it, if it was just my predicament. I am writing about it, because 90% of Americans are in this shrinking boat.
Even the super-rich (like Warren Buffet or Bill Gates) have lost some dollar value thanks to real estate and stock market deflation. I am sure though that they are offsetting their rising living expense by paying less those who work for them or do business with them.
The simply rich (like Donald Trump) may actually feel much poorer because they lost just as much on stock market, real estate, Bernie Madoff and their leverage in reducing cost of business / living is not as great.
The upper middle class is now, for most part, is what middle class used to be, for the same reason.
Middle class… What middle class? Unless you are a civil servant, you would no longer fit that category. I bet your 401K keeps you awake at night.
There are so many things that went wrong for the dollar that there are not enough fingers on a hand to point them all out: derivatives, run-away credit, the cost of oil, global labor market…
Honestly, it is the global labor market that is the main culprit in stagnation of American income. But that is 10,000lbs gorilla in the room that no one is talking about. Trust me, immigration is the least of our problem. It is competition with the guys safely in their native third world countries that is doing us in. No one is talking about it on CNN, because business is happy with reduced labor costs. Except that most businesspeople don’t realize yet that spending their dollars in China or Africa shrinks consumption in America, which, inevitably, leads to their profit remaining flat too despite the reduced labor costs.
Simple economy101: wealth is produced where goods are produced.
The great minds who decided to open the labor market in 1990s must have thought as follows:
As other countries get richer, there are going to be more markets for American goods, so America would get richer too.
They did not take in consideration, however, that American production would not be able to compete with cheaper labor costs elsewhere and would shut down, impoverishing our country for the sake of China, Uganda and so on.
The only reason we did not feel the pinch right away was the inflated real estate market that was still producing local wealth. With wind taken out of real estate, we are finally facing reality.
And, since Obama Administration was not able to push through another emergency unemployment benefits bill, we soon are going to see the third world reality right here at home.
These changes cannot really be amended anymore. With the advent of the internet, Jinny of American wealth has completely left the bottle and cannot be re-captured. We are looking at the dawn of new world, where Russia (the richest country in natural resources), China (the richest country in labor resources) and India (the richest country in intellectual resources) are going to compete for new super-power title (my money is on China, since it is much more organized); the U.S., Europe, Canada, Australia and Brazil are going to be the second world, and the rest remain in the 3rd place. The jury is out on Arab countries rich with oil. If the green economy takes hold, they are going to be pushed back into the third world. They may also simply kill themselves with suicide bombers, expanded Taliban, etc.
SO, PLEASE, AMERICA, BUY AMERICAN PRODUCTS AND USE LOCAL SERVICES!
But, then, again, who can afford American products now when American dollar has shrunk so much…
Well, I am griping now, yet I know there is going to be more to gripe about a month from now… Read my previous article on that.
Posted in American economy, economy, FINANCES, global economy, labor market, personal finance, predictions, Uncategorized | Tagged: 401K, American economy, Bill Gates, Brazil, budget, business, China, deflation, dollar, Donald Trump, economy, economy solutions, Europe, expense, financial crisis, global economy, immigration, income, India, inflation, labor market, living expense, money, Obama, Obama Administration, predictions, Russia, savings, suicide bombers, supeer-power, unemployment, unemployment benefits, value, Warren Buffet, wealth, worry | 5 Comments »
1 YEAR OLD PRESIDENCY
Posted by Ella Moss on January 20, 2010
Obama has been our president for 1 year now, and he already got a bum rap. Everyone is discussing how disappointed they are.
Don’t we just love creating celebs and then tearing them apart?
This guy’s major mistake was going for the presidency to begin with. Only a truly crazy, truly stupid (remember that other one?) or truly idealistic person would go for this most thankless job in the world.
Since Obama is obviously sane and smart, he must be too idealistic.
His second major mistake (according to many TV pundits) was saving us from THE GREATEST DEPRESSION and cushioning our financial fall.
Why was that a mistake? According to the TV pundits, this was a mistake because 1) he continued many policies initiated during the previous administration (not enough change), 2) he moved too much to the left (? was not it his platform when he was running?) and created bigger government.
