Money Beat

We have to admit that we may be at the end of the road for Capitalism.

Look, you miss the point if you don't understand or question Buffett. It's very simple really, are you in the market for the long haul or short gains? If you are in it for the long haul then any idiot that understand the economy would tell you, you buy stocks when they are low. NOT when they are high. If you don't have the guts to stick out this market and take some intials losses then you don't belong in the market...buy a wheelchair and sit on the sidelines. But in 10 years when the stocks have more than trippled don't come back crying that you missed the boat. The problem America is we are not patient, we want everything now as though there's no tomorrow. This, and the media no nothings, have caused the problems that we are in today. New Rule...if you don't have at least a PHD in economics you don't get to make comments about the economy. Enough of the blonde bimboes in the news telling us the sky is falling. I know it sells papers but other dumb people are listening to you and taking your dumb advice.

If this is your background and you don't have at least a million in cash in the bank you don't get to report on the economy...bachelor's degree in Russian/East European & Eurasian studies and a minor in economics. Hmm...minor in economics. Is that like basket weaving 101??

Let's just say, "He is beyond my pay grade!".

Let's just say, "He is beyond my pay grade!".

Black man economics now. Old white haired white man go away.

I think this mess is beyond anyone.

Hey dashwan a Black man economics what does that mean? Why do you have to bring race into a serious situation like this?

You ging to buy stock in KFC and FUBU? You going to invest in Gold for your teefs and silver for your Bling, Bling!

Buffet or muppet. whats the difference? No one knows whats going on and least of all everyone who calls themselves an economist or financial expert or a fund manager or a person with a MBA. We are all sitting with a bag containing our retirement savings and it is getting close to empty and we are not knowing what the future is going to be. The government is bailing out every crook on wall street and the people on main street are getting nothing and people are feeling powerless. Que sera sera. Whatever will be will be.

Bob--not the end of Capitalism, but hopefully, the end of spending beyond one's means.

Yes I Do makes good points except one does not need a PhD in Economics to understand the difference between long-term and speculation, rather , a strong stomach. The country could collapse, anything is possible but the chances are greater that it will recover and stocks will advance.

Buffet made money in the stock market over a time when the DOW had unbelievable growth. Anyone who had invested with moderate risk in quality companies would have made a killing. Buffet at least had the insight to throw money at stocks. He is now in the crapper with the rest of us with a lot more to lose. Ron Paul warned of the economic collapse years ago. This is the backside of the inflated bubble, and it is a very steep bubble.

Well, Buffett can stand to lose the money he recently invested. When you have billions it's no big deal. Most of us on the other hand are hurting and our 401K's have taken a huge hit that we can't afford.

The phrase "Long term" in investing commonly means ten years of investment or longer. Warren Buffet and others will very likely be just fine. The author of this article should make some effort to define terms when making references to "long term" and "LONG TERM" (sic.)

IMO, the stock market is just a casino that no one can predict with any certainty. If you look at the S&P 500 at the beginning of this decade compared to where it was even B4 the stock market upheaval in October, any $$ invested in Jan 2000 was basically dead money. Even someone like Buffet can't be consistently successful investing in the stock market so why should your average small investor?

I will NEVER stop believing in the man from Margaritaville.

Andy Gainesville is right Longterm could mean 10 years but may be longer. We may never see growth to the extent we saw and that is besides the point, we expected a steady rise or even a bumpy ride but this is simply catastrophic to the extent that there is no trust in the system like it has forever lost our confidence and no matter what happens politically, someone has taken off with the loot and we are holding an almost empty bag.

What is it about you people who do not understand that "the fundamentals of the economy are strong," and that we are only into a "mental recession." What a bunch of whinners we all are! ;-)

I will NEVER stop believing in the man from Margaritaville.

Posted by: helloworld | Nov 12, 2008 5:10:41 PM

yes and the coral reefers too!

No, I don't beleive in any of these Tycoons. Greed for money corrupts and we are really seeing that now and paying a high price for the greed of congress.

I do hold an MBA but this does not make me an expert but it does give me one up. Someone said here you have to have a PhD to talk about the economy. I disagree. We make the economy hard but it is simple almost to logical. people are whinning due to the knuckleheads leading this parade. We are asking the US Govt to bail out the banks/investment houses while the US govt is trillions in debt. Go figure!its like the 3 blind mice - where the f--- are they going? The time now is right to buy everything, including real estate. Buy low sell hifh - how much simpler does it have to get.

