Archive for January, 2010
Thursday, January 28th, 2010
Look out Washington State, you might be next. The Kool-Aid drinkers in Oregon have proven that some of the people can be fooled all of the time.
I was very surprised, particularly in the current economic environment, to see that 54% of Oregonians recently voted for $700 million in higher taxes on businesses and what they called the state’s wealthy.
Their highest state income tax rate will rise to 11%, toward the highest in the country, which is New York at 12.6%.
Why is it that Oregonians would duplicate the self-destructive behavior of states like California, New York and New Jersey, who are seeing productive people and businesses leave their state in droves to find more friendly tax and regulatory environments? Phil Knight of Nike called the tax initiative Oregon’s “assisted suicide for business.”
As it turns out, even though the initiative lost in most of the state, it won 71% of the vote in liberal precincts in Portland, bankrolled by a deluge of money from national and local public employees unions. They ran class-warfare ads that suggested that the taxes would be paid by Wall Street bankers, out-of state credit card companies and CEOs. In reality, job creators will be hit most. Or correct that, more affluent people have the resources to move themselves and their businesses out of state if they want to. It’s private employees, left without job opportunities, who will be hit hardest.
Who are the winners of this tax increase? The average pay and benefits package in Oregon for unionized state employees in 2009 was more than $83,000. That’s more than 30% higher than private employees. While private unions have decreased in membership over the past 10 years, public employee unions have grown. Now they are promoting class warfare in order to convince people they are the modern day Robin Hood. Apparently many feel comfortable voting for tax increases they think only apply to others.
In 1787, a Scottish history professor named Alexander Tyler commented on the fall of the Athenian Republic, saying, “A democracy is always temporary in nature; it simply cannot exist as a permanent form of government. A democracy will continue to exist up until
the time that voters discover they can vote themselves generous gifts from
the public treasury. From that moment on, the majority always votes for
the candidates who promise the most benefits from the public treasury,
with the result that every democracy will finally collapse due to loose
fiscal policy.”
Now, in addition to politicians, we need to be concerned about the influence of public employee unions. They are generating more and more political influence. Most don’t understand we are not a democracy. We are a Republic and are supposed to be directed by our Constitution, which limits the role of government and protects individuals against intrusive government power. As long as we don’t forget that, our Republic is safe. When we expect and ask our government to solve our problems, we are in trouble. So, be careful what you wish for.
Tony Larson, Publisher
Tags: business, Economy, government, Oregon, Skagit, Taxes, Tony Larson, Washington State taxes, Whatcom
Posted in Tony Larson | 3 Comments »
Saturday, January 23rd, 2010
How refreshing is it when what you’re thinking manifests itself into the national spotlight? That’s what happened when Scott Brown of Massachusetts was elected as the 41st Republican in the United States Senate, potentially slowing down what was looking like a steamroller Congress, rolling over the American people.
Politics are often local, but people I know of all political stripes have been extraordinarily concerned about the philosophy that is driving policy in Washington, D.C. and the impact this philosophy and policy is having on their lives. The best we can hope for is that President Obama got the message last Tuesday. Wasn’t the message from Massachusetts that Republicans, Independents and even many Democrats think the federal government is getting too involved in their lives? And isn’t the public’s highest priority economic revival and job creation? One thing is clear. We won’t know if Obama received this message by his words. He’s expected to pivot to the economy in his upcoming State of the Union address, but if we’ve learned anything over the past year it’s that we have to focus on his deeds.
So far it doesn’t look promising. The polls must be telling the White House that demonizing Wall Street and bankers still plays well politically, even if the nationalization of health care does not. Obama immediately went on offense, promising strong financial regulation against banks and Wall Street. This initiative is purely political. That’s why it came from the White House and not from the Treasury. How will this improve business and consumer confidence, improve the economy and put people back to work? It won’t. A recent poll showed that 77% of investors believe the Obama administration is anti-business and 80% are not confident in his ability to handle a financial emergency.
Going after Wall Street and banks might have short-term political benefit, but it makes me feel like either they just don’t get what’s most important or they’re back on there quest to take control of as much of the private economy as they can. Just for the record, Wall Street didn’t cause the financial collapse we experienced — government did. What undermined the financial system more than anything else was a fanatical application of rules aimed at getting banks to lend as much money as possible to facilitate homeownership among minorities. An admirable thought, but disastrous policy. Remember the Community Reinvestment Act? The government created the subprime market by compelling banks to make bad loans and urging Fannie Mae and Freddie Mac to cash out the banks by putting more and more of the toxic mortgages on their balance sheets. Despite the huge executive bonuses given out at Fannie and Freddie, I’ve heard nothing about limiting or blocking the proposed expansion of these programs. No mention of reform or regulation.
