In the last several years, as I have written on this web
site, I have gained a deeper perspective on how and why various folks think
about and misunderstand economic issues in America. In my previous work as a
financial counselor and as a syndicated columnist and book author, I've gotten lots
of feedback over time from readers and others. But the combination of writing
more about current events and the economic and political challenges facing the U.S. and other countries
have provided me with more insights about the mindset of voters of all stripes.
I have written about the fact that the U.S.A.
historically has been a center-right nation politically. I am not a political
ideologue and I have the facts to back that up. On this site, I have taken on
pundits all over the spectrum including (from left to right) Paul Krugman,
Nouriel Roubini, President Obama, Chris Matthews, Bill O'Reilly, Dick Morris,
Glenn Beck, Ann Coulter, and Ron Paul. Simply search any of these names in the
search box on the right hand side of this page for what I've said about each of
them. Later in this article, I will disclose more details about my own
political thinking and "agenda."
Feedback from Liberals (and Socialists)
As you might expect, I get feedback on the writing I do. You
can't do the kind of writing that I do unless you have some thicker skin
because not everyone who writes you sends their blessings and warmest wishes!
(Many folks do take time out of their days to say some very kind things and I
always appreciate that.)
What I have found most fascinating and enlightening about
the "negative" feedback that I have gotten from my web articles is that it
comes largely from liberals and self-acknowledged socialists. Below are some examples:
"I've read many articles on your website, now, for
approximately two years and while you enjoy pointing out the failed rhetoric of
other parties, or pointing to failed Democrat-inspired bills/laws, etc...you gush
excitedly over the Tea Party. I find this baffling coming from an advisor who
brags about NOT taking such a political bent but a number of your articles
seriously gushed about the Tea Party as though they were part of the Second
Coming..."
In response, I pointed out to this reader that I hadn't
"gushed" over the Tea Party but simply reported on their stated economic objectives
and the impact they had on the 2010 mid-term elections. I predicted before
those elections that if President Obama didn't move more to the political
center, voters would force the issue in their votes in 2010 which is exactly
what happened. I asked this reader if he was a liberal to which he wrote:
"I'm registered as NON-Partisan but I'm leaning more and
more toward Socialism...I believe, now, in a World Government since we only have
this Earth to share and it's getting a little claustrophobic. I'll never see
this happen but it's something I think about often."
Another reader didn't care for my article about the
underlying causes of mushrooming U.S. government debt and excess
spending. In that article, I pointed out that over the past 60 years, federal
government spending has grown at a 7.6 percent annual compound rate which is
more than double the rate of inflation over that period. I went on to say that
excessive spending has led to excessive federal government debt and it has
already brought various socialist European governments like Greece and Italy to their knees.
The reader wrote me a lengthy email in which he attributed
the growth in U.S.
government spending to "population growth" and he disputed my inflation numbers
claiming that inflation averaged 4.4% over the past 60 years. He also said that
excess spending was "...principally on defense, and in part to a poorly
functioning health system badly in need of wholesale reform (along French and
German lines)...[and] because of insufficient tax revenue."
I succeeded in getting the reader to admit I had the correct
inflation number and that his was too high. His other points were classic
liberal talking points.
Conservatives Bite Back Too!
In March, 2009 (which happened to be the bottom of the bear
market), I got flack from some folks attacking me as a liberal. The reason: I
had written that there was excessive hype about the impact of government debt
and spending and that folks predicting the imminent bankruptcy of the U.S. and
continually falling stock prices would be proven wrong.
Here are two examples of the negative feedback I got then:
"I find little in your article...to be accurate and
truly represent the current state of the US economy. It is this apparent ‘media bias to support a
liberal legislation agenda' that will result in the bankruptcy of this
country."
"I usually don't respond to such pathetic displays of
idiocy...but I just couldn't help myself today after I read your column. The
financial system that just presided over the largest loss of household wealth
in the past 60 years is your answer to our government spending well beyond its
means? What sage advice!"
You can read my response here as well as my prediction (remember
I wrote this in the second month of the Obama administration) for his likely
spending patterns given his voting record as a Senator.
My Background and "Agenda"
I was born and raised in a middle class suburb of Philadelphia and attended
public schools. Looking back on that education, including my higher education
that I received at Yale
University, much of it
had a liberal tilt.
I vividly remember a middle school social studies class simulation
exercise where my fellow pimply faced friends divided into groups that
represented company owners and workers. Over time, the company owners created
more wealth than the workers. We had lots and lots of discussion about how much
money the company owners really needed and how little, by comparison, the
workers had.
I happened to be one of the company owners and since I was
in class with my peers and many friends, how could I possibly deny them more
equal wages in comparison to my seeming ill gotten profits? Unfortunately, looking
back now with business and economic knowledge, I don't recall any talk about
the fact that company owners take risks employees aren't expected to take
including putting up their own money and sweat equity in order to build a firm
(that then provides jobs). The focus of
the lesson appeared to be on how employers take advantage of workers. It would have been helpful to me and my
fellow students to understand the risks business owners take when starting and
running a business.
As a young adult, I knew very few peers who were enamored of
President Ronald Reagan and (because of my wife) I briefly
worked as a volunteer for Michael Dukakis' failed 1988 Presidential campaign. I would never support a candidate today with his ideology, especially on
economic issues. I was young, naïve and the product of our country's
educational system. My parents, like most others, didn't talk a lot of politics
at home, and we certainly didn't talk about economics.
I am not a political ideologue, but in general I am "conservative"
on economic issues. By that I mean that I don't believe that the government
does things efficiently in the way that the competitive private sector can. I
believe that taxes should be set as low as possible and that government has little
incentive to control spending as they institute more new taxes and raise them
over time. I use facts and analysis. In my lifetime, there have been good
(Reagan and Clinton) and bad Presidents (Nixon and Carter) from both parties.
That said, I firmly believe, based upon many years now of
observation and business world experience, that most liberals (and socialists) are
economically illiterate. The more a person understands how the economy and
financial markets work, the more likely they are to identify with and support
free market capitalism with a minimal role for government.
When I engage liberals who hold "different economic beliefs"
in conversation and debate, I find that the news sources they listen to include
NPR, the New York Times, Newsweek, the Huffington Post, and other left leaning
media outlets that support and reinforce their liberal point of view.
My goal and job is to help you to make the most of your
money and to make informed decisions, which includes making sense of current
events and unfortunately politics. To keep up with what is being discussed, the
media sources I survey and people I speak with span the spectrum. Don't allow your
biases to undermine your personal financial success.