(Personally, I don’t know what else he could have done, when the government was the only one left with the money as banks and insurance companies were collapsing left and right , but I am no pundit)
His third mistake was trying help those stupid insured and uninsured Americans whose medical expense soared and coverage did not hold very well. That did not go too well or too smoothly, or whatever. Does anyone know what’s in that health care reform bill?
(Personally, I don’t think Americans need it at all, since all I am hearing that they would rather pay $30,000/ yr for their medical insurance for a family of 4 -yes, I personally know such a family – and then keep their fingers crossed that their insurance would pay their medical bills when they get sick)
His 4th major mistake was apparently sending troops to Afghanistan after all that peace talk and the Nobel peace prize. Apparently, we are so tired of war, that we don’t care if the terrorists are not.
Oh, yea, the 5th major mistake was not personally watching who was getting on the plane in Nigeria (remember that guy with a bomb in his underwear?)
It is obvious, he has gotten nothing right, and now he is a lame duck.
I’m sure many are guessing now that Haitian earthquake would not have happened otherwise.
What we needed as our president in times like these was a MIRACLE GUY. You know, the one who could give everyone a $100,000+ job, instill brains in every kid born in America, abolish all illnesses, turn every criminal into a born-again righteous Christian and instill immediate peace on Earth.
It’s too bad that no one like that bothered to run. But then, again, the last MIRACLE GUY we know of was crucified on the cross.
Posted in politics, Uncategorized | Tagged: afghanistan, American Presidency, financial crisis, great depression, Haiti, Haitian earthquake, health care, health care reform bill, Jesus Christ, miracle, Obama, peace | 10 Comments »
THE GREAT VARIABLE OF FREE WILL
Posted by Ella Moss on November 17, 2008
In August, as soon as I got Obama’s birth data, I looked up the charts of presidential candidates, and picked McCain as a clear winner. Was it a terrible misread, as one comment suggested? Maybe. After all, I am still learning Vedic astrology which I used to make this prediction. Shiva, on the other hand, correctly predicted the land-slide win for Obama.
If it was a misread on my part, I am only happy about it. Not only because I wholeheartedly voted for Obama myself, but also because I am entering my Sun / Jupiter dasa now. Born in 1961, like our president-elect and Princess Diana, I also have debilitated Jupiter in my Rasi.
In my navamsa chart, however, my Jupiter is relatively strong (just as in Obama and Diana’s charts) and conjunct my Sun to boot.
So, if Shiva was right, I should have an influx of so needed money soon (the Sun is my money planet in my Vedic chart).
Unfortunately, so far, I have misread my own Vedic chart. For years, I’ve been expecting to make my fortune during my Sun dasa, which began in 2007. Instead, almost as soon as it began, I have practically lost my business, and have been in the worst financial shape since my student years.
Like in Obama’s chart, my debilitated Jupiter makes great yogas (connections), and, by position, promises me greatness and riches. So, WHERE ARE THEY?!
Instead, every time, my Jupiter’s sub-dasa comes around, misery abounds.
Princess Di’s Vedic chart features the same unfortunate Jupiter, whose Mahadasa she entered soon after her marriage to Prince Charles.
Although we all know how unhappy her marriage was, her engagement and the wedding were her happiest times according to all biographies. Those occurred at the very end of her Rahu Mahadasa.
The misery of her marriage commenced with the beginning of her debilitated Jupiter’s mahadasa, and she died at the very end of that period, even though in Navamsa that Jupiter is relatively strong (as is mine and Obama’s).
According to Shiva’s logic, she should have married during her Jupiter mahadasa and enjoyed the ride that followed. According to my logic, all that have occurred during Princess Di’s life was timed astrologically in the most perfect way.
On the other hand, if my logic is so right, how come Obama won?
The answer may be in the most unpredictable variable: human free will.
Let’s start with Obama’s example:
From the very beginning, he was the favorite of Almighty Media – which annoyed me, since he was my least favorite of the candidates. I liked everything Hillary stood for, except for leaving Iraq – the country we’ve destroyed. My vote of conscience went with McCaine who promised to re-build it, even though I have been a devoted democrat since Clinton’s “impeachment” debacle. So I was “the undecided” for most of the campaign.