How is taxing and bullying business supposed to promote jobs in the private sector? Who in his right mind would be hiring in an environment like this, with the government taking control or clamping down on one industry after another and submitting proposal after proposal that will certainly require higher taxes in the future?
People with common sense understand the concept of rewarding what you want more of and penalizing that which you want less of. Either the President and Democrats in congress don’t understand this fundamental truth, which is scary, or they do, which is scarier.
We all need to stay engaged and demand that our elected officials get back to the fundamental common sense approaches that create a strong economy. We must encourage and promote those who believe in the dreams and aspirations of the American People. It is individuals, pursuing their passions and personal interests who will spark economic revival and be responsible for innovative solutions to problems we face. We need less, not more government intrusion. Let’s continue to send that message at the ballot box.
Tags: business news, Economy, Healthcare reform, Politics, Skagit County, Whatcom County
Posted in Tony Larson | No Comments »
Friday, January 22nd, 2010
Businesses looking for some free consulting services might be interested in the Entrepreneurial Studies Program at Western Washington University. Graduate- and senior-level students, working under the guidance of their instructor, get real-world business experience while your business improves its bottom line.
Previous participants include Moka Joe Coffee, Mount Bakery, Bellingham Athletic Club, Board of Certification in Professional Ergonomics, Tippecanoe Boats and many other businesses throughout the region.
For more information, contact Professor John Sands at 360.650.3895, email John.Sands@wwu.edu or visit the Web site at www.cbe.wwu.edu/sands.
Sands recommends businesses respond soon for consideration during spring quarter, which begins March 30.
Tags: business consulting, Northwest Washington
Posted in Uncategorized | No Comments »
Monday, January 18th, 2010
Futurist Mark Anderson shared his 10 predictions for the technology world with the Technology Alliance Group (TAG) on Friday at Whatcom Community College. Anderson is CEO of the Strategic News Service, the first subscription-based online newsletter. In the prediction business for 10 years, his accuracy rate is more than 90 percent, making these 10 predictions ones to watch.
1. 2010 will be the year of platform wars. Anderson predicts a lot of alliance shifting and loads of opportunity for new players, ideas and designs. This is great news for entrepreneurs.
2. 2010 also will be the year of Operating System wars. Whatever your flavor, be watching for upstarts, like Android and Chrome, as well as developments from the established players.
3. All content goes mobile. “If you’re in the content business, you must be thinking mobile,” Anderson said, adding that he predicts 50 percent of all mobile phones will be smartphones a year from now.
4. Mobile apps and mobile content drive micropayments. Whoever comes up with a method to make micropayments easy for mobile devices as well as in the content realm will grab the brass ring.
5. Phones, PCs square off. Whoever can deliver the fully integrated experience will get the reward. Interface design in all-important.
6. A cloud computing catastrophe could limit its growth. Since Anderson first released his 2010 predictions last month, we’ve already seen a couple of examples of this. Most notably, the Chinese government hacked into the biggest of cloud platforms, Gmail.
7. Computing splits between consumer and enterprise. Companies will align themselves with one or the other.
8. Game over for Microsoft – except in gaming. With the one exception, the crew in Redmond has lost the adoration of the consumer.
9. News that survives moves to a subscription model. Micropayments, possibly pennies per story, will be the lifeline for traditional print media delivering online content.
10. Connecting remote data to people and things in real time will lead to great innovations. Imagine the ease at which you’ll glide through your next networking social with a facial recognition app that connects to the bio information of that guy you’re sure you’ve met but can’t place who’s standing next to you.
Posted in Uncategorized | No Comments »
Friday, January 15th, 2010
Rick Larsen was in Bellingham last Friday, and writer Josh Stilts had an opportunity to sit down with the 2nd District Congressman to learn a little bit about his thoughts on the economy and his basketball prowess.
Yesterday (Jan. 14), John Koster of Arlington announced he will run against Larsen for the 2nd District seat.
Q: In a county like Skagit that economically depends on health care, how will the proposed reform legislation affect residents and workers?
A: Health care reform will allow access and affordability. High premiums for small businesses and accessibility for seniors needs to be resolved. We need to establish a national market; insurance companies will see an increase in upwards of 30 million people seeking health insurance. Instead of long lines at the emergency rooms people will be able to see their physician. It’s all about quality versus quantity.
Q: What is your plan to establish renewable industry in Washington’s second district?
