Friedrich Hayek was an economic and political influence. Born in 1899, Hayek through his life brought some great ideas and methods to the political leaders. Though he past away 25 years ago, his legacy and brilliance still lives on. Hayek even received a Nobel Peace Prize in 1974 for all of his economic work. Universities all around the world still study his works, and many of them are still used today.
Hayek was a genius and knew how to make old things new things. He revamped the philosophy know as the "cloud". Instead of ideas and plans being in the brain their up in the clouds. Meaning human "ideas" or thoughts are a collective phenomena. Hayek also stressed the idea that human collaboration is absolutely necessary in order for society to grow. At the beginning of the school year we were taught the human side of economics. Economics is not just money but rather choices, decisions, and lessons. Hayek, in my opinion, is a great example of this lesson.
Hayek, along with recreating old things, pulled some great ideas from the clouds. He created the Austrian Business Cycle Theory (ABC Theory). The ABC Theory is a theory that describes how business cycles are the result of excessive growth in banking credit. And that the bank is purposely setting low rates. Thus creating imbalance between saving accounts and current investments. Which causes people to loan money from the bank. This Theory is what earned him the Nobel Peace Prize, as stated earlier.
Through his life Hayek argued with the socialist economists about their view of economics. They had "socialist planners" that the socialists thought could take current economic data and that will help future problems. Hayek, a former philosopher, pointed out that you cannot just take "data". Everyone has separate resources. Not every planner would come back with the same answers and thoughts. It's because of this argument that many believe helped spark the internet and its vast array of resources. Friedrich was quoted as saying. "if socialists understood economics, there wouldn't be socialists." It was one of Hayek's goals to see economic freedom. Though he didn't see it, economic freedom has increased, thanks to his principles.
Since I have 5 minutes to finish the blog I'm going to cut it there. Hayek is a pure genius and I could write on and on about him and his achievements. His principles and designs have shaped not only America but the entire world towards economic freedom. His work will continue to be in use and studied by economists for centuries to come.
The stock market is a major part of today's economy. While it's smart to invest in the big companies such as Disney, Apple, and Starbucks, most don't think that investing in a risky stock can actually benefit them. In the midst of making you money, stocks can also agree or disagree with your morals. Ruger Firearms is a perfect example. Gun Control is a hot topic right now and won't be going for a while. The CEO of Ruger discusses his opinion on Gun Control and encouraging people to get guns while they can, bringing in a profit.
The actual Ruger stock (RGR) has been on a steady rise throughout the month of March, and has been going up since the beginning of the year. Selling for $53.70 USD, it's a smart investment. Recently, Ruger has also came out with an 21 pistols, shotguns, and rifles within the past year. That does not include accessories, gun parts, and ammunition. Total net sales in 2016 was $181 million. While it's no Starbucks or Disney, it may become one. Within the next few years Ruger may become one of the top stocks due to high gun command.
The CEO of Ruger, Michael Fifer,
has been the center of media attention lately, speaking on his views of Gun Control. Arguing with the previous presidential candidate Hillary Clinton and showing his support towards the NRA, earning himself a small portion of spotlight. While in an interview in August, Fifer called out Hillary Clinton by saying "one with a very reasonable likelihood of winning the presidency, overtly stating that the Supreme Court got it wrong.... and actively campaigning against the lawful commerce in arms," To fight Clinton, Fifer donated to the RNA for every gun that is purchased, $2 will go the NRA. Granting the NRA $5 million. "We hope to call this call to action inspires our customers and all freedom-loving Americans to take action in support of the 2nd Amendment" says Fifer. While debates were still going on Ruger say a 19% spike of gun sales. Customers buying guns while they still had the chance. A great sales opportunity of you ask me. This method has been proven to work, since the same company did the same thing in 2008 when previous president Barack Obama mentioned gun control. With the new president confirming their will be no gun control in his presidency, Fifer is not worried about dropping sales. Fifer believes more people will actually take up shooting as a hobby, maybe even hunting. With 1 in 5 gun owners having more than 10, Fifer hopes sales will continue to grow. 40% of those who don't personally own a gun live someone who does.