"What is it about you people who do not understand that "the fundamentals of the economy are strong," and that we are only into a "mental recession." What a bunch of whinners we all are! ;-)"

Nearly two-thirds of the US economic activity/vitality is based on the consumer spending. At the present time, consumer confidence is lowest in last 40 plus years. The official national unemployment is about 6.7%, but if you include underemployed (part time job) and those who have given up looking for jobs, the national rate is well over 14%. Anything above 11% is depression, not recession. As in 1932, the new administration has to make big, bold, and smart investment to begin repairing the current situation.

That's Jimmie Buffet stupid not Warren!

i love it LOL

"That's Jimmie Buffet stupid not Warren!"

Too little, too late ABC. For the last year or so, everyone in the main-stream media were touting Buffett's support/endorsement of Obama. I guess we have no choice now but to hope that his presidential endorsement works out better than his recent investment advice...

I want pizza

The man is so out of touch with reality with his $60,000,000,000.00 (which he accumulated under minimal regulation) net worth. I find it ironic that he is now more than happy to have the rest of us pay higher taxes and give more to uncle sam as we try to achieve success. Buffet voted for the socialist, he has no more credibility except with those eagerly waiting for their handouts

NOBAMA in 2012

As the article points out, nearly every Buffet pick this year is a loser. As I think we'll soon find out, his other pick, Obama, will keep his losing track record intact.

Some people go to Las Vegas, knowing full well they will drop a thou or two or even more. Buffet simply chooses a different venue, and one where his losses may actually do others good: there is little cut for "the house" on Wall Street.

Personally, I am heartened that Obama seems to be listening to this man who believes that his fortune obligates him to a degree of responsibility toward his fellow human beings.

Dear Bob at 4:23 PM: I do not believe we are at the end of the road for capitalism. We are at a cross road though. The people have spoken with the last election and we will try Socialism for a while. When Americans realize it produces less, they will have no choice but to come back to Capitalism. Only hope when they do, they abandon John Maynard Keynes Economics (Keynesian)This is the Economics that Wall Street just used and usher in Ludwig von Mises Economics. Abe Lincoln

Dave - Sounds like you don't know Buffet. He lives in an ordinary house in an ordinary neighborhood. He expects his grown kids to make their own way in the world and not live of inheridence from him. He has said many times that he does not understand why the government takes a larger percent of his secretary's income than they do out of his. He volunteers to pay more in taxes and thinks it is wrong for the government not to be fair in how they tax the people. He thinks we should help people suffering in other countries. He thinks we should all be investing now instead of hording our money. And most of all, these are not hollow words because he puts his money to work in these areas.

Thank You, RYAN! When obama was selected, I asked my son to put a big sign out saying NOBAMA! But, we didn't. I thought it would just be more attention to him!

"Buffett invested a combined $8 billion in General Electric and Goldman Sachs, on terms only someone like Warren Buffett could pull off. They have yet to break even."

Buffett's success has ALWAYS been he doesn't freak out over what stocks do in a one-month time frame. That you can even write this sentence suggests you are clueless.

When we hear the term, "the fundamentals of the economy are strong!" It is important to know what that means. One of the factors used is (GDP) Gross Domestic Product and that is up 3%. This in no way is to suggest it is a cure all, but it is important to see the whole picture. Abe Lincoln

Hey Warren, how is that you voted for Hussein but put the bulk of your fortune in the private hands of the Bill and Melinda Gates Foundation? Is this an example of later liberalism at its best? Let the government spread your wealth around, however mine will be spread by private hands. What a hypocrite!!!!

I bought some stocks a month ago and I'm not a millionaire yet. Capitalism must be over.

Well, it's sheep like you people who buy when stock is high and sell when it's low that ultimately help the rest of us make money.

"As the article points out, nearly every Buffet pick this year is a loser"

Well, he didn't pick McCain/Palin, and those are the biggest losers.

Ryan bby - Why do you bring Obama into this discussion? You act like you know the outcome of an Obama administration before he ever take offices. If you have the ability to know the future, why aren't you pointing out how you predicted that a G.W.Bush administration will lead us into another depression? In fact, tell us how many jobs will be lost before Bush leaves office and what the Dow Jones will be on that day. Are you just whining or do you really have this gift?

I dont think eve Buffet can control or fix what is mostly stock holder fear.

If Ryan was that prescient he'd be richer.

