SSN

I spent ten years working at the local senior center helping people file income tax and it was there that I encountered Individual Taxpayer Identification Numbers (ITIN’s). These were primarily used to collect the Earned Income Tax Credit (EITC). This is a significant benefit providing up to $8,000 tax free to a person with three children. To get an ITIN you must file Form W-7 and you will need a passport or both a birth certificate and driver’s license. An ITIN allows foreign nationals and others ineligible for a Social Security Number (SSN) to file income tax and this leads to some confusion. You cannot work as an employee without a SSN but with an ITIN you can work as an independent contractor or as a self employed person but you will not receive a W-2. If you receive a W-2 it will have a SSN on it so here is the tricky part. You file using your ITIN and put in the SSN listed on the W-2 even though you do not have a SSN. Filing electronically like this will pass muster. The big question is where did your employer get the SSN. Did you make it up or did they and in either case does it matter.

Migrant workers

Chicago is facing a $1.2 billion dollar deficit and the city is proposing tax increases to pay for the debt. Citizens are complaining because over the past five years the city has spent $800 million on migrants mostly for housing and healthcare. While arrivals surged starting in late 2022, the Illinois Policy Institute reported that over 238,000 international migrants came to the Chicago area between 2020 and early 2025 In addition, schools are facing an influx of students who cannot speak English. It is unlawful for an illegal migrant to work in the US so many are working off the books and often at low wages without benefits. These workers are often taken advantage of. If the migrants who are convicted criminals could be deported, it would open the door to offer those whose only crime is crossing the border, to be set up for work permits leading to green cards and then citizenship. As the economy goes through the process of reindustrialization these people will be needed to fill jobs.

Gold

Since 1950, the average value in home prices has increased 5% per year but in the decade of the 1970’s the prices increased by ten percent per year. Many people made money selling real estate during the 70’s and they were all on late night TV selling books on how to make a killing in the real estate business. Then during the 80’s housing only rose 5% per year. This followed with a four percent rise in the 90’s. Something similar happened in gold. Since 1950 gold has risen 7% per year but the last ten years gold has risen 15% so there are many experts on TV telling people to buy gold. Meanwhile the stock market has risen 10% per year over the past 100 years. Usually by the time experts are bragging about their profits, the boom is over and most people come in as johnny come lately’s.

Sharia law

Europe is reversing the trend of allowing immigrants primarily because Muslims have a difficult time of assimilating. Problems arise because of language and religion. Muslims gather in certain areas and crime; drugs and gangs are disruptive. Here is a sampling of why problems may develop. These are religious differences that spill over into culture. Countries like Saudi Arabia, Iran, Afghanistan, and Sudan (formerly) use Sharia as the basis for their entire legal system, including criminal law Countries like Egypt, Pakistan, UAE, and Qatar have legal systems that blend Sharia with civil or customary laws. Sharia law allows Muslim men to have up to four wives simultaneously A husband can initiate divorce by pronouncing it verbally or in writing A wife seeks divorce, often by returning her dowry, requiring mediation and a religious court's approval. The mother must typically remain unmarried (to a stranger) to retain custody Mothers get custody of boys until age 7 and girls to age 13 then the father The mother must typically remain unmarried (to a stranger) to retain custody Christian churches not allowed in Saudi Arabia Pakistan: Faces severe discrimination and blasphemy laws that target Christians. Some countries, like Afghanistan, Brunei, Oman, and Yemen, restrict Bible distribution and public worship by converts. All same-sex activity is legal in Cyprus, Northern Cyprus, Israel, Lebanon, and Turkey. Male same-sex activity is illegal and punishable by imprisonment in Iraq, Kuwait, Egypt, Oman and Syria. It is also punishable by death in Iran, Saudi Arabia, Qatar, the United Arab Emirates and Yemen.

Intel

Intel, the world’s top chip maker for many years was outflanked by new technology and was sinking fast but three years ago with new strategies laid out a comeback. Adding to this was $7.8 billion in direct funding from the Biden Chips and Science Act and the company was on its way. From Google AI: Intel’s comeback strategy, heavily driven by leadership changes in 2025 and supported by U.S. government backing, centers on transforming from a lagging chipmaker into a premier, US-based foundry manufacturer while pivoting toward AI-centric, energy-efficient processors In evaluating each operation for efficiency, it was noted that California had environmental rules and energy cost that other states did not have, so a decision was made to move to Arizona. This meant the loss of 2,000 high paying jobs in Santa Clara and Folsom. Intel’s new plans are helped by the Trump administration buying $9.8 billion in Intel stock. Intel is expanding its footprint in Arizona investing $32 billion in two leading edge chip factories. When the company becomes profitable the stock will be sold to refund the government.

Assimilation

The glory days of Islam were the 500 years between 800 and 1300 AD. They were theocracies and did not want foreigners, particularly of other religions. Even today, no Christian churches are allowed in Saudi Arabia and Muslim countries are ruled by Shia Law, which places moral restrictions on economic activity vs the west where individualistic free market capitalism reigns. The result was that the industrial revolution by passed the Muslim countries and today most struggle to maintain a decent standard of living. The oil rich countries in the Middle East, were just tribes of desert nomads until western engineers developed the oil fields. The largest Muslim country in the world is Indonesia with a population of 285 million and GDP per capita of $5,000. The migration to the United States as been almost exclusively Christian and that has aided in assimilation. In the past ten years many Muslims have emigrated to Europe and they have found it difficult to assimilate. The result is that Europe today is deporting many of its recent migrants, mostly from Muslim countries. Shia law is not compatible with modern juris prudence. The biggest impediment to assimilation in the United States is language not religion. It is not religion but Islam that creates the problem. The world Muslim population is 1.5 billion and they have won 3 noble prizes while the Jews with a population of 15 million have won 165. The Jews embraced modern science and technology while the Muslims shied away and it has cost them economically.

