What could be done to create large scale employment?

I'm talking about the de-regulation of businesses that brought us into this recession. Such as the repeal of the Glass Steagall Act that enabled the banks to give out mortgages that they knew would never get paid back. Or the deregulation of commodity markets that allowed investors to hoard goods and mark up prices.

 

Men of Note:
Herman Cain, Paul Tsongas, John McCain, James Carville, Anthony Weiner, Mike Ross, Roy Blunt, Mike Beebe and as always: Ron Paul

Just to name a few.

 

Take care of the rich and everything will be ok? (that's right, we already tried that and saw the results at the end of 2008...)
How about taking care of the middle class and poor?

 

Whats also amusing about that graph is that it does not explain how that money was spent. Simply throwing money at a problem doesn't always fix it.

 

Glass-Steagall was repealed in 1999 by Clinton. Clinton also signed the Commodity Futures Modernization Act that deregulated OTC derivatives.

 

You DO realize that Bush did more to remove restraints, checks and balances than any prior President...right?

 

You do realize I was stating that Clinton repealed glass-steagall and signed commodity deregulation... right?

 

Value the WORK that people do properly (pay them a living wage for their labor)... rather than imagining (or promoting the false notion) that making money with money, is actually 'productive' and particularly beneficial to American society.

Bottom line: Money is NOT more important than 'people'.

 

yes, fully aware of when that all happened. But where was Bush when Wall Street gambled away people's homes and money?

 

So you already knew the deregulation you were blaming on Bush was actually Clinton's doing?

Probably he was busy keeping unemployment under 6 percent (until the dems took control of Congress and made him a lame duck), letting Teddy Kennedy ruin education reform, acting like a democrat signing off on steel tariffs and passing medicare expansion. As I recall Bush did try to get Congress to reform Freddie and Fannie but I'll agree that he didn't do enough in that regard.

 

There is plenty of blame to go around among democrats and republicans. But I certainly don't believe they would dismantle all forms of oversight in order to try and collapse the economies of the world. Which is almost what happened when the economic crisis hit in the fall of 2008. I just think that Wall Street, along with its political ties to Washington, was looking to cash in for a quick buck. And the housing and commodities markets were golden tickets for some quick cash. But the people in charge never bothered to give much thought to what would follow next.

 

No, they wouldn't do that to try and collapse the economies of the world (Though maybe that Soros fellow would) but they would ignore the consequences of their bad policies to buy votes with easy credit. I don't blame Wall Street as much since they're just doing what they do, trying to reduce risk and make a profit. Its the politicians that need condemnation and indictment. If they weren't selling their influence, the crony capitalists wouldn't have such an advantage over free market capitalists and the U.S. wouldn't be in such a bad situation.

 

Despite most mainstream economists claims, we are in a recessionary gap. To combat a recessionary gap, there are three fiscal approaches government can take. The ideal approach that can satisfy both parties, one due to its Keynesian perspective, the other due its Supply Side perspective is to cut taxes. However, unlike the Supply Side approach, which would call for a cut in business taxes, we must cut taxes for everyone, business and individuals. A pure supply side approach would do absolutely nothing to increase aggregate demand and only have short-run benefits for aggregate supply.

 

Wall Street did anything but reduce risk for 10 years prior to the outbreak of this recession. Creating more risk is exactly what brought us here today. Where were you in 2008? The government did not create this recession. They may have enabled the conditions to allow businesses and institutions to get us in this mess, but they certainly did not create it.

It was Wall Street and investors who went wild without any restrictions. The banks created the toxic assets. The ratings agencies made the toxic assets look like they had AAA ratings. And the banks used our money to buy and sell the toxic assets to each other as securities. It was a giant scam that made very quick cash through fees and other profit. Thats how the CEOs were able to give themselves bonuses and golden parachutes even as their banks were filing for bankruptcy, people were losing their homes, and jobs.

Maybe I read your last post wrong, but I don't know how you can say the banks weren't creating risk.

 

Thank goodness you are posting in this thread. Everything else is pretty ridiculous. Of course, if you start a thread about how government can actively increase employment, you are gonna get some loons.

 

Leaders should lead, and part of that is ensuring that mind is paid to the infrastructure of their nation, that needs to be strong, rail, road, etc, etc.

Invest in that, together will large scale affordable housing, and you will create work.

Leaders should be innovators, these guys in office are well paid, and well looked after, the least they can do is come up with some ideas to ensure that work is readily available, in the country they have been elected to Govern.

