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Strategies & Market Trends : Mish's Global Economic Trend Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Crimson Ghost who wrote (108916)	2/24/2010 3:31:06 PM
From: ItsAllCyclical	5 Recommendations Read Replies (1) \| Respond to of 116555

I don't see how talking about 1 problem precludes talking about the other. Nor do I see Mish placing a value judgement of 1 over the other in his blog. Of late he has mentioned the unions quite a bit, but it's his blog, his choice. There are plenty of blogs that each have their own niche. Why does Mish have to be everything to everyone? You and I are very much on the same page regarding WallSteet, both political parties, the phony War on Terror, the killing of innocents abroad, AIPAC, etc. You don't have to convince me philosophically. I don't feel the public unions are THE most pressing problem facing us, but I applaud Mish and his efforts wherever he so choose to focus them. We're already hearing about the state budgets being broke, but this will go into overdrive in 2010-2012 timeframe. I think Mish's focus will prove timely. The public knows they've been ripped off by Wallstreet. They don't know (usually) the degree to which public salaries/benefits are out of line w/private salaries/benefits (for similar skill levels). Most of us on SI are far more informed than the general pubic. We also in general probably agree with each other more on the big issues than the general public. Why we snipe at each other over these pts is beyond me, but I guess it just shows the stress everyone is under in this political and economic climate.

To: Crimson Ghost who wrote (108916)	2/24/2010 3:41:57 PM
From: ajtj99	17 Recommendations Read Replies (3) \| Respond to of 116555

You are missing the big picture. This is not small potatoes. In the state of Illinois where Mish lives, the future unfunded obligations of the state pension and retirement medical payments for public union retirees is $25,000 per capita. That does not include the obligations of the city/township and county he lives in. Let's say those obligations are $5,000 per capita for this exercise. If we used private sector accounting to fund these obligations rather than pay as you go, an average household of 2.4 people would have to write a check to the state and local government of Illinois today for $72,000 to bring those obligations current, which they should be. My question to you then is would you yourself gladly write a check for $30,000 to your state and local government to pay for these obligations today, or would you seek reform and/or bankruptcy? If I lived in Mish's town, do you think I'd be happy to write a $150,000 check to pay for this stuff to cover my family's slice of this? In banana republics, public servants are a special class in the social structure. If we want to be so revered, then by all means let's maintain the status quo. As for the banking crisis, that is a separate issue. It should not be linked to this issue, as they are completely different. My guess is there are a lot of teachers who read Mish and are getting defensive because they know they're up next, as their pensions are massively underfunded. The gravy train is derailing, and they're not going to like giving up 25 and out, pensions, medical benefits in retirement, and overly generous current benefits. Sorry, they will. In 1880 76% of people over 65 worked. In 2000 only 16% did. In 1880 the average life expectancy was about 50. In 2000 it was about 83. We're not going back to working all our lives, but the days of spending the last 35 years of your life sitting on your can are as cooked as fried chicken.