U.S. economy stalls in first-quarter, but fundamentals still sound

Comments (20)
layofflist wrote:

Funny! It’s been chilly this April in the NE, so that is going to slow economy??? It now has to be sunny and 75 for the economy to work properly???? What a joke…..

Apr 30, 2014 7:47am EDT  --  Report as abuse
morbas wrote:

Disposable income is required to spur the economy.
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On issue I have is that we the people consumers pay corporate taxes as product cost overhead. The executives are allowed huge profits, that these are relatively untaxed. This is an incentive for unrestrained wealth disparity. And this is causal for economic failure. My point is that corporate ill temperament is fundamentally incorrect, we need only regulate wealth inequality.
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SAFA Moteharrei released a macro model on achieving a stable economy ‘A Minimal Model for Human and Nature Interaction’ Nov 13,2012. Instability is associated with unrestrained wealth disparity. Stability of that model was achieved by holding down ultra wealth growth.
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Idealized further, that since corporate control is Oligarchical, it is an opponent against Democracy and should be declared separate. Democracy is of by and for the people in opposition of old world fiefdoms of class rule. That this principle is fundamental to our democracy 1) ‘in order to form a more perfect union’, 2) ‘to establish justice’, 3) ‘to insure domestic tranquility’, 4) ‘to provide to common defense’, 5) ‘to promote the general welfare’, and 6) ‘to secure the blessings of liberty for ourselves and our posterity.’
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Therefor, all should be held responsible in support of our union in an equal burdensome manner. Thus we should avoid subsistence taxation, as that is the most egregious burdening when not equal to all people.
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The present tax structure favors wage disparity, by taxing subsistence wage.
One issue I have is that consumers pay business burdens through product cost overhead. The executives are allowed huge profits, which are relatively untaxed, and that are a major business burden. This an incentive for wealth disparity, that can be self regulated by a graduated taxation at margin above subsistence wage. The Income Tax Act of 1913 represents the best approach of combining all income into a non-exempt graduated tax base. This was sufficient to generate a roaring twenties economic plateau. Separation of Corporate and State is needed to shield against oligarch subversion of the peoples Democracy.

Joint on the order of 80%+
Single on the order of 84%+
This is the rub, the rates need to be polished to insure that the more you make, the more you take home. That is a compromise, but you know, the rich wanted a flat rate…so I leave that calculation to the FED and IRS. (90% is not reached until joint 860k year, or single 830k year).
Note: 1954 through 1963 the top rate was 91.5% at $400k year.
Clearly there were exemptions which reduced the effective rate, and these increased to the point of ridiculousness, where-in the principle and effective rates both became regressive as they are today. Like it or not, these are the numbers required to boost revenue to zero deficits. Monetary policy is not zero sum as shear currency demand must be increased with demand, else currency increases in value. The point of a stable currency is in the industrial interests for fair exchange of specialized work with all common goods.
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Everyone think they are paying just about the right level of taxation. Guess you like to pay the ultra rich tax burden, and they think that is good and just.

And what of offshore corporate holdings of $2Trillion dollars to avoid federal taxes, the taxes we as the consumer(s) have paid!
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I am no patsy!
morbas(i)

Apr 30, 2014 8:41am EDT  --  Report as abuse
John1980 wrote:

Weather, weather, weather, lies, weather, weather, hope, weather, weather, weather..

Apr 30, 2014 8:49am EDT  --  Report as abuse
John1980 wrote:

Trillions in Quantitative Easing and years of ZIRP have led us to… another recession.

Apr 30, 2014 9:01am EDT  --  Report as abuse
Crash866 wrote:

Overcast451
Lemming

Apr 30, 2014 9:16am EDT  --  Report as abuse

The economy has been stalled and slowly declining further and further below its capacity to produce (and thus provide jobs, profits, and tax collections) for almost six years. Our problem is a Federal Reserve that pursues the ideas of Keynes and Hayek for the economy of the UK as it existed eighty years ago instead of those of John Lindauer and the late George Stigler for the economy of the US as it exists today.

Apr 30, 2014 10:55am EDT  --  Report as abuse
HelpAmerica wrote:

Funny, the economy needs Global warming to function properly
Who knew?

Apr 30, 2014 11:12am EDT  --  Report as abuse
morbas wrote:

Personnaly, I would put Elizabeth Warren in charge. Her biographic book ‘Fighting Chance’ reveals a sensitivity and awareness that is a classic on the past Fouty years of oligarch economic unfairness. Bravo…

Tax is not just on Income,
Disposable income is required to spur the economy. However the city-county municipality are short the revenue, thus tending to increase low income burden. Property and fee based revenue are the only constitutionally available revenues and the fixed-low income people know it. This revenue base unfairly burdens sustenance side economics. This is favored by the Tea-GOP because they are funded by the 1%, while the DNC is supported by the 99% economics. North Carolina represents a precursor if Tea-GOP is allowed control of the Federal Government. North Carolina H998 Tax unburdens the top 1% by 35% income tax reduction, paid for by education furloughs and education voucher shell game unfavorable to the 99%. The North Carolina Tea-GOP copied out of state ALEC dictation into law then took a year leave attempting to avoid NAACP Clergy and constituent majority.
USA tax structure is the fault and an obstacle to worldly potential. Transaction tax code imposes disproportionate burden at the most fundamental rights of liberty, justice. Any encumbrance on sustenance is contrary to equality in the ’pursuit of happiness’. Debt and deficit is simply insufficient revenue. We can nationalize the tax code eliminating all other taxation, immediately balancing the budget(s), through a margin graduated income tax principle.

