The economy is still on everyone's mind, and citizens should be concerned about this economy. Even in our local comunity workers from our brick plants no longer have work, and other places have closed, and many houses are for sale around town. The Missouri legislators have increased the budget an enormous amount. The Missouri Legislature increased the budget from 16.6 bullion to 19.2 Billion, a 15.7 percent increase. There is a pending increase of 745 million dollars more in taxes increases for Transportaion, if passed this will push the total state tax budget to 19.945 billion, and a whopping 20 plus percent budget increase. Locally Mexico trash and sewer rates have been increased. The new Mexico wage numbers have been installed on my web site www.geocities.com/Goodjobs1, under the Mexico banner. The water and natural gas rates increases last fall have resulted in higher gross receipts taxes for the city, but yet are incomplete for the current fiscal year. The long hot summer of air-conditioning, watering lawns, flowers, and gardens will add to this increase, depending on the extremes. I am sure there will be more request on the November ballot for more of your income. I believe higher taxes are not wise nor prudent in a recession,or near recession. There are published reports of millions of dollars of increased incomes, but this is small compared to the giant billions increase in state budget, and then the local increases also. Capitalist economies run on conusmers, with dollars to spend, and good jobs to earn those dollars. Consumers make up 66 percent of the retail economy. Layoffs continue and are negative to a good economy. This is a prelude of things to come, and a big concern. When consumers are short on income they cut back somewhere, and do without, and with lower sales, business's suffer with lower profits. Future Federal action regarding interest rates will make a statement regarding their assessment of the economy. Federal tax refunds may make some difference. Data from the Missouri State Government web site office of Administration Budget and Planing shows the following economic fiscal year increasing projections for the United States Real Gross Domestic Product for 2001 of 3.7 percent, and in 2002 a 2.9 percent increase, not much of a predicted recovery at this time. Consumers Prices for 2001 increase 3.2 percent, and for 2002 a 2.5 percent increase. Consumer Expenditures for 2001 of 6.5 percent, and in 2002 a 4.9 percent increase. Corporate Profits increasing for 2001 of 3.9 percent, and in 2002 a .6 percent. Missouri's Total projected increase employment for 2001 of 0.9 percent, and in 2002 of 0.7 percent increase, and Personal income for 2001 of 4.7 percent increase, and in 2002 a 4.5 percent increase. National Gross Domestic Product is declining. I'm sure Missouri Gross Domestic Product will reflect the same and incomes will be affected by these down turns. The projected business profits data shows about 6 tenths of 1 percent increase in 2002, this shows business's are going to be hard pressed for an increase in profit, if not lower profits and a tightening of return on investments. I don't believe the increased employments predictions will work out, and this will show an economy that is not doing good. The Personal Consumption Expenditures data from the web peaked my interest. I wanted to know two factors. What citizens are buying and what cost were increasing? Services take about 56.23 percent, Non-Durable Goods 29.44 percent, and Durable Goods 14.33 percent of disposable personal income. The big cost of increasing items of Personal Consumption Expenditures for the lastest quarter 2001-Q1, were Motor Vehicles and Parts 5.26 percent increase, Recreation 2.6 percent increase and Gasoline and Oil up 1.69 percent. Gasoline and oil are definitely higher cost and limited production. Pay more and get less at the pump. What I don't know is whether in the other categorizes there, are more units of products or services sold, or just higher prices? The total of all last quarter changes shows a 6.65 percent increase, that to me seems to show a high rate of increase in the cost of living. Missouri and many rural communities are facing a major limitation for citizens wishing to make a living. The industrial base has continued to shrink, wages and opportunity lost. Those at the levers of government have not promoted enough income producing business's to produce the tax revenues to fund all the demands of the many entities of government, many take more thru their power and continue to want more. It is interesting to see these things move, but I believe wages in Missouir havn't kept pace. That means a sliding Standard of Living. The inability of tax systems to adjust as fast as economic changes need to be addressed. If Missouri had been an investment, I believe people would have sold out, some have moved on. Chief Executive Officer's and Chairman of the board want to see asset appreciation and higher cash flows. Capable productive workers are the best assets a company can have, and they make profits possiable. Real Economic Growth in Missouri means buisness and individual development that will make the difference. These two factors go hand in hand to the success of any buisness. The objective function of Missouri should be very close to one I found on the web. It said:" to build a strong and healthy local community by creating opportunities that empower individuals to reach their full potiential. Giving is focused on the following program areas: community and economic development' education, health and human services, and youth development." While this seems close, I would change the last line to read "life time individual development". The foundation was the Cupertino, California-based Family Foundation. Missouri needs to focus on the sale of products and services outside of Missouri, and bring wealth into this state. This will make Missouri and Missourians much more prosperous, and offer opportunities for life time individual development. Financial Freedom is a Cornerstone to all other Freedoms. Goodjobs1 |
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