Recommended Reading: "Pity the Billionaire" by Thomas Frank.

Here is another book by Thomas Frank that explores the crazy political and economic situation we are in now.  Frank deftly explains how after the 2008 economic crash many people expected a return to Keynesian economics.   You know John Maynard Keynes, he basically said that in order to have a strong economy the common folk have to remain employed in order to in turn have the money to spend to pump up the economy and create economic growth.  This has to be done at all costs, even if the federal government has to be the employer of last resort, creating jobs where the private sector just won't.   Of course the government would have to tax the wealthy to pay for all this, and this has now become a taboo topic.

What happened after 2008 was pretty much the opposite the bailout was a supply side solution basically giving money to banks and other financial institutions that were too big to fail.  This of course never trickled down to the common folk an we still have high unemployment today. 

Frank illustrates how adamantly the right-wing yahoos and the wealthy wan to keep the United States on the same course of tax cuts for the wealthy, a government that is shrunk down into an ineffectual peanut, and big business given a wide berth to do what every the hell it wants. 

Recently the Huffington Post had a blended picture of George W. Bush and President Obama calling him George W. Obama to illustrate how the Obama administration is pretty much just a continuation of the Bush administration.  Obama certainly wasn't the agent of change he promised to be.  So are Titanic of an economy is not getting turned around we are just headed for the same iceberg over and over again. 

I wish more people would read Frank's book.   You can buy a copy from Amazon.com here:

Pity the Billionaire by Thomas Frank.

Keep on striking! Walmart workers...

I am so glad to see that Walmart workers are finally taking some nationwide action against their employer. 

The attitude of most employers in America today has become like this:  "Well, you are very lucky to have a job right now, so many people are out of work, so you won't mind if I defecate on your head.  Please bow your head to the ground, while I pull down my pants."

Walmart is notorious for treating its employees in such a fashion and underpaying them.  Walmart's everyday values come at a great price to its workers.  I try to avoid shopping there. I prefer shopping at Target which has a slightly better reputation.  Sometimes you really don't have a choice because your wages are stagnant, and discount stores are usually very convenient and have the best prices, what can you do?

I got a kick out this Jibjab animated video called "Big Box Mart" which sums the situation at Walmart and how the powers-that-be are purposely driving the United States into the ground.  And it does a great job of explaining our current predicament in under three minutes to the tune of "Oh, Suzanna."

Please check it out here:  

http://www.jibjab.com/originals/big_box_mart

It is time that Walmart workers unionize at fight for better wages and working conditions.  And if this eliminates Walmart's competitive edge in the market that's too bad.  Maybe it will make it easier for smaller retailers to compete.  Markets do best when there is competition, right?

What would Apple do? Run a totally protectionist country that's what!

Earlier this month The Wall Street Journal ran an article about how Apple, the corporate computer giant, has more money that the US government and an opinion piece suggesting how Apple would run the United States government since they seem to be doing such a great job in running a profitable company.

First of all it upset me that there is a company, and probably lots of other US companies, that have more money at their disposal than the US government. Can't they pay for all of the wars in the Middle East and leave the US Government out of this?

The opinion piece upset me because the author cited all the things that he thought Apple would do to run a successful country, but he forgot some important aspects of the Apple business model.

Apple's brand is the cutting edge, because they operate in a country that made the cutting edge possible through a high standard of living. Living in the United States has had the same appeal as Apple products, because this is such a great place to live, everyone wants to immigrate here, just like everyone wants to buy Apple products because they can perform like no other products. They are always the first to market with innovative ideas, and the United States has traditionally been the first choice of many citizens of other countries looking to escape their less than desirable living conditions. Therefore, the United States has the cutting edge thing down pat, especially when it comes to quality of life.

The other thing that Apple does so well, which was completely overlooked by the WSJ author was that Apple's business model is totally protectionist. You have to buy all your apps, music, videos, and other content for Apple devices directly through their iTunes store. Apple hardware and software comes directly from Apple. There is no other competition. You buy from the iTunes store and nowhere else. There is no opportunity for free market competition. They set the price they want, they make the profits they want. That is what has made Apple so successful. That, the cutting edge thing, and nothing else.

If anyone dare suggest protectionism for the United States economy, they will be at the very least verbally drawn and quartered by politicians , the media and the wealthy lobbyists that control them. How can you isolate the United States in the new global economy? It would be such a step backward. It would be a step backward for wealthy people who want to bring labor costs down to nothing, and the American standard of living to unimaginable lows.

But this doesn't make any sense, don't you want to protect what you have? The wealthy want to protect what they earned by not paying any taxes. I wish this country could protect what it has through tariffs and limited trade, but Washington will not do this because it has its hands tied by big business and big money.

We must adopt the Apple model of protectionism if this country is to survive, and escape this bottomless pit of recession. Only this will save us.