High prices

Trump made a mistake when he said he would lower prices and then compounded that mistake by assuming people were aware of what happened to the economy during the Biden years. Inflation averaged 5.5% during the Biden administration but ended the last year at 3%. Trump took over and by expanding energy production kept the inflation rate below three percent. He then turned his attention to Palestine and Ukraine and that was another mistake. The democrats, using the word affordability, turned the tables on Trump when he wasn’t looking. The country now assumes that the high prices are caused by Trump when in fact he has stabilized prices. This doesn’t matter as people only see high prices, even though they voted for Trump because they didn’t like the high prices that happened during Biden’s term. He is not as politically savvy as some think.

Think first

Many teenage boys and young men find themselves in trouble because the part of their brain that tells them to think about their actions before the act is not fully formed. This problem is not limited to young people. Many kind and compassionate people saw the migrants crossing the southern border, as people escaping the tyranny of their home countries hoping to find a new and safe life in the United States. All well and good but what are some of the consequences. First off thousands of girls and women were assaulted crossing Mexico, Cartels made billions as traffickers, 600,000 missing children, 200,000 deaths by fentanyl, billions in drug profits for dealers, rising crime rates in the US, crowded schools with children most of whom cannot speak English and overcrowded emergency rooms. Now the country is faced with the task of finding the missing children and drug dealers, fighting crime and trying to catch and deport convicted criminals. This could all have been avoided if the border had remained secure.

Property tax

There is a law in MN which helps low-income retirees with their property tax but most are not aware. The law, aptly named, is called the Senior Citizens Property Tax Deferral Program. It allows citizens over age 65 who have lived in their homes for more than five years and have incomes below $96,000 to reduce their property tax bill. Case in point. A widow over 65 who has lived in her house for more than five years has income of $30,000 which consists of her husband social security and a small pension. She has lived in her house for many years and does not want to move. Her taxes are $4,000 and increasing every year and are stretching her budget. She can join the deferral program to take some of the burden off her budget. She agrees to pay only 3% of her income, in this case, 3% of $30,000 or $900 toward her property tax bill. The state will pick up the remaining $3,100 with the agreement that the state will recoup the money when the house is sold. The state will charge 3% interest on these deferred payments.

Mining

The house voted yesterday to repeal the Biden regulation on public lands in Minnesota. In January 2023, the Biden administration enacted a 20-year ban on new copper-nickel mining on 225,000 acres of federal land in the MN iron range. According to the MN government website, the state has rich deposits of gold, silver, zinc, copper, nickel, titanium and other precious metals. Democrats opposed the measure arguing that it would open up MN land to development, casting aside safeguards for environmental protections. This is just one of the many situations that will arise as the US tries to become independent on strategic materials like rare earths. These metals are currently being mined in other countries, mostly in China, where the environment is not a concern. The NIMBY attitude of some in the United States overlooks the fact that the US mining industry is more concerned about the earth than companies in China. It is much like the US replacing coal with natural gas while China is building new coal plants. US companies are more concerned about the environment than companies in China. Bringing mining home to the US increases independence, shortens supply chains, aids in national defense and is more protective of the earth.

Board of Peace

During Trump’s first term he set up the Abraham Accords. This was an agreement between the Arab countries of UAE, Bahrain, Morocco and Sudan to normalize relationships with Israel. Yesterday Trump put in place the second step in this plan. He started the Board of Peace with 50 nations signing on including Israel, Saudi Arabia, Jordan, Qatar and Egypt. Countries can become permanent members of this group by donating one billion dollars. The plan is to use money from the members, most coming from oil rich countries, to rebuild Palestine. This is possible now that the fighting has subsided. Some European countries, like France, Norway and Sweden, object because they see this new group as a challenge to the United Nations. This is happening because Iran is no longer a nuclear threat and step three is the long desired two state solution.

Voter rules

In the 2020 presidential election, many states filed law suits claiming new voting rules were unconstitutional but their claims were not allowed because the court ruled, they did not have standing. This was challenged and yesterday the Supreme Court ruled that they in fact do have standing, which means the case is sent back to the lower court where it will be decided. The case revolves around Representive Mike Bost who complained about ballots being counted 14 days after election day. There were many other challenges to state voting laws during this election and they were all held in abeyance and can now go forward. Many states just expanded voting days and that was challenged. Ten states sent out mail in ballots more than 45 days before the election. These are tabulated by party and reported in the press. This can influence later voters and in a fast-changing world much can happen that could influence the election during the pre-election voting period. The obvious is what happens if the candidate dies. On a side issue ordinary citizens have wondered about the results since after the 2024 election because of the vote counts. In 2016 Hillary got 65.8 million votes, and in 2020 Biden got 81.3 million and in 2024 Harris got 75 million. Many saw the 15 million vote increase that Biden received over Hillary as suspect and possibly caused by voter rule changes.

Spending

States where the house, senate and governorship are controlled by one party tend to run up debt fast, states like California, Illinois and New York but the same thing happens in the federal government. During the first two years of the Biden administration the democrats controlled the house, senate and presidency and they passed American Resue Plan spending $1.9 trillion The Infrastructure and Jobs Act spending $1.2 trillion The Inflation Reduction Act spending $1 trillion This is a total of $4.1 trillion. Trump had control of the house and senate during his entire first term (2017-2021) and spent a total of $8.3 trillion of which $4.5 trillion was spent on Covid relief.

Taxes

The story of income tax in the US is informative. The 16th amendment was passed in 1913 and the tax rate was one percent of all income over $4,000 (per working family) and a 7% surtax on income over $500,000. At that time the average annual income was $750 and the idea was sold on the basis of taxing the rich. The first year the government collected $28 million but almost all of it came from the general population because the rich had so many exemptions. The government collected $43 million from corporate income tax. Only 4% of families earned over $4,000 so 96% paid no tax. Over the years the tax brackets have become more progressive and today the top 4% pay almost 60% of the tax and the bottom 50% less than one percent. Today the top 5% earn 38% of the income and pay 61% of the tax. This is considered less than their fair share by many and there is pressure to enact a wealth tax in addition to income tax. There is some doubt that this can continue because states with the highest taxes have the highest debt. The answer is to cut spending but no one wants to lose a benefit. Ben Franklin famously said, “When the people find out they can vote themselves money, that will be the end of the republic”.