Meanwhile, I’ve began to encounter people (mostly, black) who staked so much hope on Obama’s candidacy that I began to wish for Obama’s win for their sake. It would have been too cruel to burst their bubble. I have never seen people to stake so much of their heart in any election.
I have also began to be aware that most of the outside world prayed for Obama’s win: African countries, Muslim countries – they all saw him as their own: the skin color, the Muslim ancestry and experience. Half of European hearts was beating for Obama as well, as he represented the liberal face of America as opposed to much-hated Bush.
Then the financial crisis came 2 month earlier then I expected, and I myself began to pray that Obama would win, as McCain’s economic stance began to scare me.
So, did Obama win because he should have astrologically, or because 70% of the world’s population prayed that he would? If you know the answer to that, tell me!
Here’s another example:
Long time ago, when I was a successful practicing astrologer, a young man called me and requested the reading. I knew nothing about him. As usual, I’ve prepared his Western chart (at the time the only astrology I was practicing was the Western astrology), and deduced that he was an upcoming basketball player with great future ahead of him.
When he rang the door bell, and I opened the door, I mentally patted myself on the back: he was tall (above 6’3” for sure), athletically built, and black (forgive me, but we all know that white men cannot jump).
However, as reading unfolded, I found out that he was a high-school drop out, drifting through life with no directions. No basketball scholarship, no NBA in sight.
Of course, giving his tender age (around 20, if I remember right), he could still catch up to the success, promised in his chart. But it would be more difficult, since he got off his best path already.
It could be that I have misread his chart as well. But given that I was on target in all other cases, I think it was his free will variable that was at play.
I must also touch on another example of the “misread/ free will variable” in my history as a practicing astrologer:
When O.J. was arrested after the slow chase on a highway (was it 1994?), I have predicted to my students that he would go free based on his chart. His chart features a juicy, all powerful Jupiter at the apex of his chart and “rise high, land softly” kite configuration. Moreover, that Jupiter was surfing into the 4th house, where, according to traditional Western astrology I am such a fan of, it promises great old age. So I based my predictions on that Jupiter.
I was right, but not entirely, since more than 10 years later O.J. was arrested again, on a completely different matter, and convicted to spend the rest of his days in prison. Was the traditional Western astrology wrong, did I misread it, or was it O.J.’s guilty consciousness, coupled with the American public’s deep desire for justice, that undid his great golden years promise?
On 1/23 my Sun/Jupiter dasa would commence. Some great Vedic pundits say, I will make a windfall, some predict great misery. The way the economy is heading, the latter could be right. But I stake my life on the great variable of FREE WILL, which includes prayer from the heart, as well as human effort.
Since 10/25/07, the day I’ve lost my major client that constituted 90% of my tiny business, I’ve been working days and nights on my own economic recovery. After all, I am a single mom with an 8 y.o. in tow, and homelessness, starvation – all that I have already been through when I came into this country at the threshold of my Ketu Mahadasa – is no longer an option. I stake my life on the Miracle of answered prayer, whether $ is in my chart or not.
But I am not planning to shelf astrology either. To me, it is a map of life. A map always comes handy in gauging the best direction to follow. But it is the free will that motors us and takes us places.
Posted in Uncategorized | Tagged: Add new tag, astrology, economy, elections, free will, Jupiter, ketu, mahadasa, McCain, media, miracle, money, O.J., Obama, prayer, Princess Diana, Sun | 6 Comments »
FIXING AMERICAN ECONOMY
Posted by Ella Moss on October 27, 2008
Like all of us, I’ve been listening for weeks now of how the presidential candidates are proposing to fix our economy. This morning, McCain came out with all his financial advisers with the statement on how he would do it.
Well, his proposal scares me. But Obama’s take on the economy does not make me feel any better either.
As I was washing dishes and doing laundry, I came up with the following thoughts:
1) HOUSING CRISIS has been long overdue. Only a simpleton would think that real estate prices would always go up and never come down. The market rules apply here, as everywhere else. Since most of the housing market caters to middle class, as soon as it reaches unaffordability level for middle class, it has to go bust. That is called “Market Correction”, and that is what happened. In any capitalist society, these corrections must be allowed, otherwise it would hurt somewhere else.
