Tuesday, September 20, 2011

NETFLIX - A Great Example of why Obama Economics is an EPIC Fail

Netflix, the giant movie supplier widely credited with the demise of Blockbuster, raised its rates recently by sixty percent. The result saw the company’s shares tank 19 percent, wiping out their entire 2011 gains after revealing that a price increase caused one million subscribers to disappear.

This is what happens in economies of both large and small scale and this is what will happen as the result of the Obama tax increases - over a trillion dollars worth. People will go elsewhere to do business. The tax increases proposed by Obama are said to effect only the rich and wealthy individuals and corporations. Yet there is a hard and true fact of life in economics that corporations do not pay taxes. They simply add the corresponding percentages to the bill handed to their customers. This becomes a trickle down effect until the tax burden is spread among the ultimate end user - you and me. So essentially any corporate tax increase is a back door tax on the population as a whole. This may give the appearance of a government which cases for the little guy but in effect it simply exposes the tricky nature of the ruling party.

Beware the nuances of liberal thought. Especially when it comes from the top. Liberalism, rightly believed to be a mental disorder, requires a nanny. Liberalism is, by definition, a mental disorder. It is defined as an "unrestricted" lifestyle. This requires the ones living the lifestyle to have barriers artificially imposed on them by big brother - the nanny state. This promotes a population heavily dependent on the government for everything. This is not a problem so long as they keep voting for the ones giving out the welfare checks and/or unemployment extensions. It really doesn't matter if they get out of bed to vote in large numbers either. It has been historically proven that low voter turnout translates into Liberal victories anyway.

Netflix has shown us a living short term example of what is happening to America in the long term and what we see manifesting today. In fact as we watch the happenings in Greece and the rest of Europe we see the exact same dynamic at work - liberals running around all upset that the nanny ran out of money. Meanwhile the producers, innovators, inventors, and everyone else who makes the world work are heading, and have been heading, to more capitalist friendly territory. Capitalism works friends - everywhere it is implemented. It just... works.

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