Thursday, April 15, 2010

Jobless Rate Rises

For the second straight week, the jobless rate has risen, confounding liberals and the media. The recession was supposed to be over, but I guess the people who do the hiring didn't get the memo.

I "doubt" that the recent health care legislation, with its new and confusing regulations and taxes on businesses has had any impact on the business sector and their decisions to hire, not hire or even lay off employees. Of course, we know that health care reform is going to balance the budget and save everyone tons of money.

A year ago, Dick Morris (whom I respect, but don't always agree with) predicted that the jobless rate would rise in response to the Generational Theft Act (stimulus) to around 10% nationally. He also predicted that it would stay near that rate for 2010 and perhaps beyond. Furthermore, he predicted that as we move into 2010 and 2011, we would begin to see an increasing rate of inflation that would trigger a second recession before we've even recovered from the first one.

While we've yet to see a significant amount of inflation, Morris' predictions usually tend to be pretty accurate. We've already seen gas prices rise, and the price of other goods and services usually trend upwards when gas prices go up because almost everything we buy is affected by the cost of fuel.

I'm not optimistic about our future. With the passage of health care reform, it appears the recession is going to extend into the foreseeable future, despite proclamations that it is over. We might as well get used to double digit unemployment. Unless we can reverse the damage O.B.A.M.,A. has done, it is likely to become the norm. Pollsters and other experts are backing off of predictions that the Republicans will take back the House and Senate. At best, they will neutralize the Democrats' majority, but it is highly unlikely they will get enough seats to pass their own agenda, let alone repeal any of what O.B.A.M.,A. has done (including health care).

Even looking forward to 2012, prospects aren't much better. Assuming we can get a Republican back in the White House, many of the front runners (including Huckabee and Romney) are far from conservative. They are in favor of many of the same programs and spending polices of the left, just to a slightly lesser degree.

Sorry for the "negative" post, today, but given that it's April 15 (Tax Day), perhaps some honest evaluation of where we are at economically is in order.


Wednesday, April 14, 2010

Quote of the Day

"There is nothing wrong with the younger generation that becoming taxpayers won't cure."

-- Dan Bennett

Doctor Shortages On the Way

Dr. Melissa Clothier shares:




The Wall Street Journal shares this inevitable news:



The new federal health-care law has raised the stakes for hospitals and schools already scrambling to train more doctors.



Experts warn there won’t be enough doctors to treat the millions of people newly insured under the law. At current graduation and training rates, the nation could face a shortage of as many as 150,000 doctors in the next 15 years, according to the Association of American Medical Colleges.



That shortfall is predicted despite a push by teaching hospitals and medical schools to boost the number of U.S. doctors, which now totals about 954,000.



The greatest demand will be for primary-care physicians. These general practitioners, internists, family physicians and pediatricians will have a larger role under the new law, coordinating care for each patient.



The U.S. has 352,908 primary-care doctors now, and the college association estimates that 45,000 more will be needed by 2020. But the number of medical-school students entering family medicine fell more than a quarter between 2002 and 2007.



A shortage of primary-care and other physicians could mean more-limited access to health care and longer wait times for patients.



The whole point of health care reform was too feel better–not you, or your health–but liberal politicians.



It wasn’t to improve health care treatment.



It wasn’t to reduce costs.



It wasn’t even to get more people under care.



Wait, what? That’s right. More people will be insured, but patients will receive less care at more cost. It’s just logical. The new health care system creates a gatekeeper system that will eliminate individual choice and drive up costs. So, a person thinks something is wrong with his prostate–he goes directly to a proctologist. That saves 1. wait time 2. cost (no double doctor fees) and 3. diagnosis time.



But not now.



Oh no! Now, a patient must wait to get into an overburdened primary care physician, get a referral and then get into another physician. A patient will be dead by the time he gets diagnosed.



The inevitable response?



Cash-only doctors. Some doctors won’t accept this new insurance and work outside the system. So, people will pay into the health service, hate the waits and then, go pay cash for good care.



The rich will have good care while subsidizing everyone else. The middle class will be caught in a jam because the taxes will be so egregious they can’t afford anything, never mind a quick diagnosis. So they will be caught in government-mandated substandard care.



And the poor, who don’t pay into the system, will still misuse the system because they still won’t take care of themselves. And Medicare and Medicaid could have been expanded to help them as is.



