I predict that 2011 will be a boom year for the economy. And this will happen precisely because of gridlock.

Maybe this doesn't seem intuitive, but please stick with me on this one. Point number one, we have massive amounts of capital on the sidelines even as companies generate respectable profits. Why? I say it's because of widespread uncertainty due largely to the Obama agenda of the past 2 years. They are increasing
taxes, employment costs with things like Obamacare and a host
of regulations affecting nearly every aspect of our lives. And more importantly, people are uncertain about where Obama will take tax rates, regulations and energy costs through Cap and Trade.

So I believe the best thing the business community can hope for is gridlock. At least as long as Obama is in the White House. Once the business community sees that the Republican majority in the House of Reps will be an effective counter towards Obama's disruptive influence on the economy, then I believe we will see huge sums of cash pouring back into the US economy resulting in a real boost to both job creation and economic growth.

Quote from: Dan on September 25, 2010, 10:45:44 AM
I predict that 2011 will be a boom year for the economy. And this will happen precisely because of gridlock.

Maybe this doesn't seem intuitive, but please stick with me on this one. Point number one, we have massive amounts of capital on the sidelines even as companies generate respectable profits. Why? I say it's because of widespread uncertainty due largely to the Obama agenda of the past 2 years. They are increasing
taxes, employment costs with things like Obamacare and a host
of regulations affecting nearly every aspect of our lives. And more importantly, people are uncertain about where Obama will take tax rates, regulations and energy costs through Cap and Trade.

So I believe the best thing the business community can hope for is gridlock. At least as long as Obama is in the White House. Once the business community sees that the Republican majority in the House of Reps will be an effective counter towards Obama's disruptive influence on the economy, then I believe we will see huge sums of cash pouring back into the US economy resulting in a real boost to both job creation and economic growth.

I hope so.  It has been kind of depressing lately seeing my paycheck shrink as new taxes pop up. (State and County so far)

Wait till Obamacare forces the states to add about 30 million people to the various state Medicaid programs. That's going to force massive new state taxes to pay for Obama's special brand of largess.

Actually ST, your post brings up another great point. The next natural move of the various tea party organizations is to start attacking waste and gloating at the state and local levels. If we can carry the energy to that level of government then we could right the ship for at least a generation.

Quote from: Dan on September 25, 2010, 10:58:03 AM
Actually ST, your post brings up another great point. The next natural move of the various tea party organizations is to start attacking waste and gloating at the state and local levels. If we can carry the energy to that level of government then we could right the ship for at least a generation.

I would definitely support that kind of action in my state.   Unfortunately, at least at the Governors level, I am truly concerned about our choices here in California.  I want a "real" Conservative not the half-ass one we are being offered.   Excuse the term but I want a Governor with a set of balls.

What we really need is a whole bunch of Jan Brewers mixed with some Sarah Palin and a bit of Mitt Romney.  Now I know Mitt isn't the most popular since he gave Mass. universal healthcare (he's admitted it was a huge mistake) but, the man does know how to run a business and frankely we need a little bit of that knowledge now.

Quote from: Solars Toy on September 25, 2010, 11:06:45 AM

Quote from: Dan on September 25, 2010, 10:58:03 AM
Actually ST, your post brings up another great point. The next natural move of the various tea party organizations is to start attacking waste and gloating at the state and local levels. If we can carry the energy to that level of government then we could right the ship for at least a generation.

I would definitely support that kind of action in my state.   Unfortunately, at least at the Governors level, I am truly concerned about our choices here in California.  I want a "real" Conservative not the half-ass one we are being offered.   Excuse the term but I want a Governor with a set of balls.

Govenor is good, but I'm talking about tea party school board members and county commissioners.

Quote from: Dan on September 25, 2010, 11:27:23 AM

Quote from: Solars Toy on September 25, 2010, 11:06:45 AM

Quote from: Dan on September 25, 2010, 10:58:03 AM
Actually ST, your post brings up another great point. The next natural move of the various tea party organizations is to start attacking waste and gloating at the state and local levels. If we can carry the energy to that level of government then we could right the ship for at least a generation.

I would definitely support that kind of action in my state.   Unfortunately, at least at the Governors level, I am truly concerned about our choices here in California.  I want a "real" Conservative not the half-ass one we are being offered.   Excuse the term but I want a Governor with a set of balls.

Govenor is good, but I'm talking about tea party school board members and county commissioners.

That is true.  If we start there it can only trickle up...

I know that the biggest thing hurting many school districts is poor oversight by the schoolboards. Also, if we rum our cities and counties more effectively and with greater fiscal responsibility, then we can make big strides in cutting public sector workers and allow the rest of us to keep more of what we earn.

Dan, you make some great points.  Who would have ever thought that government GRIDLOCK would be a GOOD thing!  In this case, government gridlock, where no new laws and taxes and regulations get passed, would be the economic stimulus that this country needs.

As the great Ronald Reagan stated, "Government is not the solution to our problem.  Government IS the problem."

If "things" are fixed on the NATIONAL level, it will trickled down to the local level.  Start at the top, and work our way down.  Why? Because the local and state government depend on the FEDERAL government for much of their funding, especially with entitlement programs.

Quote from: AmericanFlyer on September 26, 2010, 10:08:53 AM
Dan, you make some great points.  Who would have ever thought that government GRIDLOCK would be a GOOD thing!  In this case, government gridlock, where no new laws and taxes and regulations get passed, would be the economic stimulus that this country needs.

As the great Ronald Reagan stated, "Government is not the solution to our problem.  Government IS the problem."

If "things" are fixed on the NATIONAL level, it will trickled down to the local level.  Start at the top, and work our way down.  Why? Because the local and state government depend on the FEDERAL government for much of their funding, especially with entitlement programs.

That is true.   We are currently waiting for the State budget to see what will happen to our programs.  If they cut programs at the State and Federal level then we in turn would have to cut programs. 

Interesting thing recently where I am.  Our Community Service programs could no longer be funded by the County, there just wasn't any money.  We already have had other Agencies take over two of the three Programs.  Basically taking the County out of the loop, financially and administratively.   Just goes to show you there are others willing to step in and take over.  Help is there - the Government just needs to get out of the way in some cases.

Quote from: Solars Toy on September 25, 2010, 11:06:45 AM

Quote from: Dan on September 25, 2010, 10:58:03 AM
Actually ST, your post brings up another great point. The next natural move of the various tea party organizations is to start attacking waste and gloating at the state and local levels. If we can carry the energy to that level of government then we could right the ship for at least a generation.

I would definitely support that kind of action in my state.   Unfortunately, at least at the Governors level, I am truly concerned about our choices here in California.  I want a "real" Conservative not the half-ass one we are being offered.   Excuse the term but I want a Governor with a set of balls.

I agree, we do need a hard core conservative for Governor. I just don't think it would be possible with this states entitlement mentality. He once told an audience that what California needed was a guaranteed pay check to every resident because a job was so precarious. So what we have is a RINO and an absolute invirowhacko entitlement loon to chose from. Brown is largely responsible for much of the mess this state is in.  One thing I know for sure, if Brown gets elected, say goodbye to what is left of this once thriving prosperous state. :(
Expect things to get much worse. http://online.wsj.com/article/SB123336500319935517.html

If California doesn't change it's free spending ways, then it will simply run out of cash. Smaller government and less spending will come to California one way or the other.

And this is why the market will go up today. Investors now realize that Barak Hussien Obama cannot hurt them nearly as much going forward.