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Merry Christmas, Fairfield job creators

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From page A8 | December 24, 2012 | 34 Comments

I am definitely not a “shopper.” My phone calendar for today says, “Xmas eve, buy presents.”

Fortunately, it’s done; my wife dragged me out of the house last week. At one store, we were sincerely thanked by an employee as we left with our purchases. He genuinely understood the relationship between us spending money and his employment. Today, I echo his thanks and thank all of you who spent money in Fairfield and Solano County this Christmas and helped create American jobs in the process. My dad ran Evans & Pyle Hardware downtown on Texas Street for many years; I know how this works.

According to an article in Thursday’s Daily Republic, retailers are experiencing a 2½ percent increase in Christmas sales over last year, but were hoping for more, as the U.S. economy slowly continues to recover. I’m sure you realize that retail spending is the driving force behind our nation’s economy and, according to the Commerce Department, consumer spending has been up every month in 2012 over corresponding 2011 levels. More than the millionaire and billionaire “job creators” continually praised by Republican politicians, it is average, working-class Americans, just like you and me living here in Fairfield, who provide the financial steam that powers our nation’s economic engine.

Economists warned that the uncertainty surrounding the “fiscal cliff” negotiations could have a detrimental effect on this year’s holiday spending, but Washington’s dithering was not a deal-breaker for most Americans.

According to the latest Gallop poll, consumers will spend an average of $770 on Christmas gifts this year, up from last year, and way up from the $616 of Christmas 2008, when the bottom fell out of our economy. To me, the irritating thing about this “fiscal cliff” debate is that the tax rate for millionaires and billionaires is getting all the political and media attention. The Office of Budget Management, Congress’ nonpartisan bean-counters, say that ending the tax break for these people will have a minuscule, 0.1 percent effect on America’s Gross Domestic Product.

It seems the Republicans’ sacred “job creators” have very little to do with the actual creation of jobs and all their stubbornness and hysteria is simply to make their wealthy donors, a bit more wealthy.

By contrast, two items that are not getting any media attention are the 2 percent payroll tax cut and the emergency unemployment extension. These two items affect pretty much all of us, not just the rich, and according to the OMB, if these items are excluded from the ultimate solution, America’s Gross Domestic Product would drop by 1.4 percent. That would be quite a gut-punch to our rocky economy.

Why such a profound effect?

Basically, the less money you have, the larger percentage you have to immediately spend on the necessities of living. While the wealthy can bank the money they save on their tax cuts, almost everybody else has to spend what they have. Our nation’s economic health depends not only on the number of dollars outstanding but, to a great extent, how fast those dollars are turned over, or the “velocity” of money.

Believe it or not, we actually have much more money in circulation than ever before, but bankers and corporations are slowing down the velocity of money by holding onto ginormous piles of cash, the most in recorded history. In order to get our nation’s economy moving along, we need to have more money in poorer hands, not richer hands. Allowing us workers to keep an additional 2 percent of our paychecks and extending emergency unemployment benefits would guarantee that money would be immediately put right back into our economy, creating jobs.

Mike Kirchubel grew up in Fairfield and is the author of “Vile Acts of Evil – Banking in America.” He can be reached at mikirch@comcast.net.

Mike Kirchubel

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Discussion | 34 comments

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  • WAKE UP PEOPLEDecember 23, 2012 - 10:58 pm

