Six Common Sense Reasons For The Current American Economic Crisis

Without being an economist, here are six seemingly common sense reasons why America is spiralling towards bankruptcy (if it is not already there):

1. Printing money that has no 'substance' behind it which only lessens the value of the American dollar and will eventually raise interest rates and taxes;

2. Fighting too many wars in too many different coutnries that obviously America cannot afford. The only ones making money are those in 'The Military-Industrial Complex'. We don't seem to have heeded Dwight Eisenhower's famous farewell address;

3. Global Capitalism and The Various Free Trade Agreements...This has spelled the disasterous demise of North American Manufacturing Industries as large manufacturing companies everywhere in North America have vacated North America for cheaper labour markets in cheaper countries. This may be great for other countries, it may be great -- or simply necessary in order to compete -- for the large North American Corporations that have left, but it is terrible for The North American work force who have been abandoned by the companies that they used to work for;

4. 'Fish-hook' mortgage deals with 'low front end interest rates' and 'high back end interest rates' (same with credit card bank lenders);

5. Successive American governments that don't know how to -- or are unwilling to -- balance a budget. How can you ask the American people to balance their budgets when the American Government is the worst possible role model in this regard;

6. Dare I say Government and Large Corporation Collusion...Worded otherwise, successive governments that pander to America's largest corporations and corporation owners at the expense of the rest of the American people. Even billionare, Warren Buffet, has said as much.

-- -- dgb, Aug. 11th, 2011,

-- David Gordon Bain
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Billionaire Buffett's call to pay more tax
By Ephraim Hardcastle

Last updated at 8:13 AM on 16th August 2011


Why don’t billionaires offer to pay more tax when those on modest incomes are struggling? America’s most famous investor, Warren E. Buffett, 80, says the wealthy in his country are ‘coddled’ by government – as they are here – and ‘billionaires like me should pay more taxes’. Last year, he paid £4.2million in taxes but reveals: ‘What I paid was only 17.4 per cent of my taxable income.’ He adds: ‘If you earn money from a job, your percentage will surely exceed mine – most likely by a lot.’

Read more: http://www.dailymail.co.uk/debate/article-2026456/Warren-Buffets-New-York-Times-article-calls-US-super-rich-pay-tax.html#ixzz1VCGkDgdt

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