 

The government created the environment that encouraged banks to make bad loans, the government pressured banks to make bad loans, the government allowed those bad loans to be securitized and sold as bonds and the government bailed out the bankers when the whole scheme went south.

Its standard business practice to try to reduce the risks of doing business. that doesn't mean they're trying to reduce investor risk, only their own.
Wall Street was apparently successful in reducing their own risk as they were bailed out by the government. Why wouldn't they do whatever they wanted if they knew the government wanted them to and knew the government would shield them from any consequences?

 

Very,very,extremely easy.Do what Rick Santorum said and
offer 0% tax burden for Business'.Businesses pay no taxes.
Plus cut Capital gains down to 0% also { temporarily}
Keep all other taxes where they are.Eliminate all Estate taxes
however.Send a message to business and start-up business that
we want Business to thrive and thrive Big time.
purge most all regulations of the last couple yrs. on business and instead
of a Moratorium on Oil drilling put a Moratorium on ALL regulations.
Over regulation is not the answer.
Right there would Immediately & drastically move the Economy
in the right direction.This is the Slowest Recovery on record.
Short of F.D.R's 7 year final recovery.

 

Very,very,extremely easy.Do what Rick Santorum said and
offer 0% tax burden for Business'.Businesses pay no taxes.
Plus cut Capital gains down to 0% also { temporarily}
Keep all other taxes where they are.Eliminate all Estate taxes
however.Send a message to business and start-up business that
we want Business to thrive and thrive Big time.
purge most all regulations of the last couple yrs. on business and instead
of a Moratorium on Oil drilling put a Moratorium on ALL regulations.
Over regulation is not the answer.
Right there would Immediately & drastically move the Economy
in the right direction.This is the Slowest Recovery on record.
Short of F.D.R's 7 year final recovery.

 

That only creates a temporary surge of work for a few years. Then when the building is done, what do they do next?

 

No matter what anyone does, it will be fruitless. Manufacturing will remain in the dumps in this country as long as the housing market stays depressed. Especially new home construction. Just think of how much business and manufacturing and labor depends on a healthy housing market. Renovations. landscaping, addons, furnishings, plumbing, electrical.
It would almost pay to just give the houses back to those that lost them and get the economy back in gear producing all those products.

 

The only thing the government forced onto the banks during that whole crisis were the bailouts. Don't fool yourself dude. Not all of those banks wanted to be bailed out, because some of them viewed it as nationalization of the banks.

Ken Lewis who was CEO of Bank Of America was one of the few that first accepted the bailouts. He believed it was part of his patriotic duty to try and prevent the collapse of our economy by taking the money the government was offering. If you remember correctly, after Lehman Bros went into bankruptcy, BoA merged with Merril Lynch in order to prevent their collapse too. But Merril Lynch was a sinking ship that couldn't be saved. Ken Lewis realized the the merger they had was now also destroying BoA. He was trying to get out of the merger and give back the bailout money to the feds. But for a while the government wouldn't allow it because both the merger and the bailout money was a deal made they made together. And Ken Lewis began to regret he ever accepted the bailout money.

 

1 millionaire, 3 middleclass, 4 low income, and 2 poor, people, decide to order a large pizza. On arrival, the millionaire tells the other 9 people, that he feels he is entitled to 2/3rds of the pizza, since he is a job producer, and so much more successful than they are. The other 9 people object to this, but being civilized, and indoctrinated to believe that wealth=success, reluctantly agree.

The Millionaire, upon seeing no revolt among the other 9 people, then says that although the other 9 people must split up the remaining 1/3rd of the pizza, they will be required to pay for 2/3rds of the cost to make the pizza, including 100% of the delivery cost also. Amazingly, the 9 people, although now very angry, still accept this condition, because they are hungry, and they rationalize that perhaps the next pizza will be divided up more rationally.

But when the next pizza is ordered, the Millionaire says that he should have even more than 2/3rds, and that he should not even have to pay 1/3rd of the cost. He wants to pay only about 1/10th of the cost this time.

Well, John Jameson, decided he had just about enough of the Hawk of Achill. So next day, there was a feast at the Millionaires house, and for some reason, the Millionaire did not appear. In fact, he was never seen again.

 

So of course they now there were 9 left and 1 poor sap thinking "beware of what you wish for". A cautionary tale?

 

Poignant story. But incomplete. 'Then there were 9. One of which says to himself...'I can become what that greedy tenth man was and keep the lion's share of the pizza for myself. Those other fools did nothing so to the victor go the spoils'...providing they have the balls to take on the bird.