    Yes, the government gets bigger by spending more money... and yes, the Fed "makes" more money. (The Treasury Department actually "prints" the money at the Fed's request... and only 3 percent of our money supply is in paper money... the rest is just blips on a computer. The way the "Fed", and other "member" banks, makes money is via fractional reserve banking. Fractional reserve banking is more of a fraud, on a larger scale, than you would ever see come across your desk in a million years.) But you have to first understand what money is before you can identify the problem... and then you can identify the perps....... Money is not what you were taught in Econ 101; it is not a store of value nor does it represent the value of some hard asset (like gold, for instance, or the full faith and credit of the government). Money is just that thing that some of us agree upon to facilitate trade. Money is basically the grease that lubricates the machine of economic activity. Take the money out and the machine slows and falters. Before the depression in the 1930's, there was about $1,200 for every man, woman and child in the economy. The banks then called in loans and restricted lending and, by 1933, there was only about $12 for every man, woman and child in the economy. The grease was sucked out of the economic machine. But the people could trade in gold, right? No... FDR signed an executive order to outlaw the private ownership of gold and all the people had to turn their gold into their nearest Federal Reserve bank or face prison......... Money is sort of like your blood cells. They take on oxygen in the lungs and then circulate throughout the body exchanging it for waste gasses. The dollar is valueless until you attach value to it. When you labor or use other talents, you exchange that for money... you attached value to that money. The money then gets circulated up through the government and through banks. You pay your personal Federal income taxes which, according to the Grace Commission in 1984 who reported to Ronald Reagan, 'not one nickel of those taxes go to anything other than paying interest on the debt'. That means all of your personal Federal income taxes goes straight to the Federal Reserve. You pay interest on personal debt and all of that interest goes to banks. Maybe you have a mortgage that was bailed out by the Federal Reserve... if so, your interest payment is going straight to the Federal Reserve. What is happening here is that the value that you attached to money goes to the Federal Reserve where that value gets stripped out. For instance, if you pay 30 percent of your income and investments to Federal income tax, then you are a slave for about 4 months out of a year............ Think about it for a minute... the Federal Reserve can make endless amounts of money out of thin air... and have done so to bail out large commercial banks. If they can make all the money in the world out of thin air, why would they want your 30 percent of crumbs from the table? They already have all the money they could ever want... so why would they want yours? The truth is... they don't want your money... they want to control you. And who are they? That would be the share-holders and corporate board of the Federal Reserve, the European Central Bank, the British Central Banks, the Bank for International Settlements, the World Bank and the IMF. And what do they want to control? They want to control what you do, how you live, where you live, what you eat, what you watch on TV, how much you earn, how much wealth you pass on to your heirs, how much you have to retire on, how long you live, how fertile you are, how healthy you are, etc. And the mechanics of this desired effect of control is via government. The banks manipulate things via interest rates and loose or tight fiscal policy (whether they will lend or not)... but all that messy stuff comes via the government. And the prostitutes in government will do whatever it is they are asked to do so that they can continue borrowing money from the banks and they will do whatever mega-corporations want them to do... again for money (think about big oil and Monsanto and Archer Daniels Midland and GE, et al.)................ So history bares out that money is the grease of the economic engine. We attached value to money. In our ignorant, blinded state, we willing allow the financial powers-that-be to take our value-laidend money to extract our wealth from it. We willing enslave ourselves and the chains they use on us is money.......

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  • Mr. PracticalDecember 24, 2012 - 7:42 am

    Mike, my grandfather worked at Evan's and Pyle after he retired.

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  • Mike kirchubelDecember 24, 2012 - 9:34 am

    Small world. Can you tell me more. I might have known him.

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  • Mr. PracticalDecember 24, 2012 - 10:40 am

    Mike, his name was Tony Lawrence. He was a trumpet player in big bands in the forties and fifties. He worked at Evan's and Pyle's probably early to mid sixties? His son had a TV shop (Lawrence TV) on Jackson Street next to the old Solano Garbage office.

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  • mike kirchubelDecember 27, 2012 - 9:38 am

    Mr. P, my mom remembered him and his son. I worked there after school (for minimum wage) in 1965-66 and remember Shirley, Bennett, Roy, Eleanor, Dick, and Lloyd, who showed me how to use the sheet metal machines out back.

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  • Mr. PracticalDecember 27, 2012 - 11:49 am

    Mike, good to hear your mom is still with us and has a good memory. I'm surprised she didn't remember his adorable grandson (me)! I'm sure she knew my grandmother Lillian and all my aunts and uncles (Chadbourne, Lambrect, Falati, etc...)

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  • CD BrooksDecember 24, 2012 - 1:05 pm

    If I haven't sent you a card a message an email or given you a hug, please accept that now as my sincerest best wsihes for you and yours through this Christmas and the coming New year! Good evening to you.

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  • If.......December 24, 2012 - 1:28 pm

    The Jack and the Beanstalk Giant's favorite breakfast is oafmeal, what is the Giant's favorite Dinner? Anyone, Anyone ?

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  • You oafs are no fun anymore.....December 27, 2012 - 9:12 pm

    The giants favorite dinner is.....meatoaf....OK so what does the Giant like for dessert?....Anyone....Anyone?

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  • rlw895December 26, 2012 - 9:45 am

    "Job Creator." Isn't that a great term? The Right invented it to label their wealthy patrons, because it sounds so much better tha "the Right's wealthy patrons." I think they literally sit around a table and think up this stuff. We don't have to be fools and fall for it. But it does encourage those of us who think beyond labels, sometimes at least, sooner or latex to try to figure out if the Right's wealthy patrons are not Job Creatots, who if anybody is. Mike has voiced the result. Consumers, not suppliers, are the true Job Creators. The suppliers are followers; consumers are the leaders. Consumers should get the tax cuts and federal assistance.

