"I Voted"

Stepping out onto my front porch this morning, feeling the chilled, damp air and overcome with the bleak appearance of the day, I doubted the voting turnout would be as strong as expected. Quite the contrary though. Making my way to class, dodging the cloud of umbrellas whisking above my head, there was one thing I couldn't help but notice-everyone's "I voted" sticker proudly placed on their chest. This blaring symbol of patriotism isn't thought to be found so adamantly on college students, the voting (or non-voting) group that is known for having no interest in politics, not voting, or being uneducated about the vote they happen upon (because they have no interest).

If this stereotype was ever really that accurate in the past, this election has helped change that image. Andy Kenney, staff writer for the Daily Tar Heel published the article "A bloc to be reckoned with" in today's issue, focused on the change in the amount of youth voters and their reasons for becoming politcally involved. One UNC student was quoted in the article saying, Obama has "made it hip to go vote, the cool thing to do." Whether or not Obama is the main connection to youth voter's interest in the 2008 election, voting certainly has become much more popular and almost essential for today's youth.

Speaking of Obama, 63% of youth voters polled by the National Gallup are leaning towards Obama and support the Democratic party. Almost half of registered voters in the 18-29 bracket, label themselves as "independent," and Obama is a candidate this generation seems to identity more greatly with. How did he gain more prominence (at least according to statistics)? Some say it may be linked to his use of the internet in campaigning. As part of a progressive party, Obama has gone away from traditional campaigning methods with this election and targeted younger voters through websites, emails, blogs, and facebook. But then again, I have to say I have seen plenty of McCain advertisements through the web as well. All in all, connecting through a new form of media to a younger generation has proven successful in encouraging young voters to become educated and have an interest in the presidential election.

Well then what else has been a major factor in the increase in youth voting? The economy. About 40% of the 18-29 age group bracket is comprised of college students, and many are concerned about paying for college and the state of the economy after graduation. Both Obama and McCain are in tune with college students' concerns and support greater accessibility for student loans. Obama is in favor of the Federal Direct Loan program, which saves money for borrowers and taxpayers-something that everyone seems to like. McCain supports the Federal Family Education Loan Program that aids in borrowers recieving loans from third party lenders, which can be more accessible to a wider range of applicants. Both candidates are embracing worthy plans for students, and they are met with equal support by the increase in political interest and voting. According to the Daily Tar Heel, "Since January 2008, 90,000 young adults registered to vote in North Carolina, a 16 percent increase in less than a year and the largest gain of any age group." Being part of this group myself, I recognize that I have taken a much larger interest in this election than previous ones. Granted I was not of voting age in the last election, but I still never took the time to educate myself on each party's stances on the issues (issues that affect each and every person in the U.S.). I think many of us are starting to realize that our votes do count, at least for taking pride in what we represent...and if we don't know what we're voting for then who knows what our nation will represent in our futures.

Linking You to the Economy!

CNNmoney

CNN, Fortune, and Money collaborate together in this website to form a great resource for locating the most up-to-date releases on current happenings in the economy including: announcements, legislation meetings, proposed bills and ideas, and updates on the job market. You can track the U.S. and world markets, find out information about stocks, and view the "economic calendar." Almost any question concerning the economy can be found within the domains of this site, all it takes is a little time to dig through the abundance of sections provided.

NPR: Economy

I find NPR's website to be great for providing a well-balanced outlook on the economy with visual and audio archives. In its most current state, not all of the stories focus solely on the rescue plan, which makes this site different from many other news-related sources. The great thing about NPR is many personal connections are made in their stories, which is a great tool to engage listeners (or readers) and bring big scenarios to a smaller-world reality. Many times economic problems seem so huge and complicated that people don't really understand what is actually going on...but connecting it to individuals hits home with many people. You can also browse the rest of the site to hear great informational stories on other national and world happenings.

Forbes

Forbes is directed towards those interested in improving their personal finances all the way to individuals merely wanting to gain a better understanding on foreign markets. Just on the home page for the site you can access current headlines from the Associated Press, key economic indicators, and market scans for individual companies. Forbes provides its readers with videos, information on stocks to watch, guides to investing properly in current times, the list goes on...If you are researching for personal needs or to update yourself on national and world economies, Forbes is your go-to site.

The White House: Economy

The White House's website provides readers with the facts the government releases on speeches and plans of action for the United States. It is a great site for finding direct information that is valid and reliable. The only downside to this site is, being provided by the government, it contains limited information beyond what is released by the White House. Therefore the information is biased in favoring government actions but is a great informational tool!

This Election is BIG!

