Saturday, November 22, 2008

Primary Green Energy Initiative.

Primary Green Energy Initiative.  To spark the green revolution and create jobs in every state in a way that is market supported.  

Work on the long term mass projects, yes.  

But, we must see financial rewards today - and green job demand grow in every state now. 

1) find areas where during peak time, power companies are buying very expensive energy from far away.

2) the market will support the expense of green power, if it reduces the very expensive rate that is being paid right now during peak times like this.

3) put green power generation systems, locally, where these areas of high demand are - so that the very expensive energy is not needed to be brought in.

4)  this starts a boom in green energy in every state.

5)  when these people finish their jobs in their states, they will expand outwards - including to the areas of mass projects like the sun-belt and wind-belt in the center of the country. 

6)  this initial action generates a trained and experienced work-force, while creating a demand for the products of green businesses that is diversified geographically and based on different local economies.  This can create a stable base, when the economy goes weak in one area.  

7) Call me at 301-325-8227 for more ideas.

Economic recovery plan

Economic recovery plan

Dear Obama Transition Staffer,

Please, print this plan and look for salient points. Please, call me to elaborate. I wrote in outline form so that you can see a three pronged plan with multiple specific steps. Each focuses on Leadership, cash flow, market stability, competitiveness, and planting the seeds for our future strength. Jobs are folded into a side effect of each treatment that is stated below.

I have applied for a job in the Obama administration. Please, read this and find the right place for me to be. I am currently an entrepreneur and the President of my own company with an extreme passion for politics and helping America see a brighter future.

I sit all day, collecting and synthesizing ideas. What you see below are some of those results.

A. Attitude Adjustment:
The media is currently pummeling our economy into the ground. People who have jobs, that are secure, with plenty of savings in the bank - are petrified to spend a penny right now. Watch the media and say, "Is it possible that this may have hammered consumer confidence into the ground?"

Lead the media. Ask them to focus all of their news on what people can do to better manage their money and become more succesful. Ask them that whenever they make a report - 540,000 jobless claims - we ask that if you are a business owner you follow through on your contracts and continue to use services of other businesses because it is the engine of the economy. Don't stop building your business in this economy.

Ask the media, when they express negative news to phrase things as - this is things going in the wrong direction - here is one action you can take so that things go in the right direction.

Otherwise we are driving people into fear and creating a recession by people who could spend - being so afraid that they pull all of their money close.

Start a political election style whisper campaign to spark the competitive spirit of Americans. Give everyone the sense that while their competition has stopped spending on their business, they have the opportunity to advance every product they have and get way ahead. Leak these stories and get people thinking they are the only ones who are focused on spending and improving on their business.

Remember how it was leaked that you were muslim and all sorts of other things meant to scare people? Send out all these leaks so that people feel as though they got the idea to use the recession to out-do their competition who is not spending on business improvement.

Leak e-mails all over the place that give the sense that the economy will begin to improve soon.

Consider that the economy has halted due to fear and lack of leadership. People fear innovation and investment because they don't know if our country is going to be here next year.

Announce your 1 year plan, your 2 year plan, your five year plan, your ten year plan - just the basic structure, so that people get in their mind that our country will be here in those time increments. Set the example of long term planning for success. Open people's minds to the idea that they should plan because our country will still be here.

B. Cash flow problem
a. Consider the question - how are we funding our massive trade deficit?
- Americans do not have savings - we maxed out our credit cards - how are we funding this?
My answer: Through sending money that would support the pricing that our markets established. In housing for example, we are not directly spending the money from the equity in our homes. We are spending the money that we might use, if we were buying a home, or powering the economy in America that would generate the revenue that would allow someone else to buy a home at the market established price.
If we send all of our money overseas, we cannot purchase things at the rate that our markets have currently established.
Thus, by sending money overseas, when we do not have savings, or credit - we are going for the jugular - and indirectly paying with the equity in our homes - by being unable to support current market pricing levels.

C. Jobs
New Jobs:
1) Help fill current job demand.
a. Wind Power - we require more training. The jobs are available, money is available - wind power's future is slowed by a lack of people with the training. Create more programs to educate people to fill the jobs that are already there.
b. Nursing - we have more nursing jobs than we can fill. We are insourcing trained nurses from other countries. How can we fill those jobs with American workers? The medical culture undervalues nursing and doctors treat nurses poorly. How do we change the culture and draw more people into an avenue where jobs are available already?

2) Partner with existing organizations working for American competitiveness. This is an umbrella organization that covers most sectors of the economy that has a focused overall vision. Figure out how the government can take their mission and amp it up on steroids through government assistance - and making regulations and trade deals that are friendly to the mission of this organization.
Work with the people of this organization to activate an economic army to go to work on whatever you set in motion. The people are already there. The leaders are already there. Tap those leaders, tap those visions, tap those workers in those industry's.

