RALEIGH — Wake County high school seniors may no longer have to drag themselves to school when they have the flu or some other ailment in order to retain their exemptions from some final exams. (Read more)
RALEIGH — An administrative law judge was right to order North Carolina’s statewide elected officials to revise the protocol for the execution of prisoners on death row, according to lawyers who are preparing to make that case to the state Supreme Court on Monday. (Read more)
YOUR MONEY, YOU SPEND IT, IF IT EVER GETS TO YOU
Our politicians and (wealthy) TV pundits repeatedly tell us that tax cuts and
rewarding the rich will cure the economy. In all these years that we have
adopted this policy it has not happened. Are we going to continue to believe
I am going to compose a story I hope you will enjoy reading.
I made a deal, and for fulfilling this obligation I was paid $100 (I shall use
$100 as a base). I enjoyed the use of this newly earned wealth which I spent
passing the $100 to A, who in turn dealt with B. This $100 then passed on to C
then D and kept moving reaching Z +. Amazing the same $100 pleased so many.
That is what I envisioned; I have yet to close the deal.
“Well Mr. Uncle Sam, I am ready to proceed with the arrangement as proposed and
tentatively agreed upon.”
Mr. Sam responds,” It is a beneficial project with good value for the
expenditure. However, Congress just passed a tax cut, reducing our revenue, so
we have to drop this and many other projects.”
I am devastated. I needed that money, holding back my tears I said, “Do you
realize Mr. Sam I am going to be short of money. I will not be able to make my
mortgage payment, and very soon I will be behind on my car payment.”
Sam responded, “Oh I do realize that, but sympathy on my part will not generate
the funds needed. I will be shedding far more tears than you will. I am also
thinking of A and B and all those through Z+ who will also be deprived of the
money you would have helped circulate. My sadness far exceeds the sadness of you
and all your potential beneficiaries combined, because I will not be collecting
taxes on the $100 (basis) that you now will not earn. I will be deprived of all
the taxes I would have collected from A and B and all those through Z+. It is an
irony the tax cut will take your tax to zero. Too bad your income will also be
zero. Yours is only one of many projects that I have to cancel. This will add to
my deficit in a very big way. We all know that the bulk of tax savings will wind
up in pockets of the rich. The politicians claim that the money will trickle
down. I suggest you try to sell your project to one of them.”
“Mr. Rich, if you will not buy my proposal, please give me a job. We have been
told that people with money, because they have the money, will hire.”
“Sorry I must laugh, though I sympathize with your plight. I need an incentive
to hire. I hire employees to help me make money. Currently the consumer demand
is low. In my opinion the recent tax cut will put most of the money in the hands
of the super rich, whose spending needs have already been met, and who will not
spend it. This will decrease the money circulation, further reducing the
consumer demand. Unemployment will increase, diminishing even more, the
consumer’s ability to spend. There are other rich people I suggest you try
“Mr. Wealthy, please give me a job. Congress tells us the newly passed tax cuts
will enable you to employ people.”
“I could do that. Are you willing to relocate to Chinaand accept the wages we
pay there?” I have shut down factories in this country where the cost of labor
is high, and relocated them in China.”
Mr. Wealthy smiles “I have invested heavily in our trade association. They have
put together a massive lobby to convince Congress to expand trade agreements.
Congress has done so and tells us it is good for the nation. I believe it. Add
to my cost savings, the Chinese are far more relaxed on safety and environmental
standards. I love our Congress and I love you people. With less money in your
pocket you seek out the cheaper ‘made in China’ products. Some American
manufacturers cannot compete and take action that results in poorer consumers,
who now also seek the cheaper Chinese goods!
“You should seriously consider applying for the Chinaposition. We have
successfully reduced jobs available in the U S, while Congress maintains a loose
control on immigration resulting in more people competing for fewer jobs. This
squeezes employee compensation and almost destroys union bargaining power.”
In my desperation I have to compete with the illegal immigrants. “Mr. Farmer,
they tell me there are jobs that Americans will not do, so you hire immigrants.
I am an American, and I need the work. I will accept any job at your rate.”
