It's Political (purely) not Economic

I have been reading "The Forgotten Man" which is a book about the Great Depression in order to better understand what steps were taken, what happened, why it happened and why the United States stayed mired in a Depression for so much longer than other nations.

Here is what I am beginning to understand. Many of these laws are marketed as economic fixes or reforms but are purely designed to be bribes to special interest groups to insure re-election and greater power and control.

The similarities to our current situation is striking and scary. The Wagner Act was a big gift to Big Labor to get the unions on FDR's side. Today we have the "Employee Card Check Act" to create unions where the prospective members do not get to have a secret ballot. Such laws were designed to help unions at the expense of businesses (large and small) so they will end up hiring less employees or simply go out of business which will increase unemployment. If you look at such laws through an economic or mathematical lens is it terrible. Through a political lens it is brilliant.

The TVA was designed as a Public Plan to complete with Private Utilities that generated electrical power for the people at the time. With Public Funding subsidizing the constructions of the power plants (Dams) and many many broken agreements with the power distributors. This pummeled the stock of the utility companies and resulted in many lost jobs. They wanted the government to completely take over the Utility business. Today the Leftists wish to create a public plan to enable to government to take over the health care business. The non-partisan CBO (Congressional Budget Office) shows how the plan will increase health care costs and will increase taxes on small businesses (majority of 1040 tax filers over 200K.) The difference is that the TVA actually did result in lower electrical costs in the end for some end users even with such an unfair advantage of using public funds. The government takeover of health care won't provide any economic advantage for anyone and will decrease the supply of health care providers (TVA at least increased the supply of power when 50% of the country didn't have electric power.) The health care will will ration and lower the supply of health care to the public even not counting the expected doctor loss from long hours, lowered government premiums, increased paperwork costs, and jackpot payout lawsuits from trial lawyers. A true economic lose lose situation but a political win since despite the problems the regime will claim to be helping people afford medical coverage that will no longer be available when your doctor quits.

Taxes under FDR increased to 79% at the highest levels. In addition FDR seriously harmed any type of economic growth by adding inheritance taxes, estate taxes, capital gain taxes, etc. Since most small businesses would prefer to self-finance their own growth from profits reinvested in the business tax increases cripple small businesses to a much greater level than large businesses. Today every spending program that the leftists can dream up they attempt to fund by taxing these same small businesses who today are the job creators for around 99% of all newly created jobs. It's a political calculation that they can tax a minority of the population to REDISTRIBUTE the money via services of government programs that CONTROL an economic segment and reap the votes from the special group receiving the benefit. The economic problems that occur are: Small businesses never get created (not economically feasible to do so in high tax environment), jobs are never created/lost which businesses are not created/cut back/fail. However, what I now understand it that the point is not to make things better for everyone and to improve the economy. It's simply about power and control of the (much poorer now) masses. Strategy- Step 1 vilify Rich/Successful. Step 2. Tax Rich. Step 3- when Rich stop spending/investing/growing business go back to Step 1.

There are economic insurgency steps even average people and small businesses can take to begin to starve the beast that is gaining power and destroying the prosperity and culture of America. I'll try to articulate them in an upcoming series of blogs coming soon. Steps you can take to help your family and accelerate the failing economic (or is it political) policies/initiatives of the current regime.