RANDOM THOUGHT SUNDAY

1. Some people have to learn the hard way, and California is at the front of the line when it comes to needing to learn.

Liberal governance doesn't work. You can't have high taxes, high public employment with high salaries and benefits, and most taxes paid by a small group of the rich, and also have investment, economic growth, and job growth. At some point, the people who invest in growth and job creation pack up and move to Texas.

California is the in process of killing the goose that laid the golden egg with high taxes and a high government burden on the productive. That's why they recently sent a delegation to Texas to learn why so many California companies were moving there. The delegation must have been puzzled by what they saw, though, because California is continuing to follow the same dumb liberal ideas that got them where they are in the first place.

2. The major TV networks are in a death spiral. They re-hash old formats, and then are happy when the results are only a little bit worse than the last time. They are completely unwilling to take any risks, and immediately "fold" when there is the least bit of backlash. It is amazing how fast they have gone from dominating the entertainment industry to being just another of the 100+ TV channels and limitless web resources.

In 10 or 20 more years, the big 3 networks will be remembered just like rotary phones are today.

3. According to the Bureau of Labor Statistics A-1 report, the number of people employed in the U.S. has increased by a grand total of between 300,000 and 360,000 in the last 12 months (the small distinction being whether one looks at the seasonally-adjusted numbers or not). That is 25-30,000 people per month, only a fraction of the 100-125,000 required to keep up with population growth, and barely a speck compared to the millions of jobs lost in the prior few years.

The just released consumer spending report showed no growth in actual spending, because all the "growth" reported was inflation on gas and food.

Hours worked are up less than half of one percent during the last 12 months; wages are up about 2%, but (if my understanding is correct), the bulk of that is from increased benefits (health care) costs, so take home pay is basically flat.

And all these facts are based on government statistics which are inherently "rosy". Outside organizations offering independent perspectives paint a much bleaker picture.

There needs to be enormous pressure every day on Washington and our state capitals to focus on pulling us out of these economic doldrums. We need to educate the people on globalization, national debt, and the other factors contributing to our economic "malaise".

Posted in: US