pat gilbert


This conversation is closed.

Mr Brynjolfsson and Mr. Gordon talks are misleading

Mr Brynjolfsson is ignoring a basic fact, Mr. Gordon wants to change the greatest job creator in the history of the world.

What is important to know about job creation is that jobs are created by small business.

The life blood of business is cash. Investment allows small business to grow. The end of the cycle is caused by over investment.

Cycles are a fact of life, but the Keynesians don't think so which is part of the problem.

Investors are in the prediction business. When the rules of the game keep changing prediction becomes very difficult. Investors put their capital where it is treated best which is obviously not here.

Consider that Sabanes Oxley started in the early 2000's
The CRA came into full flatulence in the mid 2000's
To fix the goverment caused problem they offer us Frank Dodd which will be coming down the pike.
Obama Care was passed in 2009 which will have huge effects on the economy. (Think the UK only worse)

This type of government overreach was the very reason for the great depression.

Jobs will be created when the government stops abusing investors.

Additionally the most damaging government influence is the tax rate

This article illustrates the damaging effect of the tax rate. Not to the evil rich oligarchs or the nouveau riche (Bono) but to the workers, the middle class.

  • May 1 2013: Consumers create demand, not small business. If consumers don't buy, no small business can survive.
    • thumb
      May 1 2013: No they don't.

      The demand for a smart phone was created by Apple

      The demand for a Segway was created before the customer had heard of one

      The demand for electricity was created by Edison showing how it could save labor

      View this for further explanation:
      • May 1 2013: No, the demand comes from the consumer. Consumers can bring any business to bankruptcy and put a stop to any co they want, by not buying that or those products. Co's can advertise all they want, but if the consumer doesn't buy, they go bankrupt. I would ad though, schools make most children into copy and paste buyers.
        • thumb
          May 1 2013: So you would say that the demand is inherent in the customer and that cannot be influenced by the business?
      • May 1 2013: No, its just that in the end, the consumer is always in control, if they are smart enough to understand and use it. Unfortunately, schools and gov try to brainwash them and I must say, they are pretty efficient in what they do. Maybe one day the gen public will realize they can control what they pay.
        • thumb
          May 2 2013: People have an emotional reason for buying ANYTHING. Demand is created by using those emotions.

          E.G. A girl is being sold a wedding dress, a wedding cake, a venue, etc Who has more control the Groom (who does not care), the Bride, or the Father of the Bride, or the vendor? Now this wedding could be cheap or very expensive.

          It is true that girls generally think about this a lot but do you think that demand is not created towards expensive?

          You could get a beater that will get you to and fro or you could get a corvette. It is true that guys think about this a lot but do you think that demand is not created toward the Corvette?
      • May 2 2013: Keeping up with the Jones's is the copy and paste world you explain, but it doesn't have to be. If there is a niche it will be filled. The consumer controls in many things, if they just use their heads. Walmart used its power to get things at their price.
  • thumb
    May 1 2013: "The CRA came into full flatulence in the mid 2000's." Say what?
    • thumb
      May 1 2013: CRA = Community Reinvestment Act

      It was started by Carter and exploited by Clinton. Which came to fruition in the mid 2000s enabled by Congressman Barney Franks and Senator Chris Dodd and Alan Greenspan
      • thumb
        May 1 2013: Thanks, but your word choice I was wondering about is "flatulence". I now know you are using the word in its lesser-known form as a description of empty, pompous, pretentous speech. Bazinga!!
        • thumb
          May 1 2013: Not only that but it also smells
  • May 1 2013: Don't automatically reject the Debono thesis which surprsed me a bit as we Americans are now more extreme in our limited worldview than the French at the time of Franklin. Also, small business is in a sad shape in my country the USA now. Frederick von Hayek noted that the two big problems today in America are corporations and patent law. Don't let a few egomanics steal your thoughts. Finally, when I had a Keynesian course in may MBA - it was a business cycle course.
    • thumb
      May 1 2013: "Don't let a few egomanics steal your thoughts" Say what?
      • May 2 2013: Edward Debono the lateral thinking guru fromMalta pointed out how creative a few Brits have been in one of his books. We have 5 or 6 times as many people as great Britain. I am not sure Americans are as creative as they used to be. But look at computers - On wait look at computers.
  • thumb
    May 1 2013: The government that rules the least rules the best. Due to the feds putting more money into circulation the stock market again took off. With the feds owning millions of homes setting empty, the housing industry states gains. The claims that the job market has shown hiring gains ... the method of calculating this is suspect. Part time jobs with little or no benefits are reported instead of 40 hour employment with benefits. The to big to fail banks ... continue to be the center of the US problems. Socialist program that have become the millstone in the European Alliance is now poised to bring the states to their knees ... 28 states have declared that Obamacare will result in immediate bankruptcy. The Keynesian economics model is doing exactly what it is designed to do ... make big government and total dependence on that system.

    The EU countries that have placed the onus on the rich are seeing the money flee which in turn results in small business start ups impossable and existing small businesses to disappear .... the very backbone of the economy.

    We were given this lessen by Argentina in the early 1900's and yet fail to learn. We see this in the EU and fail to heed the warning.

    IMO, we are facing not only a recession but also a depression and massive inflation and could all arrive at the same time. The most powerful influence in all of this is the Fed. Combined stimuluses, printing of money, and the buying of acid loans (a effort to save banks at our expense) have put us on the very edge of disaster.

    Talks like this allow the sheeple to feel better about ordering another round of koolade.
    • thumb
      May 1 2013: I don't disagree but I was having an argument on another forum of Keynesian verses conservative economics.

      I was hard pressed to produce some statistics that demonstrate that the Reagan tax cut produced economic growth as they said that the growth was from the spending of congress.