Castro is Dead.

“Castro is Dead.”
Ty J. Young Editorial

Fidel Castro’s death is a reminder of the chilling and horrifying nature of socialism and dictatorships, more specifically, his ruinous rule over the island nation of Cuba. His authoritarian rule over Cuba was opposed by the United States because he was a communist dictator, and a client state of our Cold War enemy, the Soviet Union.

Castro survived 11 U.S. Presidents, multiple failed assassination attempts by the CIA and the botched Bay of Pigs invasion. Once the Cuban Missile Crisis reached its end, President Kennedy committed to not invading Cuba as a promise to the Soviets. The result was over 6 decades of misery for the Cuban people, hundreds of thousands fleeing by boat as refugees to South Florida, and for the Cuban nation to remain a backward bastion of the failures of socialism. We should learn from this, not celebrate it.

Castro was a bad guy, one of the worst of the 20th Century communist tyrants. While the good Cuban people are to be loved and sympathized with (What other population could keep ‘57 Chevy’s running with no spare parts?), there should be no sentiment for the death of such a brutal tyrant who committed decades of atrocities against his own people. The fact President Obama, and others on the left, have done so is a travesty of American leadership.

I. Castro was a Horrible Tyrant.

1. He committed atrocities against his own people. He tortured and killed political opponents, stole private property, executed over 50,000 political prisoners, jailed dissidents, and suppressed speech. The idea that there is some moral confusion by some elected leaders—starting with President Obama—regarding the horrid nature of the Castro regime is almost as galling as Castro himself. His imposition of socialist economics has resulted in decades of starvation, economic collapse, and widespread deprivation. No other country in the world has such a large collection of antique cars—it is as if time stopped when he came to power in 1959. The cars, buildings, and everything outside of a tourist hotel is literally from a by-gone era.

2. He committed acts of terror and supported socialist revolution. With money and training Castro supported terrorist groups, such as the Black Panthers and the Black Liberation Army in the U.S., and South West Africa People’s organization (SWAPO) in southern Africa. He helped fund multiple Middle East terror groups while pursuing an anti-American strategy, and helped found World Mathaba, an Arab terror group in the 1970s. He most famously funded the “Macheteros,” a Puerto Rican terror cell responsible for numerous murders and bank robberies in the United States. Revolutionary Armed Forces of Columbia (FARC) in Colombia, Euskadi Ta Askatasuna (ETA) in Spain, and even for many years the Irish Republican Army (IRA) … there wasn’t a terror cell on the planet that could not find aid, comfort and support from the Castro regime. His support for revolution in Latin America was largely resisted, and defeated, by U.S. counter forces in Chile, Guatemala, and El Salvador throughout the 1960’s and ‘70’s. The Reagan Administration continued this fight by supporting the Sandinistas in Nicaragua, and invading and overthrowing the Castro-supported government on the island of Grenada. Sadly, those efforts have been reversed, starting with Venezuela becoming a Cuban client state in 1999 with the rise to power of Hugo Chavez, and the Sandinista return to power in Nicaragua in 2006. Venezuela—sadly for the people, but comically appropriate for the left-wing actors in America—is amid tribal collapse as people fight and murder amongst themselves daily for no food, no jobs, no electricity… and no hope. Socialism 101: the collapse of your civilization.

3. He was an enemy of America. While far left activists such as Sean Penn lionize evil, brutal men such as Castro—and our own President, along with other leftist leaders—cannot bring themselves to denounce, and in some cases, even romanticize, this criminal tyrant. There is the fundamental reason he should not be respected; he was an enemy of America. By constantly harassing our base on Guantanamo, joining the global communist crusade with the Soviets, imploring Nikita Khrushchev to launch a first strike against the United States, and actively fighting against American interests in Latin America and southern Africa … Castro was a direct threat, a “clear and present danger,” to the United States. It was simply the luck of history that we allowed him to remain in power. Cuba also still currently harbors convicted cop-killer Joanne Byron, aka Assata Shakur. Obama nicely forgot to require her extradition in exchange for his outreach to the Castro brothers last year.

