September 18, 2012

We’re about to begin year two of this blog and I know it’s supposed to be all about my adventures in Colombia but as you know I’m a cat and we sleep 16 to 17 hour a day so if nothing happens in that short period when I’m awake besides eating and pooping I’m sometimes left with turning it over to Jeff so he can fill in the space. Unfortunately this is one of those times so take it away Jeff.

Have you guys ever tried so sit down and think why all the economies in the whorl are in trouble? I have and here’s my take on the situation. I’ll start with the American problem first you have to realize that somewhere along the way we stopped being a Democratic society and became one governed by Capitalism. In the beginning of this country we were growing at an unbelievable pace so if you were forced to pay more for something you didn’t mind it was usually new and it really did make your life better. This went on until after world war one when prices were so inflated that they had no place to go but down and down they went. The period was called the Great Depression and it destroyed a lot of people’s faith in our way of life. FDR the president elect started Government programs to help people earn money to buy food and pay rent. Really he was helping business’s get back on their feet by giving there customers the means to pay for things. Then came Pearl Harbor and World War II the government literally printed money to pay the solders most of whom couldn’t spend it and didn’t get until they were home. They also started factories and employment was at 99%. The war ended and soldiers returned home with money to spend as well as the GI bill, which gave them guaranteed low interest home loans, and the housing boom began. It would eventually crash because of over inflated prices and the fact that labor in America had become too expensive so manufacturing jobs and others began to leave the country for places where 10 dollars a week was a fortune. Here’s where the law of supply and demand gets screwed around a bit. When thing were going good people wanted more in order to get that they had to be paid more so the union s asked for more than the prices went up then people discovered that they could sue and that there were lawyers out there that wouldn’t ask for money up front just  portion of what they got you. So know you prices going up the cost of insuring the manufacturing process goes up but then the demand for some products made here starts to go elsewhere because the product is cheaper. So as I see it the problem is the companies won’t take less profit and cost of living in the US is so high that with companies sending jobs overseas and technology is requiring less manpower to do manufacturing there is less disposable income in the US, more unemployment . There is no quick solution for any of this; we may have to have some sort of population control, we might see our standard of living slide backwards in order to preserve the future of our economical survival. Sense none of these or other solutions I’ve seen are likely to happen in the near future I fear the worst is yet to come and even Mother Nature is starting to get in the act with either not enough or too much rain and sun. I guess it’s time to get ready to protect your own so with that being said I’ll just say thanks for the space Flounder see you tomorrow CIAO.

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