Solutions

I saw an excellent comment from "milleniumfalcon" on the Motley Fool's website. The author's comment relates to our current economic crisis. The author promulgates several interesting ideas. For more, see below:

1. Create jobs. More jobs = more tax revenue. The question is how to create them. Well for one, how about truly funding and streamlining the SBA loan process, since small business creates most of the jobs.

2. Invest in new technology. Eventually (and we all know this) oil prices will rise to the point that using it is not economically viable. The time to start this process is now. Turn those old Saturn plants into wind turbine factories. Turn the closed Chrysler plants into solar panel R&D and manufacturing factories. Get into the business of partnering with business, much like large corporations do when they "incubate" a business before spinning it off. Not takeovers, but investments. Part of what an intelligent government does is invest in the items of the future that don't have an immediate payoff. (Like stem cell research, for example.)

3. Invest in education. I am a college professor. Let me tell you, I see the pablum that comes from our educational system and it is not pretty. MOST OF YOUR CHILDREN have pathetic reading skills, sickening math skills, and the creative resources of your average fruit fly. They can't think outside the box, because they haven't learned a bloody thing INSIDE the box. Kill the U.S. Department of Education. Keep that money local, the way ti is supposed to be. Get rid of NCLB: teaching students to take a test is not actually teaching student. (Besides, this [law] has become a racket--states keep lowering standards so students can "pass." If we don't get back to basics, your kids will have exciting careers asking, "Would you like some vanilla in your latte?" (Okay...rant over.)

4. Level the taxes playing field. Under the current tax code, people who labor (you know, work for a living) have a higher tax rate than those who make most of their money through investments. Raise the rates and make them equitable. Let's go back to the 90's tax rates. [Note: I do not agree with going back to the 90's tax rates.] Let's get rid of the $90,000 "cap" on taxable salary for social security. [I do agree with raising the Social Security taxable income ceiling.]

5. Take the idea of a flat tax or a value-added tax (VAT) seriously. It works in other countries, so why not here? It solves a couple of problems. There's no use for an enormous IRS. There are fewer ways to cheat. Make exemptions for the necessities of life only: food, clothing, shelter.

6. Really reform healthcare. As it stands, 50% of healthcare costs are covered by the government, between the Feds and the States. What we need to do is cut the costs of healthcare before adding anyone else to the rolls. How do we do that? There must be downward pressure. Repeal the part of the "drug bill" that does not allow Medicare and Medicaid to negotiate lower prices. Allow the importation of cheaper drugs from countries with good regulatory systems (Canada, Germany, etc.) Allow competition across state lines. (Here in MO, one company has a lock on 87% of healthcare coverage.) Tort reform. And for God's sake, get the fat people on a diet. We lowered smoking rates in this country from 45% in the '60s to 21%. And most of that was done via peer and cultural pressure, not laws. If we can do that with smoking (an addictive habit--I know--I was one of them), why can't we do the same thing regarding the fat b*stards in our populace. Dropping weight = dropping costs. (I know this too, because I was 50 pounds overweight. I lost a lot of it and my blood pressure dropped, my cholesterol went down and I'm generally in better shape. All that and more with no drugs.)

6. Really dice up the defense budget. Bring our men and women in uniform home from Iraq. Seriously. Do we need more tanks? Really? Really? Must we have troops in Germany? Really and truly? Let's stop playing cop and let most of the rest of the world learn some responsibility. (And let the National Guard do its real job to boot. Helping people here after a disaster. We need no more Katrinas.)

7. Rebuild. New Orleans.

I'll shut up now.

I can't remember the last time I read a comment that made so much sense. By the way, when I visited New Orleans, the French Quarter is completely intact. When the author talks about rebuilding, he ought to mention roads, bridges, etc. Otherwise, however, many of his suggestions make sense.

Hank Paulson = Idiot or Just Stupid?

America's recovery plan: cause other countries to spend more and save less.

From former Treasury Secretary Henry Paulson: "[W]hen you look at it globally we have nations in Asia, China, Japan and others that don't have enough domestic consumption. They need to consume more and...save less. And...the only way [is] with direct, very forceful dialogue between nations."

So the plan is to put other countries' citizens in debt? With "dialogue"?

Just when I was starting to get over George Bush II, something like this comes up.

