"This Is Why There Are No Jobs In America", by Porter Stansberry

I'd like to make you a business offer.

Seriously. This is a real offer. In fact, you really can't turn me down, as you'll come to understand in a moment...

Here's the deal. You're going to start a business or expand the one you've got now. It doesn't really matter what you do or what you're going to do. I'll partner with you no matter what business you're in – as long as it's legal.

But I can't give you any capital – you have to come up with that on your own. I won't give you any labor – that's definitely up to you. What I will do, however, is demand you follow all sorts of rules about what products and services you can offer, how much (and how often) you pay your employees, and where and when you're allowed to operate your business. That's my role in the affair: to tell you what to do.

Now in return for my rules, I'm going to take roughly half of whatever you make in the business each year. Half seems fair, doesn't it? I think so. Of course, that's half of your profits.

You're also going to have to pay me about 12% of whatever you decide to pay your employees because you've got to cover my expenses for promulgating all of the rules about who you can employ, when, where, and how. Come on, you're my partner. It's only "fair."

Now... after you've put your hard-earned savings at risk to start this business, and after you've worked hard at it for a few decades (paying me my 50% or a bit more along the way each year), you might decide you'd like to cash out – to finally live the good life.

Whether or not this is "fair" – some people never can afford to retire – is a different argument. As your partner, I'm happy for you to sell whenever you'd like... because our agreement says, if you sell, you have to pay me an additional 20% of whatever the capitalized value of the business is at that time.

I know... I know... you put up all the original capital. You took all the risks. You put in all of the labor. That's all true. But I've done my part, too. I've collected 50% of the profits each year. And I've always come up with more rules for you to follow each year. Therefore, I deserve another, final 20% slice of the business.

Oh... and one more thing...

Even after you've sold the business and paid all of my fees... I'd recommend buying lots of life insurance. You see, even after you've been retired for years, when you die, you'll have to pay me 50% of whatever your estate is worth.

After all, I've got lots of partners and not all of them are as successful as you and your family. We don't think it's "fair" for your kids to have such a big advantage. But if you buy enough life insurance, you can finance this expense for your children.

All in all, if you're a very successful entrepreneur... if you're one of the rare, lucky, and hard-working people who can create a new company, employ lots of people, and satisfy the public... you'll end up paying me more than 75% of your income over your life. Thanks so much.

I'm sure you'll think my offer is reasonable and happily partner with me... but it doesn't really matter how you feel about it because if you ever try to stiff me – or cheat me on any of my fees or rules – I'll break down your door in the middle of the night, threaten you and your family with heavy, automatic weapons, and throw you in jail.

That's how civil society is supposed to work, right? This is Amerika, isn't it?

That's the offer Amerika gives its entrepreneurs. And the idiots in Washington wonder why there are no new jobs...

Regards,

Porter Stansberry

Daily Wealth.


This is how Uncle Sam partners with our companies from east to west coast, north to south. This is NOT Capitalism. You guys out there that hate Capitalism will hate this satire, but it's actually funny satire because it's true. The US is not Capitalist, and hasn't been for quite some time. That's my opinion of the satire letter, what's yours?

The unfortunate thing is that articles like this lead to a Left/Right debate, instead of a "The System is Broken" debate.

My opinion is that this shouldn't even be a joke to us.
But Amerika is a joke these days.

We have successfully let our own prosperity fund our own demise.
We, the people, have allowed the government to act this way.

Because for some reason, we won't stand up by the millions and fight tyranny.
We just sit back and idle along, complacent and compliant.

Either from distractions, or entertainment, drugs and alcohol or flouride...
We just don't care enough.




It makes me want to puke.

There are no jobs in America because companies can use repressive regimes abroad to keep wages low and workers rights in check.

The Average European/American is of no help either. Instead of having sympathy with the poor cambodian beaten into submission when he wants to form a union at the Puma plant, or the Indian woman at the Nike plant, the general consensus is that those people shouldnt have our jobs in the first place.

The incentive for jobs to sail abroad is little to no government interference or even interference on behalf of low low low wages. The solution would be to help the people in India, China, Cambodia fight and win the battles people in Europe and America fought and won, so that the incentive to export jobs greatly diminishes, the economies abroad can develop a greater market of their own and eventually become a consumer at some level as well.

Trying to compete in outdoing china or India by catering to the capital holders cant be the solution. Its not doable, or do you want to compete with the worker in India or China? Are you willing to accept wages, where even daily 12 hour shifts with no weekend wont earn you a roof over your head, because thats what life is like for many workers in countries like India and China. Just trying to compete for the lowest wages and the greatest output will only result in a race to the bottom. Wether without the government, through Unions or through elected representatives, there needs to be a counterweight to the dictate of the capital holders, else we will just be in a race to the bottom, untill noone can consume and the economy collapses.




Its the same with every system, be it capitalism, Baseball, Boxing, Football, if too many look only after their own results, shortcuts and ways to game the system, then the system breaks down and people lose trust in it and that is what is happening. Companies want low low cost but high high profits, as more and more companies are able to lower their wages, less and less capital is avaiable in the economic system. Eventually global deflation will set in, but till then its going to be a bumpy ride.

