The Centrist Party – Economics

Economy Society Environment

The U.S. National Debt Clock

Economics: Secure – Stable – Sustainable:

Well reasoned economics are crucial.

Free markets that are transparent and properly regulated ensure market sustainability. That’s capitalism. Market regulation needs to be structured to achieve the common good of the market and the people and nation that market serves. The ability of corporations to hide their debt is not capitalism. That’s Corporatism.

Enabling equality of opportunity and fair competition enhances stability and market performance and productivity. Checks and balances ensure that competition and innovation are not squeezed out of the American Dream.

Enabling and protecting individual will and potential protects ‘The American Dream’. Subsidies should be used judiciously so as to prevent erosion of free market capacity to react to market needs.

Careful consideration of cost/benefit relationships in national and international trade is needed. Efficient government and debt reduction are primary missions to stabilize national market security.

Centrist Party Market Goals

Our goals include market regulation and policy directed towards objective value. Limiting artificial inflation benefits the health of the market and increases value to all buyers.

Fair and living wages increase value but the system is so imbalanced at this point it will be a challenge to fix this. That does not mean it’s impossible. But there has been so much imbalance that creating a healthy balance will take significant effort.

Artificial Inflation

Reducing artificial inflation in the market will help increase performance and productivity. Thus enabling the ‘common good’ through equality of opportunity.

Checks and balances must be implemented to ensure competition and innovation are not squeezed out of the American Dream. Protecting and enabling potential achieved by virtue of individual will is key. Contracts without reasonable performance agreements are an unreasonable tax on the people.

Democracy is at Risk by Corporations and Oligarchs

American democracy has suffered because civic engagement has been replaced by consumerism where monetary profit is held above reasonable value exchange by virtue of perceived value. This means that median value, or what a product may reasonably be worth in a free and empowered competitive market, is over-exaggerated in order to return greater monetary wealth through deceptive practices and market manipulation.

Corporatism is not Capitalism

Corporations strive to fulfill profit goals that are in a conflict of interest with the needs and even the real value of the product and services they offer. The scandals of many of these corporate practices have became increasingly manifest. Many examples of corporate corruption bubbled to the surface when the illusion of profit was taken away, and stockholders suffered the consequences of deception. These practices still occur in subtle ways within the system and are not in line with the fair and equitable value exchange in terms of the goods and services delivered to the people in a competitive market.

Competition Encourages Innovatoin

The economy is beginning to suffer from a lack of innovation that has built our economy. Multinational corporations are still driving into new markets but more and more, the people of America are left behind. Because political systems and legislative value tend towards protecting existing power structures rather than innovating  and  developing the intellectual capacity of the overall system, that is the people of America. Education needs to again become more than a priority, it needs to advance its own systems to meet the needs of the future of the people and the nation.

Check Out: A Brief History of Economics

Learn More About: The History of Monetary Economics

A Note on the Economic Crisis (2000, 2008, 2020):

First and foremost, it is essential we drop rhetoric and beliefs based on populism. Republicans are still clamoring for less regulation. Democrats are still pushing spending bills of questionable pragmatism. Horse trading with earmarks is does not the best policy make. Hence, getting rid or earmarks in bills will help reduce noise and increase focus. But this is how the left/right system works. Therefore, The Centrist Party is required to bring balance and reason back to policy.

Core Concepts for Centrist Economic Policy

  1. We do not exist in an objective market. We exist in a regulated market. For anyone to claim that we need less regulation in a regulated market merely illustrates how out of touch they are with market realities. Such ideological views are not rational and are the foundation of the economic turmoil we are now in.
  2. Any form of earmark or bill stacking should be culled out of all bills. It is critical to precision target the essential problems of economic stability, ignore political agenda and keep the national and state interests of ‘the people’ at the center of attention. That being without sufficient jobs, the system itself will degenerate.
  3. All bailout funds must be connected with performance and productivity. No money should be given away without performance guarantees.

Staying Awake

Let us not be lulled into any complacency or false hope that throwing money at the system is a cure all. Everything must be tied to productive, responsible behavior.

To those that ‘believe’ we should reduce regulation on the bailout. Please consider the fact that we are not in an objective market. If you make decisions based on that false assumption, your decisions will be wrong.

To those that ‘believe’ money alone is the answer and it is only about jobs. Please consider that jobs that are not directly tied to long term benefit of the needs of the nation and the people will prove inflationary and temporary fix.

