Wednesday, January 03, 2007

My predictions for 2007

1. The Democratic Congress will quickly raise the minimum wage. They will raise it in phases.
The effect of the minimum wage increase will be somewhere in between what those on the
right and left think. It certainly will hurt some businesses; however, not as many as The
Republicans claim. The increase in the minimum wage will help some low income
individuals; however it will not help as many as The Democrat claim.

2. President Bush is going to announce a new course in Iraq. It will be "sugar coated" but it will
be very similar to the current course. He will propose sending 10,000 - 40,000 troops to
Iraq on a "temporary" basis. This will cause a large outcry in Congress. I think the
Democrats will cave in and there will be outrage amongst the "peace" wing of the Democratic
Party.

3. The Democrats will pass some reform measures to limit corruption and lobbyists. These
reforms will almost completely fail to accomplish anything; much like McCain-FeinGold.

4. The "earmark" process will undergo some meaningful reform. I certainly do not think this
problem will be fixed in 2007; however, I think the process will become more transparent
and that the number of earmarks will diminish somewhat.

5. Troop levels in Iraq will be about the same at the end of 2007 as they are now.

6. The economy will continue to expand; however, it will expand at a smaller rate; I would
guess 2-3%.

7. The value of the dollar will continue its fall.

8. The US trade deficit will continue to grow. Congress and The President will continue to
ignore it.

9. The Federal debt will continue to grow and Congress and The President will ignore it.

10. I am not sure what interest rates will do. Interest rates SHOULD be increased; however,
I do not think The Federal Reserve will follow through with interest rate increases like they
should. I would guess interest rates will remain about the same.

11. The violence in Iraq will remain about the same. The Iraqi government will be corrupt and
the reconstruction effort will continue to be corrupt and ineffective.

12. The salary cap will be raised on Social Security. This will result in a tax increase on the
wealthy. This will make Social Security solvent for another 3 or 4 years... This will be touted
as major reform; which it is not.

13. The tax code will become even more complicated. The Democrats will start "putzing" with
the tax code and try to help their supporters just like The Republicans have done for the last
12 years.

14. Fort Wayne City Council will approve the "Harrison Square" project with a vote of 7 to 2.

15. There will be several competitive City Council races in 2007. At least one incumbent will
lose.

16. The FWCS school board will vote to approve a project costing about 740 million dollars.
Jon Olinger will vote against this tax increase; but, he will lose. This tax increase will make
Fort Wayne property taxes "skyrocket."

17. A remonstrance will be held in an attempt to block the above project. FWCS will win a very
nasty remonstrance about 60% to 40%.

18. There will be no large terrorist attacks in the US in 2007.

What do you think?

Mike Sylvester

4 comments:

Manfred said...

Rather pessimistic, Mike. Can't say I disagree with you, though. As excited as people were about the Democratic sweep in November, one would think something meaningful would happen. But I'd be very surprised if it did. Politics is politics, and business rules. Big, bad business, that is.

Robert Rouse said...

But Pat Robertson promised us a very large terrorist attack in 2007. God told him so, you know.

sink sink socks said...
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Andrew Kaduk said...

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