But noooo. An overhaul had to happen. The government had to control health care.



If this diseased legislation doesn’t get revoked, America is going to go down the road of all disastrous socialized countries: chronic unemployment, disheartened and downwardly mobile middle class and an elite aristocracy for whom policy doesn’t matter.



In the liberal world that’s called utopia.



And by the way, a small board will decide what does and does not get covered under Obamacare. So, yes, death sentences will be handed down by the government. That too, is inevitable.

Tuesday, April 13, 2010

Auto Bailouts: Where Did We Go Wrong?

This is likely to be a fairly long post, but I'll try to make it as readable as possible. The information here is condensed from a couple of research projects and a number of articles from the auto industry.

At one time, the American auto industry was king. Nobody in the world produced the quality of cars, with the technology and engineering at the prices that the United States was producing before and after World War II. That ended around the 1970s and 1980s. (It's hard to pinpoint an exact year, but for the purposes of this article, within a decade or so is accurate enough).

After 1980, the Japanese auto industry, which already had a foothold in the U.S. began to take off by leaps and bounds. At the same time, Americans were discovering the quality and drivability of European makes like BMW, Saab, Volvo, Mercedes and others. Around this time, foreign makes were jumping ahead of American manufacturers with regard to quality, engineering, technology and, especially, design.

Many auto industry insiders view the "beginning of the end" of the dominance of American auto companies to be the book "Unsafe at any Speed" by Ralph Nadar.

The book was written about Chevrolet's unique car, the Corvair. The Corvair was designed in the late 1950's by very forward-thinking GM engineers and designers. These people inside GM were looking at Porsche and Volkswagen and they wanted to see what they could learn from the popularity of those German cars. In terms of handling, reliability and technology, these cars were simple designs with sporty performance (at least Porsche was) and were noted for reliability in extreme weather and road conditions.

Chevrolet wanted to see what it could do with a similar concept. They wanted to create a rear-engine, air-cooled, rear-wheel-drive car. Unlike Porsche and Volkswagen, they wanted to make the car a little larger so that it could be used as both a sporty car as well as a small family sedan.

The Corvair was introduced in 1959 (as a 1960 model) and was Motor Trend's Car of the Year. It brought to market a number of firsts and innovations for an American car: A rear-engine air-cooled aluminum flat six cylinder engine with rear transaxle, four wheel independent suspension, with the front and rear suspension components each attached independently to the subframe. In terms of design, technology, innovation and concept, it was different in every way from every other car Detroit was producing and different than anything Detroit had ever produced.

A few years later, Ralph Nadar wrote his book in which he alleged that the Corvair was an unsafe vehicle. Nadar was an unknown "consumer advocate" looking for a cause, and he found it in the Corvair. He alleged that the vehicle was prone to turn over easier than other vehicles, that it was more prone to catch fire in a front end collision and that it was more likely to cause injury to passengers in a rear end collision than any other car.

These allegations were proven false. The government held hearings and then conducted its own safety tests of the car. Their findings: The car was as safe, or safer, than any other vehicle on the road. (The government actually found that the car was less likely to catch fire in a collision than other cars.)

The damage, however, had been done. Sales of the car dropped and it was phased out in 1969, to be replaced by the more conventional Chevrolet Vega, a car with all the disadvantages of a small car along with poor fuel economy and poor handling. The lesson the Big Three Automakers took from this episode of automotive history is this: Don't innovate. Just make your traditional vehicles like you've always done, and don't try anything new, exciting or innovative.

When Subaru introduced front wheel drive to small asian imports, (Saab actually beat them to it in the American market), the other imports followed. By the mid 1980s, Honda, Toyota, Nissan and Mazda had front-drive on most of their car models. The U.S. manufacturers did not follow suit until it became apparent that they were losing sales because of this feature. The same can be said of smaller, four cylinder, more fuel efficient models. Most other innovations and engineering breakthroughs after the 1960s came from either European or Japanese manufacturers. The Japanese in the 1980s and 1990s and later on the European manufacturers even began leading the way in styling. Today, if you take the nameplate off of a car and show it to the average consumer, most people would pick a foreign car to most domestic models.

All of this has led up to our current situation in which the government "had" to bail out two of the Big Three automakers.

I would be the last person to suggest that Ralph Nadar is single-handedly responsible for all of the ills of the auto industry. Over the past 40 years, there has been enough bad decisions, bad design and stupidity within the industry for a lot of folks to share the blame.