“You being an American makes it a problem. I pay the immigrants under the table,
and it would be risky for me to do it in your case.”
I am stunned by his blatant response. “You know it is illegal to hire
“I know. Our strong lobby keeps Congress from enforcing that law. Then thanks to
you and your fellow Americans, for demanding a fence. This gives Congress an
out. They are following up on the ‘deng’ fence. I am amused: they have built a
portion of it. So what is to stop immigrants walking around it? If after a
tremendous expense and time a fence is completed at both the southern and
northern borders, what would stop them from climbing over it or tunneling under
it: better yet they could blow holes through it in more places faster than we
could repair them. Then of course there are the extremely long coast lines. If
someday the economy improves beyond our southern border, the immigrants wanting
to return home may be fenced in the wrong direction. In the mean time we are
over supplied with working people, and this suits us employers. We can keep
Mr. Farmer continues, “You seem like a determined person. Become an
entrepreneur. Get some money from a bank. The banks have a lot of money.”
“Mr. Money Bank, you have my well thought out business plan. Will you loan me
“Your plans are impressive, but the risk is too high. Consumer demand is not
sufficient, and the tax cuts will reduce it further as we have seen
historically. Reagan cut taxes in 1981. Recession followed. Then he raised the
taxes and the economy improved. Bush cut the taxes and the economy tanked. He
followed with another tax cut, and he left us in the mess we are still
struggling to recover from.”
Here is some interesting history:
By Larry Beinhart
Created Mar 1 2011 – 10:35am
The current economy is routinely and universally referred to as the worst
recession since the Great Depression.
It makes sense, therefore, to look back at government tax and spending policies
during the Depression and what the results were.
1932– Hoover raises the t op tax rate from to 25 to 63 percent.
1933– Roosevelt comes into office. He begins spending at the same time that new
tax hike comes into effect. The Depression bottoms out.
1934– Recovery begins. The GNP rises 7.7 percent, unemployment falls to 21.7
1935– New government spending on public works and rural electrification. A
push to strengthen labor and raise wages. New taxes through the creation of
The GNP grows another 8.1 percent, and unemployment continues to fall.
1936– The top tax rate is raised again. This time to 79 percent.
GNP grows a record 14.1 percent; unemployment falls even further.
1937– Roosevelt is afraid of deficits! He cuts spending for 1937.
There’s a new recession. It continues for a year.
1939– The U.S. borrows , resumes deficit spending, this time on a military
build-up. The recession ends.
1941– America enters World War II.
In economic terms, it’s the New Deal on steroids. The top tax rate goes up to 91
percent. Nonetheless, government spending is so high that by 1945 the deficit
is 123 percent of GDP. Unemployment is ended by employing 16 million people
directly in the armed forces and millions more are employed producing war
material and supporting the military.
The Great Depression is finally over.
When taxes were raised the economy improved. Every time. Deficits had no
negative effect on the economy. Indeed, when deficits were at their highest, the
After spending was cut — to balance the budget — a recession immediately
followed. When taxes were raised and government spending resumed — with
deficits — that recession ended.
When taxes were raised again, and government spending went sky high, the Great
Depression finally ended.
So here we are. We refused to raise taxes. The recession continues. Now, we’re
going to cut spending.
In desperation I responded, “You banks are holding up much of the national
wealth. You could initiate the money circulation that would boost the economy.”
Mr. Bank responds, “You put the onus on the banks. We are small potatoes
compared to the federal government. The federal budget is over three and half
trillion. Economic stimulation by the government is enormous. Try this exercise:
assume the government starting this moment stops all spending. About four
million government employees cease to receive their pay checks. Institutions
that government supports come to a halt causing layoffs of millions more.
Businesses contracted by the government will lose their profits and of course
large numbers added to the unemployed. Social services will close down. No
Medicare payments, no social security checks etc. All this money taken out of
circulation will destroy the economy. Many corporations will shut down,
compounding the unemployment.
