Saturday, March 26, 2016

The Country Club Is Self-Imploding

The U.S. 'Conomy has devolved into a corporate country club with fewer and fewer memberships each year...

Among the dumbest things I've read recently - and it's getting to be quite a competition - is a moron who said that if Bernie Sanders gets elected, he's moving to Canada. Everything Bernie Sanders believes in, is already in place in Canada. The rise of Trump has engendered a spate of articles with the pros and cons of moving to Canada. Apparently some people are concerned about the (lack of) varieties of cough syrup you can get at the Canadian drug store. Economically speaking, I would sum it up this way - if you make less than $50k per year, you are better off in Canada. If you make more than $50k per year, you are better off in the U.S., UNTIL your kids go to college at which point you are better off in any other country, including Cuba. Because the higher education "tax" is essentially 100% of after tax income. 

And it's not hard to figure out why, because the U.S. economy has devolved into a country club with only one door into the club - via the higher education cartel. And since the top universities control that entrance, they've siphoned off the "excess" profit in the form of tuition rents. Meaning that the "value" of a higher education now accrues to the University and no longer to the graduate. Because students are a commodity and University slots are the monopoly. Econ 101. 

Meanwhile, for those of us already in various stages of our careers, the 'future' is not as long as it used to be, and job security is a total fucking illusion. So this is all just human history's biggest game of musical chairs. Every time the music stops, there are fewer chairs, and this time, there will be none.

The ROI for anything other than a community college diploma, is now deeply negative.