Is our system fundamentally broken?
Looking at the current economic outlook from Goldman Sachs
http://www.bloomberg.com/news/2010-10-06/oldman-sa...
it seems like a recovery is far away, regardless of who controls politics. I mean, the democrats and republicans both gave us this recession (repeal of Glass Steagall, Fannie Mae and Freddie Mac-- all of these added up). But given our deficit which we accumulated under Bush and is ever expanding under Obama, does this mean that medicare and social security will need to be heavily reformed? (People will you they are entitlements that pay for themselves, but that's a myth-- both are expected to go bankrupt in the coming decade unless we see much higher SS and medicare tax).
I'm not trying to push a political agenda. I'd love to hear what conservatives and liberals alike think is happening and what should be done to fix it. The deficit is becoming a real problem now, and both parties are to blame. But slashing all these programs would probably make the economy much worse-- so what can be done??
Update:Nick, I actually agree completely with your assessment of Wall Street.
I don't think the end of society or anything is around the corner-- I know things are cyclical, although I don't profess to be an expert on any of this. It's just this cycle seems to be... more unique than others. The neocons neglected the system quite a bit and now we're in a very bad situation.
I'd actually love to hear your recommendations, honestly. Your answer really caught my attention.
Comments
Not yet but BO is still in charge and nothing will change until after November elections. Peace
I disagree with you on the reasons you cited for the economic meltdown.
From my perspective the recession was caused by extreme changes in the business landscape and the recouping of multi-billion dollar IT investments which allow companies to increase productivity while reducing HR staff. The last decade was fraught with corporate scandals and scams behind the scenes and mega mergers out in the open. Meanwhile Wall street aggressively pushing toxic assets into A1 mutual funds at the cost of their clients - while simutaneously shorting those investments for their own personal benefit. On the heels of a technology bubble we endured a housing bubble while our central government focused on military conquest and nation building, also replete with embezzlement and off-books accounting.
In spite of that grim appraisal, the system itself, isn't broken at all. It is just as robust as ever. The money and wealth lost by middle America didn't just vanish into thin air. Your pension or savings went somewhere. In a market for every loser there is an equal or greater winner. The previous neo-con administration successfully accomplished a redistribution of wealth strategy of their own.
But such things are cyclical. The economic challenges we face collectively were common to ancient Romans for goodness sakes! The system itself stays the same in spite of elections or even civil war. This is such a standard reality of civilization that every time some red-faced blowhard shouts "Wake Up" on whatever issue - i am strongly tempted to punch that person in the throat.
That is a big picture assessment. If you wanted my specific response or the recommendation I would make to the OMB - well, I would need to get a lot more information together. You need to get your arms around the black and white numbers and figures first and foremost. There are no silver bullet solutions to national prosperity. There is only sound and transparent business decisions, and each needs to be weighed and respected individually.
Ever since we started adopting fundamentalist progressive ideas we walked further down that path.
>does this mean that medicare and social security will need to be heavily reformed?
Yes thats exactly what it means. Perhaps moving away from a government solution we can work to implement a free market based system (since those seem to actually make profit whereas the government only makes debt no matter how much money they continue to take). Would you rather have your money riding on a govnerment that has NEVER made profit nor even broke even or one based on companies that all make a profit (or go quickly out of business). Seems like a no-brainer.
The system works and has worked for over two hundred years.What is broken are the people that run the system.For many decades now people have gotten greedier and greedier.People use to run for a office,weather local or Federal,because they loved there country,town or State.They wanted to make things better for there families or fellow human beings.But now it seems they run just to line there own pockets.We have strayed from Americas principal ideas and her Constitution.
Yes,Medicare,Medicaid,SS all need to be scaled back.But who among us is brave enough to say and do that.Would be hugely unpopular and who would vote for such a thing,besides me?Reps.Dems,there no different now.Greed,corruption have completely taken over.The only answer to fix these things is we the people.Get back to are core,stop being greedy and get rid of those Politicians who are.
To get back on the right path will be painful,hard gritty work.Many will fall a side the path on the way.But for any kind of future it must be done.The lack of responsibility of past decades now lay on our shoulders.No longer can it be swept under the rug.
I doubt any of 08's canddates will do a damn factor. Legalizing very own use pot and that's LIMTED cultivation might launch hundreds of wasted penitentiary beds. the government ought to difficulty licenses to advance, or only computer screen growinig centers to confirm high quality product, tax the HELL out of like they do cigs and function plenty added money to pay for the illegals, the conflict, the stimulus...regardless of.US government learn have shown which you will no longer OD on pot, you will bypass out in a sugar depleted diabetic "coma". And there ought to truly be rules against working, drving, in college, age limits, and so on. (like alcohol) Shrooms, nicely dude, i've got seen somebody holiday comfortable the F out and he incredibly grew to become right into a threat to human beings. I thnk hallucinogens are somewhat different tale. you could harm or kill your self on a similar time as hallucinating the different drugs ike crack, meth, ice, heron...they should MEDICATE addcts on a similar time as in custody. it incredibly is an habit, that's a psychological illness, which s a medical difficulty. Crime occurs normally to suport a habit, it is treatable MEDICALLY. ok, my I button does not artwork each and every of the time. SORRY i'm an employer supporter of the regulations the Kansas Sentencing fee has applied...therapy as a substitute of criminal college for the criminal. i grew to become into continually for locking 'em up and throwng away the main important till it befell to somebody I knew. the way an habit transformations a individual won't be able to be dealt with with a job interior the penitentiary laundry or any volume of years insde to "think of roughly it" on a similar time as transforming into dependant on the equipment and "institutionaliized".
It will start to get better after 2 November 2010.
Republicans and Dems have successfully pulled the wool over our eyes. That's why I support the TEA. We need to rid the corruption. Make your move now too or it will be too late.l
Fabian Socialists = End of America
I believe it is. Right now they just cover it up and band aid it.