In Tuesday's post, I briefly overviewed the importance of strengthening the United States for the benefit of our own people and to be a global leader and help foreign nations. Today I read an article in the Washington Post that has given me even more reason to find this argument valuable-everyone is watching us. "The Election That Has the Whole World Blogging" naturally caught my eye, connecting it to my personal blogging experience over the past month. Upon clicking the link to the article, I presumed it would be focused on the progressiveness of blogging and its relation to a modern world, and an evolving election...I was wrong. People all over the world are tracking the U.S. political campaign-religiously-even more so than many Americans.

Voices Without Votes, a blogging site dedicated to non-Americans speaking on the U.S. elections is truly fascinating to look at. The health of countries that are connected to others globally is of great importance, but I never knew that so many foreign nations were focused more on the U.S. than their own countries. Other nations' elections have recieved some internet recognition, but according to Al Hussaini, editor of Voices Without Votes, nowhere near the attention America has recieved, reaching to 1,100 blogs on the site. Hussaini was quoted in the article saying "Americans can see, if they don't already, that their voices affect the rest of us when it comes to foreign policy, the environment, the global market, you name it." Not only is it a little eerie that we're being watched and discussed so closely, but it shows the impact we have on foreign economies and nations. Which makes me wonder...are they positive or negative? We can only hope for positive intentions when they are following our every move...

As I have mentioned before, the U.S. economy is connected to social programs, individuals, and global economies. After reading this article, it has put the economy into an even greater perspective...highlighting previous thoughts in Tuesday's post...we have to be a strong nation for ourselves and to keep global markets running smoothly.

The Self-Analysis

The blog project has truly opened up my eyes to a new form of communicating and receiving ideas that I find beneficial to my growth as a thinker, student, and individual. Through having to research profusely on an issue which I was previously uninformed on has given me the skills to investigate biases, and realize that everything posted on the internet (scholarly or not) is not the ultimate answer-you can always dig deeper because each issue has so many underlying causes and influences.

In relation to the economy, I learned how subprime mortgages, U.S. national and consumer debt, the war, 9-11—are all not only causes of our ailing economy, but directly connected with one another. Before conducting research and questioning my findings through writing and being questioned by fellow bloggers, I would have never truly grasped the intricate connections within my issue. Digging even deeper, understanding (in relation to the campaign) what each party and candidate contributes to the rescue plan and future economy by researching their past actions and deciding if they are indicative of what they claim…then understanding that political parties and candidates ALSO have forces influencing them-sometimes ones that even connect back to the very face of the problem! Refrencing to my Analysis Post, with Fannie Mae endorsing Obama with $42,000 of campaign money and McCain’s involvement with the Keating Five shows the very tangled web of political issues and how there is so much to be researched for a better understanding. And less influential than presidential candidates, but still highly powerful in the American market, is the companies we choose to support that may not actually be supporting us. I came across this posting today in The Huffington Post, blogging on Wal-Mart's image of "low prices," and their contradictory habits of underpaying employees, avoiding some taxes, not giving out full and promised healthcare benefits, and supporting foreign economies when our own is struggling. Every consumer, every producer, every major legislation, every global event...they all have an affect on the economy. The research is endless, but becoming informed is so valuable to every citizen.

Blogging on the economy, especially, has shown me how this is related to almost every other topic. Without a healthy economy, there is no money to endorse student loans, renewable resources, healthcare, no child left behind, jobs for immigrants, etc., issues that affect American citizens on an even more personal level. This is a big deal…and before this project, sadly, I had no idea how important every issue was to the survival and success of the United States and the world for that matter. All of the great ideas legislators have proposed and America has critiqued in order to better the U.S. will not be able to go into action without a healthy economy. And how can a healthy economy configure itself from the wraths of credit-swaps and subprime mortgages? Well through a well thought out rescue plan...which I have had the privledge of documenting its many twists and turns through the past month. The development of the rescue plan started as a hasty one, and the U.S. government soon realized that while they needed to take swift action, it had to be decisive and actually work, because it had to. The rescue plan along with revisions in goverment interaction in the economy will help the U.S. to recover from the crisis.

Holding intellectual discussions on topics through the internet has challenged me in two ways-1) tapping into a new form of communicative interaction, and 2)demanding continuous research on my own topic and others, both of which I had merely a base knowledge on. Before the start of this project, my internet communication consisted of emails, facebook, and im-chatting. Through researching, blogging, and responding to the issues of others I feel that I attempted to progress as an individual within an evolving society and will continue to do so.

