A Detailed Look At The Consumer....

L

libertad

http://www.zerohedge.com/article/detailed-look-stratified-us-consumer

The economy has rapidly moved from 70/70 to 28/70....and is positioned to move to 10/70....because of flawed govt. policy....

As simple as it sounds....govt. must create the framework to grow and not negate the economy....

The mere fact that govt. continues to diminish....and readily plans to diminish further the economy is very telling about the current individuals in influential positions....

As everyone knows ....govt. structure is deeply flawed....

The medical sector of the economy has such lobbying prowess because it is one of the most monied sectors....The medical sector has more lobbyists than any other sector per govt. official....The lobbyist system must be removed completely....

As long as govt. structure stays flawed....so will be the result....
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Govt. policies are causal for the move from 40/40 to 70/70....and is now responsible for 70/70 moving to 10/70....

Govt. policies have to be economically constructive ....not destructive....
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Bank book valuations have to move legitimately higher to negate losses....and cannot be resolved through accounting tricks....
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Bank book valuations can rise dramatically from the result of revamping the tax code and securities exchanges....

A 10/5C tax only.....will provide full employment....and when coupled with a tax free direct access....nongameable.....low transfer cost....universal exchange....will quickly stuff the bank coffers with new labels and high valuations....

One could look forward to a 210/70 economy ....full employment.....more innovation....better wealth distribution....and a dramatically better future for all.....

The US would quickly become the center of talent, innovation, full employment, unmatched by any other country.....

To date the govt. insists on approaching 10/70.....whereas the better idea would be to move towards 210/70....

One has to question this form of illogical action....with illogical legal largesse impositions....

Hence the title....IDIOCRACY.....
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The key takeaway here is INCOME GROWTH. Consumers can save more without spending less (in nominal terms) when disposable incomes grow.

With the amount of slack in the US (and global) labor market it is hard to see a scenario under which employees can ask for higher salaries. Plus taxes won't be cut, rather the opposite. The government will do everything to support GDP, and that likely means deficit spending, new debt and higher taxes.

Aggregate disposable income will neither benefit from salary increases, nor from an employment boom nor from radically lower taxes. To me, that sounds like a "Long Hard Road Out of Hell".
 
Quote from makloda:

The key takeaway here is INCOME GROWTH. Consumers can save more without spending less (in nominal terms) when disposable incomes grow.

With the amount of slack in the US (and global) labor market it is hard to see a scenario under which employees can ask for higher salaries. Plus taxes won't be cut, rather the opposite. The government will do everything to support GDP, and that likely means deficit spending, new debt and higher taxes.

Aggregate disposable income will neither benefit from salary increases, nor from an employment boom nor from radically lower taxes. To me, that sounds like a "Long Hard Road Out of Hell".
More...
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Nope.....

The keypoint here is what will create an economy that will not move towards 10/70.....but will move towards 210/70....
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This....

The government will do everything to support GDP, and that likely means deficit spending, new debt and higher taxes.

Is exactly what moves E to 10/70....
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A 10/5 C tax and corresponding more efficient $ creating innovation is key to move towards a 210/70 E....
does not in any way point towards a Consumer rebirth....quite the opposite....a sustained production rebirth....

Very few have been able to pick up on this....

A 10/5 C tax only points toward sustainability of true "not erroneous solutions"....

Make no mistake....

As you have submitted and understood .....the politcos in office will do the opposite....

Thus the death nell for the US economy....and a guarantee of the movement from a 70/70 to a 10/70 economy....

It is more probable than not.....that movement to the 10/70 economy is a certainty....with the current crop of idiotic politicos.....

The lobbyist system is fatally flawed....
 
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