Deeper and Wider

As I mentioned in my last post “What a Revolting Mess,” the report given by Dr. Albert

Gully Erosion

Niemi, Dean, Cox School of Business, Southern Methodist University, to a group of Bank of North Georgia employees and customers, contained several very relevant economic issues.  One of the issues he discussed caused me to “flash back” in my memory to a research paper I did in high school nearly 50 years ago dealing with “the effects of erosion.”

I recalled the devastating pictures of eroding land and the formation of deep gullies I found in an encyclopedia and other publications (no Goggle back then!) while preforming my research. Erosion caused by the unsatisfactory farming procedures and techniques used in the 1800’s and early 1900’s.

Providence Canyoon

Then my memory flashed forward to a relatively recent episode on Georgia Public Television that highlighted Georgia’s “Little Grand Canyon,” near Lumpkin, Georgia. Located in Providence Canyon State Park, which consist of over 1,000 acres containing “massive gullies” some as deep as 150 feet.  These gullies are said to be the result of “poor farming practices in the 1,800’s.  Due to the erosion process which started well over a 100 years ago, Providence Canyon keeps getting “Deeper and Wider.”

The point Dr. Niemi made which cause my “flash back” was “our (residence of the United States) Wealth has eroded by over $7 Trillion since 2007.  Seven Trillion Dollars – (With a “T”) – $7,000,000,000,000.

An erosion caused by “poor fiscal and economic policy and practices” by a dysfunctional Congress and federal bureaucrats, and financial institutions motivated by shareholder profit, a need to meet the needs of policy makers and poor or inadequate credit underwriting.

According to Dr. Niemi, “during the period 2000-2007 – the U. S. Housing Industry recorded an average of 1.8 million housing starts in each of those 8 years.  In 2010 housing starts dropped to 580,000, a 67.8% decline.” He predicts “a small increase to 650,000 in 2012.”

According to the “Case-Stiller index” the average home price in 2006 was $200,000. At the end of the second quarter 2011 that number had decreased to $119,000. The value of the average home is down by 40% and it is expected such values will continue to drop until late 2012 or early 2013.

Dr. Niemi shared this sad news – “There are approximately 51 million mortgages active in the U. S. today. Of that number 28 million are in good shape; 23 million are in trouble; 14.6 million are “underwater;” 3.7 million are delinquent and there has been 5.2 million foreclosures.  He went on to point out “the housing bubble has hit Georgia extremely hard. Not only were we heavily involved in home building, another very significant part of our economy is or was engaged in supplying building materials and services to the home building industry.”

Erosion of wealth, dramatic increases in unemployment, foreclosures, failed banks and business, —absolutely “SCARY!”

Want to know what I consider even “scarier” than that? It is the fact that the same ones who are responsible for all this instability in our economy, all the trama, etc. are the very same ones who we are looking to “to fix this mess!”

While writing this, I had another flash back. I recalled that one of the conservation practices used to slow down and stop erosion was and is “crop rotation.” Do you suppose this recollection might just be a “divine” way of suggesting to me that a “crop rotation” in the form of “term limits” in the U. S. House and Senate might be an answer to slowing down the erosion of our economy? Obviously, this Congress would never entertain such a suggestion, so the answer is the “Ballot Box!”

We have to do something or else our economic canyon will just get “Deeper and Wider!”

Don Cannon – Cannon Down Range.

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What a Revolting Mess!

This morning (Wednesday, November 30, 2011) I had the pleasure of attending the Bank of North Georgia’s  Annual Economic Forecast Breakfast at which Dr. Albert W. Niemi, Jr., Dean, Edwin L. Cox School of Business, Southern Methodist University, presented his economic forecast for 2012.

I suppose one could say from what we heard Dr. Niemi say, that if you want the same old thing, you will not be disappointed.

It is unfortunate, but understandable, that the Economic Forecast and our current Economic Situation are expected to be very much the same.

You may know that the U. S. Labor Department has been reporting or nation’s unemployment at around 14 Million or 9.1 percent. Dr. Niemi adds a spin to those numbers.  He contends that “there are 2 additional groups which are not being counted. They are the “underemployed (those who are not attempting to gain employment)” and the”discouraged worker (those who have tried and tried and who have given up seeking work)” These 2 groups add 9.3 million or 6.0% and 2.6 million or 1.7%, respectively to make up “Real Unemployment of 25.9 million or 16.8 percent.” Folks that is not very comforting!