“Secondly, the rich talking heads like the present conditions and do not want
government to intervene. Our talking heads to promote their personal agenda have
successfully demonized the government. Our falsely demonized government has a
history of outstanding achievements. Let me point to this example: soon after
the Second World War the government guaranteed home mortgages to creditworthy
home buyers. The banks loan business ballooned. For the huge purchase of a home
the buyer borrowed money from future earnings, stretching to as far as 30 years
and put it into immediate circulation. This was multiplied by buyers across the
country expanding the housing market. This in turn boosted the many industries
that participate in the construction of a home.”
“Wall street has destroyed the housing industry,” I reacted. “What else can the
“Another astounding achievement to the government’s credit, they put men on the
moon and doing so they circulated money through the economy in a big way. During
that period, the ‘60s we had the best economy the world had ever seen to that
date. Currently we have a serious energy problem. If we would tackle this
problem as we did the space race, we would make ourselves energy independent and
burst out of the recession. However, this will not happen. The lobby against it
is too strong.”
I reflect, “You are advocating the government spend money it does not have. If
families budget their expenses based on their earnings, should not the
government do the same?”
Mr. Banks responded emphatically, “There is a big difference in the handling of
your family finances and that of the government. You see a price tag of $100 and
decide to purchase, but the cashier demands more than the $100 dollars after
adding the sales tax. Now when the government purchases, the government could
offer to pay $80 as tax money has to be paid on the profit. But the government
is smart, pays the $100 and accepts an IOU to be paid April 15. This $100 now
passes on to B and then C and on and on to Z+ and each of them will owe taxes.
The government makes a huge profit on the initial expenditure.
The government stimulation is fantastic. It pays for itself, yielding a profit.
It circulates money extensively and when consumers have money to spend,
businesses expand employing more people and increasing consumers. The economy
spirals upwards. The President is for the stimulation, but a few senators block
I am exasperated, “It seems hopeless for me. None of the rich business people
will help me.”
“Try a philanthropist.”
“Mr. Generous, I have looked extensively for work but have not succeeded. Maybe
you can help me.”
“My foundation funds noble causes. We build schools in third world countries; we
build water systems for communities, we set up medical clinics. We just do not
help individuals. However, I feel very sorry for the many unemployed, under
employed and those working for lower wages, and or lower benefits.”
I gasp. “Seems like the rich use their money to buy the best lobby they can buy
and they in turn put together a Congress that favors the rich at the cost of the
Mr. Generous ponders. “You working people outnumber the rich. Why do you vote
against your interest? You could have a Congress of your choosing.”
I react, “Here again their money beats us. They reward the talking heads, who
spin information to confuse us. They repeat false information often enough that
we believe them. They have divided us. The parties are so involved fighting each
other that we do not notice that the rich are sucking up all the cream.”
“You are catching on,” Mr. Generous points out. “The politician will side with
you on the issue that concerns you, but after capturing your vote sides with
private interests for the big bucks they wave in front of them. It is money that
decides the elections, and it is money that determines the legislation. Voters
should unify on ignoring issues. Once again the issues are tools for the
politicians. Ask your candidate how much money they have collected, and from
whom, and then inform him or her in a loud voice for all to hear, ‘Your vote
goes to the one with the least money.’”
I am confused, “If we could put in place a friendly Congress, how would it help
“Then you make your demands. If you voters unite, you would make a large and
strong lobby no other could compete. I mentioned the energy project. Demand the
Government take on a massive infrastructure program. Here are some more ideas:
“Redo the tax code so that the average person pays considerably less. These are
people who have needs and will spend and therefore help circulate money. Make up
the revenue difference by increasing the taxes on the rich. They are so wealthy
it would not change their life style one bit.
“Should the rich pay more? Definitely! Their demand for services is very high.
Example: our massive defense budget prevents a foreign power from conquering us
and confiscating our homes. I have seven homes each worth over a million
“Our massive military and economic aid is used to protect “the American
interest” around the world. You are an American, but it is not your interest. It
is the business, the influence and money of the very rich that we are
“Another example of how tax money is consumed by the rich: an employee needs a
road to travel to the work place, the rich employer needs many roads for all
employees to get to work and maintain the business. More roads are needed yet so
raw materials can be shipped in, and again still more roads to ship finished
products to customers. Taxes are necessary to build roads.