If you think complete deregulation is a good idea. Look at what the banks are doing right now. There are no regulations on derivatives, it is destroying the world.

we clearly need a new system, this one is flawed. it's not broken it just never worked from the beginning. people just need to realise that the world will still turn without people exchanging numbers on computer screens or little pieces of green paper, unfortunately that is what pre-occupies most of us all across the world in more ways than one. i like how he refers to the government as a business because thats all they are. i'm not american but i always believed that the government was of, by and for the people. the US government i see today seems to be of, by, and for the corporation but that's just my opinion. what isn't my opinion is that if the US government hadn't bailed out the banks and given the money to the american people each citizen would have recieved over $100,000 each.

There isnt jobs in USA because they dont have factories. All the big USA companies have their factories in poor countries, where they can enslave people.

Anyway, they dont know how to do nothing. Just weapons, and even in that China ans Russia are getting a lot better.
USA is a money printer machine, every time they print, they lower de dollar value. USA can clean their ass with dollars, and pay stuff with toilet paper, they have the same value.

reply to post by Cassius666


Very well said. This is the exact argument I think of when I hear people talking about more deregulation and lowering taxes to spur job production; as though it is some sort of panacea. The reality is, as you have stated, it is nothing more than a race to the bottom.

When lowering taxes doesn't work, it's time to deregulate.
When deregulation doesn't work, attack the unions.
When attacking the Unions doesn't work, lower the minimum wage.
When lowering the minimum wage doesn't work, go after labor laws.

Finally, when corporations aren't taxed and can legally operate sweatshops, maybe then jobs will, freely, be brought back to our shores...but even then it is unlikely because it is still difficult to compete with the work ethic and productivity of a starving Cambodian who knows that if they don't earn their 50 cents for the 16 hour day, they won't be able to put rice on the table for their starving family.

Personally, I'd rather not live that kind of life.

Control the Capitalists, or they will control you.

Neo-Feudalism is rising before our eyes...it is called unregulated Global Corporatism.

reply to post by madhatr137


You omitted a step, when all the salaries hit rock bottom, so does the economy, because nobody has money to spend. At least untill massive deflation worked its way through the system. Unless those who do immensly profit buy each others product and then you would have a handfull of people selling millions of shoes, smartphones and other stuff they dont need to each other.

It isnt really about one side controlling the other. For the capitalists its just easier to excert control, because a handfull of people used to operate on a global level have an easier time to organize themselves, than the people. If the situation were reversed, where workers could dictate to the corporations, we would face a different set of problems. People, especially those with the means to do so, need to look after the system first and their own bottomline afterwards.

Originally posted by Morgenstern89
The unfortunate thing is that articles like this lead to a Left/Right debate, instead of a "The System is Broken" debate.

IMHO, both the left and the right "broke" that original system.

reply to post by Cassius666

There are no jobs in America because companies can use repressive regimes abroad to keep wages low and workers rights in check.

Companies would not be concerned with moving their businesses to foreign countries, if we provided conditions that were the most favorable for entrepreneurs here in the US. Companies move because they aren't taxed to hell and back in other nations.

Originally posted by RealSpoke
If you think complete deregulation is a good idea. Look at what the banks are doing right now. There are no regulations on derivatives, it is destroying the world.

I'm not talking about banks. The problem with banks are they are centralized. This country did just fine prior to 1913 when the government began taxing. How did companies and Capitalism survive before taxation??

reply to post by josephamccoy

we clearly need a new system, this one is flawed. it's not broken it just never worked from the beginning.

"From the beginning"? That's not accurate, companies and entrepreneurs were not taxed at 70% "from the beginning".

reply to post by Dannijca

There isnt jobs in USA because they dont have factories. All the big USA companies have their factories in poor countries, where they can enslave people.

Here we go again. Companies aren't interesting in enslaving people, they are interested in making money. The leave the United States because they can make more money overseas without all the regulation and taxes. If we want to keep companies and the jobs that come with them here in the US we need deregulation and taxes cut. So it's cheaper for the companies and entrepreneurs to do business here in the US rather than move their business abroad.

The PROBLEM IS TAXATION at a 70% clip.

Originally posted by NOTurTypical
reply to post by Dannijca

 

There isnt jobs in USA because they dont have factories. All the big USA companies have their factories in poor countries, where they can enslave people.

Here we go again. Companies aren't interesting in enslaving people, they are interested in making money. The leave the United States because they can make more money overseas without all the regulation and taxes. If we want to keep companies and the jobs that come with them here in the US we need deregulation and taxes cut. So it's cheaper for the companies and entrepreneurs to do business here in the US rather than move their business abroad.

The PROBLEM IS TAXATION at a 70% clip.

I agree taxation, regulations , and bottom line is why corporations leave.

However, here is the real problem. Corporations leave because taxation, regulations , and bottom line and not just taxation.

Tomorrow morning take away all taxation from all the multinational corporations. Great, will the multinational corporations come back to the US. NO!, because in the US they still will have to deal with overtime,child labor laws,benefits,competitive wages,etc..... Which effects their bottom line, so getting rid of all the taxes in the world will still not bring back those jobs. Additionally, getting rid of taxation will not even effect the larger issue of corporations importing foreign workers to the US that take the high paying jobs for minimum wages.