3) Solve the countrie's cash flow problem. When we ship all our money to somewhere else, we don't have it here and we wonder why we feel financially busted.
a) Focus on jobs that will create massive demand for US products via export.
b) Create an export web-site that teaches American businesses how to export and connects them with other businesses that will help them along the way.
c) Keep the value of the dollar low so that our exports are in greater demand.

4) Auto sector transformation. As part of a bailout - mandate that to get the money an SUV production line must be shut down and GM must act as a manufacturing company, not a design company on that one line. Work out a detail between GM and so that GM produces that car for the mass market. It gets 300 miles per gallon. There is a scientist in Arizona who has a large greenhouse where he grows algae. He can convert that algae to 50% oil in a refinery in his own lab. Ask Aptera to partner with this man to make a 300 mile per gallon vehicle that runs off algae in the next two years and make the funding available for GM to retool to produce this. Then we have a car that out-competes every other car globally. We dramatically reduce C02. We save GM. We switch from foreign oil to algae grown in Arizona. We get rid of corn ethanol that is far less efficient than the algae in terms of conversion to oil. And by dropping the production of corn ethanol - corn prices drop - and farmers begin producing other food crops. Then the price of basic food crops becomes more affordable and people can eat the staples - and afford the staples - more easily.

5) Sit all the bank CEO's in a room. Send one person from the government with each CEO as oversight. State that, "we own part of your bank - we insure your bank - you're business is stable because of us - if you do not begin loaning to qualified businesses and lendees we will nationalize your bank further, or begin treasury direct lending for car and business loans - directly competing with your business - with the full recources of the united states government. Aka - strong arm them. We require persuassion - influence - and if necessary compliance on this. Call bank CEO's each day - personally - and ask them, what are you doing today to increase lending to businesses?
6) The car industry will begin to recover when car loans are available. Make the bailout much smaller than they requested. Send money to keep them in business for one month more. Then, before you send out any more money - you want all 3 major CEO's in your office with a full accounting of how they spent every penny to be more competitive, before they get more. Focus on restoring the auto market by making loans available - and zeroing in on competitiveness, to attack the problem from both sides. Give in baby steps with maximum accountability. Say that only 2 car companies will get the next payment. So, your current actions determine who is in, and who is out. Make it down to the moment - that they must prove they are worthy to stay in business and get government support.

7) bring me in to your office to consult with you further.

8) Ask American's and American businesses a foot in the door action to get them spending again in the right way - responsibly.
Ask businesses to find the smallest investment that they can make dollar wise, that will yield the biggest advancement in the competitiveness of their business. Ask American's to purchase that one necessity that costs the least that they have been holding off on out of fear of the economy.

9) Fear as a wrecking-ball of the economy.

10) Al Quaida and Iran is fighting a war of attrition against us, while all of our energy has been focused on their nuclear weapons, which would be a war of anhillation. Their attacks are geared towards causing us to continue to drain our resources in every way possible. Our attacks are focused on anhilation of their organizations. We need to fill every one of the safest positions in our military with an ally nations forces so that we focus on the spearhead in the battle zone. Thus, we reduce our costs greatly, our allies are safe, and we achieve greater results at the head of the fight. The way the insurgents and Iran are fighting, is like an enemy sitting outside of our castle - laying siege - and draining our resources.

11) End the very strange stock/treasury cycle that we have gotten into. People are selling their stock in companies, buying treasuries, and the treasury is buying companies. The issue is that the people are left with .3% interest instead of the earnings of the stock market.

12) Use government money by contract. If a bank or someone wants money - they must write a proposal for contact, with the specific steps they will take with the money. They must get loans for that specific proposal to solve an exact problem, before they can get money.

13) Banks are not lending because they are not sure where their balance sheets are. They know they have money, they just don't know how much, so they fear lending. Create an external balance sheet. A set fund that they know is balanced and available - for lending to businesses and consumers of automobiles. Instead of isolating the negative assets, isolate some positive assets. $700 billion in business and consumer loans in a forward motion into the economy at the spearhead of companies and certain products that would create jobs, would be an absolute boom in the hands of the right people. Create an external balance sheet for banks to use specifically for loans and nothing else. Call it Loan Core - Lender balance sheet clarity center.

At the loan core, there are representatives to each bank. The bank puts a listing of loans that will create the most jobs, in priority order. Loan core files contracts for those exact - specific loans - instead of gross distribution of money - to irresponsible bankers. The money must go into a direct spear head for your goals.