“In general, most of the tax money is spent either to help the rich or winds up
in their pockets. Why the rich get bent out of shape when a program helps the
poor is not understandable. Who gains from the increased spending and
consumption by the middleclass? The rich, of course; they sell the goods and
“Much research funds are given to large corporations. The research that may be
conducted anyway is now transferred to the bottom line and distributed as
dividends to the very rich. We Americans are innovators and we should take
advantage of that by diverting funds to small garage type operations. The money
will be spent and there is a sound history of grand successes from this sector
growing into big businesses, creating numerous jobs.
“The big banks destroyed our housing market, creating a wide chasm for the
world’s economy to fall into, and they themselves were collapsing. The situation
was salvaged by tax payer money. Housing remains shattered dragging the economy.
We now blame the home owner for buying beyond their means, many of whom made
justifiable commitments before the destruction of the economy. The banks and
their agents doled out mortgage money based on falsified documents so that they
could generate disguised securities. Now, the onus should be put on the banks to
reduce in a big way the foreclosures that are competing and depressing the
housing market. By edict, the foreclosure process should lean heavily in favor
the home owner staying in their homes and thereby reduce the massive oversupply
“The next idea is my favorite: the top bracket the super rich earn should be
taxed at 91%! After all the money they make and keep before reaching that slab,
conceptually they will not feel the difference. Then offered a tax write off on
expanding or starting a business within our boundaries, these smart people will
take good advantage of that; pay only $9 per $100 cost, while Mr. Sam will pay
$91 to their benefit. This will create jobs and boost money circulation: trickle
down really working!
C J Primlani
Greetings! Here is the weekend BOE news.
Exam rules under review
"Wake County high school seniors may no longer have to drag themselves to school when they have the flu or some other ailment in order to retain their exemptions from some final exams," according to the N&O.
NAACP contesting school lunch data
Goldman’s daughter gets midyear transfer
BOE Vice Chair Debra Goldman requested and received a midyear transfer for her daughter to an out-of-zone school, complete with door-to-door bus transportation, according to the N&O and the WakeEd blog. Goldman is getting a lot of criticism for this move; however, at least the decision only affected her child. When Deborah Prickett wanted her son to attend a different high school, she had entire nodes moved.
Thanks for staying engaged with WCPSS.
In the fall of 2009, Northeast Ohio residents held their breath as investigators made a grisly discovery at a two-story house on Imperial Avenue in Cleveland. (Read more)
Note: Everytime I read articles like this my mind goes to the missing/murdered women in Rocky Mount NC. C. Dancy II – DCN Publisher
I’m coming to Raleigh. Are you? If not, listen online. Should get interesting. Sign ups to speak were taken before voter advocates even knew about the meeting.
Voter ID Requirements
The House Elections Committee is requesting public comments regarding requiring photo ID to vote.
Public comments will be taken during a committee meeting on March 15, 2011 from 2 – 4 p.m. in Room 643, Legislative Office Building. You can visit the Request to Speak webpage to sign up to speak at the committee meeting. Audio of the meeting will be broadcast live. Please visit theAudio webpage and click on Room 643 to listen to the committee meeting.
Please enter your comments at the link below
The hearing will be held from 2:00 – 4:00 PM in Room 643 of the Legislative Office Building (LOB).
If you cannot attend, you can listen to the audio of the hearing at this link:
We’re asking everyone to submit your comments in opposition to photo ID to the House Elections committee’s
website.( http://www.ncleg.net/gascripts/documentsites/browsedocsite.asp?nid=138 )
Legislators to take up voter ID
Rob Christensen Raleigh News and Observer 3/13/2011
This should not be a partisan issue. Just ask – how would officials verify the ID? How much will it cost?
Would photo ID requirements stop someone who is determined to impersonate a voter (at risk of felony conviction)?
Will the state or counties pay for this? Either cuts in services will be made to pay for this or taxes will be increased.
Note: Will not be able to attend work schedule will not allow me to. C. Dancy II – DCN Publisher