Authored by William Robert Barber

Government just cannot keep its hands out of the marketplace…in my business credit card processing, the Dodd-Frank financial over-all law has, with the original intent of lowering debt-fee’s by establishing a cap on the fee amount has actually done nothing less than increase debt fees for the majority of these types of transactions. The IRS not to be outdone has mandated that credit card processing companies report all transactions, as a result, merchant pay an extra monthly fee for this service. Naturally, in the end of the end, it is consumer that pays the fees as merchants raise prices on goods and services.

I realize this government interference is a commonality with a very long history of constancy; nevertheless, one would think these Harvard and Yale graduates knew better, but every year they prove me wrong.

It was the federal government that created rating agencies; after the last economic turn-down, it was the federal government that turned their wrath on these very same agencies and the banks, investment-bankers, government entities, foreign and domestic, and broker-dealers that weighted their bets on the rating of a particular investment. Today the fed’s are haggling over the language of rules within the Dodd-Frank Bill so to diminish the reliance on rating agencies while still insisting on their use. So my assumption is that in the near future there will be a new rating system. Wherein the top tier of risk-free and therefore audit-valued investments will be U.S. Government debt, now isn’t this interesting? Domestic banks, insurance companies, broker-dealers, and traders of every description will be, in essence, induced into purchasing U.S. debt. In other words, to the disadvantage of corporate and securitized obligations it is the federal government that has, by rule and regulation, the competitive edge. Once again it is our government in a head to head contest for the available cash to invest in direct competition with the taxpaying private enterprise that pays the government’s debts.

One must ask: Is the amount of money spent in this Herculean effort to eliminate the risk of an economic downturn worth the effort and the cost?

Of course the issues addressed have more to do with political nonsense and ambition then it does to do with protecting the taxpayers form another bailout. My anxiety is that politics will triumph over the covenants of rational and reasonable, politicians will utilize the utility of fear to transcend prudence and the nation’s economy will suffer.

I wish I could find a viable haven to invest with absolute confidence my citizenry time and energy; but, all I can really do is choose the least harmful political party. And today that is the Republicans. I do understand there are many intelligent, smart, patriotic, and cool Americans who defiantly disagree with my political ideology and that such disagreements are accepted and expected. But I do think that we can no longer tax and fee our way out of our economic predicament. I do realize there are those that consider differently, however, just as they have their intrinsic values and their particular interpretive of global events, I have mine. I think all us Americans are seeking a solution to our profound disagreements. If the nation is fortunate the election will settle all such differing and abate befuddlement. But, more than likely, this forthcoming election will not resolve our disagreement; it will however set a vector while we all wait for the next election.   

I do wish I could believe that government is sanguine, righteous, wise, above the chaos of politics and prudent in legislation, spending of the taxpayers funds, noble, and lawful; the truth is I cannot. Well, what to do, what to do, I just found out that Santa Claus is funded by the fed’s and all the elves are joining the public employees union.

Merry Christmas to all and I wish the very best for 2012!

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