A: Economic recovery isn’t going to come as a quick turnaround but it is working. No one believed profits would come from the $700 billion bank bailout but already 15-17 percent is coming back in tax deficits. Banks need to be evaluated and take into consideration what’s behind the loans. We need to create incentives for small-to-medium sized banks so they can make commercial and business loans. Tools like 504 loans, (a program designed to provide financing for the purchase of fixed assets, usually real estate buildings and machinery, at below market rates). For somewhere like Bellingham the Port is essential to future growth and how we transport people and goods will dictate the expansion of downtown Bellingham and help shape the economic recovery.
Q: What needs to be done to better transportation?
A: It’s about reducing congestion. Transportation means jobs. Recent Whatcom Transit Authority bus purchases and open communication has lead to success.
Q: What’s something most people don’t know about you?
A: I play basketball with President Obama and members of Congress and the Senate.
Q: Whose one of the best players?
A: Reggie Love (special assistant and personal aide to the President, who played at Duke University) dunked on us.
Q: What do you get out of being a representative?
A: The opportunity to get up every morning and do something for an area my family and I been a part of for over a hundred years keeps me going.
Tags: Economy
Posted in Uncategorized | 1 Comment »
Tuesday, January 5th, 2010
Europe is a good example of what we can expect with more government. It’s not just higher taxes, rationed healthcare and a lower standard of living. We get all kinds of wonderful intrusions. Later this year, married or co-habiting couples who resort to ‘psychological violence’ during arguments could end up with a criminal record under a new French law. The new law, introduced by French Prime Minister Francois Fillon would see people getting criminal records for insulting their loved ones during domestic arguments. Mr. Fillon said, “it’s an important step forward as the creation of this offense will allow us to deal with situations that leave no visible scars, but which leave victims torn up inside.” That’s just the beginning when you buy into the failed philosophy that government’s role is to solve your problems.
We seem to be moving rapidly in that direction in America. People believe and expect something for nothing from government. In reality, our government is reaching more into our lives and taking away our God given liberties. Recently, a couple from Alabama who home schooled their four kid’s, were arrested on child endangerment charges for failing to register their children with the school district. Many people who own their property cannot do with it what they want without paying fees and gaining approval from government.
Over the past year, we’ve witnessed massive government interventions into the insurance industry, financial industry, auto industry and pending involvement in the energy industry. We’re now awaiting reconciliation by congress of the so called healthcare reform bill that would give our government control and a foot in the door to every aspect of our lives, and for the first time ever (because it’s unconstitutional) they will require every American citizen to purchase healthcare in order to be in good standing as an American citizen.
The Democratic leadership is so confident in getting their bill through reconciliation they are expected to bypass the traditional conference committee process, in which lawmakers from both parties and chambers meet to reconcile differences between the House and Senate versions of a bill. The Associated Press reported that top Democrats in the House, Senate and White House would hash out the final product in three-way talks before sending it back to both chambers for a final vote. This process will be completed by a selected few in complete privacy. Their hope appears to be that the nearly 70% of Americans who oppose the bill won’t be paying attention, or maybe they don’t care. Maybe the stakes are so high for them that it no longer matters what the people want.
Brian Lamb, the CEO of the C-SPAN network wrote the Democratic leaders in the House and Senate in December requesting they open negotiations, including any conference committee meetings, to televised coverage on his network. Despite Barack Obama’s promise to do so, it doesn’t look like it’s going to happen. At the Los Angeles debate against Hillary Clinton last year, Obama said, “that’s what I will do in bringing all parties together, not negotiating behind closed doors, but bringing all parties together, and broadcasting those negotiations on C-SPAN so that the American people can see what the choices are.” Instead, they are even locking out members of their own party who disagree with portions of the bills. Newsflash to fair-minded Democrats… your party has been taken over.
We all need to wake up, pay attention and take action by waking up our neighbors and getting involved. We have allowed corruption in politics to become acceptable. The bigger government gets, the more corruption we get. Now is time to make an important choice. Do we want future prosperity and freedom or do we want to rely on a bigger, inefficient, corrupt and intrusive government to make our choices for us. Now is the time to engage. If you want to get involved, but are not sure where to start, begin by bringing family and friends to the Mount Baker Theatre in Bellingham on February 20th to celebrate the “Defense of Liberty”. It’s a program that will be uplifting and informative and leave you with the unquestionable understanding that many feel the same way you do. Go to http://bhamteaparty.blogspot.com to find out more about the event. You’ll be joining me and about 1500 others who believe we can make a difference.
“All tyranny needs to gain a foothold is for people of good conscience to remain silent.”
—Thomas Jefferson
Positively,
Tony Larson
Posted in Tony Larson | 2 Comments »
|