The question I have is, who is holding Nadar's feet to the fire? If industry insiders had lied and conspired in some way to bring an entire industry to its knees, no doubt those folks would be held accountable. Yet, Nadar is a darling of the left; a champion of the "little guy"; even a "green" presidential candidate. I doubt the American public is even aware of his role in the decline of the American auto industry (and by extension, American manufacturing).

While this post probably isn't as timely as it could have been (I recently ran across a series of articles that spurred this entry), I suppose the whole point is that I'm now doing my part to help people understand why we are where we are, today. Something as seemingly small and innocuous as a little book with a few little lies has had an effect that has spread to every American some 45 years later.

Now, use your imagination and look ahead to the next thirty or forty years. How do you think the lies currently being spread by O.B.A.M.,A., and Reid and Pelosi about health care and how much universal coverage will "save us" is going to affect America in the coming years?

Sunday, April 11, 2010

Laws and Freedoms

I missed a corner, yesterday. I was driving down the street and I drove right by my turn.

I was too distracted. While I was driving, I was listening to Fox Radio on the Satellite. Neil Cavuto was interviewing a socialist who was marveling at how great it was to force everyone to buy health insurance, and he kept commenting over and over that we are "an nation of laws." He also asked the question four or five times, "Would you rather live in a banana republic" where the law is corrupt?

I was screaming at the radio when I drove right by the street I was supposed to turn on.

Well, Mr Liberal-Spout-the-Democrat-Party-Line (I didn't catch who the guest was), it seems to me that we DO live in a banana republic where the law is corrupt. The new health care law was passed by a corrupt congress in a corrupt manner and it exempts those who created the law. How much more corrupt can you get?

But what really got me thinking was the idea of what makes America a great place to live. Or, maybe more accurately, what USED TO make America a great place to live, before Congress shredded the Constitution?

It isn't the fact that we are a nation of laws that makes America a great place to live.

What has made America great, what made America the place that people from other places in the world flock to the U.S., is not our laws, but rather our freedoms. People come here because we have, or rather HAD, a Constitution that protected us FROM the government and FROM the laws it wants to pass to deprive us of our freedoms.

Until this year, you could come to the U.S. and as long as you didn't do something to harm someone else, you could pretty much do what you wanted and the government was FORCED (by the Constitution) to leave you alone.

Now, for the first time in our nation's history, that is no longer the case. Simply by existing, simply by being here, you are now FORCED by the government to buy something, whether or not you want it.

Now, someone tell me .... how does that make us any better than those so-called "banana republics?"


Wednesday, April 7, 2010

Diplomat Lights Shoes on Fire

Reports are still coming in as I write this, but the latest news reports are saying that a man who is a diplomat at the Qatar embassy in Washington, Mohammed al Modadi, attempted to light his shoes on fire on a flight from Washington, D.C. to Denver.

Apparently, and air marshall on the flight subdued the man, and he was detained and question once the plane landed. Early reports are also suggesting that he did not have any kind of bomb or weapon, but think he may have tried to light his shoes on fire to cover up a smell. (Smoking?)

Two questions come to mind.

First, with all the security at airports in the U.S., how does an Arab get through security with something to light his shoes with? And second, what are the odds this was some kind of test of airport security and airplane security? Maybe next time, we won't be so lucky.


Obama's First Asteroid?


During a speech in which he tried "selling" Health Care Reform after he already signed it into law, O.B.A.M.,A.* mocked Republicans, Independents, TEA Party activist and the rest of us who don't like high deficits and debt, saying that when he signed the disastrous Health Care act, he looked around and didn't see any asteroids.

Well, look again, O.B.A.M.,A., the first one may be on its way...



The United States should consider raising taxes to help bring deficits under control and may need to consider a European-style value-added tax, White House adviser Paul Volcker said on Tuesday.


Volcker, answering a question from the audience at a New York Historical Society event, said the value-added tax "was not as toxic an idea" as it has been in the past and also said a carbon or other energy-related tax may become necessary.


Though he acknowledged that both were still unpopular ideas, he said getting entitlement costs and the U.S. budget deficit under control may require such moves. "If at the end of the day we need to raise taxes, we should raise taxes," he said.



* O.B.A.M.,A. = One Big Ass Mistake, America

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