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« Tough gig | Main | Pitchforks »

Mar 29, 2009


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Trey Parker explains all this in the latest Southpark episode, "Margaritaville."

Reggie Greene / The Logistician

We as a society have to take responsibility for where we find ourselves today. By recognizing that, we can potentially turn it around.

We have a tendency to forget the BASIC, big picture stuff and then we complain when things are in a state of deterioration.

Things on this planet Earth are actually quite simple:

1. Innovation and technology, leading to building and creating "things," determines EVERYTHING in a civilized society. (If you don't personally know a scientist or inventor in your neighborhood advancing society's interests, or some kid who WANTS TO DO SO, you have a long term problem.

2. New technology, followed by production of things encompassing the technology, generates JOBS, JOBS, and JOBS. The tax revenues derived from those technological enterprises determine what government ultimately can and can not do. No innovation and no production of things, no tax revenues.

3. It has been shown throughout history that the more hours that one works the more that one produces, up to a point, of course. (We do not want people collapsing from exhaustion. However, exhaustion is WAY, WAY, WAY, beyond 40, or 60 hours a week. Take a break, or seek relaxation, and you fall behind your competition.

4. When the vast majority of society's time is spent trying to generate food to eat, that society is in trouble. Food production has to be relegated to the few, so that the others can engage in the advancement of innovation and technology, and the trade and exchange of the products produced.

5. The simplest way to reduce rising health care costs? Stop eating crappy and fatty foods, smoking, and drinking alcohol, and begin to exercise vigorously. You'll see a dramatic reduction in illness and disease.

6. Retirement, when you still have talent/skills and the ability to contribute, kills your society and generates all sorts of other problems. People who work until the day they die, assuming that they are still capable, are more productive members of society, physically and mentally.

7. As a general proposition, war does not generate income. There are very few positive economic ramifications to war. It is a resource drain, totally apart from the fact that it kills potentially productive members of society, and makes people angry at you.

8. When you treat a certain segment of society unfairly, they become less motivated, and less capable, to work in concert with you to pursue long-term societal interests.

If one looks back in history, these factors repeat themselves. It's simple COMMON SENSE.

A society which seeks the easy way out, and seeks more leisure time, is ultimately doomed. It might ride its success for a relatively short period of time; however, it can not do that for very long.

Plain and simple.

We, as a society, are talking all around the points that matter. We're fooling ourselves by engaging in the debates in which we find ourselves. It's like a boat sinking because of a leak, and the sailors are all arguing about how to dump the water out of the vessel.


For the last 39 years, my largest single business expense has been government and government related. I'm elated that Obamanomics with its powerful animating ideas are going to unshackle these calloused, liver spotted hands. I was so tired of scientific, educational, financial and medical matters ending up in the hands of people like Hillary, Rahm, W, Slick Willy, Tim Foley and Trent Lott. This transformation was long overdue. I am literally sitting on my hands to keep from clapping myself to death.


5. The simplest way to reduce rising health care costs? Stop eating crappy and fatty foods, smoking, and drinking alcohol, and begin to exercise vigorously. You'll see a dramatic reduction in illness and disease.

Healthcare costs running 2.3X CPI has a more direct relationship to the counterfeiting of currency. When money is counterfeited, the counterfeiters touch it first. Then it is doled out to the industries, services and enablers of the counterfeiters. People on fixed incomes, pensioners and wage earners touch it last, after the increased supply of currency has made what they recently earned worth less. Governments do not enter the healthcare industry from a deep altruistic compulsion. This is the pre-cradle to grave model of nanny-stateism.

Over 50% of health dollars are currently spent by governments-not by individuals, companies or corporations. Government mandates force young and healthy people out of the insurance market. Guess who that leaves in the system. If government passes a law so 10 thousand get something they can not afford, in a few days there will be 10 million who will find a way not to afford it. That's common sense with a slight lean to the praxeological.


Wow, how did our economy survive for over 225 years before "Obamanomics"?

I also question how "Obamanomics" can be based on the described premises while he does nothing about the trade policies that have sent so many of those jobs that the people with all of "their skills, insights, capacities to collaborate" used to have.

More pie in the sky words.

Reich is right in some respects, but the main reason wages have been stagnant has not been because executives have been hogging all of the profits (although I do believe a lot of that to be obscene) or because they kept more of their money due to tax cuts. It's because labor is cheaper elsewhere and getting cheaper here as illegal immigration has grown unfettered.

Dave Ribar


Reich seems to have missed the boat with respect to his comparison of "high productivity" vs. "low wages." The productivity of America's workers has grown over the last 20 years. American workers continue to lead the world in the productivity. Despite these gains, American workers have lost ground.

Immigration and foreign competition appear to explain very little of the decline in wages. The problem with these as explanations is that they only affect a few sectors of the economy. Moreover, the immigration story is not consistent with rising productivity.


The lowering of wages via immigration probably affects industries such as construction and other low skilled industrial or food production jobs, but it doesn't explain the stagnation of wages in more highly skilled jobs.
For me, a symbolic shift began when Reagan fired all those air traffic controllers. The average worker then knew that the government was no longer on the side of the worker and that they were basically on their own when it came to negotiating wage increases and other benefits packages.
Unions have seen their day, but collective bargaining will always be the most effective way of negotiating better wages and conditions.


Reagonomics: Free the people with the money of any obstacles to investing and spending more so that it flows down to the rest of us. Benefit: The wealthy already have the capital and results are more immediate.
Obamanomics: Free the people with the desire, capacity, and creativity to invest and spend more on their ideas so that new technologies, jobs and companies will be created. Constraint: Capital will move slower and take longer to grown meaning jobs and investment will be slower and results will take longer. Backlash: Not very politically desirable in an environment favoring short-term, immediate results. We're an impatient folk.


"Obamanomics: Free the people with the desire, capacity, and creativity to invest and spend more on their ideas"

By what mechanism(s) does Obomanomics create that freedom, as opposed to Reaganomics?


by investing in the bottom-up approach as opposed to the top-down approach. Emphasizing NEW ideas from small companies (SBA lending,etc.) In hindsight "free the people" not the best choice of phrases nor an advocacy for either "-omics", rather trying to differentiate in simple terms the two different "-omic" philosophies.


I suspect the outsourcing of American jobs is the #1 contributing factor to the stagnation of wages and while immigration might contribute to lower wages at the bottom immigration actually contributes to higher corporate profits as corporations keep-up the threat of outsourcing to keep wages down at the top.


if it makes any of you outsourcing blamers happy, the ones the jobs were outsourced to are feeling the pinch and pangs brought on by participating in a paper based credit system. Everyone gets eaten eventually. I just shaved a spot on my head so the secret service will have a place to shoot me when they find out I lost money last year by deferring payment until 2009 on a contract which started in July. This way I get bailed out and draw unemployment if
I survive the headwound.


Spag asked, "Wow, how did our economy survive for over 225 years before "Obamanomics"?

The answer: Throw the dirt on the cofin. Our economy died in 2008 so I guess it didn't survive after all. Obamanomics will not save our economy but it might, just might, become the birth of a new economy.

And if Obamanomics doesn't work then we're right back where we were in the first place-- under the dirt.

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