Saturday, September 15, 2012

Our Past Must Be Our Future

The economy is terrible. Thirty-six percent of people who are willing to work can find no job. Many who are working, are in low paying or part time jobs out of desperation. People coming up on retirement are scared to death because their savings are not growing.

Enter the geniuses at the Fed, led by Ben Bernanke. Since nothing that they have done so far has worked so far, they are going to double down and try more of the same. If you people, worried about your savings, feel some body's hand in your pocket, that is Mr. Bernanke's. He is ordering the Fed to print more money to buy back more bonds to lower interest rates to free up more cash so people will buy stuff to jog the economy. Get it?

Now Egan Jones Rating Company is lowering America's credit rating again, based on this round of quantitative easing (that is such a nice euphemism). Twice now during Obama's tenure in office our nations credit rating has been lowered. This is unheard of.

If you have a savings account, you are getting no interest to speak of now. Maybe three quarters of a percent or there abouts. Well it will get worse. So, let's say you are ten to fifteen years out from retirement. Your savings account is growing at one quarter the rate of inflation. Not good. Equity investments, including funds, are iffy. Precious metals are good if you got in ten years ago. Maybe. And don't think that is without risk. Frankly, your government has put you in a box.

OK, I've gone full bore negative. But that is what we face today as I see it. I may be missing something, but I don't think so. I spend a lot of time thinking and reading about these things. Is there no hope? Is it all over for the American people? Hell, no!!!

We have just gotten away from what we do best. We innovate. We grow businesses with new and better products. We are smart and original and unrestrained by the past. In America, every day is a new day. All we need is the freedom to make our dreams and ideas work.

We need a country without a government that taxes and regulates the dreamers to death. We all won't succeed but enough of us will. Remember, this is the country that brought the world IBM, Kraft, Intel, Microsoft, Boeing, Ford and so many many more. We have done it before and we can do it again. This is the country that fought for it's freedom against the most powerful nation on Earth and won. Then they came back in 1812 and tried to beat us again. Well we beat them again. This is the country that twice went to war to protect our allies in Europe and won. This is the country that John Kennedy challenged to go to the moon. And we did.

If the government gets out of our way, we can do anything. Then you folks coming up on retirement can go back to investing in America and sleep well at night. That will be our winning position.

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