New Interview with Bill Watterson

HERE is the (unfortunately short) interview with Bill Watterson, who created my favorite comic strip, Calvin and Hobbes:

By the end of 10 years, I'd said pretty much everything I had come there to say. It's always better to leave the party early. If I had rolled along with the strip's popularity and repeated myself for another five, 10 or 20 years, the people now "grieving" for "Calvin and Hobbes" would be wishing me dead and cursing newspapers for running tedious, ancient strips like mine instead of acquiring fresher, livelier talent. And I'd be agreeing with them. I think some of the reason "Calvin and Hobbes" still finds an audience today is because I chose not to run the wheels off it.

Also, the Post Office is releasing a Calvin and Hobbes stamp--I can't wait!

Bonus: as of 2010, Watterson lives in Cleveland. I wonder if he's a LeBron James fan. Actually, Watterson attended Kenyon College in Gambier, OH, and he's been in Ohio ever since.

Here's one interesting fact: Watterson designed grocery advertisements for four years prior to creating Calvin and Hobbes.

And for the self-employed out there: "It's surprising how hard we'll work when the work is done just for ourselves." (1990 graduation speech at Kenyon College) I guess the days are just packed, huh? :-)

Lawyers and Depression/Pessimism

From Daniel Lukasik:

Pessimism is seen as a plus among lawyers, because seeing troubles as pervasive and permanent is a component of what the law profession deems prudence. They have to foresee every possible snare and catastrophe. While this might help them be better lawyers, this trait does not always make them happy human beings.

More here. Hat tip to Alison B.

EA Stumbles

What is going on with Electronic Arts? Its stock tanked today, and it doesn't seem able to catch up to Activision. Gaming companies seem to make money when they 1) create internal blockbuster hits like Call of Duty that generate sequels; and/or 2) create online casual games like Farmville, which rely on advertising to make money, not tapped-out or piracy-happy consumers.

I just bought some shares of ERTS. Not much, but a little. Maybe Microsoft will buy them out.

Why Medicare Will Destroy Us

According to financial journalist Steve Kerch, the "55+ age group represents 38% of all U.S. households and is projected to rise every year to be almost 45% of households by 2019." In short, we are inviting fiscal disaster unless we find a way to fix Medicare.

I really hope the younger generation starts having more kids. After all, someone has to pay for all the entitlement programs. What's that? You think it's immoral to pass along bills to an unborn generation? Well, what spending would you cut? The military? It's about 21% of our budget. The latest military budget passed in the Senate with an 80 to 10 margin. Good luck.

P.S. Common sense called. It says it's time for a third party that understands basic math and basic economics.

Reggie Miller Interview: What the NBA Has Lost

HERE is a NY Times interview with Reggie Miller. Reggie was probably my favorite player to watch in the NBA. In my mind's eye, I can still see his incredible series against New Jersey (back when the Nets were legit contenders), and his playoff games against Michael Jordan.

If you haven't seen the Bulls-Pacers playoff series yet, you are definitely missing out. What NBA fan could possibly forget Reggie's eerily similar "Bryon Russell" push-off against Jordan, the game-winning three-pointer, and Reggie's subsequent twirling dance? (By the way, people forget Jordan almost won that game, but his three-pointer at the buzzer rolled in and out.)

I also clearly remember certain games from the Knicks-Pacers playoff series--such as LJ's unfortunate four-point play, which came from an Antonio Davis foul that clearly didn't warrant the continuation. The refs should have called a non-shooting foul, but after the Madison Garden crowd exploded, the refs probably risked a riot if they hadn't called a shooting foul and the three-point basket. The worst part was that Indiana shipped out Antonio Davis, one of the league's best defenders, the very next year, making it look like it was his fault the Pacers lost. In reality, Coach Larry Bird, who was just five feet away from the play, was telling Antonio Davis to "get up on him" and play closer defense, and Davis was just listening to his coach.

In my eyes, only Reggie Miller and Glen Rice were able to get under Michael's skin--and that feat alone is quite an accomplishment. I've copied an interesting section of the interview below:

Q: Are there any talkers left in the league?

A: It’s not the same. Everyone hugs one another now and kisses before jump balls and pats each other and helps them up. It’s a kinder and gentler league. Chivalry is nice and all, but it’s not the same.

I think Reggie just inadvertently explained why the NBA has lost its luster. There are no real rivalries anymore. As Charles Oakley once said, David Stern has "sissified" the league.

In the interview, Reggie also proclaims that LeBron will not be going to New York. I happen to agree, but Reggie seems awfully sure that LeBron won't be playing for the Knicks. I wonder if he has any inside information.

P.S. Although Reggie Miller and Jason Williams (during his Sacramento days) were my favorite players to watch, in real life, if I ever made it to the NBA, I'd be more like Dennis Rodman or Ben Wallace.