That leaves you with regulations and the bottom line and.I'm afraid that Pandoras box was opened once the lobbyist changed our system to accommodate the highest bidders.

Politicians typically aren't motivated enough to just go and create a law by their own will for the betterment of the people.They are usually lobbied by the same multinational corporations that are shipping the jobs overseas. They are the highest bidders and they are creating the laws. Therefore the system is working just the way they want it and that is why they are raking in record breaking profits.

Take away regulations, lower the US cost of living to that of a third world country, and have the goverment fully control its people (via communism / dictatorship) then they will come back.

That is where we are heading my friends and why wouldn't they want that when its about the bottom line. This wouldn't effect them since they live of their investments and not the fruit of their manual labor.

Although, I wouldn't be surprised in the future their will be one country where all the top multinational corporate investors,ceo, top gov't officials ,and bankers of the world would live while exempt from their own laws. Hey maybe that is what happened to Atlantis


BTW this is something that Both party are implementing because they both listen to the highest bidders. That is why Romney and Obama have contributions from the same lobbyist who also contributed to the mess we are in. Who also coincidentally raked in record profits while we all got the losing card.

Don't fool yourself with thinking that your party is above this. Politicians listen to lobbyist because they got the money and without it the politicians can't get re-elected (won't even mention Politicians being exempt from insider trading). Hence , it costs billions in campaigning contributions and the lobbyist want it that way so that our politicians are desperate for their lobbying money. The system is working just fine for them because they created it and maintain it.

This has become a bigger problem recently because Companies became multinational and therefore they could afford to $hit in their own backyard because they have property all over the world now.

As a matter of fact what corporation would not want slave labor? That is why they overlook what is going on China and yet they continue to export all the jobs over there or to other third world countries.

So until you get rid of the multinational corporate influences among our leaders you are not going to get anything fixed because its not broken for them.

Originally posted by NOTurTypical
reply to post by Cassius666

 

There are no jobs in America because companies can use repressive regimes abroad to keep wages low and workers rights in check.

Companies would not be concerned with moving their businesses to foreign countries, if we provided conditions that were the most favorable for entrepreneurs here in the US. Companies move because they aren't taxed to hell and back in other nations.

Okay done, corporations incountry have the same conditions as abroad wages and taxes. What would it mean for the standard of living in America, what would it mean for the state, where does the money for trilliondollar military come from?

Are you looking forward to an America where a collegeducation that provided you with a luxury lifestyle now provides you with the lifestlye of a present day minimum wage worker and the minimum wage worker earns less working 12 hours a day with no weekend than the present day footstamp collector? Because thats what life is like in the countries where corporations run unchecked or assisted by the goverment in their drive for low prices, you work 12 hours per day and can afford less food than an American on foodstamps.

Oh and forget about having even one Aircraftcarrier group.

And most importantly who is supposed to consume all those goods America can now produce so cheaply? Sacrifying your local consumption makes only sense if you have a large spender you can export to.

To the OP:

a typical right-wing whine.

When you look at Germany, they are 10 times more "socialist" than us, yet they make remarkable products and enjoy a good quality of life, and have better education. So yes, that sarcasm from Mr. Stansbery may work for people who live under a rock, but it has nothing to do with reality.

Originally posted by Cassius666
Are you looking forward to an America where a collegeducation that provided you with a luxury lifestyle now provides you with the lifestlye of a present day minimum wage worker and the minimum wage worker earns less working 12 hours a day with no weekend than the present day footstamp collector? Because thats what life is like in the countries where corporations run unchecked or assisted by the goverment in their drive for low prices, you work 12 hours per day and can afford less food than an American on foodstamps.

Well said.

The OP is quite myopic in that indeed, as you say when corporations run unchecked, life will be hell for most people like overnight. Greed has no bounds or respect for humanity.

reply to post by interupt42


Great post, I didn't mean to imply the only problem was taxation at 70%. But that's the pink elephant in the room. Speaking of, if "Big Oil" returns around a 9.1% profit margin, who is making the rest of that money on a dollar spent at the pump?

9.1 cents per 1 dollar spent = "Big Oil"

Where does the rest of the 90.9 cents go?? I wonder if Washington gets more than 9.1% in taxes?

reply to post by buddhasystem


I have to say something on Germany. Germany like America like any country, has to take part in the race to the bottom to stay competitive. Wages in Germany when averaged today are lower than in many other European countries. If we want to stop the exportation of jobs, we need to start exporting healthcare, workersrights, the good lifestyle, so buisness has less and less places to run to, not tell the workers abroad they really shouldnt have our jobs and just eat cake.

Or we let the system work it all out, wait for the money in consumernations to dry up as spendingpower dimnishes and an incentive is there to develope alternative markets for consumption and bring those that went down the drain back online. Of course that process would adversly affect many many people and of course the countries involved.


Whining about wages taxes cost etc. is like lamenting the fact that your engine needs fuel to run.