guns

Defending Yourself

Defending Yourself (06/22/2011)

I wrestled with the title and content of this column realizing I wanted to challenge thought processes. My context is asking, “When would you take up arms?” Recent Supreme Court rulings, at state level and the federal level have eroded 4th Amendment rights. These freedoms have been held sacred since the Bill of Rights passed and evolved from British tyranny and further back to feudal tyranny. Looking around I see this erosion becoming the norm, no longer the exception. Sadly, people who raise questions are now “domestic terrorists” or “troublemakers” harassed through detention, no-fly lists, and watch lists.

If you are pulled aside for additional screening at an airport and suddenly find yourself touched inappropriately by a TSA officer are you willing to yell “Stop!” Are you willing to kick and punch to defend your person? Are you willing to engage local law enforcement to file assault charges? What if you are an 18 year old girl attending your high school prom and security guards run a hand up your bare thigh under your dress? Would you be willing to complain, or more importantly Continue reading…

June 22, 2011 by Big Government Civil Rights Great Recession preparedness

Wealth Disparity

Wealth Disparity (5/11/2011)

A drive through New Smyrna Beach demonstrates the extreme wealth disparity that can be found anywhere in America or the world. From the mega-wealth of beachside to the barely surviving poor west of U.S. Highway 1 radical contrasts in daily life are found. It is impossible to look away in a small town and not acknowledge differences, to ignore them would be unconscionable. Like New Smyrna, America’s numbers are mind-blowing: the top 1% controls nearly 33% of the wealth in America whereas the bottom 50% has just 2.5% of the wealth.

Don’t misunderstand me. I love nice things, eating out, a beautiful home, new cars, and a big bank account. As a country even our poorest live far better than the middle class does overseas, but such argument is not cause for turning our backs on the needy. Similarly, the populist envy driven by our current President does not justify excessively taxing wage earners, or the ultra-wealthy. The current raging debate has disclosed the failures of our progressive tax system: envy that the “rich” pay much of their tax through a 15% dividend, and sadly uncovering through subsidies and support programs a single mother of three earning $14,000 per year has more disposable income than a similar mother earning $60,000.

We need the successful to succeed, creating jobs, opportunities, and capital for driving the economy. Simultaneously an understanding and empathy must exist for those who need help. I do not have solutions, but must argue the debate is lost in political rhetoric and desire to drive pet projects. Taxing the wealthy at 100% will not provide enough revenue to fix the government spending problem and it certainly will not lift those in need. Milton Friedman argues in the movie, “The One Percent” the increasing wealth gap is justified because it has also lifted the poorest of poor. In earlier lectures Friedman, in characteristic fashion, shows at least that government creates a perverse system starting with bad schools, limits opportunity through minimum wage laws, and creates dependency via welfare programs.

The political debate from both sides focuses on our tax system and protecting special interests, Republicans arguing to keep tax rates low on the rich, Democrats seeking more. Sadly, both sides view 67,000 pages of tax code as the holy grail of government purpose and fail to understand simplifying the tax system and cutting spending will allow market forces to work toward solutions benefitting both rich and poor.

May 26, 2011 by Capitalism Depression Great Recession

My two cents…

The fed is between a rock and a hard place:

– no more QE: the stock market will crash, no easy credit, brakes on economy
– continue QE: rising inflation, real wages dropping, angry voters.

Furthermore the Administration is not supposed to be part of the monetary policy but Obama will politically pay for the decision either way.

What should we do:
– keep your gas tanks full (I filled the RV in January, $2.90/gallon, today driving home it is $3.80/gallon — $60 savings
– keep your pantry full — anything you buy today is cheaper than tomorrow
– understand the stock market is like going to Vegas. Best trading option is probably futures contracts
– pay down debt that costs more than 6%-8% to improve cash flow. Anything else is about to become cheap money. Free up the expensive money to invest in CD’s, dividend paying accounts when interest rates go back to 10-12-14%
– Remember, as interest rates go up bond prices go down. why do you think PIMCO sold ALL of their treasury bonds?
– Remember the government has $4 trillion in short-term treasuries coming due in the next 18 months

April 17, 2011 by Capitalism Depression Great Recession preparedness

Haiti and New Orleans

Haiti and New Orleans

When I was 10 years old my family moved from Minnesota to California. The move was huge, but it caused me anxiety because I had watched television shows predicting the next big earthquake and California falling into the Pacific Ocean. Of course, that was more than 30 years ago, and California remains part of the continental United States. However, the residents of California live with the threat of earthquakes every day. Unlike any other natural disaster phenomena, I would conjecture an earthquake is the worst threat to face. Contrastingly, in Florida we have days, up to a week, to prepare for a hurricane. Tornadoes come with minutes of warning, or hours if paying attention to conditions. Even mudslides, floods, and fires provide a reasonable warning. An earthquake, on the other hand, comes any time and with no warning. If you live in California though, you know the threat exists. Living in Haiti on the other hand is a place with minimal earthquake risk.

Facing disaster is reasonable when you know what threat exists, or more importantly have time to prepare. When Katrina struck New Orleans warnings were issued ahead of time, the citizens had a choice to stay or leave. Of course, a weather forecast is never perfect, but with Katrina the severity of potential of the storm obviously loomed. In contrast, Haiti was struck by the worst earthquake in 200 years with no warning, and unlike California, no predisposition for the expectation of earthquakes. It appears Haiti’s government and communications infrastructure collapsed, not unlike the local resources of New Orleans and Louisiana. Immediately, Haiti reached out to its neighbors to seek help, and so did New Orleans. In both instances, massive federal aid packages were mobilized to assist.

News coverage of the events in Haiti has been compassionate and focused on the successes of rescue. In South Florida the media is providing local stories of airports launching relief, medical teams departing, and families reuniting. It is nearly impossible to turn on the television without a reference to the current situation in Haiti and how the citizens of the world are reaching out to their neighbors. Unfortunately, last week there was troubling coverage of gangs, violence, and looting. I found the similarities to the aftermath of Hurricane Katrina in New Orleans striking in this regard. Sadly, there are people who disregard the brotherhood of man and instead take advantage of disaster and troubling times. Amplifying this situation is sensationalism by the press of the minority doing so. Bothersome as these situations are though, we should not be left with images of theft and violence, but focus on the success of rescue and efforts to help those in need.

However, the real story remains at the ground level, not from the massive organized efforts. The individual rescues, and thousands of examples of neighbor helping neighbor. The real survivors in Haiti are those helping, not seeking assistance or depending on a foreign nation to save the day. The real survivors understand their fate is up to them and do not blame anyone for the earthquake that struck. In contrast, the residents of New Orleans shunned personal responsibility, looked to blame others, and waited for someone to save them. Haiti’s earthquake is going to forever change the look of neighboring nations as its own people realize it will take decades to recover. As we watch from afar, I challenge you to examine your own preparedness for unforeseen disasters, and remind you to believe in the goodness of people helping people.

January 31, 2010 by Health care preparedness Stupid People