As for evolution of thought in current situations regarding the 2008 Presidential election…has my thinking changed on my favored political party? Or Candidate? Actually not. I have waffled back and forth a bit; coming into the project I had the intentions of voting for McCain, having always been a Republican, or at least thinking of myself as a Republican. And while I had a surface understanding of what the party represented and a family history of Republicans, I was unaware of how Republican’s dealt with issues currently and in the past…which is the best way to decide on the future. I had never researched why the party has the beliefs they do (the driving forces if you will). In conducting my research on the economy, I initially found McCain’s plan for the economy very vague, just focusing on various tax breaks. Obama, on the other hand, provides a detailed outlook on stimulating the economy, creating new jobs through clean energy and infrastructure, and stabilize the housing market by preventing foreclosures. Obama seemed like the candidate of change, which our struggling nation obviously needed, and my opinion was quickly changing. Then, not even meaning to, more research and discussion allowed me to realize that a struggling nation does not need to be overhauled with potentially expensive programs and diverted away from the most pertinent issues; the U.S. needs a simple, yet effective plan to jumpstart the economy and encourage economic success for the long-term. McCain’s plan actually has more than meets the eye, and due to criticism, he has elaborated his plan to enlighten America. He plans on making healthcare more affordable, lowering capital gains and eliminating unemployment taxes, selling to global markets (which make up 95% of profits from goods sold by the U.S.), not endorse any program that lacks importance in our time of crisis, and helping those who are struggling to pay their mortgages. McCain proposes to lower taxes for the majority of income brackets, and even corporate taxes and new cell-phone taxes. Both candidates provide plans within their campaign that will help the U.S. grow and bounce back from the current financial crisis. And disregarding specific candidates, the blog project in relation to the campaign has enlightened me on why I am choosing to vote the way I am.

Lending Patterns

Today’s headlines for the Washington Post read “Financial Meltdown Worsens Food Crisis.” According to the article, 923 million people in the world were severely undernourished in the year 2007. That staggering number seems like it will only become greater with recent higher costs for imported food and limited funding given to agriculture, due to the financial crisis. Not just the United States, but global markets around the world are facing huge recessions and trying to protect their economies as well. More money is being injected into the economy and taken away from money previously spent towards agriculture. Third-world, less-developed, and many Asian and African cultures are the ones hurting the most.
The article states, “Richer countries from the United States to the Persian Gulf are busy helping themselves and have been slow to lend a helping hand.” The head of the Eastern Africa Farmers Federation also commented that “The amount of money used for the bailouts in the U.S. and Europe—people here are saying that money is enough to feed the poor in Africa for the next three years.” This raises a question for me: Should the U.S. always be turned to for financial aid when other countries opt out of helping us?
This question may sound a little egocentric, but it’s really true. Granted, our intentions for helping other countries may have had hidden motives behind them in some instances, but overall the U.S. is a nation that is always helping others in need. Is anyone helping us with our financial crisis? No. Do we have the money to help other struggling countries at the risk of becoming equally hard shipped? Probably not.
On February 14, 2008, President Bush discussed the U.S. Africa Policy before a national visit to five African nations, mentioning the equal partnership that was being created to help the continent’s economics, disease prevention, and process of building their nations’ governments systematically to leave the dangers of chaotic organization. The president discussed the implementation of investment funds to increase profitability in Africa. This partnership is aimed at helping struggling nations, not gaining power to overtake their resources. But the U.S. can only do so much. This has to be understood globally-and other nations have to start taking initiatives to help themselves also. No country is perfect, and ideally, every country should be willing to lend a helping hand to those who are struggling.
Unfortunately, this rarely happens…and while I’m not suggesting we dismiss the Good Guy act and stop helping others, the U.S. can’t be blamed for other nation’s hardships when there is a lack of funding to support our own country. So what should the U.S. government do? What should other “richer” countries do? Well, if we want to hold global power and be sought after for help, which seems to be a motivating factor for helping others, the U.S. has to be smart. Bringing it back to the rescue plan, we cannot let financial crises consume us, or be blind sighted enough to allow them to occur. Strong countries demand strong governments, and when it comes to the economy, some regulation is required to keep economic cycles stable. Similar to the Africa Policy, the U.S. is creating a helping partnership with their nations, but also mandating organization within their governments for stability.
To put it sweet and simple-You must expect out of yourself what you expect of others. We have the great ability to help struggling nations, but we need to get on track ourselves. And while it is unfair that the rest of the world is reluctant to help us, we shouldn’t allow it to prevent the U.S. from being a greater nation.

UPDATED Theory Post!