That goes to show you how much stocks agree or disagree with your morals. You may or may not vote for gun control, but the stock itself is a great investment. Especially since the rates are expected to keep rising. I highly encourage you to take a risk and invest in the Ruger Corporation, especially if you support Fifer and his anti gun control antics.
Welfare. The word brings shivers down some spines. Developed in the 1930s, during the Great Depression, welfare was financial support given to people in their time of need. However, some believe that people abuse the system. There's been an ongoing debate on whether or not welfare should still be around, or changed in some way. The pros and cons of welfare are just about endless. Will we ever find a solution?
Obviously welfare, as stated earlier, is to give financial aid to those who need it. Those who just lost their job or maybe got laid off or whatever the situation, they can temporarily get help until they can get back on their feet. Along with welfare, some may also be on medicaid, to where everyone who is qualified to get the health care they need. If used as a stepping stool, it can significantly benefit some people's life for the time being. Without welfare we would not have the public school system. Public schools allows low income families to get the education they need. Low income families can even get a fee waiver to get free lunch at school. In some houses lunch at school is the only time they eat.
While supposed to be used as a stepping stool, welfare is definitely a system that gets overworked and overused. Think about it, you get food stamps and financial aid right from your couch, what could be better? It causes people to be more dependent on the government. The state of California by itself spends $45.9 BILLION, just on welfare. That's a lot of people needing some "temporary" help. Many people even lie on their applications so that they could qualify. In all honesty welfare doesn't change the overall homeless rates. Many people are still homeless, unable to qualify for welfare.
However, helping one person can make the world for that one person. I do believe that was the purpose of welfare. A great solution for the welfare controversy would be a time limit. No joke, I have met people who have been on unemployment/welfare for 3+ years. That's not really a stepping stool now is it? I would say allow someone to be on the system for a year to a year and a half. Any longer they have to figure it out. It does not take a year to find a job. As for the public education system goes, I am all for public education. Some people really cannot afford the high tuition of private schools. Yes I have met people that can only eat at school. Some people literally live off of school.
Picture this. Your daughter is trying to find a job, you put applications in everywhere, go in and check up on them, you do everything right and don't get the job. Then you find out the job went to a guy with the exact same application as your daughter just a different name. You'd be furious right? Well there's plenty of real life situations similar to that one.
Woman's Budget Group is a feminist group that has been trying to change Britain's economic policies for some time now. Why? Well in a study that House of Commons Library conducted, since many woman make significantly less then men, in order to survive they place themselves on food stamps. Diane Elson, the chair woman of this feminist group, does not believe that this inequality is on purpose but that it does overlook the how woman are affected. Recently, Britain started cutting funds out of their welfare programs, 85% of those programs being woman. Diane also says, "government budgets are supposed to be 'gender-neutral' in fact they are gender ignorant." Elson is also the creator of "gender budgeting" that makes governments look at the difference of income between men and women. It provides help for woman and abolish unequal policies. Britain has declined this policy. However, Sweden and South Korea have proudly taken it up.
Elson also believes of you follow her plan 1.5 million jobs will develop. Spending money on this plan will not take away from any other, such as child care, military, etc. It is expected to increase productivity.
Poorer countries, on the other hand, have a more equal workforce. Take Uganda for example, woman take majority in the farming industry. This entire thing makes me sound like such a feminist and blah blah blah, oh well. Janet Stotsky, a big influence in the world, argues that this is good budgeting, and more should look into this.
Now I know this makes me sound crazy and I'm like GO WOMAN! and whatever and honestly I am. Taking this on a personal level, I grew up seeing gender inequality. My mom is a mechanic. I bet you can't name another one of those. I've seen my mom get mocked, treated like she's stupid and doesn't know what she's doing, some even refuse her help because she's a girl. She will get calls on the phone getting called Joey when her name is Joy. I've witnessed my mom try to help people, some have kids that go to school here, and they will look at my mom like she's stupid. When she offers our shop and tools to help some say no. Gender inequality is definitely still around. If everything I've read about the Woman's Budget Group is true, I don't understand how it could go wrong.
I'm sicker than a dog currently so enjoy this rant and I'm going to enjoy some Dayquil and a nap.
