Greg’s Newsletter, Keeping the American Middle Class Informed-June, 07 2009

June 07, 2009

There is something happening that gives me a partial good feeling that shows free enterprise can once again prove why it is the only way things can be turned around. I am not getting the full excitement of what is happening because how it came about.

What I am speaking about is that Roger Penske is buying Saturn from GM.

http://www.usatoday.com/money/autos/2009-06-05-Saturn-sale_N.htm

This is how free enterprise works and it supports a major platform item I have in my campaign and I truly believe in. When a company is not performing, no matter of its size, it goes into a managed bankruptcy and the different parts of that non-performing company is sold off and someone else takes that part and makes it perform as the market dictates. The major problem with this particular GM and Penske deal is that the government is directly involved with the deal and not fully the free enterprise system at work.

This is an avenue that should be taken with the banking and financial industries. Not by the government but letting the free enterprise system work through bankruptcies and selling off different aspects of these institutions to make smaller and more efficient business groups. Not by injecting billions of our tax dollars into companies that are “To Big To Fail”. Then using our tax dollars for bailouts and letting these companies use our tax dollars to buyout other banking and financial institutions at bargain basement prices to increase their size even more and having even more influence of the overall economy and the government’s legislative powers relating to these markets.

These are perfect opportunities to reduce their size and influence in our economy and allow free enterprise flourish through true competition which is how this great nation’s economy of ours was based on.

I am going to push for re-establishment of anti trust laws which categorizes what a monopoly is according to the percent of market share a company can control. First starting with the banking and financial industries which should be scrutinized with not only the percent of what each of their ever growing sizes and market shares but also investigate the influences they had on this financial disaster this country and the world economy is going through.

Until we get these companies under true regulations, we the American people will be relegated to what ever these economic influences will pursue for their advantage, not the economy as a whole. If this continues as it is now, their constant influence in our government will leave a smaller and smaller group of the financial elite controlling the economic structure of our nation. Add this to the ever growing influence of the international financial regulatory system being established through the G20, 80% of the world economic structure will be controlled through a system of an ever shrinking group of economic power brokers.

Republican for Congress, 3rd District of Tennessee 2010,

Greg Goodwin

6/7/09

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June 02, 2009

As I have watched this transgression of the capitalistic economic structure to governmental controlled economy, we are now facing the most dangerous time in our nation’s history.

This is not about Democrat, Republican, liberal, or conservative issues, this is about the very foundational control of the US economy. By what we are seeing in the banking, financial, and now the automotive industries, the government is taking a leadership role in all of these areas, this has got to stop or we will be facing total governmental control of everything.

I am now going to tell you what the basic issue is that has caused this dramatic change in our nation, it is simpler than you think.

In the late 70s or early 80s the business schools changed the way they taught business. It went from a long term steady growth mentalities to a short term maximize the profit mentality. In other words, what I call a spread sheet mentality that evaluates only numbers not the heart of the business. The heart of a business is not only understanding the numbers but an in-depth understanding and knowledge of a business and market places they are in.

With this spread sheet mentality, corporations began hiring MBAs (Master of Business Administration) to run their corporations. They understood numbers but did not understand, in depth, the businesses they were in. This lead to evaluating the entire function of a corporation by the numbers not by the full understanding of their markets these MBAs were put in charge of.

The end result is what we are experiencing now, great bottom lines for the last number of years with the almost total liquidation of our manufacturing base, which had in the past made the United States the most powerful economic engine in the world. No matter what rhetoric you hear, 70% of our nation’s economy is made up of consumer spending and without the good paying manufacturing jobs and the continue allowance of illegal alien work force (who sends most of their money to Mexico), the American dream is becoming America’s nightmare.

We have seen that a service economy cannot sustain the standard of living the manufacturing based economy provided. The proof of that is look at where the prosperous nations are China, India, and other Southeast Pacific and Middle Eastern nations. We gave them our technology and manufacturing resources on a silver platter and now we have to beg for our money back from these nations with strings attached, as loans to our government.

This was accomplished through short sighted business mentality, tax incentives to move our industrial base offshore, and the accumulation of a smaller and smaller group of economic power brokers directing the government for their advantage. If it doesn’t stop we will be relegated just another country of people with little power in this new world economy.

Republican for Congress, 3rd District of Tennessee 2010,

Greg Goodwin

6/2/09

PS: My website should be up in the next day or two.

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