The dumbing down of America
by
Riley
11/07/2009, 4:51 AM #
Why doesn't the average American see through the many falsehoods and half truths put out by the Republicans?
Example: Since business hire people and create the jobs, it stands to reason if you lower the tax rates on business's and make them more profitable, they will hire more people and reduce the unemployment rate? Sounds like a workable solution right, wrong.
Take any kind of business and you will find that they all live or die because they sell a product or service. Let's take a restaurant, they sell food. Does lowering the tax rate on a eating place increase their profit? Yes it does because taxes are part of their overhead. Does lowering their taxes bring anymore customers through the door so they will be more profitable and increase their business so they will hire, no.
Most business's will only hire when their inventory needs to be increased and they can't accomplish what they need with the help they have.
Another example: A business makes and sells products used in the manufacturing of autos both domestic and foreign makers situated here in America. Will lowering his tax rate increase the amount of products he can sell to the auto manufactures using his goods to build and sell autos? No. The only thing that will increase his business is for the auto makers to sell more autos, and they have been downsizing because the economy stinks
If you really stop and think about it, the surest way to increase most business's sales and profits, is to increase demand for the product or service they sell or perform.
Example: You run a business that cleans peoples homes while both are away working. One gets laid off and the one staying at home sayings they don't need you anymore they will clean the house themselves. Did this situation have anything to do with the tax rate you pay? Of course not it was because the economic situation eliminated your job.
Now, if you agree that the surest way to increase the viability of any business and to increase demand for the product or service he sells,, it's simply to increase demand. If you don't increase demand the business will continue to reduce their work force so they only produce products or services needed to maintain the demand.
I think the only business's that this don't fit is the defense industry. All they need to maintain a demand for their products is wars and rumours of wars. Maybe that is the reason you see so little debate about our expenditures on military matters, because corporate America, like GE which owns NBC makes and services jet engines that power so many military crafts?
I noticed on the news the other night that the credit card companies have been raising the interest rates. One lady, who was several thousand dollars in debt but was making her payments, said her card company raised her rates several times until she was now expected to pay 30% interest rate.
America is reported to have the lowest savings rates of any of the industrialized nations, I wonder why? You have the Federal Reserve keeping interest rates ridiculously low which is intended to stimulate buying, you have credit card companies charging outlandish interest rates for items that you buy and put on your card. You can buy a auto or a house and get excellent interest rates, but you better not buy the furniture or appliances for that house and use your credit card. Isn't it a little like going to the carnival and being offered free admission to a show, only to find you have to pay to get out.
If giving stimulus money to make jobs such as putting people to work maintaining roads, bridges etc doesn't work, why are we spending so much money on the military? If putting money into the hands of consumers so they can go out and buy products made by business's won't work what is the Republican alternative?Have you heard any Republican announce their solution? Just explain to me how putting money in the hands of corporate America is going to create jobs? Pure Bullshit.
I really have no hope for my country. All you have to do to see how smart they think we are is to watch commercials. Many actually embarass me because they seem to be made for imbeciles, although the product will be used by adults.
Maybe this is just a natural way for a country to go. The wolves get smarter and the sheep dumber.