Germany 1930s - Are you saying Buffet can't participate in capitalism and also help those not as fortunate? Maybe you have trouble doing that, but almost everyone else and almost every country does both. I have no clue what you mean by private hands. Do you mean your hands or the hands of capitalists or what?

As many have pointed out, stocks are on sale right now at bargain basement prices. Some of their drop in value is justified by the economic situation, but much of it was driven by blind panic a couple of weeks ago. That panic already pushed stocks so low that they were trading well below their real value. They still are. Watch the bounce when people get wind of that fact.

Warren Buffett is a aging hypocrite. Where was this fool 30 years ago calling for higher taxes when he was trying to build his business? These old wealthy guys want a legacy other than just having made a lot of money. Now that they have it, they attack those attempting to create wealth for the next generation. I have no need for Warren Buffet. His days are gone.

" Where was this fool 30 years ago ..." Getting richer than you and I, that's where. So who is the fool?

MikeMo1947 - I mean that Warren does NOT walk his talk. The ticket he supported (Hussein-Biden) believes that one of the roles of government is to "spread the wealth around" by taking it away from the wealthy and giving it to the poor. If Warren sincerely believe that the best way to help those who have less is the tax system, he would have donated the bulk of his wealth to the Federal Government. Now, he knows that the private sector, such as the Bill and Melinda Gates Foundation, is much better helping the poor (and this belief BTW is one of the foundations of the GOP platform), so he gave the bulk of his fortune to them and by that he avoided paying taxes on that wealth to the Federal Governemnt. So yes, Warren is one of the biggest hypocrites of our time.

chuck Nov 12, 2008 4:52:47 PM, what dashawn wrote was not cool at all. but does that make your racist rant noble? race IS a serious situation. and just because we have an African-American president won't end racism. that has to happen in each americans' heart. it just seems like you were waiting for a post about race so you could let loose with the hate. hate won't help the economy or race relations.

Well like many others, my 401K is now a 201K however I'm still optimistic. There are so many great deals out there for those who have a little spare cash to invest. I don't make much but since I don't believe in buying things on credit, things that I don't really need, for example that big huge widescreen TV, there is a little left to invest. Now is that time as far as I'm concerned. Yes the market still may drop more but in the long run we will look back on this timeframe as possibly the best buying opportunity of our lifetime. Cheer up, we are near the bottom. Republican trickle-down voodoo economic theory has been thorougly debunked and more reasonable policies will prevail.

So if you can... Buy Now.

It's funny that those who ridicule Buffet have never been in his position of wealth. Those know-it-alls are probably lucky to have a net worth. People don't seem to question Trump when he speaks so why would they question Buffet? Until you've been in his shoes I wouldn't talk.

You know I never knew how many losers we really have in this world until you read some of these posts!
Ladies and gents read the fine print, in this article the writer states"well for Buffetts recent bets, they have not paid off yet"! Yet is the key word!
If any one knew Buffett and his mastory is that he does not expect to make money one day later,two days later, or even one month later!
Buffett made all those billions by having something most Americans do not have and that is PATIENCE!
Any fool should know that the stock market and the housing market will eventually turn around, and why most small minded scared to death, pessimitics continue to think the end is near people such as myself will be buying shares of GE at $16 and laughing all the way to the bank when they start selling for $54!
Way to go Warren, your my American Hero!
Oh by the way I am young black man who started in America poor and rose out of poverty to become very wealthy!
SO I love our capitilisitic system!

Isn't it odd that so many are crying out for the demise of capitalism?Even high ranking officials of other countries,it makes you wonder if the situation was deliberate or not.Remember folks,the first Billionaires in America happened becuase of the Depression.So folks,buy low ,buy low!!

I, too, am holding on to a 201K hoping it will come back to a 401K in 6 years or less. I hear predictions of 10 to 20 years before it comes back. For me, that will be hard to take as I wanted to retire in 6 years. This is an unprecedented crisis and to say the least, my confidence has been shaken far more than at any other downturn of the market. I just keep telling myself to hold on, but it is getting harder.

My attenna went up when he tried to sweet talk everyone back into the market....after he said derivatives were a ticking time bomb. Way to go Hommy! Stay in the market Buff. I'll throw you a buck at the street light. This economy isn't coming back. I'm surprised he hasn't said buy commodities. I'm sure he secretly has. I'll make a call...buy food! Rice and beans. Fill your garage. I'm expecting the oil nations to start dumping their dollars.(I'm sure they've started already) In trillions and trillions. Happy about low gas prices? They aren't. One orange and one dollar in the boat. Orange worth dollar....11.00 in the boat. Orange worth 1/10 of a dollar. This is not rocket science. It's called super duper inflation.