EU

Since the end of WW 2 the US has protected Europe and Canada from the Soviet Union and then Russia. Last year the European Union (EU) spent $400 billion on defense with a population of 450 million while the US spent $900 billion with a population of 330 million. Over the years these countries have pointed out that they have universal care and the US does not. There are 32 countries in NATO and the US finances 16% of the budget but more importantly 38% of the troops. The US is demanding that the EU start paying for their own defense and our allies are not happy. In addition, the UN is comprised of 193 countries and the US finances 22% of the budget and that is about to change. The US is facing a $37 trillion dollar debt and can no longer take care of the EU.

Legal vs illegal

On the radio today a commentator said that generally speaking, conservatives are distrustful of immigrants while liberals are mostly friendly toward them. This is example of misleading by omission. The statement is true when taking about illegal immigrants. Very few people oppose legal immigrants since most everyone here is either an immigrant or a descendent of an immigrant. This type of reporting is common.

Nuclear now

As the demand for electric power increases and the grid gets older and a push for lower carbon emissions come together, the big winner is nuclear power. Sometimes in life you get a second chance and that is the case with nuclear. If it had not been for environmental groups like Greenpeace the country would be running mostly on nuclear today. In the 1970s, Greenpeace held an uncompromisingly anti-nuclear position, viewing nuclear technology—both weapons and energy—as a fundamental threat to the environment and humanity. They hold the same position today. In the 1960s, nuclear power rapidly became commercially viable, leading to huge orders, with U.S. utilities alone ordering over 50 reactors by 1967 and many more afterward, fueling projections by the AEC for over 1,000 U.S. reactors by 2000. Today the total need for US electric power could be supplied by 500 nuclear reactors. Placing small reactors near the use point removes the need for long transmission lines and is carbon free. It takes time for these to be built and installed and natural gas can be used during the buildup.

Trade

One of the reasons why the expected rise in prices because of tariffs did not happen, is that countries like China absorbed the additional cost at the expense of profits. The result for China was an increase in trade surplus and a decrease in corporate profits showing a 13% drop in year over year profits in December 2025. The US must continue to use imports as reshoring develops. Companies are bringing manufacturing back home because labor cost overseas have risen sharply, problems with supply chains, protection of intellectual property and greater oversight of quality control. The government also sees dependency on foreign production as a threat to national defense. Consumers haven’t forgotten the shortage of baby food and toilet paper not to mention important pharmaceuticals that must be imported.

Tariffs vs VAT

175 of the 193 countries in the United Nations have value added taxes (VAT) but the US does not. The average in the European Union is 20% and in China 13%. If Google AI is asked what are the tariffs in different countries, the VAT is not included. It would report that the US tariff on EU goods is 3% and the EU tariff on US goods is 4%. This is misleading. For example, up to a little more than one year ago, the tax on a US car going to Germany was 10% tariff and 19% VAT, while a German car coming to the US was taxed at 2.5%. Recent news about Trump negotiating with the EU regarding tariffs says that both countries now employ a 15% tariff. They do not mention that the VAT is still in force like it has been since the 1960’s. This means that fewer US cars will be going to Germany and many more German cars being made in the US. The most efficient way for international trade is to have zero tariffs and VATS. This would be free and fair trade and the US would be satisfied with such an arrangement but other countries would not. Import/export taxes have put the US at a disadvantage for years but that is changing and it will result in more foreign cars being made in the US. In 2024, the United States exported approximately 169,000 to 170,000 new vehicles to the European Union, a significantly lower number than the roughly 750,000 cars imported from the EU to the US, highlighting a major trade imbalance favoring European manufacturers, according to ACEA data

Tutors

It is often said that every student can learn but they learn in different ways and different rates thus the answer is to have one teacher per student. While this has always been physically and financially impossible, it is now a reality. Experts say that all students can learn but each learns in their own way. Each teacher can adapt the learning process to fit the student. It is a private tutor for each student and that tutor is AI. All students already have personal computers and now software is being developed for one-on-one learning. Here is what Google AI says: AI is making it possible for each student to have a personalized, on-demand tutor, offering customized learning paths, instant feedback, and support at their own pace, overcoming barriers of cost and access that limit human tutors, and creating a "one-size-fits-one" educational model. This is not only for K-12 but continues on through college. Many students are already comfortable with on-line courses and the private tutor can enhance the process. For use in K-12, teachers will still be in the classroom, to teach the students how to use the software and to keep them on task. Businesses can use AI in their on the job training taking students right out of high school and putting them into industry jobs.

Change is coming

Companies across American are slowly coming to the realization that universities are not geared up to provide the trained work force, that is needed now and more so in the future. In response many firms are increasing their training investments by an average of 60%, focusing on on-the-job training, apprenticeship-style programs, and partnerships with technical schools to upskill workers in areas like automation and AI. Manufacturing companies are actively seeking future employees from high schools through partnerships, career pathways, apprenticeships, and CTE programs, aiming to fill skilled labor gaps and combat outdated stereotypes by offering hands-on training, real-world experience, and pathways to well-paying, tech-focused careers. This collaboration helps build a talent pipeline, preparing students with the skills needed for modern, automated manufacturing environments. This is a great time to be a young person as there is a manufacturing renaissance going on as these jobs that for 50 years had been sent overseas are now coming back home. Message to young people. Get ready the world is changing.

Cal Tesla

California has a reputation of over regulation but many do not realize how serious this is but Tesla found out. In March 2021, Tesla filed papers to expand their Freemont auto plant by an additional 500,000 units per year adding 4,000 new jobs. They needed permits from six independent authorities, Cal Air Resources, Bay Area Quality Air, Cal Coastal Commission, Dept of Toxic Substance and Reginal Water Board. By Sept 2021 Tesla has spent $80 million dollars on legal fees, environmental consultants and compliance reports and had received zero permits. Tesla then began to negotiate with Texas and was promised expedited permitting, 15-year property tax abatement and $200 million in new infrastructure investment. Then in April 2022 California passed a new law requiring zero carbon by 2030. This meant replacing existing units like power and buying carbon credits and it would cost Tesla $600 million dollars. In order to meet all the new regulations, Tesla estimated it would add $4,000 cost to each car and at a projected 500,000 units per year that is $2 billion in additional cost. In June 2023 Tesla closed the Freemont Plant and moved to Texas. This caused a ripple effect and all of Tesla’s suppliers cancelled expansions that resulted in the loss of 15,000 jobs in California.

