Does Anyone feel like Bailing

[Spexxvet]

Originally Posted by classicman

...
As somewhat of a side note, the creation of private sector jobs appears to be dismal....

And you have to question why.

The rich are getting richer. As the world recovers from the global economic crisis, the global wealth staged a remarkable comeback in 2009, increasing by 11.5 per cent to $111.5 trillion, just short of the year-end peak set in 2007.

Less than 1 per cent of all households were millionaires, but they owned about 38 per cent of the world's wealth, up from about 36 per cent in 2008, according to a new study by The Boston Consulting Group (BCG).

Households with more than $5 million in wealth represented 0.1 per cent of households but owned about 21 percent, or $23 trillion, of the world's wealth, up from 19 percent in 2008.

The number of millionaire households rose by about 14 percent in 2009, to 11.2 million -about where it stood at the end of 2007

from here
It seems that, in general, the people who have the ability to create jobs are not creating jobs.

[classicman]

Originally Posted by Spexxvet

And you have to question why.
It seems that, in general, the people who have the ability to create jobs are not creating jobs.

OK, Why?

[tw]

Originally Posted by classicman

OK, Why?

Because we are now paying for the boondoggles. Bills from Mission Accomplished are just starting to flow in. We now have a massive interest payments on debts used four and nine years ago to finance money games. Because GM was told after 2000 that they did not have to innovate; did not have to manufacturer the hybrid that was paid for by the US government starting in 1994. Because shorting pension funds to claim profits was suddenly legal. And now those funds are short $tens of billions. Because welfare to the rich never creates productive jobs. Because money games means jobs must be lost four and ten years later. Because any and all protection for secure investements (ie Glass Stegall) was removed in the name of "finance people can always be trusted". Because the American government had so much contempt for thing that create jobs (science, innovation) as to even have White House lawyers rewrite the science papers. Because America was openly encouraged to massively increase energy consumption (ie SUVs) so as to increase profits rather than make new jobs and inefficient industries. Because the people who destroy innovation were not removed as long as they played money games to hide the massive losses (ie Nardelli in Home Depot, Merril Lynch, AIG, the banks). Because money games (Enron, LTCM, Madoff, AIG, mortgage back securities) were how wealth was created and encouraged - and the bills have now just starting arriving. Because the nation’s incomes have dropped 2% while economic fiscal mismanagement and money games were masking the inevitable in the name of a voodoo economics. And because Tax Cuts and George Jr stimulus plans are now doing to the economy exactly what they were predicted to do by this author how many times how many years ago.

The rich do not create jobs - no matter how many times that myth is promoted. Only innovation creates jobs. And innovation only comes from the little people - who have suffered a 2% reduction in their incomes after 2000. That has never happened since 1929 when the same money games also created an economic disaster.

Originally Posted by tw

Only innovation creates jobs. And innovation only comes from the little people .

I agree...and I would only add that government spending on innovation stimulates private spending.

[Spexxvet]

Originally Posted by classicman

OK, Why?

Ask them.

Originally Posted by Spexxvet

Ask them.

One reason.....investing versus trading.

Investing produces or enhances tangible products or services.

Trading is a form of legalized gambling for the wealthy and produces nothing.

[lookout123]

Originally Posted by Redux

One reason.....investing versus trading.

Investing produces or enhances tangible products or services.

Trading is a form of legalized gambling for the wealthy and produces nothing.

In my experience, most traders are on the lower end of the investment ladder whereas the wealthiest tend to genuinely invest in companies.

Originally Posted by lookout123

In my experience, most traders are on the lower end of the investment ladder whereas the wealthiest tend to genuinely invest in companies.

You're the investment guy, but data I have seen would suggest that most of those on the little end invest in mutual funds, munis, or perhaps stock tips from friends/advisors and the financial instruments that are not based on anything real are the playthings of the wealthy and the wall street mavens.

[tw]

Originally Posted by lookout123

In my experience, most traders are on the lower end of the investment ladder whereas the wealthiest tend to genuinely invest in companies.

Does not matter where one is on that ladder. A good business deal means both parties prosper.

What is a business deal with the mafia? They prosper at your expense. Any business where one party is a winner and the other party is a victim is not business. And yet that is what so many Wall Streeters now call a normal business deal.