This is the stupidest article I read today. The whole point is to buy low, and sell high. GE and Goldman Sachs are still strong, solid companies. And with the treasury dept full of Goldman Sachs execs, including Paulsen, the company will get bailed out even if it goes belly up. Of course he didn't make any money yet on the stocks he bought a month ago. He's not a speculator; he's an investor. Terrible article. Absolute rubbish.

Try this, look at Berkshire Hathaway as common sense investing, he buys low and doesn't sell unless he has a damn good reason (and even then he usually sells at a profit). He understands the concept of recession-recovery-growth in the markets.
The bulk of the problems now is that most of the economy is in the tank because of outsourcing/offshoring to the tune of over four to six billion dollars lost from the U.S. Economy on products now made in China instead of here. The profits made by corporations that have moved operations were great in the short term, but long term they've slit their and our throats (you need customers to buy your products, if the potiental customers don't have employment or adequate employment then they cannot buy your products no matter how cheap they are.

bob, if we hit the end of Capitalism, we hit the end of America. Our nation was built on the idea that people have the God-given right to pursue happiness, and I have yet to find a system that gives more chance for success than this one. Monarchy and Feudalism are for the royalty. Socialism punsihes the hardworking successful people and rewards the lazy bums, and so does Communism, only to a higher degree. In Anarchism everybody just goes out and kills each other, and theocracy the priests live it cushy. But Capitalism? True Capitalism? It works the same way that Mother nature does, with the best individuals and businesses surviving and stupid ones dying out. Our government, however is messing with the economical ecosystem like nothing before. This bail-out plan allows businesses that made massive mistakes to go on living on OUR money, and it ruins everything. Why should these businesses take responsibility if they will be bailed out if they fail? There is not one good reason. I think it's ironic that McCain talked about responsibility in a debate, talked about cutting government spending, and then turned around and supported a bail-out plan that will end up spending trillions to bail out irresponsible businesses. It's not as bad as Obama, but it's enough to make me incredibly proud to be Conservative, less so to be a Republican. No, Capitalism is not , it is under seige. It is under siege from the very party which historically has been its defender, it is under attack from Europe, where it originated in the first place, and it is under attack from the very people who reap its benefits every day. Those people are you and me. Americans. Shame to those who are too close-minded and media-influenced to realize all that they have.
P.S. I have signed up to take Economics 101 in High school in two years, and can still hold my own in a debate against people who are in favor of a Socialist system. You don't even need a high school diploma to discuss economics if you are on the right side. Hurray for America!

Anyone thinking that they can keep their money in one place and never see a loss (401K plans) is delusional. Investing is a form of gambling - and a smart person hedges their bets. I am better off financially now in this bad market because I moved my money around to safe havens that still are making money (term deposits and the like), while everyone around me is moaning about the loss of their retirement funds. Don't leave investing up to other people. Check out your options and play the economy - not the stock market. I agree with Mr Buffet: 'when everyone around you is afraid, that's the time to be brave.'

"Yes I Do" is absolutely correct. The best time to buy is when there is complete capitulation. Or right before that. Or right after it. It doesn't really matter if you call the exact bottom. I don't need the money for at least ten years. I'm buying.

"This economy isn't coming back." Bet on that. And you'll be complaining in three years you didn't get on the train.

Germany 1930s - He has been an advocate to increase taxes on the rich, like himself. This is not because he thinks the government does a better job of spending the money, but because he thinks it is unfair that his secretary pays a larger percent of her income than he does. He can take care of this situation on his own, but he knows it goes on all over the nation. It is unfair the rich pay a smaller percent of their income on taxes than middle class. It has nothing to with whether the government should be spreading the wealth, it has to do with taxing everyone fairly.

Reading these blogs I am so happy to learn that so may cab-drivers and waiters know better how to run the country than our elected leaders and know better how to make money than our millionaires.

MikeMo-No matter what you here, you can bet that through FDR and LBJ, the rich are paying a WAY higher percent of their income. You should tax people fairly, (I think it should be a straight income tax on everybody, regardless of income,) but that is not how it is. I am related to somebody who worked hard in high school, got a scholarship to a good college, and went on to get a great job and succeed. He pays more than 50% of his income to the government. HERE THAT?! 50%!!! More than. Because he worked hard, created jobs, and put more services into the market. Does that make sense? I think not. You are right, however, that people should be taxed fairly.

correction-no matter what you HEAR. Sorry, I just don't like to sound like a stupid Communist or anything.