Carbon tax

The Washington department of Ecology sells carbon permits to companies who emit CO2 and in 2023 they started the Climate Commitment Act to use these funds to reduce CO2. In the past four years they have collected $4.3 billion dollars. They recently came out with a report stating they had reduced CO2 emissions by 7.5 million metric tons but that report was immediately challenged by experts. Upon examination an err was discovered in the calculation and the amount was actually 78,000 metric tons. Under normal circumstances it cost somewhere between $100 and $1,000 per ton to reduce CO2. Using the top number of $1,000 means that 78,000 tons would cost $78 million. Since the money collected was $4.3 billion, it begs the question, what happened to the other $4.2 billion. Is this another case of waste, fraud and abuse. Interestingly enough, if the original number of 7.5 million tons had been used it would be about $500 per ton which is with the accepted range. The Washington State Department of Commerce has submitted revised greenhouse gas emissions data to the Department of Ecology for projects funded by the Climate Commitment Act (CCA) during 2023-25. Due to a data entry error, Commerce reported that 7.5 million metric tons of greenhouse gas emissions would be reduced as a result of eight rebate projects funded by the CCA that support home electrification and appliance rebates for low-income and vulnerable communities. The corrected data now estimates that 78,000 tons of emissions will be reduced over the lifetime of those projects. Many governments are pushing for carbon tax and these leaves some questions.

Insurance not

When Obamacare was passed it promised, “Bending the Curve” which meant slowing the long-term growth of health care cost. In 2014 the cost of subsidies was $18 billion and by 2024 the cost had risen to $110 billion. This is double the inflation rate and this should not be a surprise since there are no preexisting clauses. Insurance is designed to cover the unexpected but with Obamacare you can buy insurance after you get sick which is what 27% of people do. This almost ensures the cost will rise faster than inflation.

Government

The revenue that the federal government collects each year comes mostly from private and corporate income tax. Corporations by their nature create jobs and individuals are paid by corporations. As long as these two areas continue to grow government income grows. The goal of conservatives is to reduce regulations and provide subsidies for research to encourage the development of new ideas and thus new industries and thus new jobs. The liberals wait until the profits grow and then increase taxes and use the increased revenue to expand public assistance and create new public programs. The country has grown over the years by balancing these two different approaches but the second depends on the first.

Economy

Wall Street Journal show, “It’s President Trump’s economy now, and voters are increasingly unhappy with how he’s handling it”. Mortgage rates are the lowest in three years with a 30-year loan at 6%. GDP was 4.3% third quarter an projected 5% fourth quarter. Inflation is 2.7% down from 5% average last four years Unemployment holding steady at 4.5% Wages up 1.7 percent higher than inflation Stock market at record highs Record private investments in manufacturing including AI Record investments by foreign companies Oil below $60 and gas below $3 Two reasons why the voters see the economy different from the data. First prices are not going down as promised and second according to Google AI Recent news coverage on the U.S. economy has generally been characterized as increasingly negative and sometimes disconnected from positive economic data, with studies showing a growing "unmooring" between media tone and fundamentals, even as some indicators improve, leading to public confusion and pessimism despite strong job growth and market performance

Solar power

In Jan 2000, California mandated that all new houses must have solar panels. These had a favorable cost/benefit ratio because the excess power could be sold back to the power company. A new innovation which combined solar panels with roofing tiles allowed easy and inexpensive installation. The new company was set up in 2022 and could produce enough solar/roof panels for all new housing. Then in 2023 the state reduced the amount paid for the return of unused power by 75%. This upset the return on investment to the point where new sales dropped by 80% and the company moved to Texas. The result was 17,000 jobs lost in the solar panel industry because of the manufacture of panels included many other industries to provide needed materials. In Texas the buy back by electric companies remained but an added bonus was that California had 30 cent power cost vs Texas at 9 cents and California had an 8.8% corporate tax along with a 13% income tax and Texas had neither. The new plant in Texas at 450,000 sq ft is six times larger than the California plant and the company is investing $100 million dollars.

Iran

When the Syrian government of Assad collapsed in late 2024 this closed the door to Iran’s sending weapons to Hezbollah and when Israel attacked the groups leaders with exploding cell phones the whole organization came undone. Next Israel destroyed the air defenses over Iran and this was followed up with the US demolishing Iran’s nuclear facilities. The Houthis are no longer blocking the Red Sea and Hamas is just about gone. This opens the door for the Abaham Accords to unite the Arab oil countries led by Saudi Arabia with Israel in a joint effort to rebuild Gaza using oil money, Israeli contractors and Palestinian labor. This would be the first step toward a two-state solution and a lasting peace in the Middle East. The only thing that remains is the need for a new government in Iran and that is currently underway.

Healthcare cost

Trump has turned away from big insurance companies and proposed that health savings accounts be set up, to receive subsidy funds to pay for healthcare for those on Obamacare, who receive subsidies. In 2024 the government sent $125 billion to insurance companies to cover the 24 million who receive subsidies. This $5,600 per person will be used to cover most of the monthly premiums which average $900 per year and deductibles of $7,000. This account will build each year. In addition, Trump has pushed drug companies to lower price to what foreign countries pay and demanding transparency from all medical groups. How insurance companies deal with this is yet to be determined but most likely they will raise premiums and deductibles. Everyone is looking for ways to lower cost but as long as the medical field keeps coming up with new ways to deal with illness the prices will keep rising. One thing that can help is changing life styles by eating proper foods in the right amount, stop smoking both cigarettes and pot, exercise and use alcohol in moderation. Add to that getting proper rest and living with less stress. Improving physical health improves mental and emotional health.

Protest

Peaceful protest is a time-honored method to voice objections to government. It brings attention to the matter at hand. Sometimes some violence erupts and that brings further attention and can help the cause. In time if violence becomes more prevalent then the cause may suffer and ordinary citizens turn away from the protesters. The case in Minneapolis illustrates the point. What started out as carrying signs and voicing dissent has moved toward attacking vehicles and law enforcement. If this continues to escalate it will hurt the cause of the protesters. If elected officials denounce violence when it first starts it will often subside but when they are silent or in some cases approve then things tend to get out of hand.

