They called it the Dust Bowl: five years of drought that
ravaged farms across the Great Plains states, and literally blew millions of
tons of top soil into the air. Ships 300 miles off of the east coast of the
United States reported the dirt being blown onto their decks from these dust
storms, and turning to mud with the ocean’s spray. Dust storms were so enormous
in those days that there were days when the dirt in the air literally blocked
out the sun from the Mississippi River to the Atlantic coast. (Read John
Steinbeck’s The Grapes of Wrath for a
feel of the desperation of the era.)
The lessons learned from those five hard years of drought
reshaped the way farming was conducted in the Great Plains from that point
forward. Too much of the prairie grass had been plowed under to control wind
erosion and to hold moisture in the soil. While the U.S. economy demanded more
food production, the Great Plains were overworked and over-grazed. The basics of
land management were violated and when the storms blew in during the spring of
1934 (as they do every year in the Great Plains), there was nothing to hold the
soil to the ground. It just all blew away.
Let me just warn you before you read any further, if you
don’t like political criticism, you should stop reading now. If you have bought
into the notion that we are bounding along the road to an economic recovery at
breakneck speed, you may be offended by what I have to say. It seems to me that
we are living in times when the basics of good business sense have been
violated and we are in the midst of our own dust bowl. Every once in a while we
get a warning that the times we live in are not what they should be. For
instance, last August, Standard and Poor’s downgraded the credit rating of the
United States from the AAA rating it had held for 70 years. It has yet to turn
that report around and upgrade us again. There is too much debt on the books.
The obligations of the federal government are outstripping its ability to pay
them. Our federal electorate ignored the warnings and continued to spend
borrowed money with promises to spend more on entitlements. In other words,
they continue to plow under the grass and watch the wind blow the soil right
from under their feet as they do it, but ignore the fact that the more they
plow, the worse it gets. We are in an election year when this very issue should
be at the heart of the debate. The fact that we keep getting off track into
side issues – most of which I believe are conjured up in some back room to keep
our eye off of the dust storm around us - indicates either we have politicians
who do not understand the real crisis we are in or are willingly attempting to
dupe the electorate to get elected. I suspect both are equally true. It
concerns me that we are following a European model of governmental spending
when the once great economy of Europe is in shambles and those who tried to
infuse some fiscal restraint into the system were voted out of office. The U.S.
election of 2012 has to be about restoring the basics of good business practice
back into the way we do commerce in the U.S. Namely, we have to control
spending to line up with our income (a.k.a balancing the budget.) We have to
pay down our debts. We have to quit doling out money to every special interest
group with their hand out. Learn how to simply say "no.” We have to quit making
promises we simply cannot keep. Don’t let the rhetoric fool you. If you raise
taxes on the rich, you still won’t have enough money to pay for the spending
that has happened over the past four months! Let me explain. According to
Forbes magazine, the net worth of all the billionaires living in the U.S. is a
cumulative $1.6 trillion. This list includes a diversity of business innovators,
their companies and products. On January 1, 2012, if you had cashed them all
out – I mean take every penny each of them have accumulated over a lifetime –
and had put them out on the street, penniless, taken all their wealth and
applied it to the federal spending, the money would have lasted until about
9:30 a.m. on April 3! If you were to apply the money to the national debt –
over and above what we spend each year – you would need ten times as much money
as the billionaires have accumulated! So where are you going to turn when the
richest of the rich are broke?
What does this have to do with you and me? Eventually
someone has to pay for all of this. That is where this will impact your
employment and mine. The more talk there is of squeezing money out of the
people who employ others (a.k.a. the rich), there will be continued
unemployment. The longer the unemployment rate stays high, the less working
individuals there are to pay for all of this. The longer it goes, the more
burdens there are on businesses to pay more in taxes. The more they pay, the
less there is to go around for new jobs and small businesses that support
larger industries. I have seen many good friends lose their businesses over the
past four years. It is more than just a correction in the economy; it is the
undoing of some business basics that has stirred all of this up. And it is time
to focus on real changes that will get us back to basic business. It is time to
take a close look at who occupies the White House, the Congress, who our governor
will be, who the mayor will be, and so on. It is time for more than change; it
is time for sound, responsible leadership.
_______________________
May 11, 1934: Dust storm sweeps from Great Plains
across Eastern states, This Day in History, History.com, http://www.history.com/this-day-in-history/dust-storm-sweeps-from-great-plains-across-eastern-states
S&P downgrades U.S. credit rating for first time, by Zachary A. Goldfarb, The Washington Post, August
5, 2011
The World’s Billionaires,
Forbes, http://www.forbes.com/billionaires
Total Budgeted Government Spending 2012 http://www.usgovernmentspending.com/total_spending_2012
U.S Debt Clock, http://www.usdebtclock.org