Arnold’s Ramblings 6-28-2011

It appears that the Obama Administration in its quest to encourage employers to hire more employees has come up with a brilliant new plan. It seems the NLRB (National Labor Relations Board) has passed regulations which now allow any two (2) employees to DEMAND the right to collective bargaining. Previously, the requirement was a majority of employees. With the implementation of this new rule (regulation), millions of jobs will flee out of the country. Just image in any company, a fast food operation two employees get together and demand that instead of minimum wage, they get paid $20 an hour. No more fast food, unless the new bargain menus start at $10 burgers. Or what about any other employees in any company? Soon, the pizza deliveries will come in from Mexico!

Arnold sat down and actually attempted to determine where the US Government could cut spending; so here is Arnold’s partial list and approximate ANNUAL savings:

 

End ALL Federal government subsidies (oil, agriculture, everything) $250 billion (or more)
Either reduce by 90% or have the respective governments pay for military presence (Japan, Germany, South Korea, Saudi Arabia et al) 250 billion (or more)
Privatize the Post Office (the sales price of real estate and assets could be used to reduce the deficit) 10 billion
Sell off unnecessary assets (the sales would generate tens of billions of dollars to pay down the deficit) 40 billion
End all practices with Medicare and Medicaid, which are gouging (ie. diabetic supplies at 10 times retail, wheelchair rentals which would pay for the wheelchair in three months, etc) 200 billion
Significantly reduce various departments, ie. Department of Education, Department of Interior and end duplication of functions 200 billion (or much much more)
Special tax advantages to specific corporations and specific individuals at least 500 billion
Total savings $1.350 billion (or much more)

?  The DJIA is in a trading range.
?  Gold looks higher and should still hit new all time highs.
?  Oil is also in a trading range.
?  The dollar has held the lows and should be much higher if the low holds.
?  Interest rates are still in a trading range; and with the end of QE2, rates should start to rise on the 30 year Treasuries.
?  Real estate continues to fall.
?  The economy is still weak.

Arnold
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Copyright 2011 Arnold’s Ramblings Inc., All Rights Reserved

Arnold Goldin

Prior to 1980, Arnold Goldin worked in various publicly held companies rising to the position of Assistant Corporate Controller of US Surgical Corporation. From 1980 to present, Arnold has served as President of Arnold S. Goldin & Associates, Inc. (and related and associated entities), providing accounting, tax and management services functions to individuals and corporations throughout the United States. Since 2002, Mr. Goldin has also written an e-zine related to geo-politics and finance, which can be found at arnoldsramblings.com.

The views expressed are those of the writer and do not necessarily represent those of BIZPAC Review, its management, staff or advertisers.

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