To: Office of Senator ____________________
United States Senate Washington,
D.C. 20510
To: Office of Representative_________________________
U.S. House of Representatives
Washington, DC 20515
We the people of this United States do proclaim this federal government ‘of, by and for the people’. That, in order to fairly distribute revenue burden, to satisfy ‘net income’ progressive taxation, to balance all governments budgets, and to not tax poverty;
The people mandate:
Income National Tax code that shall use margin graduated income tax principle: Margin $30k 0% single, $60K 0% joint, income above this a linear increasing rate {Income-[$30k or $60k])*(Income/$800k)*90%; 90% limit} . Exemptions shall be prohibited. The Federal Reserve shall amend the (90%) rate, and control currency printing mandated to maintaining currency availability and value. The Federal Reserve shall set the Margin rate value well (>2x) above highest of all State Poverty Level(s). Revenue shall be proportioned 1/3rd Federal,1/3rd State proportioned per cast ballot and 1/3rd Local proportioned per cast ballot.
This National Tax is a peoples tax, no other citizen taxation shall be permitted. Business shall not be taxed. The Federal Reserve shall control taxation. The people will by simple majority approve or reject all margin and rate changes at every Congressional House Representative election year ballot.

morbas(i)

Apr 30, 2014 11:14am EDT  --  Report as abuse
gcf1965 wrote:

To show how misinformed and willfully ignorant the left can be, this is a snippet from AlkalineState yesterday, a big obama fan, though one of those who like to make up their own reality.

“Real estate prices are back up, stock market is up, exports on the rise, budget deficit is shrinking”

As per this article, “The U.S. economy barely grew in the first quarter as exports tumbled…”. But hey, no reason to let reality stand in the way of propaganda.

Oh, and real estate, prices are up in some markets, down in others. The fact that mortgage apps are down show that the price increase is in response to large institutional buying, not the average American. If you tie the stock market to the health of the economy, you aren’t worth arguing with. And the deficit, well, we are “down” to only 4X what it was before the democrats took over congress and after obama oversaw the largest deficits in history at nearly 9X what Bush’s last deficit was. 2007 = 160billion(last deficit before DNC came in and destroyed the economy), 2009 = 1,412billion(first full year of obama and DNC congress)

Apr 30, 2014 11:25am EDT  --  Report as abuse
Macedonian wrote:

I am shopping only on sunny days 70 F and 40% RH with low UV factor and no pollen warning.

Apr 30, 2014 11:30am EDT  --  Report as abuse
jrj906202 wrote:

Keep the helicopters warmed up.

Apr 30, 2014 12:02pm EDT  --  Report as abuse
jrj906202 wrote:

@morbas.Fascism doesn’t work!

Apr 30, 2014 12:05pm EDT  --  Report as abuse

Charlotte NC we can see some growth here in new construction over the past year retail is still slow in the service fields such as plumbing and plumbers the work groth is slow but it is becoming better we are hiring at www.charlotteplumbingsvc.com for plumber.

Apr 30, 2014 12:09pm EDT  --  Report as abuse
Archon wrote:

Everybody calm down. This number will be revised up .8-1.2 in the next couple months. Economic score keepers always under or over estimate their initial measurements.
Like the line from the movie Anchorman: The Legend of Ron Burgandy: “60% of the time, it works EVERY time.”

Apr 30, 2014 12:30pm EDT  --  Report as abuse
Crash866 wrote:

Where are the touchdown dances today?

Apr 30, 2014 12:34pm EDT  --  Report as abuse
moosemyfrnds wrote:

“Operation Choke Point” is Obama’s solution to bypassing congress, destroying the free market. It is his “hit list” in taking away your ammo for guns, closing charities, and controlling the free market. Federal law enforcers are targeting merchant categories like payday lenders, ammunition and tobacco sales, and telemarketers – but not merely by pursuing those merchants directly. Rather, Operation Chokepoint is flooding payments companies that provide processing service to those industries with subpoenas, civil investigative demands, and other burdensome and costly legal demands. The theory behind this enforcement program has superficial logic: increase the legal and compliance costs of serving certain disfavored merchant categories, and payments companies will simply stop providing service to such merchants. And it’s working – payments companies across the country are cutting off service to categories of merchants that – although providing a legal service – are creating the potential for significant financial and reputational harm as law enforcement publicizes its activities. TheHill Wednesday, April 30, 2014

Apr 30, 2014 1:02pm EDT  --  Report as abuse
morbas wrote:

My definition of liberal is Old World: “The 17th century philosopher John Locke is often credited with founding liberalism as a distinct philosophical tradition. Locke argued that each man has a natural right to life, liberty and property and according to the social contract” (US Constitution, morbas)” , governments must not violate these rights. [Wikipedia.Liberalism]

Liberalism is anti-fascism, anti-fiefdom, anti-oligarchy. Liberalism supports pro-christian spiritualism, pro-democracy, and pro-working class liberty and justice.

morbas(i)
PS:
@jrj906202: War time economy is a failure.

Apr 30, 2014 1:49pm EDT  --  Report as abuse
Crash866 wrote:

“Liberalism supports pro-christian spiritualism”…really…

“Locke argued that each man has a natural right to life, liberty and property”…you are missing health care…

Apr 30, 2014 2:51pm EDT  --  Report as abuse
gcf1965 wrote:

Oh, and Alkaline, this just in from CNNMoney

“Home prices cooled off in February, according to the S&P/Case-Shiller home price index.” Guess you’re wrong here too. What a clown.

Apr 30, 2014 3:12pm EDT  --  Report as abuse

More fairy tales.

May 06, 2014 4:17am EDT  --  Report as abuse
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