"I am related to somebody who worked hard in high school, got a scholarship to a good college, and went on to get a great job and succeed. He pays more than 50% of his income to the government."

Then he is NOT rich. I run my own company. I know there are dozens of LEGAL ways you can save a lot of money on taxes in corporations and other places. One guy I know who pulls in hundreds of thousands every year pays ZERO tax. His company magically never makes a profit where the tax man is concerned.

Hey, I voted for Obama and as a Christian I am not allowed to gamble (not allowed in stock market) and so have not lost a thing, not looking for a handout, just looking for someones else w/ low risk tolerance to state other obvious - isn't there a way to contain the risks of stock market to those who invest in same? Duh?

Yeah Warren Buffett sang "Son of a son of a sailor" not margarittaville. Geez!

"IF IT BLEEDS IT LEADS" Truer words were never spoken.I think the news media in general should CREATE more positive stories instead of playing the same broken record. Thanks to you and the negativity of the media you are molding the psyche of millions.Why don't you give the statistics of the impact of negativity on the public psyche? Maybe you don't intentionally want to so you can sell more news time.
If you want something to startin a positive way lets talk about HEALTHCARE>
Why don't you start with how many BILLIONS are spent in advertising to the general public.What a joke and what a waste.Why advertise prescription drugs to the public when they cannot get them until they are seen by a doctor or maybe we can eliminate the doctors by placing all those prescription druds in an ATM machine and you could just drive up and treat yourself!
You wanted change well change tour format instead of the same old bleeding!

Patriot: "No matter what you here, you can bet that through FDR and LBJ, the rich are paying a WAY higher percent of their income. "

Warren Buffets comparison of his taxes to that of his $60k a year secretary is documented and public. You're wrong in at least that one case.

And your relative paying more than 50% in taxes to the government is in desperate need of an accountant. If he can't figure out how to protect some cash in a 401k/SIMPLE IRA/etc, donate a bit to charity, pay the dentist/optometrist tax free via a health spending account, etc. etc. then he is CHOSING to pay 50% a year in taxes not required.

And paying 50% a year in taxes is amazingly tough, unless you include all payroll taxes and such. The highest MARGINAL rate is 35%. So, if you made $357,700 last year you were in the 35% tax bracket but only owed the feds $100,604 - a total of 28%. Actually, significantly less since you at least get the standard deduction.

You're 50% claim suggests amazingly poor financial management skills or a very fundamental misunderstanding of the difference between marginal and actual tax rates.

Patriot - We agree that we should be taxed fairly and I don't have any disagreement about the same rate for everyone. An example that most people miss is that those making less than $100,000 pays an extra 12% of all their income toward social security, medicare, etc. Now some may think that is fair since they may need it more than the rich, However, it is not fair because only part of it goes to those functions. A huge share is taken by government to spend on earmarks and other tax breaks for the wealthy. There has been over 3 trillion dollars spent this way from just social security. Also, I disagree with your idea that the rich are rich because they worked harder than everyone else. I know a lot of middle and lower income people that have worked hard and never had the breaks that many of the rich had. There are some like your relative that did get there by working hard, but often it takes more than hard work and intelligence. So of it is good luck in being in the right place at the right time with the right ideas. Finally, I don't know of any income tax bracket that is 50%, so you must be talking about some other taxes that we all forget about, like sales tax, gas tax, property tax, phone tax, license plate fees, hotel tax, etc. I bet we agree that we are taxed too much and government wastes it no matter if it is republican or democrat.

America will not come back from this financial crisis because the democrats will not have the revenue to fund their vast new social programs no matter what the economist from the NY Times thinks. If we spend on wasteful global warming programs and put in vast new taxes on energy consumption, the public will revolt just like they did under Numbskull Carter. The welfare system is a wreck and the only way to get out of this mess is to have full private not public employment and that means no taxes and the democrats have made far too many promises and it will never happen or we will never get out of this hole with democratic social giveaways.

He is as much of a statesman as anything. His words & actions have had a larger cause than short term gains. He is doing is part to help everyone stabilize the confidence we have in the markets. His wisdom will be rewarded in time.

