Obama Approval Below 60%

Coming in with high ratings from the American people with the transition to the 44th Presidency, Barack Obama's star has fallen-- just a little bit.

Cruising in the public relations game with over 60% approval ratings for his first month in office, Gallup is reporting that President Obama's approval has fallen below that benchmark. While still over the all-important 50%, it may be a sign that the American public is beginning to become a little more uneasy with his initiatives.

Case study #1: President Obama states that he wants to slash the federal deficit by two-thirds. Instead, we're spending almost $2 trillion dollars since the beginning of 2008. While Obama wasn't President then, he was in the forefront on both previous stimulus/bailout bills. These debts are enormous considering our economy barely makes over $12 trillion a year.

Case study #2: The economy keeps falling. Despite all of the sweet talk and "brace for impact" by the government, the Dow is approaching 7,000. Unemployment will probably pick up more and we may be looking at 11% soon. The federal government could give hundreds of thousands of public works jobs in months. Still, no signs of that.

Case study #3: Gas prices are rising again. While they've been falling on the market lately, gas at the pump is up almost 10% since the President took office. The economy's been faltering, which should drive down prices. However, is this tied to the restriction of drilling signed by the President?

So where will the President's approval ratings be in a year? We'll find out, I guess.

Also, if you need to search anything on Google, please use the bar below:

How to Solve Our Dependence on Foreign Energy

Even with gas and oil prices dipping over the last six months, we have to keep in mind that unless we do something drastic this is only temporary. When the economy comes back online, expect the return of four dollar gas. Oil could again reach near $150 and a prolonged economic growth period could push gas near six dollars.

In order to attempt to reverse this potential future, the government and our business leaders need to make the decision that we should be less dependent on foreign energy. Everyone states how they'd like to do this, but it's imperative that we act boldly, especially while our enemies like Iran, Russia, and Venezuela have smarting economies.

So here's my plan. If you don't like it or feels that it doesn't go far enough, feel free to comment. If you think it's a good idea, email it to people you know to begin a chain that could end with Congressmen and Senators. It's time to act, and I think that it's about time.

What We Need to Do:

1. Relax restrictions on drilling for most domestic areas-- basically anywhere that won't really damage the environment. Make oil companies pay 25 cents on the dollar of profits from this new land opened in reinvestment, the "greening" of their facilities and automobiles, and the expansion of alternative energy.

2. Have the Congress invest $50 billion over the next 5-10 years in ethanol production in Brazil. Sugarcane in Brazil produces much more ethanol cheaper than corn, and avoids the fuel/food scenario. Have these fields owned by our government, with the ethanol being sent to the US tariff and tax free.

3. Create wind, solar, and geothermal energy on federal land, including solar panels on federal buildings. Phase out gasoline and diesel cars from federal and state vehicles, and phase in CNG, biodiesel, and ethanol cars.

4. Provide $50 billion over 10 years for the construction of ten synthetic coal-to-oil plants.

5. Eliminate most or all taxes on Compressed Natural Gas, and push for more drilling.

6. Mandate that all newly built homes and businesses be constructed with either solar panels or a small wind turbine OR have the owners pay a waiver to the federal government.

7. Allow the construction of more refineries and nuclear plants.

This plan is definitely expensive, but if carried out, could save us the amount it costs overall in just one year. This could be our ticket out of ALL energy entanglements with other countries (except Canada, Mexico, and Brazil.) Make this message count, send it to those who want to make a difference!

Also, if you need to search anything on Google, please use the bar below:

Economy Shrank by 3.8%

And also in the wonderful world of news, the economy shrunk by almost 4%. Part of that has to do with housing. Part of that has to do with high gas prices. Part of that has to do with low gas prices. Part of that has to do with blah, blah, blah.

Fill up your tank, sew your clothing and use those coupons. This is going to be a bumpy ride.

Will Rate Cut Cause Inflation?

Of course if you took macroeconomics, the answer is yes... but there are a lot of factors at play.

1. The Fed will cut rates near 0%. This will undoubtedly increase the money supply and the liquidity of the markets. After the September 11th attacks, the Fed lowered rates to 1% and it spurred the housing boom... which led to the housing bust.

2. We're pumping in at least $700,000,000,000 into the economy. Considering our GDP is only about $11 trillion a year, this is a huge investment. This also increases the money supply and the availability of cash and credit.

3. Gas prices have dropped dramatically in the last couple of months. While this is good, all of the extra money that would have went in the gas tank is instead either being saved or being spent on consumer goods. That extra money being spent is being pumped into the economy, also increasing the money supply.

