What Bugs Me about the Fed...
Is that they are using a blunt tool (hike in Fed rates....simultaneously "scaring" bonds higher)...which has a lot of negative side effects.....the Fed IS attacking prosperity...............INSTEAD of raising margin requirements (should have happened a while ago)...a more effective, direct tool, IMO..
Also, not under the Fed's perusal, BUT...HOW ABOUT SOMEONE, SOMEWHERE coming out for a higher national savings rate, ergo....Teach kids consumer education in high school (Savings 101)....Give the government free billboard space and commercials (I'm not kidding) urging people to save more.........the President using the bully pulpit....whatever it takes.........instead of Americans consuming every salary increase, buying more junk with every 5% rise in stock prices, Americans HAVE to change their spending ways.......In the cold war era......(Consumer) Debt, and our national debt...are as big a "security" issue as any............Some emphasis on re-education of the American public (do we need another gvt. program...looks like that's the only way its going to get done....our culture has decided against doing it on its own)....A permanent rise in the national savings rate is what we need....more than higher interest rates...everytime there is a spike in equity prices...
Hell, while we're at it...eliminate the income tax, and only tax consumption (and quit penalizing savings by double/triple taxing it...)
I am now a candidate for Freeus's mailing list <G>
You've convinced me, BTW, that a Gateway purchase is not the best route....However, Dell should (as best they can) mimic some of Gateway's ideas , especially AOL relationship.....Just tryin' to make conversation.... |