II. Why We Should Exercise Caution in Dealing with Cuba.

1. Obama has already compromised America’s interests. President Obama’s outreach to Cuba represented his standard statecraft of the last 8 years: (A) find the most loathsome enemy and/or leftist enemy of America and say it is time to be friends; (B) require nothing in return for our money, resources and support; (C) not get political prisoners out of jail, or require some human rights improvements before going all in; (D) do not require some democratic and/or market reform as part of the engagement; and, (E) ignore existing U.S. citizen and refugee political groups and their interests that oppose his. Since Obama’s “deal” with Cuba, more political dissidents have been arrested, none have been released, and the economy has contracted further. If you had a textbook definition of hurting all parties including American interests, Obama’s strategy would be that very definition. His “muddling” of the relationship combined with Castro’s death leaves a great deal of “unknown” as to what will happen next in Cuba. The incoming Trump administration should proceed with caution.

2. Raul Castro is still in power. Whoa Nellie … slow down there. Analysts are split on what may happen next, but Raul Castro, Fidel’s brother, remains in power. He is a Communist Party apparatchik, and he and his brother’s fortune and position comes from their dictatorial communist rule. Even more so, the military draws its power from communist control. Castro came to power because of a socialist revolutionary movement that was global and part of the Cold War. Communism collapsed because totalitarian rule with socialist economics means death, destruction and misery. There is no such global movement that is currently undergirding a revolutionary change. Unless it comes from the bottom up—from the people—it is unlikely things will change overnight in Cuba. America should proceed with caution.

3. Trump team needs to develop a strategic plan FIRST. First, dealing with Cuba requires a hemispheric strategy on trade and bi-lateral relations. What we do know from Trump is that all strategic policy will be designed from a position of American interests first. Given the debacle of the Obama years as it pertains to foreign policy, it may be best to have a wait and see approach, and develop a strategy for the region over time.

It may have seemed trendy for 49ers Quarterback Colin Kaepernick to recently wear a Castro T-shirt and verbalize his support for the dictator. But for Cuban-Americans, it was downright disgusting. No greater degree of embarrassment can be described than to see President Obama, Canadian Prime Minister Justin Pierre James Trudeau, and other so-called leftist elites speak highly of such an evil, tyrannical despot, who is responsible for the death and suffering of millions throughout the world. The reason for many of America’s troubles is that people can see highly educated leaders in our country who have no common sense about the real world. The inability of our leaders to distinguish between the moral and immoral, to not recognize a truly evil man, represents exactly what commentator Mark Steyn described: “The election of Trump was the regular working folk striking back. They realize that their leaders were truly stupid people making terribly stupid decisions in an effort to enrich and empower their stupid, elite club at the expense of the people who make and build everything.”

Castro has been romanticized by the left. So was his sidekick, Che Guevara, who helped him overthrow the Cuban government in 1959. Guevara met his end in Bolivia when the CIA caught and executed him in 1965. Castro evaded those same CIA attempts to assassinate him … sadly, for the Cuban people. Now that he is gone, it is unknown how much will change. But we should not mourn his death. As you can see in the streets of Miami, it is a justifiable cause for celebration.

As Trump comes to D.C., and leftist leaders such as Castro fall by the wayside, now could be a time for renewed American leadership that properly identifies good and evil. The eight year era of coddling our enemies, and turning on our friends, is hopefully over. A powerful reminder of this are the words of Swedish author Johan Norberg, who remarked:

When I die, I want to die peacefully in my sleep, like Fidel Castro, not screaming in terror, like his victims.”

This new start for America can be a new start for your portfolio as well. Time to get some or all of that portfolio protected from market loss.

This new start for America can also be a new start for your portfolio. Protect your money and never lose it due to fluctuations in the stock market. You can have your money in a place where it is safe and growing at the same time. Call your Ty J. Young Inc. advisor today to learn how you can implement this smart strategy today! 877-912-1919

(http://www.latinamericanstudies.org/terrorism/castro-terrorism-pons.htm)
(http://www.wsj.com/articles/for-cubans-the-long-wait-is-over-1480260067)
(http://www.steynonline.com/7614/a-monster-and-his-suck-ups)

Top 10 Reasons to Give Thanks This Thanksgiving Season!

“Top 10 Reasons to Give Thanks This Thanksgiving Season!”
Ty J. Young Editorial

Everyone recognizes Thanksgiving as a great American holiday. It is a time for football games, shopping, and lots of eating. Most Americans also remember the original and primary reason for the holiday: a time to reflect and give thanks to God for the blessings in our lives. Being born and raised as an American, your blessings are abundant; many people in other countries are not afforded the many opportunities we have.

