Monday, May 4, 2009

I've been away for a while. Thinking like no other. These days people seldom have time to spend on thought. Thoughts of anything other than their personal life. There is something to be said for altruism which apparently nobody likes to say. Much less practice. But that is another post.

Today I am going to breach the subject of the failing worldwide economy. To me it seems as if a long row a dominoes slowly toppling each other in slow motion.

On Bonuses:

It is absurd in my mind, and I should think most ordinary people would agree, that the people running these failing companies that we hear about (and the ones that don't) hardly deserve bonuses in the millions for their accomplishments. Some of these are passed off as "retaining bonuses". In other words, a sum of money to make sure the person stays with the position and does not opt for a better job. Bottom, most logical line, these people should have been fired as soon as the company started going in the red. Hockey coaches get fired sometimes after only one year of negative results. Ordinary people would be fired if they were responsible (which indirectly they are) for such massive losses in the respective companies. The fact that these people are getting bonuses in the multi-millions while their company is taking a dive says much more about the management of the company than the economic pressures and situation which supposedly brought them to this.

On Bailouts:

The only way a normal average person such as myself could condone a bailout of a company is if I truly believed that it would help the company and the economy as a whole. This is what they have tried to brainwash us with. Government spending in the hundreds of billions and ever trillion(s) is probably the least logical resort in my mind. It is an infusion of money into a system that already has burned all the money it had before through illogical and imperfect transactions and contracts. The problem is regulation as Mr. President Obama likes to put it. But he does not actually begin heavily regulating the bailout process. It has been simply a handout of an insane amount of money to the same people who have ruined their own capital and are now about to use the same (albeit slightly skewed due to Obama Gov. posturing) system that was a failure in the first place. Heavy regulation and a system of responsability and accountability is needed. It is talked about but not actually put into place as fast as one would like to see. The political ramifications and 'red tape' are the things that are impeding this change.

Others who would not truly need a 'bailout' are asking for it simply because they elligible.
Other companies recieve bailouts on the basis that the company will be "bailed out" only for this year and the year after this they will need another infusion of 'bailout' money.

GOLDEN RULE: Any and every company that recieved a bailout should in turn give property worth the same amout of the bailout capital to the government. Meaning the government should own whatever percentance of the worth of the company the bailout money signifies. If it is 100% or more, then the company becomes public and owned by the government.

This should be a golden rule. The implications are not as evil and Marxist as some poeple would have you believe.

This is in my mind essentially a GOLDEN RULE because it is fairly illogical for a company to be asking for government money. (Barring all the recent precedents.) No homeowner was bailed out when he couldn't pay his bills due to ineffective contracts, no small time business has been bailed out due to the insurmountable odds it is up against or its balance sheet. It is simply unfair and illogical to bailout ANY...ANY company.

The necessity arises and therefore we are doing it. Seemingly this is the fastest way out, but this is democracy and it is definitely NOT the fastest way to get out of the economical slump. In fact, is if the fastest way to ensure the economical slump to last for longer. The money spent on bailouts is borrowed money from international banks. This money will eventually have to come out of my, and your pocket. There is any number of things the governments could do to slowly bore their way into our pockets to get this money. It is ridiculous to expect anything more than getting taxed more and making less. This is how that money will be paid back, through the average Joe.

The rich get richer, the poor get poorer. This democratic system cannot work because the masses decide what to do. Not logic. Not REASON.

This has been a rudimentary, non-edited opinionated post. I will be more specific and concise when speaking of this in the future.