I came across this tidbit in the news. It did not make the national media scene, but it is too important for them to broadcast. It is about a state bill in Idaho called, the Initiative Bill. It is sponsored by a republican state senator, Scott Grow. It is an example of anti-democracy if I ever saw something of that nature.
Dear Reader, one of the biggest problems in US democracy is the elected government legislators. They feel that they know best. They do not do the wishes of the people who elected them. So much for the BS about servants of the people. Anyway, this is how populism grew. These officials never reveal their true intentions in their campaign promises. This is such an example.
Senator Grow sees danger when the people use grassroot democracy to get a proposal on the ballot. It could be that the people of the state may want lower taxes, a water project, marijuana legalized, etc. Whatever it is, Senator Grow is going to do his best to stop it before it has a chance to become law. His bill is a reactionary effort due to an initiative on state Medicare that was passed by the people in the last election. The people expressed their desire to increase the medical under the act. Senator Grow not only opposes the people, he wants to make it almost impossible for grassroot action in the future.
Old Law
The present law states that any initiative must collect 2% of registered voters during an 18 month period. These are the people with clipboards in front of supermarkets or libraries seeking your endorsement. The reason that they are given such a long period is due to the fact that these grassroot groups have little leadership, organization and money. It takes time. Hey, we are two years away from election 2020 and yet the field grows everyday.
Grow's Law
He would make an initiative seek 5% of registered voters and reduce the time to six months. His friends think that he is too "liberal" in his bill. This is the state government in Idaho.
Mark Twain quote:
"If voting meant anything, they wouldn't let us do it."
His genius gets more relevant everyday.
Called it!
The quote above could be used in the UK. As Sebastian predicted, their government will do what they want and that is not Brexit. They have voted to extend the Brexit plan until they can get a plan that is around the wishes of the people who voted for it.
Lock and Loaded
Weapons and ammo was stolen again from an ATF facility. Do you remember the last time? The ATF head honchos came up with a plan to give automatic weapons and ammo to the drug cartel. Then, they would follow the gun fire to capture them. Idiots!
Now, gangsters just have to walk-in and walk-out with their weapon of choice.
I can see the local election campaign, "Vote for me and we will have security!"
Auto Warning
Interest rates for autos rose from 5.19% in 2018 to the present, 6.26%. It may not seem much, but there are 7 million auto loans that are 90 days delinquent under the lower payment rates. In addition, a survey on consumer confidence reveals that 40 million Americans already believe that they will miss at least one credit card payment and many are paying just the minimum.
The problem as JFL sees it is more car buyers will lease rather than buy. This too on the surface sounds okay until one looks out three years or the term length of a lease contract. Then, millions of used vehicles will be returned to dealers. They will be in conflict with buyers at that time. Also, consider prices. They keep rising to the present average record of over $33 grand for a new vehicle. A cheaper older model or an expensive new model? Future car sales will be impacted for the worse. Not good.
Tariffs Work!
US Steel grew by 60% in 2018. The high paying industry added 25% more workers.
Aluminum grew by 10%.
Keep those results in mind because the trade deficit with China grew by another $34 billion in 2018. People, those are lost salaries and jobs. It puts us into deficits and that is the real danger to America. We lose our ability to be self-sufficient!
More Retail Gloom
Announced store closings for 2019 grew to 4810 locations. Multiply that figure by employees and one realizes the unemployment rate is a sham.
Fed Interview
The only truth out of Powell, the Fed chairman's mouth is the high unemployment of male workers and the dangerous spread of opioids. This is a repeat of the scenario of the 70s. Then, we had women's lib. Women entered the workforce just like today. This movement although worthwhile, was a mask to hide all our lost manufacturing to NAFTA and elsewhere. Men won't settle for a job that does not pay a living wage. This is the same attraction as to why kids will sell drugs. It pays well.
Boeing is Sick!
From time-to-time capitalism suffers from what is right and greed. Boeing has this disease. It intimidated its employees in Seattle to vote a certain way as opposed to what the union thought best for the workers and company. The workers caved. The union was right. Even thought the workers gave what the corporation wanted, it still moved work South into a non-union state. Now, we learn that their 737 jetliner had two safety options that were sold separately. These petty, crooks are like buying a car and told the emergency brake costs extra. Idiots! You sell an item that costs millions. Sell the best product that you can with NO options for a price. You have lost creditability with me.
Mortgage Relief
Housing is getting a break from the Fed's pause on rates. Mortgage rates are the lowest in a year. Right on cue, housing sales burst in February.
Inverted Yield
The dreaded inversion curve in bonds happened last Friday. The rate on a three month note was higher than the 10-year bill. It also showed its ugly face as the 1-year note was higher than the 2-year note. Whenever bonds suffer an inverted yield, a recession soon follows. When it rains, it pours. Germany slipped back into negative rate bonds.
Prediction!
By the next national election our deficit will reach $25 trillion. It got a good start in February as the monthly deficit swelled to a record $234 billion in the shortest month of the year. This kind of reckless spending and allowing outsourcing of labor without taxation will doom our ability to keep the dollar as the world's reserve currency. When, and if this happens, gasoline will cost $7. per gallon. A quart of milk will bust your wallet to the tune of $3 bucks and everything that we buy will double in price. You can thank both the republicans and democrats, the Federal Reserve and greedy capitalist who have the Boeing Disease.
