Since I am not an expert in this field, I am filled with more questions now than ever regarding just how much effect Wall Street has on this economy. If memory serves, when President Obama took office, many in this sector was hedging their bets on whether or not Wall Street would gain and some even implied that if there were no gains, this economy would sputter and possible dip again.
Well I think that it is safe to say, the market did recovery and recovery handsomely. Bonuses are up on Wall Street and yet Main Street still suffers. The tax breaks that every one is crying about for millionaires started in 2001 and 2003 and were touted to create jobs. The only jobs that they have created are those overseas. Now we are urged to believe that they should be made permanent so not to affect job creation. Question one should be where is this job creation that this would effect because those that support it surely could not be talking about her in America. Now we are looking at worries about Wall Street declining over China’s growth and Ireland debt? Next I guess we are going to be concerned about flying pigs in garter belts.
“U.S. stocks fell, sending the Standard & Poor’s 500 Index lower for a fourth day, amid mounting concern China may step up measures to curb inflation and Ireland will need to tap international bailout funds.” “Concern about China tightening and the Ireland debt situation is hitting sentiment big-time,” said Michael Mullaney , who helps manage $9.5 billion at Fiduciary Trust Co. in Boston.” “The People’s Bank of China last month raised its benchmark one-year lending rate by a quarter of a percentage point to 5.56 percent, the first increase since 2007. Chinese consumer prices jumped 4.4 percent in October, the fastest pace in two years.” “Ireland is in talks with European and International Monetary Fund officials about a bailout that would shore up the state’s finances as well as enable it to inject capital into the country’s banks, said a European official with direct knowledge of the talks.” “The two-part funding package would mean Ireland wouldn’t have to tap the bond market for an extended period as it tries to cut the budget deficit, said the person, who spoke on condition of anonymity.” (Nazareth, Rita, 11/16/2010, U.S. Stocks Decline on Concern About Ireland Debt, Pace of Growth in China, Retrieved from www.bloomberg.com ).
As a small business owner, none of this means a hill of beans to me. All that matters in my world is credit is hard to come by and without credit there is no possibility of getting a loan to grow and expand which would mean more hiring in my area. Hedge Fund Managers and all those millionaires and billionaires may have the Republicans, Tea Party and the U.S. Chamber of Commerce to push their agenda but all that many of the rest of us have is a president and few democrats with heart. Real small business owners are going to have to find another way to grow despite this and without those voted in by citizens being held accountable by citizens.