Good thing we’re in a recovery

James C. Sandefer

Interesting how the unemployment rate moved into double digits last week and the government continued telling us how we’d turned the corner and were in a recovery period—the worst of it was over. Creative math is a wonderful thing when you can use it to your advantage as the Feds often do so well, but those several million folks without a steady stream of income aren’t buying it. For instance, the Feds counted employees in the “jobs created’ category because they received raises. Add to the list those who were promoted and you get the idea of the way creative job accounting works in Washington. The job counting con is just one example of why I’m not buying into the recovery sales pitch.

Select nearly any area of the economy and you’re likely to see a downturn and cutbacks. One of the most improbable examples is private clubs, the posh, snooty getaways catering to the well-healed and presumed recession proof segment of society. These venues are now feeling the sting of trickle-down budget tightening as former lifetime members, many whose memberships go back several generations, are opting out. Some of the hardest hit clubs are the ones having expensive-to-maintain golf courses in addition to posh clubhouses. As memberships are passed down to younger heirs, these recipients simply don’t have any interest in tying up an absorbitant amount of time going to one venue or doling out money in annual and monthly dues. Their interests and attitudes are quite opposite that of elder family members. The young and financially independent don’t want to tie up a set number of hours on the same time and day of the week on a golf course or sit around sipping overpriced martinis in a stuffy country club bar. They’d rather be actively engaged in something more invigorating such as a demanding hike or traveling to a remote location; they enjoy diversity and spontaneity. These youngsters are bailing out of club memberships in record numbers leaving the owners in a pinch and having to cut back on services while raising prices on those who choose to remain locked into the same old same old. Expensive perks and meal sizes shrink along with revenue and staff members, and this continues adding red ink to the bottom line. By year’s end a number of once-thought perpetual country clubs around the country will have either closed or scaled back to the point of near parity in offerings with public clubs.

Many retirement communities and active adult communities with homeowner associations are also feeling the drag of recession woes. The ones hardest hit are those with cost-heavy amenities and golf courses. Within the past two years mindsets and bank accounts have adjusted dramatically as retirement savings and investments evaporated and reality set it. Scaling back is no longer viewed as an inconvenience; it’s a pragmatic retirement survival methodology. This is especially relevant since Congress voted down 2010 cost of living increases for Social Security benefits and various other government controlled retirements (e.g., military pensions). And for those on Medicare or some other form of government run insurance plan, the news gets worse because those premiums are scheduled to increase next year while a sustained coverage level is on the chopping block with Congress. Of course, the politicians haven’t gotten around to voting down their own automatic annual pay raise that is scheduled to kick in as usual in January. A phrase from the United States Constitution that begins “We the people” appears to have been conveniently shoved aside by many of our elected representatives.

Last and certainly not least, late Saturday night, probably during commercial breaks while watching Saturday Night Live, the House of Representative managed to push through a health care reform bill by a mere five votes. Hardly a bi-partisan accomplishment, and the odds of any of them having read it, never mind comprehending what’s in it, is astronomically slim. By mid week many of them will be complaining of shoulder pain from patting themselves on the back for doing something they wanted to do rather than getting something truly worthwhile done for the people they represent. Pay close attention to their commentary over the next few days and you’ll hear the phrase “we” referring to “them” countless times. We’re going to hear what they’ve done for us, when in fact it may turn out to be what they’ve done to us. Naturally, they are exempt from what they’re hoping to impose.

We, the taxpayers, remain a necessary inconvenience and are only needed during elections. In the meantime we’re simply impediments to progress.

That said, something interesting has occurred lately, the memories of those who vote is getting sharper and tending to recall in between election times and the decisions of their representatives. November 2010 is shaping up to be a watershed moment in American politics, and those in power today may get a break from patting themselves on the back sooner than they’d prefer.

Good morning America, it’s good to see you again.