WEF

Most people now agree that Trump is a disruptive force. He began by turning the republican party on its head, followed up with changing the bureaucratic establishment and then challenging the world order. He spoke to the UN and to the World Economic Forum (WEF) in harsh terms saying it was America First advocating deregulation, low taxes and fair trade. He let the EU know that the US would no longer be paying for their defense. Recall that the WEF is a group of rich and influential people, mostly men, who meet in Davos, Switzerland to defend globalism and Trump is the ultimate anti-globalist. These elites have been running the world for the past 60 years but their power has been challenged by Trump. The status quo people in the US government bureaucracy, the UN, the WEF, NATO and the EU are being forced to change and they are not happy. Whether this results in long term changes or goes back to the old ways when Trump leaves remains to be seen. If the changes result in bettering the working class, then things might become permanent.

MN

Not all liberal states are equal. Take California vs Minnesota. California MN State income tax 13.3 9.85 Homeless 47 per 10,000 14 per 10,000 State debt $68 billion $2 billion Illegal migrants 2.3 million 130,000 State sales tax 7.25 6.75 House cost $870,000 $350,000 Cost of electricity 32 cents/kWh 16 cents Gasoline $4.20 $2.80 Income gap 7th highest 42nd highest Population losing gaining Education Ranks 32nd Ranks 2nd

Believe

When a new story hits, the rational people wait to get the facts before voicing an opinion but they are crowded out by the first responders who know full well that the first report will set the agenda. If you have a dog in the fight you want to get your version out immediately and worry about accuracy later. This is the way the modern information system works; thus, the logical thinking people are left in the dust. All too often years later it remains unclear just what happened. Once people choose a side they are loathed to accept new information contrary to what they believe.

Europe

While the world’s attention is focusing on Trump’s anti-migration spectacle, the European Union is quietly carrying out its own crackdown. Its policies are far less visible, yet they are just as ruthless. Polls show that Europeans back harsher migration policies and the policies are not as visible as Turmp’s but they are just as effective. Some EU Ministers propose detention, sanctions and stripping of rights based on migration status. In the past ten years Europe went from welcoming migrants to deporting them. The rise in crime and gangs, along with stress on public services and the inability to assimilate has cause the change in attitude of the natives.

Economy

The democratic domestic plan for the economy is heavy on benefits and light on job formation Protecting ACA, Medicare and Medicaid Building more homes Childcare Wind and solar Increase child tax credit and EITC Second earner tax credit Job training programs Increase taxes on rich and corporations These are laudable goals but the emphasis is on public assistance not on growing the economy. This tends to make people more dependent on government programs. Trump’s goals are energy independence, job creation using private and foreign investments, reduced regulations and lower taxes.

Sponsor rules

Most money transfers in the US are done electronically and thus leave a paper trail. In the case of the scandal involving Feeding Our Future (FOF) the money was sent from the US Department of Agriculture and was sent to the Minnesota Department of Education where it was distributed to various sponsored organizations. Here is the procedure to be sponsored group. It now appears that these rules were not followed 1. Confirm Eligibility: Ensure your organization is a non-profit with good management, financial stability, and relevant community experience (e.g., food service, youth programs). 2. Contact Your State Agency: Reach out to your state's Department of Education (MDE in Minnesota) or equivalent agency managing federal nutrition programs. 3. Attend Training: Complete mandated online trainings for new sponsors, covering SFSP rules, civil rights, and application processes. 4. Submit Application: Apply through the state's online system (e.g., MDE's CLiCS in Minnesota) by deadlines, providing a detailed budget, management plan, and site information. 5. Develop Sites: Identify and recruit eligible feeding sites (like schools, community centers) in low-income areas. 6. Manage Operations: Hire staff, arrange for meals (prepare or deliver), and ensure sites are supervised and compliant. 7. Monitor & Report: Supervise sites, collect data, and submit claims for reimbursement, adhering to strict federal guidelines.

Work

There is something called the “Great Resignation” going on around the world. It started in China with something called 996 meaning you work 9 AM to 9 PM six days a week and it spread to the West and is pushed by Gen Zers, people born between 1997 and 2012. They have discovered that their college degree left them $35,000 in debt and a pay scale which will keep them from getting out of debt. They have discovered that housing cost have pushed them away from the American Dream. They found the pension plans of old were replaced by 401K’s. They found that loyalty by the company was replaced by the stock price. They start with quiet quitting, which means do the least possible required to keep your job or just dropping out of the work force. Gen Z individuals who have dropped out of the traditional workforce primarily live on alternative income streams (such as the gig economy, freelancing, and content creation), family support, and, in some cases, government assistance programs. Many are unaware that learning a trade can provide them with the kind of life they dreamed of but they must be willing to do that kind of work. There is also a need for people to work in the healthcare field and people willing to be trained to work in manufacturing plants.

SS tax

During the 2024 campaign, Trump promised to eliminate all income tax on Social Security so when the $6,000 deduction for seniors was passed the press reported it as removing tax on SS. The $6,000 deduction has nothing to do with SS but is available for everyone over 65 whether they collect SS or not. It does mean that 88% of people who collect SS will benefit from the deduction. A single person over age 65 has a standard deduction of $15,750 plus an additional $2,000 (for being over 65) and a $6,000 bonus deduction. The $6,000 is phased out for incomes between $75,000 and $175,000 and thus only 88% qualify. This is expected to save seniors $34 billion per year.

Car tax

The new interest deduction on the purchase of a car can help people with poor credits scores the most. The average interest rate for those with poor credit scores is 15% and the loan period is 5.5 year so in a $50,000 car the interest will be $23,000. The law allows the buyer to deduct $20,000 in interest. The savings under the new law depends on the tax bracket. A single man making $50,000 would own $10,000 in tax so he could deduct $10,000 of his interest which would save him $2,000 in taxes. If he got a 7% loan the total interest paid would be $10,000 and he could deduct it all. About half the people who buy cars would not owe any income tax so there would be no savings for them. In most cases tax deductions and/or credits are no help to those who do not pay tax. The exception is the child tax credit and the earned income tax credit which is refundable even if you own no tax.

