It seems the White House and Dems are living in an alternative universe. The economy is possibly going to break growth records in 2021 if the government will just get out of the way and end the $300 and all the other add on welfare keeping millions from taking jobs. The new proposal to add $6 trillion of new spend is breathtaking. I can't even wrap my brain around that number, nor what they can think they are doing. It is gas on the fire of inflation we are already seeing the start of. In short, it is insanity. If you look at some of the detail, they are adding hundreds of billions to things that are left wing dreams and programs, and massive new regulation ties in with massive new socialist welfare programs. Cradle to grave entitlement programs that ensconce government control of our lives, and programs that reinforce the lack of incentives to work. "Free" child care, more food stamps, low cost housing, on through free college and free medical, and quotas for hiring minorities regardless of skill level.
Then add on that all minorities are now taught they are victims, and are entitled to special treatment, and the whole idea of capitalism and self-reliance gets extinguished. The things that made America great and built this country, are being denigrated, and made to appear as white supremacist thinking. Obama said businessmen did not build this country, government did, and Biden said union workers did. I guess the businesses I started and operated just happened by magic, and the people I employed were the ones who took the risks, and came up with the ideas, and I was just an oppressor undeserving of the money I earned by exploiting the workers. Now I get it after all these years of mistakenly thinking that I actually created jobs and value.
To accommodate such spending, the Fed may never be able to taper. There is no way to raise taxes on the rich sufficiently to pay for this, so the Fed printing money by buying bonds is the only way remaining to finance this destructive spending spree. There is no way the private, nor sovereign markets, can absorb all of this debt financing that would accompany this spending, and the more the deficit grows, the more the dollar depreciates as the debt increases. One can argue that we are now maybe at the point where the Fed can never stop QE, and so rates can never rise much because then if the Fed stops buying bonds, rates rise, and the whole budget explodes in a major debacle, or we become Japan or Italy. It may be that this flood of cash and low interest rates keep the stock market at high levels for a while, until the whole thing becomes a fiscal and monetary disaster. That suggests stay invested in equities for now, but at some point we need to be out and in gold, but not now. If Republicans cannot stop this, we are in for a major crisis one day. The only question is when, not if.
This all means even more inflation, and more stress on low income people who then demand more subsidies to help pay for $4 gas which is what it will be if they keep shutting down oil production as demand rises. Yes -demand rises a lot so they want to reduce supply. Makes perfect sense to someone I guess. Just make everyone buy an electric car, and use more government subsidies to pay for buying those cars. They also ignore that many things, and factory production for many products, relies on oil based chemicals and lubricants for which there is no current substitute. So production costs increase as oil supply reduces, and end user prices increase, creating more inflation, and the need for more subsidies. Round and round we go until it becomes a destructive cyclone.
These programs further the dependency on government of those in the lower classes who are being told that hard work, sacrifice, self-reliance, and striving to get ahead is racist and white supremacist ideology, and should not be the goal. Getting the correct answer in math is no longer the goal in many CA schools to accommodate those who do not do their studies to learn how to get the right answer. They just keep modifying school demands on kids to get to the lowest common denominator-the race to the bottom for the country. This, along with the BLM mantra that full families is a white concept and not to be the goal. Add on that Biden believes all jobs should be union even though unions have been out in most private industry and declining to very little for years. Then to be sure all of this is believed, they teach critical race theory starting in lower grades to demean being white. The racial programs at some companies are indoctrination similar to what is taught in universities today where white managers are being told they are racist even if there is zero evidence of such.
And now Rutgers apologizes for taking a stand against anti-Semitism. What has happened to academia. They have lost all sense of reality and morality. The new anti-Israel mantra now being spouted is a direct result of what they now teach in universities, that Israel is apartheid and an occupier. History and reality of geopolitics is totally absent. I am willing to bet that almost no college students know how Israel was formed after WWII by some British generals sitting around drinking port, and the wars fought since then. I guess professors just ignore "death to America" and rockets indiscriminately shot at civilians. They ignore reality of what Iran is doing, and how critical Israel is to American security.
