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alstry (36.32)

Why Does Alstry Focus On Employment.....

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January 26, 2010 – Comments (4)

America is a domestic consumer based leveraged economy.  If we are not borrowing and consuming, we essentially have a relatively small economy.  Understanding this is key because our consumption drives the value of everything we own....including our homes, investments, etc.....

Not only does it drive the value of our investments, but it also drives tax receipts to government.....and our collective government has become the largest consumer in the world consuming over $6 Trillion dollars per year.

If our government is not consuming, we also have a relatively small economy.  The problem now is much of our governments' spending is now based on borrowing a massive amount of money and NOT through the collection of tax receipts.

Since the primary source of tax receipts in America is from Income, Sales, and Property taxes.....if people are not working, they are not paying taxes.....and in many cases, are draining revenues from the government.

Up until recently, our economy was growing and our deficits were relatively modest against a growing economy......now our deficits are moving into the stratosphere against a rapidly declining tax base.

Instead of focusing on Unemployment figures, Fools should focus on the number of people actually working and the income they are generating.....it is a much clear picture of how our labor force and economy is doing.....and a much easier number to determine as we can simply use tax receipts for confirmation........AND RIGHT NOW TAX RECEIPTS ARE DECLINING BY THE GREATEST AMOUNT IN AMERICAN HISTORY WHILE GOVERNMENT BURDENS ARE EXPLODING.

We are reaching the point where collectively the citzens can no longer afford to support the current system..........even if we are taxed 100% of our income and assets.  And as unemployment rises, asset values will continue to implode making a bad situation even worse.....especially as it applies to Pensions and retirement plans.

You can question Alstry's methodology, but you can't question the facts.....the America as you know it is shutting down under current Zombulation policies as credit is being cut off, interest charged to borrowers rising, and interest paid to savers reduced to practically nothing.  The best confirmation for this perspective is the historic decline in tax receipts and the continued contraction as hundreds of thousands of Americans lose their jobs each and every week.

Granted, part of the purpose of my blogging is to provoke.....but the more important purpose is to drive discourse to the most serious issue facing America since its inception......when we the people can no longer afford to serve the government that was created to serve us..........what are the consequences to our families, life, liberty, and property which includes investments?

Right now, the gap is getting wider and the direction is not very positive....

FDIC Chief Expects 2010 Bank Failures to Exceed 2009

St. Vincent's Medical Center in Greenwich Village NYC , In danger of Closing?

When you can't service interest and cover expenses.....you shut down even if you are a hospital.

4 Comments – Post Your Own

#1) On January 26, 2010 at 12:14 PM, davejh23 (< 20) wrote:

Did Bair really need to come out and say that we'll see more bank failures this year than last?  Just a few weeks ago she announced that they would be doubling staff at the FDIC to manage the "possibility" of increased bank failures in 2010.  I don't see many businesses doubling staff right now on the "possibility" that sales will double anytime soon.  I would bet that bank failures will at least double, and possibly triple.

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#2) On January 26, 2010 at 12:17 PM, alstry (36.32) wrote:

Everybody SCREAMING about Ford hiring 1200 in an IL plant.....

Whooooops!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

Jan. 26 (Bloomberg) -- Verizon Communications Inc., coping with subscriber losses at its fixed-line phone business, plans to cut about 13,000 jobs at the division this year after posting fourth-quarter revenue that missed analysts’ estimates.

13,000!!!!!!!!

One company one time..........

We are losing about 500,000 jobs per week, each and every week, month after month, quarter after quarter, year after year.......

We lost approaching 20% of our workforce last year and income taxes were DOWN over 20% last year.....this year will likely be a LOT LOT WORSE!!!!!!  based on current trends of course.

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#3) On January 26, 2010 at 6:35 PM, blake303 (29.31) wrote:

Because Alstry is unemployed

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#4) On January 26, 2010 at 6:51 PM, truthisntstupid (93.47) wrote:

When I'm the last one that has a job, do I win?

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