The availability of capital is not the issue. The capitalists are holding
onto their money and the nations are going broke. The countries in need of improving their deficits need to tax those with the excess capital and settle their debts.
It is just that simple.
It isn't about confidence either, it is however about comfort!
When the banks imploded in 2008 they took most of the global economies with them. In the USA there was a loss of $1.2 Trillion from its economy in the first year. The Recovery and Reinvestment Act added $787 Billion US back into the economy. There are profoundly understandable reasons why the USA economy is still floundering. Being "short" a half a trillion in stability and growth is a lot of short fall.
As a result of the shortfall the contraction continues and there is more loss to be realized. President Obama knows what he is doing and it high time the Congress woke up to that fact.
Europe needs to increase its taxation and the Western countries need to find reasons at the WTO and the UN to rein in India and China including human rights violations. These countries are practicing a two class system and while there is more chance for a spontaneous Middle Class growing in India; it was noted at the World Economic Forum in Dalian, China there is a five year plan in place now to address of China bringing its impoverished to a status most of the world would recognize as Middle Class. I believe China is beginning to understand how exploitative Wall Street can be in regard to valuing human labor. I expect to see changes in India and China in a few years that will elevate their impoverished and bring equity to global markets regardless of the exploitative character of Wall Street.
In the meantime, the West is going to have to provide incentives for growth of their Middle Class and Small Business. You know, the people that actually love their neighborhood, towns and cities that will make it work for everyone. There really is no other way at this point. Subsidies to small businesses at the cost of taxing windfall capital and loose equity is the best way a country can maintain the integrity of their economies and providing tax breaks to the Middle Class and Poor to facilitate their participation in up-spring small business and local economies. Wall Street is crouching in a corner of comfort and security without an interest in added risk to seek new ventures.
The policies of the Fed have facilitated that posturing of Wall Street and they like it. Bernanke took interest rates to zero and then gave them free money in the way of Quantitative Easing. Now, he wants to further reduce the interest Wall Street pays and quite frankly he does not understand his own clientele. It won't work, there is plenty of capital in circulation and that is not the problem. The EU is looking for more US dollars but that is not an excuse to print more money.
It isn't about confidence either, it is however about comfort!
When the banks imploded in 2008 they took most of the global economies with them. In the USA there was a loss of $1.2 Trillion from its economy in the first year. The Recovery and Reinvestment Act added $787 Billion US back into the economy. There are profoundly understandable reasons why the USA economy is still floundering. Being "short" a half a trillion in stability and growth is a lot of short fall.
As a result of the shortfall the contraction continues and there is more loss to be realized. President Obama knows what he is doing and it high time the Congress woke up to that fact.
Europe needs to increase its taxation and the Western countries need to find reasons at the WTO and the UN to rein in India and China including human rights violations. These countries are practicing a two class system and while there is more chance for a spontaneous Middle Class growing in India; it was noted at the World Economic Forum in Dalian, China there is a five year plan in place now to address of China bringing its impoverished to a status most of the world would recognize as Middle Class. I believe China is beginning to understand how exploitative Wall Street can be in regard to valuing human labor. I expect to see changes in India and China in a few years that will elevate their impoverished and bring equity to global markets regardless of the exploitative character of Wall Street.
In the meantime, the West is going to have to provide incentives for growth of their Middle Class and Small Business. You know, the people that actually love their neighborhood, towns and cities that will make it work for everyone. There really is no other way at this point. Subsidies to small businesses at the cost of taxing windfall capital and loose equity is the best way a country can maintain the integrity of their economies and providing tax breaks to the Middle Class and Poor to facilitate their participation in up-spring small business and local economies. Wall Street is crouching in a corner of comfort and security without an interest in added risk to seek new ventures.
The policies of the Fed have facilitated that posturing of Wall Street and they like it. Bernanke took interest rates to zero and then gave them free money in the way of Quantitative Easing. Now, he wants to further reduce the interest Wall Street pays and quite frankly he does not understand his own clientele. It won't work, there is plenty of capital in circulation and that is not the problem. The EU is looking for more US dollars but that is not an excuse to print more money.
