Wednesday, May 24, 2017
After eight long, bitter years under Obama, will things go better for entrepreneurs and small businesses now that Donald Trump is in the White House? Once upon a time, America was the best place in the world for those that wanted to work for themselves. Our free market capitalist system created an environment in which entrepreneurs and small businesses greatly thrived, but today they are being absolutely eviscerated by the control freak bureaucrats that dominate our political system. Year after year, leftist politicians just keep piling on more rules, more regulations, more red tape and more taxes. As a result, the number of self-employed Americans is now lower than it was in 1990…
In April 1990, 8.7 million Americans were self-employed, but today only 8.4 million Americans are self-employed.
Of course our population has grown much, much larger since that time. In 1990, there were 249 million people living in the United States, but today there are 321 million people living in this country.
What this means is that the percentage of the population that is self-employed is way down.
In fact, one study found that the percentage of Americans that are self-employed fell by more than 20 percent between 1991 and 2010.
And if you go back even farther, the numbers are even more depressing. It may be hard to believe, but the percentage of “new entrepreneurs and business owners” declined by a staggering 53 percent between 1977 and 2010.
Sometimes I like to watch a television show called Shark Tank, and on that show they make it seem like entrepreneurship in America is thriving.
But the exact opposite is actually the case. In a previous article, I discussed how the number of new businesses being created in the United States has been steadily falling over the years. According to economist Tim Kane, the number of startup jobs per one thousand Americans has been declining for several consecutive presidential administrations…
Bush Sr.: 11.3
Bush Jr.: 10.8
So why is this happening?
As I mentioned at the top of this article, self-employed Americans are being absolutely strangled by oppressive rules, regulations and taxes.
To illustrate this point, I would like to share with you some quotes from an open letter that was authored by a small business owner named Don Chernoff…
#1 I work for myself and have to pay my own medical expenses. Before the “affordable care act” I was paying about $200 per month for a high deductible policy. It was far from perfect but it got so much worse under the “Affordable” care act.
I now pay over $400 a month, my deductible went from $5,000 to over $6,000 and my out of pocket costs for care have skyrocketed.
#2 I have to spend dozens of hours and thousands of dollars for a tax accountant each spring to prepare my taxes because I cannot possibly understand how to do it myself, and I have a master’s degree in engineering.
#3 Many years ago when I quit a perfectly good job to start my own small business, I was shocked to learn that I had to pay both my share and what had been my employer’s share of Social Security.
#4 Between state, federal and local taxes you’ve probably paid 50% or more of your income in taxes, but that’s not enough for politicians.
If you’ve been lucky enough to have created a business you can sell, now you’ll get to enjoy paying another tax on the capital gain from the sale.
This is another reason why we need a conservative revolution in Washington. We should demand that our members of Congress lower tax rates dramatically, completely eliminate the self-employment tax, greatly simplify the tax code and get rid of as many regulations on small business owners as possible.
In fact, if it was up to me I would abolish a number of federal agencies completely.
What we are doing right now is not working. Small businesses have traditionally been one of the main engines of economic growth in this country, but thanks to the left they are unable to play that role at the moment.
It isn’t an accident that over the last ten years the U.S. economy has grown at exactly the same rate as it did during the 1930s.
If we want our economy to be great again, we need to go back and start doing the things that made it great in the first place. If we continue to suffocate our economy, we will continue to get the same results.
And with each passing day, we get more signs that the economy is heading into another major downturn. For instance, we just learned that Sears is closing 30 more stores on top of the 150 that had already been announced…
Sears Holdings, which wasn’t shy when it announced at the start of the year that it is closing 150 underperforming stores, has quietly added at least 30 more to the list.Another 12 Sears stores and 18 Kmarts are among the locations that are closing, from Carson, Calif., to Hialeah, Fla., with most scheduled to shut their doors in July, based on calls to the stores, malls and confirmation in local media.At the start of the year, the retailer pinpointed the 150 stores it said it would close. But it declined this week to provide a list of additional locations that are slated to shut since then, saying that it update store counts each quarter.
In addition, we just learned that new home sales in April were 11.4 percent lower than they were in March…
If you’re surprised by the collapse in new home sales in April, then you’re not paying attention.The 11.4% MoM plunge in new home sales in April was 5 standard deviations below expectations and the biggest since March 2015.