9) Turn all efforts into as you put it, "Scalpel" efforts, not "hatchet" efforts.

10) Education - start from the bottom up and the top down.
a. Find areas where schools are bad and children are on a freight train from school to prison. b. boost reading instruction in those areas in the grades k-3 until all those kids are reading on grade level and then have a chance to learn what is in all of their other classes. c. Start at the young and focus on the one goal of tweaking the system one step at a time until children are getting their high school diplomas.
Concept: The number one factor that determines if an inmate will go back to jail - is if he gets a diploma in jail. If they do not, most go back. Jail = $70,000 per year, education = far less expensive. Spend on the front end so we don't have to pay for what we failed to accomplish up front.
b. Talented students. In minority schools, due to current rules, we lower the student teacher ratio for children with disabilities and special needs. We must shift this, so that we focus more intense resources on the gifted and talented students in our minority schools.

11) Saving money by leaving Iraq.
a. The generals in Iraq made plans when the Democrats began pushing for a time table for withdrawl. The generals made plans to prevent a power vacuum in the case of a precipitous withdrawl.
b. Get those plans - do everything you can to bolster the ideas in those plans. Give them 3 times the amount of time to execute the plans, focus all US Military and contractor strategy on elements that boost those plans and push the baby bird (Iraq) out of the nest, so it can fly on its own.

12) Call me for more ideas. I am looking for a job, applied, and want to work in the Obama administration. My Grandmother was my mentor and was small business woman of the year and a presidential advisor for four presidents. I want to contribute in the way she did and in the way she taught me how. I am currently the President of my own company that is thriving in this economy.


Benjamin Corey Feinblum

Tuesday, November 11, 2008

Economic Recovery:  The Inverted economy

Economic Recovery:  The Inverted economy

Premise:  The money is still there.

    People have placed their money in:

  • Treasury Bonds

  • CD's at banks

  • Anywhere they can find safety

    Thus, the money withdrawn from the stock market that caused it to crash is still around.

Premise:  The economy is upside down and lopsided

  • Deflation in the home market

  • Deflation in electronics

  • Deflation in gas prices

  • Deflation in the cost of credit

  • Wealth concentration at the top

  • Greatest need for money to buy basic consumer goods is at the bottom

  • Upside down mortgages: People hold mortgages worth more money than the value of their homes.    

Premise:  Any economic stimulus to the middle class will be spent immediately

  • People who rely paycheck to paycheck will spend immediately

  • This leads to an upward spiral

  • 5% sales tax, income tax off that money spent at businesses, payroll tax off employee wages, sales tax off employee purchases, business purchases, then income tax at another business - money runs around in circles

Premise:  Maslow's hierarchy of needs is not being met - thus consumer confidence is at all time low

  • People feel insecure about their homes

  • People feel uncertain about their jobs

  • People feel uncertain about what will happen with the price of things

  • People have fear that terrorists created, the news and Bush perpetuated

  • Fear prevents entrepreneurial investment and stock investment

  • This all prevents spending and investing that normally drive the economy, but the money is on the sidelines

Leadership over a steady period of time will begin to erode the problems.

1) People lose insecurity about their homes, the economy has a foot hold and progress can begin.

This means half way 2009 the economic graphs can be at a turning point, or 3/4 of the way through the year.

Is the US like an airplane that when in a flip will right itself?  But, if a pilot grabs the yoke it will get messed up and take longer to recover?  Is Barrack Obama the way the airplane has chosen to right itself.

Recovery by 6 months into 2010 if all goes well.

Issue concerning the value of a dollar.

Overseas: Our dollar buys less.  It is weak right now.

At Home: As home prices drop, the dollar buys more of the largest asset one can own.  

Weak dollar advances our exports.

If we re wrack our economy for massive exports through trade deals and alternative energy sales, then we have more money inflows into the economy.  

If home prices fall, then we can afford more home.  

So, we may be set to increase our countries revenue through exports and reduce the cost of things that are within our country.

This might cause American's to again feel rich, which would be a different way of having a strong economy and a weak dollar abroad, but a strong dollar at home.

Essentially, we cannot have a recovery that goes on course with how our economy operated before.  The track simply isn't there to move forwards on.  We must drive our train on the track that will at least give an option for consumer confidence returns.

When the foundation of our economy - our confidence in it - and our hierarchy of needs are slowly rebuilt, we will rebuild our country and our economy.

So, if we funded trade deficit with home equity, then trade profit is the way we rebuild home equity - fixing the largest drag on our economy.
So, the longer it takes to increase trade, the longer it takes for our economy to get on a roll again.

Intense Debate Comments - Blog Stats