USING COMMON SENSE IN WASHINGTON

    I know laughing at my title? I have been asked so many times during my book signings why politicians “don’t get it”  when it comes to the challenges the American people face and I respond how many of them have ever held a real job? Many of them are career politicians.  How many of them have balanced a budget to see where they can cut?  Worry about stretching their dollar?   But there is some common sense trying to peak out in Washington but I’m afraid it will be snuffed out like a candle flame under a snuffer.
    There is so much talk about the government being the key to economic growth, but is that how the “free” markets should work? The spending path we as a nation is on is unsustainable.
     Government is reactionary, not proactive. That’s why there is a heated debate right now on the bank reform bill. One such amendment in the bill that *is* proactive will probably never be passed.  It’s called the Homeowner Responsibility Amendment. Four Republicans:  Senators, Bob Corker, Gregg, LeMieux and Scott Brown introduced the amendment on Thursday. What it does is place responsibility on the prospective homeowner. Shocking! How dare they!!! (please isn’t it about time there was some sanity when it comes to this issue?) The bill would establish minimum loan underwriting standards as well as set an appropriate down payment. The amendment would also require verification of  the borrower’s ability to pay for the life of the loan. Isn’t that’s what we as homeowners are supposed to be doing anyway?
 
I would love to have a “McMansion” but my husband and I can’t afford it. We bought a home we could afford. Buying a home is not a constitutional right. Its part of the “American Dream”.  A dream is something you strive for. You have to work and save for it. With foreclosures still climbing and real estate prices still stagnant, why try to prevent the escalation of this problem? That makes too much sense.
 
    In my book, “Thriving in the New Economy” BB&T CEO Kelly King is worried about the path of regulation the government is taking. Kelly told me he is afraid market forces will not be allowed to to work independently and that is very scary to him. He went further and said, “The only thing that tempers my optimism slightly is my grave concern about the trend coming out of Washington. Although I think our economy is poised to emerge from this recession and experience a number of years of solid and steady economic growth that outlook can and will be dramatically changed if we stray away from the fundamentals of capitalism.” Coming from a CEO whose bank was the only bank in North Carolina to survive the Great Depression, I take his words pretty seriously.
 
      Even Pimco’s Paul McCulley warns, “Deeper government involvement in the economy means we’ll lose some of the dynamic productivity gains.”
 
      In a world where no one can accept blame for their own stupidity and the passing of the buck is common place, I think we need to look at ourselves in the mirror. Are we adults? Then we should be able to accept the ramifications of our actions. The government should not have to be our parent and shield us from our mistakes. If we mess up, we have to pay the price. If the taxpayer is fed up with the bailouts shouldn’t they be sick of the bailouts for their greedy neighbors who bit off more than they can chew when it came to a mortgage? I know I am. Greed is not only rampant on Wall Street it is also prolific on Main Street. Too many people are too concerned with keeping up with the Joneses.  Taking a quote from “The Princess and the Frog” what you want and what you need are two different things.  A bigger house, having multiple flat screen tvs- is that the American Dream? What ever happen to being happy?
 
 The government as Wayne Huizenga says should be a partner with government and build up businesses and grow the economy.  The fact that the Corker amendment will be voted down is a sad state of affairs. Corker even said on Squawk Box that he does not expect it to pass. That’s sad.  Our founding forefathers encouraged us to flourish and grow on our own. They did not set up our government to be our parents and dish out allowances and hand outs.
 
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Filed under Business, Leadership, Main Street, personal finance, Uncategorized, wall street

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