Twitter bans anything Trump, but allows "Hitler was right". That is really something to be worried about. The number of anti-Semitic incidents per week is now skyrocketing as a result. And the press goes on about right wing posts on Twitter, but not this. Biden is the wrong guy for the job right now. Harris is proving to be the useless smiley face we knew her to be. She just stands around while Joe reads his teleprompter or note cards, and then the two of them run back to their shelters. The fact that they are still trying to do the Iran deal after Gaza, is simply astonishing.
In January I decided to go with the flow, and I bought 8500 shares of AMC just to see what momentum by Reddit is all about. I just got out this past week with a 100% gain in 5 months. What this tells us is you do not have to be smart, nor to pay any attention to if the company is solvent. You just go with the Reddit flow. AMC is not really solvent, and may not be able to avoid BK, but who cares, just buy the stock they tell each other, so they do. In spite of making a great return, it was a dumb investment that I just did for a lark. It is like the food delivery companies. They could not make any profit at the height of the demand for their service in the pandemic, so how can they ever make money now. The whole business concept is stupid in my view. The restaurants will do less, or no, take out going forward, and they will not agree to pay more commission. These stocks are destined for disaster. The same is true for many other of the newly public companies that lose money, and which do not have a solid business plan to make cash flow. We are in Dot Com II, but now there are all sorts of other businesses that make no sense. That is why I stay with real companies, with real brands, real management, with track records of earning real profit over time, and real balance sheets with cash. AMC was just a lark with a miniscule amount of my invested dollars. The idiots in the press now tout that these kiddies on the net who just buy stocks based on no information, have out played the pros. Check back next year and see who was the one out witted. It is like crypto. That is just the modern version of tulips. We just saw what is the real value of crypto- it is whatever the mob decides at any given moment. I hope it goes to $1000 and teaches everyone a good lesson.
93% of all Covid deaths were over 55, and most had comorbidity. 65% of those were over 75. Under 25 was 0.2%. Only 11% of the population caught the virus, and only under 0.2% died, of those 80% were deemed obese. Under 1000 were under 25, and most had other health issues. So there was never any reason to shut schools in person. That was pure union refusal to work. Most of the rest of the world had it right, and schools stayed open in many countries. Now there are almost 63% of over 18 have had one shot, and another 15% +- had the virus and recovered, or were asymptomatic, and 82% over 65 have had the shot thereby massively reducing the risk of disease spread, or any need for masks or limits. A prominent Canadian doc has recently said the tests are not very accurate, so we don't really know who really had it, or not, with any degree of certainty. What we do know is the lockdowns caused more damage than if none had happened and they just protected old and sick people. The kids have been irreparably damaged, and now they are being further damaged by all the racial political theory being forced on them instead of math, true history, science and good English. Thanks to the unions and the left we are producing a generation of under educated kids who are being indoctrinated with left wing concepts.
I have tried to figure out if it is some sort of false group guilt trip, or just total ignorance of true history that is driving this indoctrination we see everywhere now. Slavery was a bad thing, but that ended over 150 years ago, and many people who now live in America, or their ancestors fled here from equally or worse conditions. We cannot accept responsibility for all the bad things that have happened to a long list of various ethnic groups over generations. We all need to take responsibility for our own lives and make good life decisions, and work to earn our place in the world. There is no free lunch for anyone, and the government and corporations are not here to make amends, and pay for people's bad life decisions, or unwillingness to strive to do better. Victimization is an excuse for lack of effort and lack of good life decisions. We have all had set backs in our lives, or bad things happen, or some like me were also discriminated against at some point, but we moved on, and strived to make our own lives, and those around us, better. It is all about culture. Maybe the wealthy who buy into the victim mantra are all feeling guilty for being smarter or working harder and achieving much more. They have nothing to feel guilty about. In most cases we earned it.
BLM is possibly the biggest scam ever perpetrated. One of the founders finally had to resign because her display of wealth with 3 expensive homes was too much to hide, off her salary or draw or whatever from BLM. In 2015 she gave a presentation at Harvard calling for the elimination of Israel. BLM calls for the end of meritocracy, and the end of claims of the benefits of the nuclear family. These are just excuses to claim victimhood for those who made bad life decisions, and who did not study and work hard to get ahead. Yet we have the press, the state department and White House, corporations, schools and politicians praising BLM as some kind of great organization to be honored. On Memorial Day this shows how far down we have traveled.
