The big government bubble

[Fransisco]

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[jensend]

i'm sure it's all true or maybe worse. the business news for the last while has been saying that the consumer and governments are all heavily indebted but stock markets are high because businesses have great balance sheets. does this mean there has been a redistribution of wealth already in favor of the business sector and if there has, is it time for another redistribution to get things back in balance?

[Fransisco]

Looks to me like there has already been a huge redistribution from the private sector to the government one. Thats the problem, not the solution.

[Fransisco]

The way to get it back into balance is to cut government spending before the US turns into another Greece.

[jensend]

i agree govt spending has to be cut drastically. does this mean less support for agriculture? why provide food for other nations at a loss? i think the problem is so severe we will see traumatic adjustments. i think if govt's are in debt and corp sector is flush then the wealth has flowed from taxpayers to business. economies will shift wealth back and forth like a pendulum and it's when things get way out of balance (like now) that the direction reverses. wonder how the cwb figures into this?

[burnt]

It's not just below the 49th. We will see the same thing here because the same forces are at work - too much money being paid out for non-productivity.

Huge pensions for former government employees who really produced nothing while they held office. Our federal riding currently sports at least two former MP's who are collecting in the neighbourhood of $80,000/A. in pension. Indexed, so likely more by now.

And down-sized employees getting buyouts that most wage earners can never even imagine.

I was recently told by a family member who works for a large payroll firm about some "professionals" who have learned to position themselves to be in a role that they know will be eliminated. At it's conclusion, the "worker" will collect a 6 figure buyout package. One woman she told me about has done this 3 times in 10 years.

A friend of mine has a family member who has worked at Toronto Metro Zoo for a looong time (30-40 yrs.)and when he retires next year will receive a pension package worth around $5000/mo. That's a lot of school kids admission fees at the gate.

These figures are simply not sustainable. They are symptomatic of a totally greedy society that is acculturated to grabbing as much as possible while they can, knowing all the while that they are acting immorally. The common rationalization is "If I don't do it, someone else will . . ."

The private sector is not much better off with CEO's of bankrupt companies collecting huge packages at termination. Golly, I wonder why the company went bankrupt.

(BTW, Christie in the vid doesn't look like he has missed too many meals either. Hummm . . .)

[Fransisco]

I'm thinking that at some point the ethanol subsidies are going to go on the chopping block. They got a one year reprieve a few weeks ago, but by this time next year it could be a different story.

[wd9]

Corps are holding cash. Its the only thing that protects you when interest goes up and the buck buys more, but there isn't any bucks around.

[Caveo]

If you closed down all the "go offices" (ag) in Manitoba I don't think anyone would notice. Most small towns around here have offices for conservation, developement etc etc. no budgets but staff spilling out onto the street. We have an adult learning centre, three full time staff and two pupils a year... crazzzy