Yes, the stock market is holding up for the moment, but for most Americans the “real economy” just continues to deteriorate. Just because we are at the end of a giant financial bubble does not mean that everything is going to be okay.
The numbers that I brought up in this article are just another example of our long-term economic decline. In a healthy economy, entrepreneurs and small businesses would be thriving. But instead, they are being systematically strangled out of existence by a political system that is wildly out of control.
Credit to Economic Collapse
Tuesday, May 23, 2017
Over The Last 10 Years The U.S. Economy Has Grown At EXACTLY The Same Rate As It Did During The 1930s
Even though I write about our ongoing long-term economic collapse every day, I didn’t realize that things were this bad. In this article, I am going to show you that the average rate of growth for the U.S. economy over the past 10 years is exactly equal to the average rate that the U.S. economy grew during the 1930s. Perhaps this fact shouldn’t be that surprising, because we already knew that Barack Obama was the only president in the entire history of the United States not to have a single year when the economy grew by at least 3 percent. Of course the mainstream media continues to push the perception that the U.S. economy is in “recovery mode”, but the truth is that this current era has far more in common with the Great Depression than it does with times of great economic prosperity.
Earlier today I came across an article about President Trump’s new budget from Fox News, and in this article the author makes a startling claim…
The hard fact is that the past decade’s $10 trillion in deficit spending has produced the worst economic growth as measured by Gross Domestic Product in our nation’s history. You read that right, in the past decade our nation’s economy grew slower than even during the Great Depression. This stagnant, new normal, low-growth economy is leaving millions of working age people behind who have given up even trying to participate, and has led to a malaise where many doubt that the American dream is attainable.
When I first read that, I thought that this claim could not possibly be true. But I was curious, and so I looked up the numbers for myself.
What I found was absolutely astounding.
The following are U.S. GDP growth rates for every year during the 1930s…
When you average all of those years together, you get an average rate of economic growth of 1.33 percent.
That is really bad, but it is the kind of number that one would expect from “the Great Depression”.
So then I looked up the numbers for the last ten years…
When you average these years together, you get an average rate of economic growth of 1.33 percent.
I thought that was a really strange coincidence, and so I pulled up my calculator and ran all of the numbers again and I got the exact same results.
The 1930s certainly had more big ups and downs, but the average rate of economic growth during that decade was exactly the same as we have seen over the past 10 years.
And of course the early 1940s turned out to be a boom time for the U.S. economy, while it appears that our rate of economic growth is actually slowing down. As I noted yesterday, U.S. GDP growth during the first quarter of 2017 was just 0.7 percent.
But you don’t hear any talk like this on the mainstream news, do you?
Instead, they tell us that everything is just peachy.
I often wonder what things would be like right now if Barack Obama and his minions in Congress had not added more than 9 trillion dollars to the national debt. By stealing all of that money from future generations of Americans and spending it now, Obama was able to artificially prop up the U.S. economy. If we were able to go back and remove 9 trillion dollars of government spending from the economy over the past 8 years, we would be in a rip-roaring economic depression right now. For an extended analysis of this, please see my previous article entitled “The Shocking Truth About How Barack Obama Was Able To Prop Up The U.S. Economy”…
But even though we have been adding more than a trillion dollars to the national debt each year, and even though the Federal Reserve pushed interest rates all the way to the floor during the Obama era, the U.S. economy has not grown by three percent or more on an annual basis since 2005.
When you take an honest look at the numbers, there is no way that anyone can possibly claim that the U.S. economy is doing well. The best that you can say is that we have been staving off a complete economic meltdown and another Great Depression, but of course the measures that our leaders have been taking to do this have just been making our long-term problems even worse.
I feel bad for President Trump, because he has inherited the biggest economic mess in U.S. history. When we finally reach the point when it is impossible to artificially prop up the U.S. economy any longer, he is going to get most of the blame, but he won’t deserve it.
It is not going to be possible for Trump or anyone else to fix our system, because it was fundamentally flawed from the very beginning. The Federal Reserve was designed to create an endless spiral of government debt, and since the day it was created the U.S. national debt has gotten more than 5000 times larger and the value of the U.S. dollar has declined by about 98 percent.