Musk

Elon Musk, ever the Avant-garde businessman, is slowly moving his EV plants to building robots. While other auto companies are writing down loses from their adventures in the EV business, he is transferring assets. It is more complicated than a direct transfer but existing production lines are being optimized by using humanoid robots which will become new consumer products to transform society by handling labor. As EV sales decline, robot sales will grow.

Change

More and more people are recognizing that Trump is not like other presidents. While he leans republican, he has no qualms about challenging the old guard and has changed the party. As they say its no longer your grandfather’s party. He is pro-business when it comes to regulations but puts pressure on business to act in the public good. He has told defense contractors to stop buying back stock, to slow down dividend payments and to get jobs done on time. He has told the pharmaceuticals to sell products in the US at the same price they sell overseas. He has called for a one-year cap of ten percent on credit card interest. He has tried to stop institutional investors like Blackstone from buying houses and renting them. He is pushing to have government subsidies paid directly to consumers instead of insurance companies. He told big oil companies to invest $100 billion in bringing Venezuela oil back on line. Instead of offering big companies loans he demands stock as collateral. He remains pro-business but demands responsible action on their part. He is equally tough on government spending starting with DOGE and then going after overruns in the defense department. His latest is investigating Medicaid fraud. All of these items are domestic policy and he is just as active in foreign policy. He is not only changing the republican party but the whole country and the whole world.

Shah

The son of the former Shah of Iran, Reza Pahlavi, is planning on returning to power if the present government is overthrown. It is reported that his father left Iran with $2 billion and that has now gown into $8 billion. Regardless of the number, the son has lived a very comfortable life in a Washington DC suburb. He has a house with seven bedrooms, 7.5 baths, multiple fireplaces, a private library, a remodeled kitchen, and a recreation room. He got his money from Instead of a specific salary, a large allocation in the national budget was made for the "Supreme Leadership of State," which amounted to $43 million in 1976–77. Additionally, in 1976, another $1 billion was included in the budget for a revolving discretionary fund, which he controlled absolutely. Don’t know much about his leadership skills but he seems experienced at getting money from his position.

California

As California Governor Gavin Newsom emerges as a presidential contender, the news shifts to his state and what is found is disturbing. The San Pablo Bay Pipeline is closing because of regulatory hurdles while new laws forcing local gas stations to replace old storage tanks at a cost of $2 million dollars is closing hundreds of stations. Meanwhile refineries are shutting and major oil companies like Shell are closing their gas stations and replacing them with EV charging stations. All of this is in preparation of California banning gasoline cars by 2035. Regulations are slowing the rebuilding of houses lost in the big fire and after one year only 12 of the 22,500 houses lost are rebuilt. Leprino Foods, the worlds largest mozzarella maker is closing after 150 years of operation as Budweiser closes the Bay area plant, the largest brewery in the world after 50 years of operation. Many wealthy individuals, including billionaires, are leaving the state due to high taxes and business climate. For the first time in many years the state is losing general population because of high living cost. The state leads the nation in homelessness and number of illegal migrants and the budget deficit rises as free medical care is offered to migrants both legal and illegal. Estimates vary but total long-term debt, including pensions, approaches or exceeds one trillion dollars. The state has the highest income tax rate at 13.3% and is currently contemplating a wealth tax on super rich people and just thinking about it has cause a number of billionaires to leave.

Impeachment

Recently, the news has been filled with reports that if the democrats take control of the house, they will vote to impeach the president. While the congress can impeach with a majority vote, the senate needs a two-thirds vote (67) to convict. No president has ever been convicted and it is highly unlikely this time but impeachment has become a political tool used to discredit a president. Trump was impeached twice during his first term but each time his approval ratings went up and even after he was convicted of a felony his ratings did not change. Congress spent $13 million dollars and 24 months impeaching Trump and it appears they are ready to try for more.

Wouter

In these days it is hard to find a person who is able to see both sides of an issue. It is mindful of Washington Irving’s famous mayor Wouter Van Twiller for which it was said, He conceived every subject on so grand a scale that he had not room in his head to turn it over and examine both sides of it. The mayor’s problem was that he just wasn’t very bright but many smart people today are much like Wouter. Police say that different witnesses seeing the same video will describe situations which often times contradict and these are people who have no particular bias. When is comes to videos regarding political issues it should be expected that what is seen depends on who is seeing. It’s the old eye of the beholder idea. It appears that the more cameras on the scene the more controversy.

Income gap

Globalization, which was the economic strategy starting at the end of WW 2, continuing on through the cold war, came to an end in about 2010. The end was accelerated with the rise in nationalism associated with Trump and his Make America Great Again campaign. This was continued under Biden with the America First slogan and Trump has continued the trend in his second term. He has pushed his agenda by demanding that the EU pay more for their defense, that trade deals be fair, that the US quit paying for international organizations like the UN, WTO and WHO. He cancelled USAID. He is putting pressure on NATO countries to pay their fair share and his latest is withdrawing from 66 groups where the US has been paying a disproportionate share of the cost. There are many examples of how things changed and CEO pay is one. In the 1950’s the average CEO earned 20 times as much as the worker bees in the plants and today that ratio is 300 to one. Are the CEO’s of today 15 times more effective than in the past? Meanwhile real wages for those in the middle and bottom have stagnated and only in the past ten years have started to recover. The end of globalization is helping to stop the growth in the income gap but it is a slow process. As new manufacturing jobs return wages for working people will rise.

Federal vs state

A famous quote says, those who cannot remember the past are condemned to repeat it, and there is an example going on right now. James Buchanan was president just before Lincoln. During his term the southern states were concerned about the potential loss of slavery and began to defy the federal government and Buchanan, believing he lacked the authority stop them, failed to act decisively, leaving the crisis to his successor. During the Biden years many states became sanctuary states and refused to follow federal law. He did nothing and now the problem is in Trump’s lap. The problem is in two parts. First the Supremacy Clause of the constitution states that federal law overrides state law but the Tenth Amendment says that the feds can influence states through funding and regulation but cannot command states to enforce federal law. Second, states can’t block federal enforcement or enact conflicting laws and they are not required to help enforce the laws and the federal government must use its own resources to enforce the law. There are currently situations where the states are blocking federal agents and this is illegal. The states don’t have to arrest criminals and hold them for the feds, so they can release them into the general population and force the feds to find them but they cannot interfere with the feds. They can peacefully protest but they cannot actively interfere with the federal agents.