Before anyone can accurately predict how the rescue plan will help the future of the U.S. economy, it is important to take a good, hard look at the root of the problem. Yes, the subprime mortgage crisis was caused from the lending and selling of mortgage bundles that lacked backing collateral, as I have mentioned before. Taking this even further though, I am going to agree with "The Digerati Life" blog, which claims the fall of the U.S. economy can be traced all the way back to the dot com crash of 2000, followed by the 9-11 attacks.

146,100 jobs were lost in NYC just due to the direct attack. The markets were closed for several days and faced an immediate crash after reopening. For fear of a major recession, the Fed (which was already in the process of cutting Fed Fund rates after the dot com crash) cut rates even further. This created a boom in borrowing...money seemed to be moving more freely in the economic market...and thus inflation was on the rise. Inflation caused the value of homes to increase, and since credit was easily attainable, many people began investing in property they had no real money for...alas the crisis we are in now.

Not to forget the Iraq war we are engaged in, which isalso a direct effect of 9-11 and has been going on for seven years and counting. So far, the war has cost the U.S. over $500 billion in upfront costs...only contributing to national debt and taking out of taxpayers money.


The problem with the hefty debt the government and consumers are faced with, is now credit is much tighter, making it harder for those who were living beyond their means to live comfortably anymore. People are collapsing under their debt, foreclosing on homes, many have lost their jobs, and now have ruined credit lines. And really everyone is affected.


So out comes the rescue plan...Whats my theory on the outcome of this bill? Is it going to work? Yes, because it HAS to. It seems that as more and more ideas have been proposed for the bill to create jobs in different sectors to help the economy, and put money towards infrastructure, etc., the plan has gotten further away from solving the problem. Thankfully, congress is starting to realize that and take more conscious steps to a focused plan. With talk of a second stimulus package being implemented, legislators became wary because they felt if it was not enacted at the right time with the right measures, then it wouldn't help the economy.

In relation to the election, both candidates want to cut taxes and help those who are unemployed. Money will have to be put into the economy for it to keep circulating, but those who don't have the money should be helped. I think McCain's proposal to cut taxes on capital gains is a great idea and will help secure the housing market, and consequently allow investors to feel they are making more finacially sound decisions. Obama's plan to put money towards other programs to stimulate the economy is great on paper, but for this plan to work, it has to stick to the basics initially. A multi-step plan, addressing the most dire economic pains first and then less consequential ones later, will help the country long-term towards a better future. Thankfully, both candidates propose to cut unemployment benefit taxes, which illustrates a common understanding between the two candidates to focus on the most important issues first. Cooperation, patience, and diligence between the government and the people, along with timely implements in the bill, will allow the rescue plan to help the U.S. economy.

To stimulate the economy or not?

The U.S. economy, along with any developed economy, experiences fluctuations within their economic cycles. The two main cycles consist of booms and recessions. With our current recession, it is imperative for the status and health of our country economically, that we start booming. The catch is not be too hasty though.



Congress has been talking about implementing a second stimulus package to jumpstart the economy. Democrats believe food stamps should be increased, more money should be invested in infrastructure projects, and rates on loan mortgages should be increased. Republicans are focused on tax breaks and incentives, with a heavy influence on cutting or eliminating taxes on capital gains. This would help those who are struggling with house payments or fear buying new property, to stimulate the housing market and raise property value once again.



Both McCain and Obama support eliminating taxes on unemployment benefits, which makes a lot of sense. It is not logical to tax struggling individuals on money they are recieving from the government. Sounds like extra red tape.



Thats the thing though; America has to be logical with economic decisions. The big question with the second stimulus package is when to install it. It would have to be implemented at the right time for the nation's economy to reap the most benefits. The first stimulus package was put into place last February and offered tax rebates, which clearly only helped in a short-term manner. With this plan Ben Bernake suggested to (as quoted by Jeanne Sadahi in a CNN Money article) "improve access to credit by consumers, homebuyers, businesses, and other borrowers." This seems like a short-sighted idea that would, again, result in short-term help for our crisis. Offering more credit to a country consumed in debt may temporarily boost the economy because people would be spending-but completely out of their means! This tricks the economy and creates those hasty and unstable fluctuations in economic cycles I mentioned previously-instead of long term help to ease staggering lows and sudden highs.



In closing on Tuesday, congress decided to not enact the second stimulus package quite yet. They are listening to ideas in hopes of implementing beneficial, smart changes-best move I have heard yet. Glen Hubbard (a former senior economic adviser to President George Bush) proposed for the U.S. government to buy negative equity from the private sector, which would restore mortgage rate levels to around 5 percent. He believes the U.S. might only need to spend $200 billion on the rescue plan if the government doesn't spend unnecessarily. Although we need our economy to start heading upward to its boom, it would be better to spend less, only where needed, and not make irrational, hasty decisions.