Both presidential candidates are proposing eliminating or severely decreasing capital gain tax. But once Reagan decreased capital gain tax, speculation in real estate and taxes went rampant, contributing to the sad state of affairs we find ourselves in now.
2) FINANCIAL CRISIS was brought on by derivatives trading, made illegal in 1907 and made legal again in 2000 (?!), as well as by indiscriminate lending (mortgage and credit cards alike) – that can be brought under control by government intervention and better rules and regulations of financial industry – which is underway. But some market correction should be allowed as well, otherwise the problems will continue.
When your tooth aches, you should take a painkiller. But if you are not going to fix it, painkillers would hurt you further with side-effects.
I would be glad to see that any credit is substantiated by income tax returns and is based on actual ability to pay it back. But I would also update usury laws, making it illegal to charge more than 15% for any type of loan.
3) RECESSION has been brought on by squeeze of the middle class as much as by anything else. Besides housing prices going down, medical, tuition and everyday living (food, transport, etc.) costs went up, while income stagnated or went down. Squeeze the middle class’ discretionary income, and you would get automatic recession.
Any capitalist economy depends on the financial health of the middle class, and that is where all economic fixes must start.
Since medical expenses are almost universally a major problem, I would go with universal health care.
But it should not hurt small business with extra taxes or mandates, as Obama proposes. That is like amputating the head when you’ve got a headache.
In fact, small business (which is also middle class) already suffers from too many taxes and mandates.
Why would I hire an employee, if that means I have to add 50% expense to the employee’s wages via payroll tax, work-comp insurance, liability insurance, etc.??? I’d rather get me an independent contractor, who would do the same work for the same wage amnt, and save me $, paper-work and headache.
So how the universal medical insurance would be paid? Well, so many states already have good working models: Vermont, New York (health plus), etc.
On top of it, we have SSI model. So why not add Universal Medical Insurance to the income tax, and collect that tax in the specific UMI fund?
Moreover, as the main insurer, the government would be able to keep prescriptions and other costs down.
Granted, this would create a medical industry crisis. But I would rather take out the rotting tooth than kill my liver by constant intake of painkillers.
I would also do the same income tax special funds for unemployment and work-comp insurances and make them optional. Let it be the employee’s choice, rather then the employer’s problem.
In fact, I would eliminate social security altogether, and, instead, create livable pension fund where people are able to retire at the age of 70 keeping the same annual income level as shown on their last income tax return, and I would pay for it via the same optional contribution to the special Pension fund, collected via income tax. This way, our pensions will be our own responsibilities, and no employer will go bankrupt on that account. But we all would feel so much safer, knowing our retirement does not disappear in the bear stock market.
On the other hand, if one does not contribute to those optional funds, and something goes wrong – tough! It should not become the society problem.
I would also do the same with college tuition fund, doubling the taxable amount with each additional child. Then I would expect my child to be able to attend any college that accepts him based on his grades without extra tuition costs that may bankrupt me.
I would do the same with school tuition with the state income tax, and would add universal after-school care fund to that. This way, all public schools in a state would get equal funding, and there would be no additional costs for babysitters, extra-curriculum classes, etc.. Now, if you don’t have children, or your children have grown, you don’t have to contribute to that fund. I would, because these costs are now crippling my personal economy.
There should also be mandatory but separate funds within income tax for
defense
law & order
infrastructure
emergencies
general upkeep
foreign debt
etc
Then we would know where our money goes, and hopefully then such funds as foreign debt would become unnecessary (as we would not stand for that).
Am I proposing huge income taxes?
Actually, no, if you would consider how much business expense and personal expense would be spared instead, while huge financial risks are eliminated.
For example, the government gives me now something like $3,000 child credit for my son, but, in reality, he costs me no less than $12,000/ yr (that is without any college tuition savings, since I cannot afford them right now). Most of this money goes to babysitters and extra-curriculum classes.
If there was an universal after-school program in my state, it would cost the government less than $3,000 per child. The state would simply keep existing school buildings open till 7PM, and schools would hire a few extra-curriculum instructors (music, tennis, chess, etc.) – that would cost the schools significantly less, if payroll tax, work-comp, etc. become employees’ responsibility.