Nor was it comforting to hear what he had to say about “Job Creation.”  He reports that during the recession our country lost 8.4 million jobs.  While we have gained back 2.1 million during the recovery, we will need 6.3 million to get back to the 2007 level (full employment), plus an additional 125,000 jobs monthly to keep up with growth in the labor force.”  Obviously these jobs will not come over night.  He concludes that “if we could maintain an average of 250,000 net jobs per month we would regain full employment in January, 2018.”  We are creating only 115,000 net jobs per month now.

I think I’ll stop now. I don’t think I’ll sleep much tonight as it is, I know I will not if I continued to share with you Dr. Niemi’s conclusions about the Housing Industry and Consumer Spending. I’ll save those topics for next week.

But to end on a positive note, Dr. Niemi indicated “that even thought the recovery might be slow, Georgia joins Texas and North Carolina as the top three states expected to be the “Biggest Net Gainers” during this recovery period.”

Till next time – Cannon Down Range

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Target #2 – Happy 48th Anniversary

 "God said, Let there be light, and there was light. Genesis 1:3LAST SATURDAY EVENING as my wife, Charlene, and I were returning home from a family baby shower given for our granddaughter, Jessica, she pointed to a gorgeous sunset in the western sky.  As we continued our journey the sun was being obscured from us.  I bypassed the street on which we reside and drove to the street which runs by Walnut Grove High School’s Warrior Stadium to see if we could get a glimpse of the beautiful sunset.  There it was, the  spectacular sight you see in the above photo.  The sun bleeding through the hot summer like haze created a perfectly round disc, slightly obscured by a faint cloud running horizontally across the fire red sphere.

I thought about that beautiful sight yesterday as I reflected on June 7, 1963. the 48th anniversary of the day I married Charlene.

“And God said, Let there be light; and there was light.”  Genesis 1:3

I have no idea how long the”round disc” we know as the “sun,” which God hung in the Heavens, has been there. It really doesn’t matter. I know its be there a very long while and it is still burning bright providing light and warmth for us all the days of our life.

That “sunset” reminds me that the relationship which God brought together over 50 years ago stills burns bright and flourishes today.

It is not my character to write about my personal life, so I would point out its not about me its about the one who has stood by me, supported me, served as my “nurse,” the mother of my four children, and oh yes, the one who loves me and who has put up with me for 48 years. Love you!

HAPPY ANNIVERSARY CHARLENE 

Don Cannon

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Target #1 – Our National Economy

Target 1. June 5, 2011

At first I thought it appropriate if I targeted “Our National Economy” as the subject of my first “substance blog.”  But then I started wondering where do I aim? Is it at the outrageous spending practices of the Obama Administration and Congress, (I do recognize that the Republican controlled House of Representatives appears to be serious about making positive changes), at the extremely high fuel cost, or at the “non-energy policy” Congress has perpetuated for decades?  Is it at “jobs” or lack thereof?  Do I target the extraordinary burden “ILLEGAL-immigration” is placing on taxpayers, or the lack of attention this and other Administrations and Congress has given to the enforcement of  our nation’s laws?  Is it the billions of dollars our “government” doles out to foreign countries for uses of questionable benefit? Is it the “real estate omelet” (Omelet = eggs beaten until frothy and combined with other ingredients, as herbs, onions, peppers, ham, cheese, etc. – I DO NOT LIKE OMELETS) brought about, in part, by a lack of fiscal controls, greed, socialistic tendencies, and a failure to grasp a timely dose of “reality? Do I target the present cost of healthcare or projected increase lurking in our future?

Then I determine that if I was going to enjoy any of the NASCAR race today I needed to stop wondering and simply leave you with this quote from a remarkable soul, Helen Keller.

“When one door of happiness closes, another opens; but often we look so long at the closed door that we do not see the one which has been opened for us.”

 God Bless us, one and all!

Don Cannon

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Starting A Blog

Just spent 20 minutes setting up a “blog site.” Thanks to “WordPress” It was an easy and interesting effort. Hopefully, I will be able to make the contents of this “blog” reverent. 6.5.11

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Hello world!

Welcome to WordPress.com. After you read this, you should delete and write your own post, with a new title above. Or hit Add New on the left (of the admin dashboard) to start a fresh post.

Here are some suggestions for your first post.

  1. You can find new ideas for what to blog about by reading the Daily Post.
  2. Add PressThis to your browser. It creates a new blog post for you about any interesting  page you read on the web.
  3. Make some changes to this page, and then hit preview on the right. You can alway preview any post or edit you before you share it to the world.
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