Nicole Gelinas has resided as an authority on macro-economic and fiscal matters for the better part of fifteen years, she currently resides as a Senior Contributing Editor to the Manhattan Institute’s “City Journal”‘ a publication that scrutinizes the fiscal health of States. Although she often curtails her subject to examining New York City, she often widens her take to include regional industries.
Recently Dr. Gelinas has proposed a novel reading of the relationship existing between northeastern states and the financial industries that dominate Wall Street.
It was brutal!
As every economist worthy of his/her mettle knows regarding the latest unemployment numbers, State governments throughout the northeast, specifically New York have not taken advantage of this recession to reform themselves. Fiscal reform is anathema to Hartford much to the detriment of our citizens. A closer look at the details will reveal the mindset of a dominant minority unwilling to confront reality, an intransigence worthy of rebuke.
Wall Street profits are currently around $15 Billion or twice last years levels! This symbiotic relation between the federal government as the repository allocating credit and Wall Street remains un-reformed. States like Connecticut don’t demonstrate a political leadership worthy of our heritage. I am specifically referring to the moral and fiscal statesmanship that underwrote the Founders! Spendthrift States like Connecticut and its political class aren’t interested in reform, they’re interested in promoting their careers!
As of this writing, Wall Street never recovered nor replaced the jobs it shed to stay competitive after the calamity of 2007. Employment is down over 20,000 jobs to 172,000. At its height in 2000 Wall Street had 195,400 jobs, a number it was never to regain again. Bonuses are down 43 percent. Revenue is down 57 percent, this does not include the disastrous currency depreciation that has become both failed Fed policy and a lame duck Congress.
This regional industry was responsible for filling state coffers annually in the billions. Even with revenue down and jobs lost the political leadership in both Congress and State Capitals never concede the impact that is confiscatory taxation.
The private sector must innovate or die, but the dominant political class dosen’t have to adjust.
The mentality that dominates the political class of Hartford is ripe to be overthrown. A dominant minority that ceases to lead in numerous crisis’ is unfit to govern.
The election of 2012 is not cyclical. November will usher in a tectonic shift of alignment consistent with the political ideals of our founding; the American Republic will elect leadership to pursue policies that fortify individual sovereignty, limited enumerated government. In a sentence, a government that understands the moral foundations of liberty.
If not, then the war of ideas begins. . .
My monies not on fat boy govmint.