Why are interest rates so low?

[jyoutz]

You never take a break from pummeling people who own businesses, do you?
Maybe turn your disdain for small business loopholes towards the very government that created them?
Its not quite the utopia you make it out to be.

I have no disdain for business owners, I have plenty in my family. Just pointing out that they were the only beneficiaries of the 2018 tax cut.

 

[Larry Caldwell]

I don’t necessarily agree with all your theories but I always enjoy your insight. You seem to be one of the few who bases their opinions on more than just “because that’s what CNN/FOX news told me”. 10 thumbs up for you sir.

That's not surprising, since I don't watch either CNN or FOX News. Current events are ephemeral.

 

[dmccarty]

...
As for gas / diesel price Big Oil has found out they can price their product at whatever price and the public continues to buy it. Remember when gas use to be higher than diesel fuel and propane & kerosene use to be dirt cheap?

Gas in many US states is taxed less than diesel and the Federal tax is higher on diesel than gas. When ULSD was required, diesel prices went up due to the extra processing required to clean up the fuel.

The world was in an energy crisis last year due to government policies. These same policies in Europe certainly made Putin think that European addiction to Russian natural gas, as well as coal, oil, diesel and gasoline, would allow him to attack Ukraine without a response from European countries. Due to Putin's War, European countries have cut purchases of Russian energy products and even though they are still buying from Russia, the reduction in purchases from Russia leads to a reduction in the supply of the various energy commodities, driving up prices. Until Putin's War is ended it is just going to get worse.

Last year, high energy prices in Europe were forcing people to decide on keeping warm or buying food. If Putin's War is not ended by next fall, the higher energy AND food prices caused by Putin will cause even more serious hardship for many around the world this winter.

Turkey's economy is a mess due to their President's economic decisions. Official inflation is almost 75%. Yes, 75%. Real inflation is higher as it is suspected that the inflation numbers are being fudged. Turkey, as well as other nations, has to subsidize bread and other foods for it's population. Increased wheat prices are squeezing these countries, and attempts to raise the prices paid by consumers has not gone well in Egypt. Egyptian history is full of food riots and chaos due to shortages and increased prices of wheat. Until Putin's War is ended, it is going to get worse.

 

[Larry Caldwell]

A petroleum economy is certainly convenient, but as we have known for the last 50 years, just about anything can interrupt the supply. Sabotage. War. Corporate policy. National policy. Accident. A ship stuck in the Suez. Pipeline leaks and explosions. Hurricanes. Didn't the SE have a big gasoline shortage last year because some pipeline sprung a leak? Convenient but stupid.

 

[ultrarunner]

I encourage anyone thinking the grass is greener to give self employment a shot... be your own boss.

Everyone in my family is self employed going back generations and I was for many years until I was invited to work for a local Hospital.

In many ways staying the self employed course proved to be more lucrative as I only curtailed my business never shutting it down.

America is full of self employed family business... local service station, family farm, real estate agents, still some docs, accountants, daycare, mechanics, authors, etc...

I respect those thinking they have a better idea putting it to the test...

 

[Larry Caldwell]

One of the great things about being in business for yourself is that so much becomes tax-free. Invest in your business. Commuting expenses. Work clothing. Tools. Telephone. Internet. Shop. Insurance. Tax prep. Licensing. There's a whole laundry list of things you pay tax on if you work for someone else, but suddenly become tax free if you are self employed. If you incorporate you can rent office space in your home and pocket the cash without paying FICA. The same with issuing yourself dividends. Being self-employed opens up tax loopholes you can fly an airliner through.

 

[MossRoad]

I encourage anyone thinking the grass is greener to give self employment a shot... be your own boss.

Everyone in my family is self employed going back generations and I was for many years until I was invited to work for a local Hospital.

In many ways staying the self employed course proved to be more lucrative as I only curtailed my business never shutting it down.

America is full of self employed family business... local service station, family farm, real estate agents, still some docs, accountants, daycare, mechanics, authors, etc...

I respect those thinking they have a better idea putting it to the test...

Or have a good skill set, a dependable employment record, be able to pass a drug test, and a network of friends and business contacts that know what you're capable of.

When I lost my job of 30 years, I had another one lined up within 2 hours. Then I got calls from friends that found out through my wife's church and had several job offers the following Monday.

That was a good feeling and eased my anxiety quickly.

 

[ultrarunner]

One of the great things about being in business for yourself is that so much becomes tax-free. Invest in your business. Commuting expenses. Work clothing. Tools. Telephone. Internet. Shop. Insurance. Tax prep. Licensing. There's a whole laundry list of things you pay tax on if you work for someone else, but suddenly become tax free if you are self employed. If you incorporate you can rent office space in your home and pocket the cash without paying FICA. The same with issuing yourself dividends. Being self-employed opens up tax loopholes you can fly an airliner through.

Yep... it's one of the things immigrants marvel at... opening your own business.

Know a family that escaped Cambodia... mother and father with infant and toddler... found a curbside lawn mower and started lawn care and took off from there... mom raking leaves with baby on a front carrier...

Three kids all University Grads... Engineer, Lawyer and Doctor... parents didn't speak a word of English and still run their grounds care business...

It's similar for several Chinese friends with restersunts or Mexican in the Concrete and Paving business.

The dream still works even when the odds are stacked against...

Irish Tom is a builder of multi million dollar spec homes... left Ireland with 8th grade education and hired on as a framer... He and 4 others pooled their money and built a modest spec home nights and weekends... then it was three of them and then Tom had enough to build his first with his 13 year old son... Now his son and son in law carry on...

Sacrifice for the next generation is a common theme...

 

[Snobdds]

I have no disdain for business owners, I have plenty in my family. Just pointing out that they were the only beneficiaries of the 2018 tax cut.

Which again is not true...

You keep trying to paint a picture, but it's always wrong.

 

[jyoutz]

Which again is not true...

You keep trying to paint a picture, but it's always wrong.

It is true for the middle class, most of us non business owners lost deductions and got a crappy standard deduction that didn’t make up for the lost deductions. There were some other benefits for those in the low income category.