Why the economy will continue to down spiral and what we can do to fix it.
The bailout $ was like putting a band-aid on a bullet wound. Whatever side of the political spectrum you are on you can see the realities now of what happens when the band-aid falls off.
The unemployment rate is now rising with no end in sight both political parties have kicked the can so far down the road it makes you wonder if we are in an economic free fall.
We could talk about how the bailout package was poorly put together and how giving so much of the bailout to the banks was a bad idea.
Police, firefighters and teachers are being laid off across the country. As more small businesses and home owners cant pay the rent and vacant shopping stores and houses can be found in every city.
Even with the banks getting unprecedented amount of funds to play with it is harder now more than ever to get a loan as banks sit on the money and play with the tax payer money in other ways than investing in people..
When America was at her greatest is when people could come up with an idea, develop it, and mass produce it making factory jobs for workers in local communities and creating small businesses around the country.
What happen to the ingenuity of our people i still believe it is here though it has been locked away for some people as some major corporations comes into a small town and knocks out the small businesses with better buying power.
Commercial real estate then crumbles as owners cant afford to stay open. It is a viscous cycle that now is coming to fruition. Take enough of the peoples money away and eventually now even the major corporations are feeling the pinch.
The real problem with the US economy is its all about short term gain what can i make next week next month not about long term growth. The best way for America to grow is by making and buying a higher percentage of American products.
If everybody bought 15 % more from the USA then job growth would be through the roof! Though it is hard to blame consumers often they live paycheck to paycheck And buying the cheapest could mean the difference between paying the electricity or not.
Now I'm not saying only buy American that would be unrealistic the rest of the world has too many goods to offer that in the U.S.A. we don't produce like china's alternative medicines, Indian cottons and spices, Colombian coffee, Spanish olives. The list goes on and on..however..
If the American economy suffers then it can trigger world economic instability prime minister Putin of Russia not a big fan of the U.S.A. even said that the housing crisis in the USA led to the slow growth around the world we are more interconnected than ever before..