Our government runs the FDIC to protect us from bank failures, the Pension Benefit Guarantee Corporation to protect our pensions, Medicare, Medicaid and Obamacare to protect our health, FHA, Fannie and Freddie to guarantee our mortgages, Social Security to protect our income in old age, crop insurance, flood insurance and on and on. I only wish each was actuarially sound and made money on float like well run insurance companies.
Tag Archives: S&L
Fiscal Year begins
Given signs of inflation QE ends in June taking wind out of the S&P. The fiscal year for S&L govts starts in July and big tax hikes and spending cuts are due. State restraint is already visible in reduced employment. In Oct federal spending cuts commence as fiscal ’12 begins. In Q1 ‘12, we will see headwind as the payroll tax cuts and bonus depreciation allowances that expire at the end of ‘11 won’t be extended.