So I am not going to get my $3000 child credit. But I would save $7000 instead and use this $ to support the economy via my discretionary spending. I would not have to save this money for my retirement, because I would contribute to my pension via income tax fund. I would also save at least $4,000/ yr on my medical insurance. Overall, I would have a little more or the same discretionary income, but I would feel so much safer regarding my retirement, my child education, medical emergencies, etc.. On top of it, I would know exactly where my taxpayer money goes, and my say on account of government spending would have more effect.
Actually, in real numbers my fantasy proposal would look like this:
Let’s take a guy in minimum tax bracket who makes $36,000/ yr. He actually nets only $24,000. On top of it, he contributes to his medical insurance $220/mo.
His small business employer shells out $65,000 for the honor of keeping this guy as an employee:
He pays him $36,000, pays $18,000 in payroll tax, and the rest in work-comp, liability and medical insurances.
If my proposal ever saw the light, the employer would pay my guy $48,000 and shell out $2,000 on top in liability insurance. The worker would $24,000 in taxes, but would net the same amount. He would save additional $2,500 on medical insurance. So he would be $2,500 richer. The employer saves $15,000. So it is $17,500 going into supporting economy via spending.
Besides enriching economy by $17,500, both guys feel more secure regarding their future (medical problems, retirement, disability, unemployment, etc).
This taxation method would also have effect on ILLEGAL IMMIGRATION issue. Because then we would not care how people got into the country, as long as they pay income taxes and do not strain our economy.
I would also eliminate welfare altogether, and substitute it with unemployment and disability benefits instead. All those who have never been able to work can be subsidized in the same way they are now through the income tax disability fund I have suggested.
Other well-talked about issues are ENVIRONMENT and OUR DEPENDENCY ON FOREIGN OIL. They actually go hand-in-hand. I actually see the solution to both as a rather easy one:
I would have the government tax businesses that produce, import, or use the oil itself or any devices that must use oil, and use this tax money to give tax credit to all businesses that produce and develop clean technology, and devices able to use the clean technology. Money is always the greatest motivator. So, for instance, gas stations that sell only gasoline are taxed, and those who sell natural gas are given credit. You would see many gas stations then switching to natural gas, with car engines switching immediately following. That is what they do on most of the Caribbean Islands already: they import a car and fix the engine right away so it can operate on natural gas. But then they can fill up the tank with natural gas on any gas station there. We cannot. That’s why we still use gasoline.
But I am happy that oil is so expensive now: so the incentive to develop and use the alternative is so much greater.
The same applies to heating oil. Russia is much richer than the U.S. in oil, and much colder. But it uses steam to heat the houses.
If we could produce cheaper and cleaner electricity via nuclear technology, why should not our tax dollars pay for it? We would get our money back by paying less for utilities each month.
Yes, an accident at a nuclear facility is scary. But, honestly, it is such a remote possibility. And that guy from Texas – what’s his name?- who wants to build wind turbines also makes much sense to me.
Give him the tax credit! And tax the oil companies instead with the special oil + dirty energy tax!
I would also eliminate the present farm subsidies and subsidize the organic farms instead.
As to spur our economy on right now, please, start re-pairing roads, levies, and other infrastructure A.S.A.P.. Not only bridges fall down and whole cities get flooded because we have been ignoring our infrastructure for too long, think how many so needed jobs would be created if we get on with it now.
Jobs mean money to spend, that feeds businesses, which create more jobs in turn. Healthy economy means more taxes collected, less foreign debt, etc.
Most importantly, re-building infrastructure means jobs here in America and not in India or China.
Unfortunately, we will continue to invest into those nations’ employment (read: economy) instead of ours if businesses here would continue to pay 50%+ extra for each employee than the employee’s actual wages.
Well, too bad I am not running for office :-))
But if I make any sense to you, please pass my musings along.
Posted in Uncategorized | Tagged: after-school program, college, disability, economy, economy solutions, employment, environment, extra-curriculum activities, financial crisis, foreign oil dependancy, health care, immigration reform, jobs, McCain, Obama, pension, politics, real estate, taxes, tuition, universal health care | 10 Comments »
