sunset from behind the wire

sunset from behind the wire

Saturday, November 28, 2009

Going out of Business


In the region of California where I live, unemployment rates are over 20%. That's not the speculative rate, taking in those who have been unemployed so long they're off the government's books, the teenagers who have never been employed or the self-employed people who have been driven out of work and don't qualify for unemployment insurance. That's the book rate, which means the real rate is higher.

Many businesses have closed. Very few have opened. Many strip malls are empty with a few stalwarts still trying to grasp at straws. I go to businesses to buy things where I have gone before and they're not there. Sometimes there is a sign. Sometimes no sign at all - they threw in the towel without a whisper. Not even a note.

To hear idiots like Vice President Joe (Slow Joe) Biden speak, 'happy days are here again', but he and his coterie of puffed up, bloated fatcats and Washington insiders must not leave the DC Beltway much. Or, more likely, they simply don't care. Barack Hussein Obama (mmm-mmm-mmm), concerned with himself alone, is even further in the ozone.

Car dealerships that once had a large inventory on the lot, now have half a dozen or a dozen cars floored for customer's inspection as they cope with lack of sales and credit.


I spent the day with friends at their business. I own a piece of that business. These guys are scientists. If you watch the Science Channel on television, you've seen them. They're world class experts at what they do who teach at the California Institute of Technology, one used to be a professor at MIT. They create cool stuff that improves people's lives by advancing the bar technologically. One very small security measure we've completed provides a very inexpensive device that will change the way people are able to secure their homes and property - well it would if we could stay in business. The manufacturers we planned to use have ALL gone out of business - and we could get the work done outside the US but there are export restrictions that extend to manufacturing. Across the board, the little company is going under because of the inability to obtain loans because money is tight. It might go under.

And for every company that fails, people are out of work. Failed companies and the unemployed do not pay taxes. The more the government makes good its promise to tax those evil, rich Americans that make over $250,000 into the poor house, the less likely those evil rich will be motivated to RISK opening businesses and employing people. I mean why bother when Barack Hussein Obama (mmm.mmm.mmm) promises to take what you earn for the sake of social leveling?

One of my best friends has a wife who is a noted computer scientist - and there aren't even any employment ads in AMERICA for her specialty. A number of companies in India have been courting her, but she has no interest in moving to India. I just hired her husband to work for me - he was out of work. He was concerned that maybe, just maybe, they'd have to move to India just to find work. That's the hope and change Dear Leader brought.

Welcome! You're in the ObamaNation!! It's a place of CHANGE that idiots voted for.   It's just one big party here and don't worry about illegal aliens - the Mexicans have gone home because they can't find work either.   

11 comments:

  1. No Hope and No Change left in our pockets.

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  2. LL: I think California is ahead of the curve when it comes to the house of cards collapsing. I used to go ice fishing in northern Wisconsin with a paramedic/fire fighter employed with the City of Santa Monica, CA. He boasted of the piggish union demands that they bulled through the city council for ridiculously lavish retirement pensions, ever increasing salaries, ludicrous work rules, etc. This was about 5 years ago, and I told him this was simply unsustainable.

    He laughed.

    I wonder if he is laughing now.

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  3. California is clearly feeling the bite - and the State is talking seriously about filing Chapter 9 (bankruptcy) to get breathing room on its creditors. California led the nation with out-of-control social programs and generous medical prescription drug programs and medical care over and above that which the feds doled out (MediCal). Now, as Fredd said, the house of cards can't stand.

    The general cost of living in metropolitan areas in California has been excessive for a long time and those costs have not begun to come down because people still owe a great deal on their homes. It's making the foreclosure market boom as people simply walk away.

    However the ripple effect of California circling the toilet bowl will spread. We're all connected.

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  4. This is all true.

    And as CA goes, so goes the nation?

    Can the U.S. file chapter 9 bankruptcy, after all the "stimulus"?

    What will the Chinese have to say about that?

    Would bankruptcy save our children from the mess that our generation of loser liberals have created?

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  5. California's bonds have been devalued to "junk bond" status, which means they pay a great deal for borrowed money. Chapter 9 means a re-org, but it doesn't solve the problems. We need to oust the entire legislature and let Texas make decisions for us...

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  6. Opus, nothing can save us from the results of looser liberals. The likes of Jimmy Carter and the lovable Clintons are still with us. As are those decisions G.W. Bush made in an effort to be "fair" and "bipartisan."

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  7. WOW -- LL, every comment substantive and on-the-money! To me, it just doesn't seem that long ago that California was booming!! Defense contractors, NASA suppliers and silicon valley in general was raking in the revenue! Northern CA agriculture was doing well, and so were the oil fields.

    With the exception of agriculture and perhaps oil, every one of those sectors was dependent upon the government for their prosperity then. I see a huge lesson in that *now*.

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  8. It's not booming now.

    California had a booming agricultural business in the northern San Juaquin Valley until the state legislature decided to save a chub (trash fish) that lived in the Sacramento Delta. As a result of envionazis, they shut off the water and killed 20K jobs and who knows how many millions of dollars in produce.

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  9. LL, those little chubs better be good eating 'cause we may all be collecting them in nets soon.

    Luckily for all of us, Obama and the CA Legislature have turned the corner. They told me so. Happy days are here again.

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  10. This is what happens when people mistake politics for real life.

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  11. How can you blame a president who has been stonewalled by congress and the senate, and who has only occupied the office in such a short span? The change you have is from W. The unemployment books during that administration (Cheney's call, I believe) were fixed, that is why their rates aren't comparable to other years.

    Listen, I share your discontent with politicians. That's the American way. But please heed caution to where you throw stones. Hatred, hastiness, haughtiness won't serve the means and won't bring forth prosperity.

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