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  • Give me, give me, give me.........December 26, 2012 - 10:11 am

    Being a Nation of CONSUMERS is part of what got us into this financial mess, whatever happened to being a nation of producers and neither a borrower nor a lender be. We consume on credit and pay the banks interest. No actual work was paid for, for the "interest"....ie not that many jobs created by the interest payments. Over consumption is just that, at a certain level there is just so much natural resources (all true weatlth comes from the ground) just so much copper, aluminum ect....Another is planned obsolescence, like washing machines and driers used to last at least 20 years. Blatant consumption is part of what leads to the failure of societies. Now because of the Fed and how the "money" supply is managed leads to inflation, so there is no incentive to save. Why is it so hard to save money or invest and actually get to keep the profit? It was planned that way.

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  • When we consume.....December 26, 2012 - 10:17 am

    We mostly are just adding to the trade deficit, we should try to buy American made, if possible. We are now a nation of shop keepers, and the "police force" (corrupt) of the world for the International Bankers, kind of a world wide "protection racket" a country either goes along with the elite plans or it is "taken out".

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  • rlw895December 26, 2012 - 6:40 pm

    I basically agree with you, but we are not getting manufacturing back anytime soon, and telling people to save right now would kill the economy.

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  • Mr. PracticalDecember 27, 2012 - 6:41 am

    Actually, the first credited use of the term "job creators" was by Ayn Rand. Debating whether consumers or suppliers are the job creators is a chicken or the egg argument and there is no right answer.

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  • rlw895December 27, 2012 - 7:54 am

    Thanks for that, Mr. P. That explains a lot! My comment still stands. I didn't know Ayn Rand played these games with words too, but it figures. Suppliers are only job creators in that they respond to demand. Consumers (including suppliers, naturally) are the ones who create that demand. Then there are the creative people who come up with the ideas that consumers and suppliers both want. Our country has excelled at that. I think there are reasons we lead the world there, but unfortunately, if the suppliers take the ideas out-of-country for production, minimal jobs are created here. The middle class contracts while the top 1% gets a greater share of national income. Ayn Rand wouldn't care; she didn't care. But she also lived in a world before a global economy, so she didn't have ideas shaped by that phenomenon. She was a Cold Warrior, and that colored all of her thinking. She died well before the end of the Cold War.

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  • Mr. PracticalDecember 27, 2012 - 8:13 am

    And if we reshape the tax code, jobs would start coming back.

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  • rlw895December 27, 2012 - 12:01 pm

    Mr. P: And who could be against that? There must be some problem or it would have been done by now.

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  • Mr. PracticalDecember 27, 2012 - 7:38 pm

    Congress and the White House have a collective lack of vision and cajones.

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  • Mr. Practical.......speaking of.....December 27, 2012 - 9:56 pm

    Tener Cojones in your Cajones.....May the Bluebird of c(r)appiness hatch a nest of vulture eggs in your private parts........[Mr. P once referred me to a vulgar Youtube video and to this day has not apologized (So this is kind of a running yoke)]

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  • Mr. PracticalDecember 28, 2012 - 6:49 am

    Any and all links I post come with an implied "Follow at your own risk" disclaimer.

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  • Mr P......December 29, 2012 - 1:32 pm

    Want to work on a Gubernatorial campaign with me? This would be an indepedent type candidate, (I have someone in mind, they have run before) we could use someone who is "practical". Who would be your "dream" choice for the next Governor of CA and what would their issues/platform be. This is a challenge I throw out to all you posters, who should be the next governor of CA and what should their platform be? Anyone....Anyone?

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  • meant IndependentDecember 29, 2012 - 1:36 pm

    The Giant's favorite dessert is a tart or a cobbler.........So the Giant goes to a 4 Star fancy restaurant what does he order? Anyone....Anyone?

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  • Chelene Nightingale for Governor of CADecember 29, 2012 - 5:16 pm

    http://www.youtube.com/watch?v=GcehvCtoxgM

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  • SavetheRepublicDecember 29, 2012 - 5:48 pm

    The Jack and the Beanstalk Giant orders.....Peasant under glass...at a 4 or 5 star restaurant. What does the Gaint order at a steak house..(this is an easy one). Anyone....Anyone?