Naturally, these factors will help spur economic growth, which is also a good thing. However, when the economy begins to hum again, this excess money will still be floating around. Coupled with increased spending by a resurgent economy, this could cause severe inflation. Not to mention if gas prices again shoot to $4 a gallon. And if the economy is going well, state and the federal government may also dramatically increase spending. All of these factors could push inflation over 7% by 2011.

Yes, I took macroeconomics.

Prices in 1930

As I read an article on Sheriff Steadman’s murder, I came across an advertisement for a four tube radio. Afterwards, I thought it would be intresting to do a presentation on prices of 1930. I found it especially interesting because 1930 was right in the middle of the depression.

Everyone needs clothes, so I’ll discuss clothes first. I came across shoes selling for about 3-8 dollars a pair, and I also saw an ad for shoes, that were on sale, for $2.50-$3.50. Socks were 10 and 20 cents a pair. Hats were also relatively cheap at 1-5 dollars. And for the ladies, fur trimmed coats were 39 dollars each.

Food, every loves food. Roast pork sold at 28 cents a pound, sausage sold for 28 cents also. Sirloin sold from 32-45 cents, and veal chops sold at 35 cents a pound, so did sliced bacon. Ham sold for 30 cents a pound, while coffee sold for 23 cents, and corn flakes sold for 8 cents. Three pounds of rice sold for 19 cents, about 6 cents a pound, and a half pound of chocolate sold for 25 cents. Rum was 49 cents a pint, while a dozen oranges went for 54 cents. Cod liver oil, a personal favorite, was 79 cents a pint, and for the one with a weak stomach, indegestion pills were 25 cents, for a small bottle, and 75 cents for a large one. And, although it hardly passes for food, aspirin was 49 cents for a bottle. Also, listerine went for 10 cents, for a small bottle, and a quarter for the large one, and tooth paste went for 10 cents a tube.

Believe it or not, they had cars way back then. A 1930 Chevy Roadster went for 495 dollars, while a Ford Roadster went for 435 dollars. A 1930 Chevy Coupe went for $565, while a Ford Coupe came out to be $500. The 1930 Chevy Sedan went for 675 dollars, and the Ford Town Sedan went for $670. Now, you could think that Ford was a better value, but personally, I think Chevy was more expensive because it was, still are, built well, better than Ford. In other prices, a 1927 Model T Sedan went for $175, and the 1926 Model T Sedan went for $100. The “new” Model As went for 550 dollars each. Advertisements also offer cars “as low as $50”, the ads also boasted of “cars with over 50 horsepower”.

Some miscellaneous prices are as follows. Pencils were one cent each and soap cakes were 50 cents a cake. Coffee pots were 55 cents each, while dinner plates were 10 cents each. Hammers were 10, 25, and 50 cents each, according to size, and spark plugs were 25 cents. Paint brushes were 5, 10, and 25 cents, depending on size, and pocket knives were 69 cents to a dollar. Tickets for the Cobleskill theater were 10-40 cents each, and dry cell batteries were 40 and 45 cents.

The oddest, if you could call it that, ad was an ad for “Chesterfield Cigarets”. It’s not odd that it’s a cigaret ad, no, rather it’s who is on the ad. Right on the ad is the picture of a minstrel, not the medieval singer. No, it’s a person white person in black face.

The prices for things were easily found, in fact all the prices I found were in January of 1930. And by the way, the price for the four tube radio was 129 dollars, and that’s excluding tubes.

Bibliography

1. The Cobleskill Times. January 2, 1930.

2. The Cobleskill Times. January 9, 1930.

3. The Cobleskill Times. January 16, 1930.

4. The Cobleskill Times. January 23, 1930.

5. The Cobleskill Times. January 30, 1930.

How Low Will Oil Prices Go?

The national average price of gasoline has fallen to $2.22 and the price of a barrel of oil has fallen to near $56.

Now, with the slowing global economy, will oil prices continue to fall? Some factors point to yes: 1. U.S. promises to drill more may flatten oil prices. 2. Increased ethanol production cuts down on gasoline demand. 3. If people don't have additional money because they're saving, the less they spend on gas. 4. If you're unemployed, you're not commuting to work every day.

But other factors point otherwise: 1. Obama wanting to restrict domestic oil drilling. 2. Cheaper gas prices may encourage people to travel just from the low prices. 3. Saudi Arabia has stated that it doesn't want oil to fall below $50. A drastic cut in oil production could spike prices. 4. A terrorist threat in the Middle East could cause a price spike.

So, where will oil be in six months? I'd guess around $75 with gas around $2.80.
Also, if you need to search anything on Google, please use the bar below: