Saturday, March 9, 2013

The Dow Jones Industrial Average And The Future Of The Economy.

     The recent recession, coupled with the persistently high rate of unemployment, tends to justify my theory of personal economic success for young people: If your living depends upon having a job, you are in trouble; if it depends upon the stock market, you are home free. I am basing that on the observation that those individuals who control the jobs market tend to be the same ones with a substantial investment in the stock market.
     Now I do not mean to suggest that one should buy into every stock investment that comes down the pike. The usual investing rules apply: diversify, balance income versus growth, keep your eye on the long-term, etc. And of course, have at least a three month emergency fund available.
     But to return to my original theory, as long as the government gives great tax breaks for investing in new equipment, research and development expenses, and other “productivity” investments, the ability to produce more products with less employees is going to continue to expand. And of course, greed at the upper levels of income also figures in to this equation. Computer-aided design, and in particular, computer-aided manufacturing are the watch-words of the day.
     And this brings up a serious scenario: What if it progresses to the point where the employee becomes obsolete? While I doubt that the science-fiction vision in which everything is produced by machine will transpire, I can envision 50%-75% of consumer products being produced without human intervention.
     In today's economy the distribution of resources to the end user is dependent to a large extent upon numerous individuals having jobs. But in tomorrow's world it is not unlikely that the jobless rate will be meaningless because most jobs will no longer exist. On what basis will resources be distributed?
     Think about it.
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     My books, “There Are Only Seven Jokes” and “The Spirit Runs Through It” are available in paperback or Kindle at Amazon.

Tuesday, March 5, 2013

Letters To The Editor.

     I don't know why I do it, but I admit it: I read the letters to the editor in the local newspaper. But on any given day, I have a pretty good idea what I am going to find there:

      35% will be from Republicans castigating the President and the Democrats' stand on the national debt, immigrants, the troops and gun control. (This is a conservative area.)
     25% will be from Democrats praising the President and castigating the Republicans' stand on the national debt, immigrants, the troops and gun control.
     20% will be from people who think we have gone morally astray, and the only thing that will prevent God from wreaking Armageddon on the USA is to turn to Jesus and the Bible.
     15% are from folks praising or ridiculing the governor's plan to privatize the lottery and the state's monopoly on the sale of liquor.
     3% are from folks who wish to thank the unknown person who paid for their breakfast or stopped to help someone in distress.
     2% defy categorization.

      I suggest that the newspaper have a section a la International, Local, Sports, etc. for Comedy. It would include the current comics plus letters to the editor, and oh yes, throw in the columnists. Of course, it would not include any letters that I write.
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      My books, “There Are Only Seven Jokes” and “The Spirit Runs Through It” are available in paperback or Kindle at Amazon.