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  • Beanstalk or Stock up on Beans?December 29, 2012 - 6:12 pm

    Buy a gun and stock up on food...Alex talks with Douglas J. Hagmann, founder and director of the Northeast Intelligence Network. He is also the CEO of a private investigative agency serving a roster of Fortune 500 clients. Due to his expertise in covert surveillance and counter-terrorism, Mr. Hagmann has been used as an operational asset by the U.S. Department of Justice, the FBI, as well as the Pennsylvania and New York State Police agencies. Earlier this month, Doug said high-level, reliable sources told him the Department of Homeland Security is preparing for “massive civil war” in America as a result of a collapse of the dollar and the hyperinflation that will result.******http://www.infowars.com/high-level-insider-dhs-preparing-to-start-a-civil-war/

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  • Today Thursday on....December 27, 2012 - 10:03 pm

    Alex returns to the airwaves on this Thursday, December 27 edition of the Alex Jones Show. On the show today, Alex talks about the growing momentum of Democrats led by California's Dianne Feinstein to ram through legislation in the new year banning a large number of firearms and rolling back the Second Amendment following the Sandy Hook massacre in Connecticut earlier this month. He talks about the collectivization of America and covers the so-called fiscal cliff as Democrats and Republicans fail to come up with a deal as the terms of the Budget Control Act of 2011 are scheduled to go into effect.

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  • Today Friday on....December 28, 2012 - 8:52 pm

    wwwinfowarscom.........On the Friday, December 28 edition of the Alex Jones Show, guest host Mike Adams covers new attacks on the Second Amendment. Mike talks with Lenny Magill, owner of Glockstore.com, on gun control issues, and Kelly Patricia O'Meara, author of Psyched Out: How Psychiatry Sells Mental Illness and Pushes Pills That Kill. In the last hour of today's worldwide broadcast, Alex talks with Doug Hagmann of the Northeast Intelligence Network about information released by his high-level DHS contact concerning government gun confiscation and other important topics.

    Reply | Report abusive comment
  • Climax Blues Band - Running Out Of Time .1975December 29, 2012 - 1:20 pm

    http://www.youtube.com/watch?v=NC0vyqqHF9E

    Reply | Report abusive comment
  • Jim Morrison's fatherDecember 29, 2012 - 5:34 pm

    http://www.youtube.com/watch?v=Kz63-q8otYM

    Reply | Report abusive comment
  • Tonkin = False FlagDecember 29, 2012 - 5:38 pm

    The very next day, on December 9, the New York Times followed suit with a report by William Grimes: “George S. Morrison, who commanded the fleet during the Gulf of Tonkin incident that led to an escalation of the Vietnam War and whose son Jim was the lead singer of the Doors … Aboard the flagship carrier Bon Homme Richard, Mr. Morrison commanded American naval forces in the gulf when the destroyer Maddox engaged three North Vietnamese torpedo boats on Aug. 2, 1964. A skirmish and confused reports of a second engagement two days later led President Lyndon B. Johnson to order airstrikes against North Vietnam and to request from Congress what became known as the Tonkin Gulf Resolution, allowing him to carry out further military operations without declaring war.” **************http://www.whale.to/b/jim_morrison.html

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  • Big Brother can you see me?December 30, 2012 - 10:30 am

    Every few seconds, data picked up at surveillance points in major cities and landmarks across the United States are recorded digitally on the spot, then encrypted and instantaneously delivered to a fortified central database center at an undisclosed location to be aggregated with other intelligence. It’s part of a program called TrapWire and it's the brainchild of the Abraxas, a Northern Virginia company staffed with elite from America’s intelligence community. The employee roster at Arbaxas reads like a who’s who of agents once with the Pentagon, CIA and other government entities according to their public LinkedIn profiles, and the corporation's ties are assumed to go deeper than even documented.******http://rt.com/usa/news/stratfor-trapwire-abraxas-wikileaks-313/print/******Project TrapWire

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  • StRDecember 30, 2012 - 10:35 am

    What does the giant order at a Steak House?.......The Serf and Burp, I mean the Serf and Turf......What are the Giant's favorite mixed drinks?......Anyone....Anyone?

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  • StRJanuary 01, 2013 - 3:31 pm

    The Beanstalk Giants favorite mixed drinks are...Bloody Marys, White Russians, Fuzzy Navels, Nutty Irishmen, and a Harvey Wallbanger or a Tom Collins (If one can be located).

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  • WAKEUP....WAKE UP....WAKE UPDecember 30, 2012 - 10:54 am

    All these mass shootings are staged PsyOPs, CoIntel Pro manipulations. It HAS BEGUN, we are nearing the final stages of the Illuminati CONTROL GRID. Any good Intel agency operatives that are left please speak out and tell the American people the truth....and May God be with you. Thanks

    Reply | Report abusive comment
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