It Cost $50 to Get Your Vote This Year

Politics is marketing. In fact just about everything is a sale, even things that you might not think otherwise.

It was projected that $6 billion dollars was spent on the election this year.

The total popular votes received between the two major candidates was 111,340,999. Now not all of the $6 billion was spent by the two candidates obviously, but we can use the total votes between the two as a total overall gauge now of how much it costs to get you out there one way or the other. So, dividing $6 billion by the total votes we get about $50 bucks.

Why did so much have to be spent? Well, my logic comes to two conclusions.

The first is that the two candidates sucked so they had to spend more to get you to vote for them.

And the second is that it's worth it for various corporations and entities to get their guy elected or to get something passed that may effect their business or agenda. In short it's a great investment for them with BIG returns.

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Most normal people don't care for politics. They don't care for politicians, and only may give them a glance every so often because they can't really stomach paying attention for to long.

We had Obama up for re-election, and out of all the change and hope he promised back in 2008 all we got was more of the same. Guantanamo Bay is still up and running, we still got the two wars (over a decade of war now I might remind you) plus more illegal drone wars, we had more banker bail outs and back room deals. Sure he passed the health care law. The bill was over 5,000 pages that neither you nor your congressmen read. I doubt if even Obama himself read it.

Then we had Romney. The man willing to say anything to anybody so that nobody could get a clear idea of what the man was even about! Then there was the simple fact he was clearly out of touch with the common man.

Put this all together and it costs about $50 for your vote this year. Pathetic. No wonder so many people decided they wanted to opt out and not vote this year. I can't say I blame them. Good for them.

Now, on to the stock market! If you've been paying attention it's been going down down down. Do you recall how I told you to put together a watch list of companies you like? Specifically, look for companies with a healthy balance sheet, good cash flow and a history of raising dividends. So now your favorite stocks just got cheaper. Now if you do buy any stocks, do so with the intent of holding on for a long time and re-invest those dividends.

I don't know what's exactly going to happen over the next few years, but my hunch is that P/E ratios will continue to go lower. Marc Faber predicts that earnings will disappoint in 2013. Then if we get high inflation (5% or higher), this will also be a negative on most stocks.

Also, as always I'd only go stock picking after you built up a position in precious metals. And for the love of God stay of way from Treasuries.

Till next post!
-SN