Thanks Warren!!!

buffet is also a human like us so why you should be afraid you mouth also like etc,.

rockychance - I disagree with you on jobs need to come from only private companies. In most cases I would agree, but I also remember that in the great depression private enterprise could not do it alone and goverment came up with many jobs to keep idle hands going and emtpy pockets with a little cash. Also, I don't like the concept that private enterprise are always the good guys. Take a look at the rich corporate executives that take huge shares of the corporate money even when the company is losing money and laying off thousands of workers who had nothing to do with the failure of the company. Some of these executives are crooks, but most did legal things that benefited themselves regardless of the impact on others. In other words, they were greedy.

rockychance: "The welfare system is a wreck "

? After Newt killed the welfare queens in the 90's, I'm a bit curious specifically what you mean by this. I think it is in fair shape and am impressed by how much the rolls have been reduced in the past decade. It's really the shining example of "look - a Republican Congress did something good for the budget once upon a time..." Unless you're a die hard libertarian and think people should be left to literally starve to death in the street.

Admittedly, I'm a novice when it comes to the stock market and the workings of the financial sector. After my father died, I became my mother's POA. I was advised by one of her attorneys to invest her money in a low-risk, conservative portfolio to help cover school and property taxes. That's exactly what I did and she lost $20,000 over this past month. I thought low-risk/conservative meant that you don't gain as much when things are good and don't lose as much when things go bad. I called our financial advisor when I noticed things going south. He kept saying...don't cash out...hang in there. Things will rebound. I listened to him and the roof completely collapsed shortly after that. I trusted him with her savings and regret I didn't take command of the situation. Was he really going to say something like..."Things don't look too good. I advise you to sell and get out of the market before it gets worse."? No! There is a conflict of interest in the current financial advisor/client relationship. Their loyality is with their company first. Their primary concern is their job and career. I feel as though they sacrificed their clients money to save their own necks even when they saw the storm coming. Am I wrong? I welcome your comments.

I think this is a great time to make money. Basically, everything is discounted. The only problem is when you account for the lowering value of the dollar it becomes a much more difficult game to play. I have this book I purchased about 20 years ago and still have it. It says to always invest heavily when there is a Republican president. The economy seems to always be driven down with a Republican in office. And this book was before Bush was in office.

Gabriel: Low risk/conservative should mean that your percentage loss in the past few months is less than the percentage loss of the S&P500. If your loss was greater than the S&P500, or even equal to it, you were not given a low risk portfolio (which will still lose money at times, but should be buffered with bonds to reduce losses).

Selling as the market drops is a classic way to *minimize* your returns. In general, panic selling is a bad idea. Provided your allocation (stocks vs. bonds - the fundamental risk exposure) is right to start with.

"That's exactly what I did and she lost $20,000 over this past month. ... I called our financial advisor when I noticed things going south. He kept saying...don't cash out...hang in there."

As an adviser of mine said: "You haven't MADE money until you cash out. You haven't LOST money until you cash out either." No one is going to cash in ALL their stocks as soon as they hit retirement age. I bought a stock a few weeks ago that is now up 10% and pays a 7% dividend annually. Over three years I'll expect a much better than 21% profit in dividends alone, which gives it some way to drop before I lose money. Also, most of my stocks were bought four years ago. I am still up 20% on what I paid for them. Only idiots buy when it's high and panic when it's low. Now is an opportunity.

"That's exactly what I did and she lost $20,000 over this past month."

$20,000 over what she paid for it or $20,000 from the market high? If it's the former, she needs a better financial adviser.

"America will not come back from this financial crisis because the democrats will not have the revenue to fund their vast new social programs no matter what the economist from the NY Times thinks."

Read your history. The bottom line is you fund people to do something or you fund them to do nothing. Funding them to do something is hardly socialist, it's a classic way to kick start the economy as it did after the Depression (which we are nowhere close to at this point anyway).

"True Capitalism? It works the same way that Mother nature does, with the best individuals and businesses surviving and stupid ones dying out. "

If your child gets leukemia and you can't afford the medical bills that would save him, remember you said that.

"Read your history. The bottom line is you fund people to do something or you fund them to do nothing. Funding them to do something is hardly socialist, it's a classic way to kick start the economy as it did after the Depression (which we are nowhere close to at this point anyway)."

All those measures really kick-started us out of the great depression. It only lasted nearly 15 years. Give me a break. If anything they prolonged it. People need to learn that leveraging up on credit on low interest is NOT capitalism. People & companies need to learn to live within their means--period.

The problem with a flat tax is that it helps to institutionalizes a two tier system, unlike a progressive tax system. Yo