Immigrants

Many countries including Canada, Australia, the UK, New Zealand, Germany and Singapore use merit-based immigration policies and the US should also. Setting up a program that gives preference to young people (under 35), who are trained in the building skills, in healthcare and technology along with speaking English, will give them the best opportunity to become self-supporting and not relying on public assistance. This approach helps close the gap in work areas where there is a current need. The US could take in 2 million immigrants a year and that would help grow the economy.

Trump hybrid

To some people Trump is turning to socialism in some ways but others call it state capitalism. Instead of just offering grants and subsidies to private companies like Intel and MP Materials, Trump is taking part of their stock as collateral for loans. The stock will be sold at a later date to recoup the loan money. Trump crafted an export control deal allowing Nvidia to sell AI chips to China on the condition that they pay the US government 15% of the revenue. Big institutional buyers, like JP Morgan and Blackstone are buying single family homes and renting them out adding to the shortage of homes and driving up prices. Trump is asking congress to stop this practice. This is another example of Trumps pragmatic approach which is neither liberal or conservative but a hybrid. These changes are some of the reasons that people say Trump is not like other presidents.

Canada

Starting back 60 years ago Canada recognized that their population was aging and they were not producing enough young people. This was similar to what was happening in many European countries in addition to China and Japan. Birthrates in Canada have declined from 1.8 in 1980 to 1.2 in 2024. In response to this Canada opened up to immigration on a large scale starting about 20 years ago. They used a merit-based system, which meant that the immigrants were better educated than the natives and bringing in about 500,000 per year to a country with a population of only 40 million, about one third of which, are retired led to problems. The new immigrants slowly, using their education, increased their income to the point where they started driving up the cost of housing to the point where the natives could no longer afford the dream of home ownership. In recent years the country has embarked on an immigration plan to lower the numbers to offset the rising prices. This puts them back in the same position of not having enough young workers to support the retirees. In the US many low skilled, young poor people came to the country and are holding up the younger population but that is not the case in Canada. Transportation into Canada means significant cost and most immigrants are in their late 30’s and early 40’s. Canada is facing significant demographic challenges, primarily an aging population and falling birth rates, leading to a heavy reliance on immigration for growth, but recent policy shifts reducing immigration have caused the first population decline in decades, signaling major economic impacts on labor, housing, and future growth. The country's fertility rate is well below replacement levels (1.25 children per woman), while the proportion of older citizens is rising, creating pressures on resources and the workforce.

Oil

When the Gulf Coast refineries were built years ago the supply of heavy oil was seen as longer lasting and the system was built to use heavy oil. The oil from Texas and North Dakota is mostly light oil so the US buys 4 million barrels a day from Alberta. The oil there is thick and called bitumen. It is expensive to extract and must be diluted to ship by pipeline the 3,000 miles to the gulf refineries. The shipping cost is about $13 per barrel. The oil from Venezuela is also bitumen but cost only $3 per barrel to ship to the Gulf Coast. Venezuela, at its best in the late 1990’s, was producing about 3.5 million barrels per day so it can compete with Alberta. When both sources are producing it give the US a bargaining position.

Cocaine

For many years terrorist groups have used drug money to fund their activities. Just looking at cocaine to illustrate the point, the process begins in Columbia. The Revolutionary Armed Forces of Columbia (FARC) is a Marxist group founded in 1964. The purpose is to promote conflict, kidnapping, extortion and drug trafficking. The cocaine is produced in the jungles of Columbia and shipped to Venezuela for distribution to Europe and the US. The government functions as a narco-terrorist organization that uses state power and military officials to facilitate and distribute cocaine. The generals are paid by the sales of cocaine and will not give up power without a fight. The only peaceful way to stop this process is to cut off the money from drug sales. Stopping the flow across the southern border was only a start. The flow by sea is now underway and this can reduce the shipments to Europe. Small boats transfer cocaine to islands in the Caribbean which is then moved to Europe. The US has been aware of this for years but has done little to stop the process. Columbia produces 75% of the world’s supply of cocaine. The cost of health problems and deaths in the US are well documented. In recent years fentanyl has been mixed with cocaine to increase its effect and lower its cost.

Amnesty

Amnesty International is a global group similar to the ACLU in the US. They are non-profit and lean left. Here are some reports from Google AI Amnesty International is a Nobel Prize-winning, global non-governmental organization (NGO) with millions of members, dedicated to campaigning for universal human rights, freedom, justice, and dignity for everyone, acting independently from governments, political ideologies, and religions by researching abuses, mobilizing public action, and lobbying for policy change. They focus on issues like ending torture, defending free expression, protecting refugees, and fighting discrimination, aiming to hold violators accountable and free people jailed for peaceful beliefs, as detailed on their official website. Amnesty International describes Venezuela as facing a severe, ongoing human rights crisis marked by arbitrary detentions, torture, repression of dissent, and lack of access to basic rights like food, water, and health, forcing millions to flee. They call for justice for victims, accountability for perpetrators, and protection for Venezuelan refugees, urging against forced returns and demanding international investigations into alleged crimes against humanity under Nicolás Maduro's government. Amnesty International consistently expects the U.S. to act on human rights, urging it to uphold international law, protect protestors, manage migration humanely, fund foreign aid, and address global crises, often calling on the President and Congress to align U.S. policies with human rights obligations both domestically and internationally. They specifically demand action regarding issues like mass deportations, protecting the right to protest, ensuring accountability for corporate abuses, and supporting human rights in other nations.

Maduro

The differences between left and right in the US can be seen clearly in the response to the capture of Maduro. In Miami where thousands of Venezuelans live there are celebrations whereas in New York city where thousands of Americans are protesting the capture. In 1989 the US went into Panama with at military force of 27,000 and removed Noriega from office and brought him back to the US where he was tried and convicted and remains in jail to this day. The American public reacted positively with polls showing strong support. The operation was deemed a successful, decisive action. The US objected to Noreiga’s drug trafficking and his suppression of democracy, and rigging elections.