For Policymakers:

  1. Increase regulation to ensure that transparency becomes your top priority. Since we are in a regulated non objective market basis, largely due to over-reliance on the Keynesian model.
  2. Push no earmarks, seek balance in all policy between states and keep the national needs of the people rather than local needs at the center. Otherwise there is increased risk of delay and monies that may go to unnecessary infrastructure.
  3. Set aside personal agenda as best as you are able. Sacrifice is needed to save the economy. In this case, the needs of the many must be held high in order for the needs of the one to even have a chance at a better future.

Protecting The Economy

Personal security comes with strength in the economy. Many people think that the economy is Wall Street. The fact is that the majority of business happens in small business. We should not place unequal, or unhealthy, emphasis on protecting one sector of the economy over another without due cause. The national debt has topped 7 trillion dollars and continues to rise due to unsustainable policies. It is a mortgage that needs to be addressed rapidly as the interest on this loan has strong potential to erode our economic stability.

How past presidents have affected the poverty rate.

How past presidents have affected the poverty rate

One can see how management and policy reflects on poverty rate in the presidential cycles. Therefore, circumstances and policy should be examined further relative to success.

Note: The lines are set in the previous year to the presidential term to show the last metric data in the cycle before taking office (chart as of G. W. Bush).

  • The red color represents a presidential cycle that had the poverty level worsening in the close of the term.
  • The green indicates a presidential cycle that had the poverty level improving in the close of the term. U.S. Census Bureau

Why The Poverty Rates Change

The important question is how and why poverty rates go up and down. Hence, the strongest historically indicated means to alleviate poverty is to provide the means, method, and motivation to earn and exchange value. That does not mean welfare, it means providing the opportunity and motivation to use ones potential to learn, earn and provide value. The more we give away, the less potential value can be achieved. Thus, still, more education and training contributes to stronger economic function.

Americas Marketplace

America is still known as the place where dreams come true. Our unique attitude that anything is possible if you are willing to work for it has driven innovation to the limits of imagination again and again.

The freedoms and regulations allotted us in our market economy are the foundation for our businesses and the fair trade of goods and services.

We need to examine the small business environment, legislation and policy that may have moved to favor corporate expansion and certain global aspects over the driver of the American dream which is the main driver of the American economy, small business.

Good Governance

Governing policies that protect businesses as well as consumers need to be continually examined in the ever changing landscape that is our fast moving market economy.

Flexibility and fairness combined with due consideration of needs in the local, national and international business arena will foster a healthy market economy.

From intellectual property to small business development, protecting the capacity to achieve the “American Dream” should be the goal of all and a motive in policy direction.

Market Balance Needs a Whirlwind of Competition

The American Dream is suffering due to special interests and powerful Washington lobbyists. Consequently Americans need to fight back by voting for those that support a competitive economy. Accordingly, that means standing against monopolies that control markets and diminish market opportunity through competition. Specifically, anti competitive practices go against the ‘American dream’.

Main Street vs. Wall Street

Personal security comes with strength in the economy. After all, many people think the economy is Wall Street. It is not. The fact is that the majority of business happens in small business. Big business keeps getting bigger as a result of special interests infiltrating our government (the swamp). Hence, the erosion of small and medium size business capacity to function.

We should not place unequal emphasis on protecting one sector of the economy over another and always be considerate of how healthy a policy is. The size of the national debt continues to undermine national security and economic power. Unsustainable policies promote this instability and risk. It is a mortgage on America. And we should all note that the word mortgage means essentially death tax.

Constant Dollar Income Thresholds

1979 – 2002 (Source IRS)

Constant Dollar Income Analysis

The blue and pink lines represent the top .1% and 1% income earnings group in the country. Accordingly, the disproportionate increase of incomes in the past 25 years are a reflection of the legalized corruption of the capital market systems. Hence, the swamp in action.

The dramatic increase in executive compensation seems strongly related to swamp rat policies that favor the corporate oligarchical evolution. This of course damages the ability of hard working Americans to advance and participate in the ‘American Dream’.

Additionally, SEC regulation regarding options and executive compensation seemed to not be keeping up with the risk factors these mega-corps introduce to the system. Anti-competitive practices need to be addressed by anti-trust laws and regulations. That is how the majority of human wealth has ended up in the hands of the few (IRS Statistics of Income).

The Nasdaq 1970-2006

Notice in the image below, the exaggerated value was removed from the market and it returned to base line by 2002.

NASDAQ 1970-2007

Unite America with The Centrist Party

Enough is enough. We must unite to reclaim our government. Join the Centrist Party. Work together to heal our nation and return balance in governance and common sense for the nation and the people.

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