If we truly want to fix the economy, the Federal Reserve must be abolished. If I was President Trump, I would look to start issuing debt-free U.S. currency just like President Kennedy did in 1963 as soon as possible.
In addition, we need to push tax rates as low as possible. Personally, I would like to see the day when the personal income tax is completely eliminated and the IRS is shut down. The greatest period of economic growth in all of U.S. history was when there was no income tax and no Federal Reserve. America once thrived in such an environment, and I believe that we can do it again.
Of course we need to also dramatically reduce the size and scope of the federal government. Our founders intended to create a very limited federal government, but instead the left has just kept pushing to make it larger and larger.
Businesses all over America are being strangled to death by mountains of federal regulations, and if we could just get the government off of their backs the business community could start thriving again. There are quite a few government agencies that could be shut down entirely, and I think that the EPA would be a good place to start.
Once upon a time the United States showed the world the power of free markets and capitalism, and if we want to make America great again, we should go back and do the things that made America great in the first place.
But would the American people be willing to go down that path?
Credit to Economic Collapse
Europe, the United Kingdom, and Russia have witnessed terror attacks or attempted attacks every nine days in 2017 on average, analysis of security incidents has revealed.
Since January, around 45 people have been killed by mostly Islamic terrorists, while hundreds have been injured. The only known incident not linked to jihadism in 2017 was the attack on the Borussia Dortmund soccer team by a Russian-German national attempting to profit from short-selling stock in the company.
Attacks and attempted attacks have taken place in Austria, France, the United Kingdom, Belgium, Italy, Russia, Sweden, Norway, and Germany.
Security services in Britain — population 65 million — are known to be tracking 3,500 potential terror suspects or persons posing a threat. Meanwhile Belgium, with its population of just 12 million, is tracking around 18,000 potential jihadists.
A further minimum of 14 terror attacks have occurred in Turkey in 2017, a NATO member country currently being considered for European Union membership.
|Date||Location||Result||Attackerprofile||Name||Fate of Attacker|
|20 January 2017||Austria||foiled||18-year-old was an Austrian citizen of a migrant background||arrested|
|3 February 2017||Paris, France||executed||Egyptian national on tourist visa||Abdullah Reda Refaie al-Hamahmy||arrested|
|10 February 2017||Paris, France||foiled||Four arrests including 16y/o girl||arrested|
|18 March 2017||Garges-lès-Gonesse and Orly Airport Paris, France||attempted||Radicalised French-born Muslim of North African origin||Ziyed Ben Belgacem||dead|
|22 March 2017||Westminster, London||executed||British. Muslim convert||Khalid Masood||dead|
|23 March 2017||Antwerp, Belgium||attempted||Tunisian national||Mohamed R.||arrested|
|30 March 2017||Venice, Italy||foiled||Three adults from Kosovo||Three men and an unidentified minor||arrested|
|3 April 2017||St. Petersburg, Russia||executed||Ethnic Uzbek, Kyrgyz-born Russian citizen||Akbarzhon Jalilov||dead|
|7 April 2017||Stockholm, Sweden||executed||Uzbek failed asylum seeker||Rakhmat Akilov||apprehended|
|8 April 2017||Grønland, Oslo, Norway||foiled||17y/o Russian citizen. Asylum seeker (arrived 2010). MEDIA CLAIM was known to Norwegian security services for having expressed support for Islamic State||unnamed (underage)||arrested|
|11 April 2017||Dortmund, Germany||attempted||An Iraqi (Abdul Beset A) linked to Islamic State arrested, but later found to not be related to the attack. On 21 April, Sergej W., a market trader, was arrested.||Sergej W. Joint Russian-German national||arrested|
|18 April 2017||Marseille, France||foiled||Plot against at least two candidates in the French presidential election||two arrests`||arrested|
|20 April 2017||Champs Élysées, Paris, France||executed||39-year-old gunman known to intelligence services as an Islamist. French national.||Karim Cheurfi/Abu-Yusuf al-Baljiki (“the Belgian” identified via Amaq)||dead|
|18 May 2017||Milan, Italy||executed||Half-Tunisian, half-Italian radicalised. Not on a terror watch list, but known to police for criminality||Ismail Tommaso Ben Yousef Hosni, 21||arrested|
|22 May 2017||Manchester Arena, Manchester||executed||tbc||One (unnamed) male||dead|