Venezuela oil

When Hugo Chavez took power in Venezuela in 1999 the country was in an economic mess with 50% poverty rates and 30% inflation. The price of oil went from $12 per barrel to $120 per barrel by 2008. As the price rose Chavez nationalized the industry and instead of using the profits to properly maintain the industry, he used the money for social programs. Many of the management and engineers who worked for US oil companies left and oil production began to decline from 3 million barrels per day to less than a million in 2019. During this time Chevez died in 2013 and his friend Maduor took over. With the oil money flooding the country many social programs where installed but mismanagement and corruption set in and when the price of oil dropped the economy collapsed. Since 2014, eight million (20% of the population) people have fled the country with and estimated 2,000 still leaving each day. They killed the goose that laid the golden egg. It was the old story that socialism is great until you run out of the other guy’s money. The question now, is will the American oil companies be willing to come back and build up production.

Big tech money

A recent article from PBS represents a number of news outlets who are reporting on the shift of money from big tech. As billionaires' influence has grown, so too has skepticism. In a recent Washington Post/Ipsos poll, 58% of respondents said billionaires' spending on campaigns is bad for the country Now that the big tech money has moved from democrats to republicans, it is in the news. In 2024 Trump received $273 million mostly from Elon Musk who donated $242 million. Harris received $121 million mostly from Dustin Moskovitz who gave $51 million. The big shift was mostly caused by Musk. This is a turnabout from the 2016 election For every $1 that employees at the world's biggest technology companies donated to Donald Trump, they gave $60 to Hillary Clinton. The overall spending for the 2024 election was Trump $1.4 billion and Harris $2 billion. This was similar to the 2016 election where Clinton spent $1.2 billion and Trump spent $500 million.

CBS

The legacy news has come under attack for being blatantly biased towards the left. There has always been a slight left preference but in the past ten years the move has become more open. In response the new owners of CBS, Paramount Skydance, implemented right leaning changes. These include the hiring of Bari Weiss to balance coverage. According to the Washington Post she is a liberal who is uncomfortable with some of the far-left positions. She recently put Tony Dokoupil head of CBS evening news. He has said: "The point is that, on too many stories, the press has missed the story," Dokoupil said. "Because we've taken into account the perspective of advocates and not the average American. Or we put too much weight in the analysis of academics or elites and not enough on you. "He added that he feels similarly and vowed that, as the new host of "CBS Evening News," he would put the viewers' interests over politicians, advertisers and "the corporate owners of CBS. Many CBS employees are upset with this change, as they see a strong preference toward Israel, since both Weiss and Dokoupil are Jewish. For many liberals’ things like this represent a threat to democracy.

Voting

In March 2023 the new Driver’s License for All signed by Governor Tim Walz went into effect. It eliminated the need to show proof of legal residence in the United States to get a MN driver’s license. MN has an election policy that allows a registered voter to vouch for up to eight people seeking same day registration. The new voters need only show proof of residency and a driver’s license is acceptable. Here are the key points • State election officials acknowledged noncitizens with valid Minnesota driver’s licenses could vote under current laws, as confirmed during the October 14, 2025, House Fraud Committee hearing. • The 2023 'Driver’s License for All' law allows all Minnesota residents, regardless of immigration status, to obtain driver’s licenses, raising concerns about election integrity. • Minnesota’s voter registration does not require proof of citizenship, and Secretary of State Steve Simon opposed adding such requirements, citing voter disenfranchisement risks.

Small thorium reactors

China has a working molten salt reactor running on thorium. It has been in full operation since June 2024. It is only 2 MW but a 10 megawatt is under development. Most of the activity is in uranium power plants where a severe shortage is expected. Modern reactor fleets consume 180 million pounds of uranium oxide annually but mining only produces 150 million pounds. Add to that the fact that 70 reactors are under construction with 115 new reactors are in the planning stage. Once again China is out ahead of the pack as thorium is readily available in the waste of most mining operations. As the US moves toward small reactors the time is ripe to move to thorium. India with large supplies of thorium is looking for US help in developing small thorium reactors.

Failing up

There is a common phrase called failing up and a good example is the situation with the California unemployment scandal. California's pandemic unemployment fraud, costing tens of billions, was massive, involving organized crime, inmates, and identity theft, exploiting weak EDD oversight for huge payouts, leading to significant state losses and ongoing recovery efforts by task forces. An estimated 70% of the $40 billion in defrauded money left California, reaching transnational criminal groups in almost every country on the globe. During the massive COVID-era fraud at California's Employment Development Department (EDD), Julie Su was the Labor Secretary overseeing it, while Rita Saenz served as the EDD Director, both facing scrutiny for the multi-billion dollar losses, with Saenz resigning in early 2022 and Su later moving to a federal role. Acting Labor Secretary, the federal DOL under her watch seemed to excuse California's failures by allowing potential debt forgiveness for the state, sparking intense backlash and debates over accountability for the fraud while she served the Biden administration.

Common sense

Years before Trump ever entered politics, he used common sense to realize that the United States was being used by the rest of the world at the expense of the American taxpayer. The bureaucracy was so entrenched that it would require a new approach for the 21st century. The US was paying 20% of NATO plus supplying most of the troops to defend Europe from Russia while Europe was supporting Russia by buying their cheap natural gas. Meanwhile Europe was spending 1.5% of their GDP on national defense while relying on the US for protection as the US spent 3.75% of its GDP on defense. In real dollars the US was spending $900 billion while Europe was spending $300 billion. He recognized that other countries were using high tariffs to a maintain a favorable balance of trade while the US was running trade deficits. In addition, Japan relied on US protection as the US has 750 bases in 80 countries costing up to $100 billion per year. He understood that you could not have country that has a safety net and unsecure borders at the same time. He knew that the US could use its consumer purchasing power as a negotiating tool to achieve positive foreign policy with military power as a backup threat. He knew that wind and solar were not the answer and was opposed to closing nuclear plants. He continues these policies after he was elected.