I just finished reading Robert Reichs book, After-Shock: The Next Economy and Americas Future, and I thought it was a very good, insightful, thoughtful, informative perspective on the US economy, both historically, present and into the future. I dont agree with all of Reichs opinions, but he ha s a lot of good facts and information. It would be very interesting to see an actual debate in the topic between him and Bill OReilly. Id pay to see that one! I write a lot of books reviews, so heres some excerpts from my book review on AfterShock by Robert Reich: After-Shock by Robert Reich This book opens with a reflective look at former US treasury Board Sec., Marriner Stoddard Eccles. The author, Robert Reich, describes how Eccles took a look at our national economy during the Great Depression years, and decided that instead of Wall Street being in control of the purse-strings, that the Treasury Department would need to stimulate the economy by adding additional capital to the overall economy, and thereby putting money into the average citizens pockets, who then could go about with more purchasing power. In 2007, the nation faced a similar situation (of another near great depression), and therefore, the TARP bailout of several banking institution companies, and major corporations began. The money that was supposed to flow through Wall Street, never did quite make it to Main Street, and this is one of the things that the author is talking about, as he reflects on history and the lessons learned. Eccles insight into the economic pendulum swings that take place during recessions/depressions, is very similar to what occurred in the 2007 – 2008 recession. There are a lot of lessons to be learned, and therefore help forecast strategies to work with the similar situations in the future. Solutions offered up by the author are: (Not that I wholeheartedly agree with any of these, but here goes) - One; a reverse income tax. We now provide a similar program through the earned income tax credit. This program should be expanded and enhanced upon. - Two; a carbon tax. This would be based on the tons of carbon and the carbon footprint that are being emitted by factories and manufacturing. - Three; a higher marginal income tax rate on the wealthy - Four; a re-employment system, rather than an unemployment system. This would include employment insurance, that would continue paying a significant percentage of someones wages, while they are unemployed, so that they can seek additional training, and be better prepared to eventually reenter into the job market. - Five; school vouchers based on family income. - Six; college loans based on subsequent earnings. - Seven; Medicare for all. Affordable healthcare for everyone in the United States. - Eight; increase in funding of public goods. There should be a sizable increase in the funding of public transportation, public parks and other public amenities. This adds to the overall quality of society, and helps those who cannot afford user fees, to be able to enjoy public facilities, and also to be able to maintain these public facilities. - Nine; get big money out of politics. Big money only serves to buy politicians, and for the special interest groups to benefit from. By making all contributions totally transparent, everyone will have a better sense of where the money is coming from, and where it is going to. Conclusion; the author, Robert Reich, does a great job of giving a very insightful overview, and historical perspective on the ups and downs, and pendulum swings that the economies go through. You dont need an MBA to fully enjoy and understand this text. All you need is to have lived through this latest recession, and have a little bit of interest in history, and this book will be an enjoyable read for you as well.
Posted on: Mon, 29 Sep 2014 01:42:46 +0000