The history is well known – the pilgrims and Puritans at Plymouth Rock sat down in 1621 to celebrate the harvest and give thanks to God for the abundant blessings they received that year. But there are also little known fun facts about our truly American Thanksgiving celebration:

1. Thomas Jefferson thought delivering a federal Thanksgiving proclamation was “the most ridiculous idea ever conceived.”
2. The average roundtrip Thanksgiving visit is 214 miles, compared to 275 for Christmas.
3. The Pilgrim’s Thanksgiving feast in 1621 occurred sometime between September 21 and November 1. It lasted three days and included 50 surviving pilgrims and approximately 90 Wampanoag Indians, including Chief Massasoit. Their menu differed from modern Thanksgiving dinners and included berries, shellfish, boiled pumpkin, and deer.
4. Not all states were eager to adopt Thanksgiving because some thought the national government was exercising too much power in declaring a national holiday. Additionally, southern states were hesitant to observe what was largely a New England practice.
5. The first Thanksgiving football game was in 1876.

From the Ty J. Young Inc. family, here is our top 10 list!

Top 10 Reasons to give Thanks this Thanksgiving Season:

10. Football! Whether it is a friendly game with family members in the backyard, a high school state playoff game on Friday night, college football’s “Rivalry Weekend” across the country, or the pro-games after the Thanksgiving meal, football has been and remains a featured staple of the Thanksgiving holiday!

9. Buttered Rolls. Whether it’s your momma’s, or your Grand-momma’s, nothing beats the buttered roll, which you rarely get the rest of the year and always seems to taste the best on Thanksgiving!

8. The post-meal nap. Falling asleep on your couch while little kid relatives destroy lamps, carpet, and let loose animals in the backyard, is a requirement for a successful Thanksgiving holiday!

7. Apple Pie. Warm apple pie, with some vanilla ice cream … can we skip the meal and go straight to dessert?

6. The Macy’s Thanksgiving Day Parade. In our hyper-fast-paced social media environment and culture, it is hard to get anyone to sit down to watch a simple parade anymore. But the pageantry, the historic tradition, and the nostalgia it provides for a simpler time makes watching the parade a regular feature of many households on Thanksgiving Day.

5. The Gravy. Whether your family serves gravy old-school with drippings off the turkey fat, pan-fried, rich and creamy, dark, light, thick, or thin… the fundamental requirement of any great Thanksgiving feast is a hefty serving of gravy!

4. The Stuffing. When you research “Thanksgiving Stuffing,” you realize there are hundreds of ways to make stuffing and all of them sound great! Everyone knows Thanksgiving is not complete without a healthy plate full of your mom’s stuffing!

3. The Turkey. Not number one? Well, some other rather important items come up on Thanksgiving, such as family and giving thanks. However, having and eating, the turkey cannot be any lower on the list! Dry or juicy, the “bird” is what everyone is looking forward to at dinner time!

2. Spending time with Family. Yes there is the cousin who does not shower or your sister’s spouse who spiked the fruit juice, but, in the end there is nothing better or more important than spending time with your loved ones. Giving thanks for having your family is a reminder of the truly important things in life.

1. Being an American. While the old red, white and blue can seem to be fraying around the edges and the news each day always seems to have something negative to say, there is simply no question or doubt that we live in the greatest country in the history of the world. We are Americans with a capital “A!” The history, success, inventions, achievement, and cultural dominance … ALL represent a people that cannot be equaled. That is God’s divine hand on our nation, and His unique blessing on our people. As Ronald Reagan once said during his second Thanksgiving Day speech in 1982: “I have always believed that this anointed land was set apart in an uncommon way, that a divine plan placed this great continent here between the oceans to be found by people from every corner of the Earth who had a special love of faith and freedom.”

Ultimately, all of our thanks goes to God for what he has given us here on this earth.

America—land of the free, home of the brave—our election season is over, and the country remains divided in many respects. But remember the spirit of the season—we should be truly thankful for the abundance we have in our lives!

For many, this will be a difficult and challenging Thanksgiving season. But that does not mean God’s plan is not working. His plan has always been the right plan for our lives, regardless of the peaks and valleys we may endure.

Happy Thanksgiving everyone from your extended family at Ty J. Young, Inc.!

Footnotes:
– Colman, Penny. Thanksgiving: The True Story. New York, NY: Henry Holt and Company, LLC, 2008.
http://www.factretriever.com/thanksgiving-facts

Reagan Revolution: Trump’s Guideline

“Reagan Revolution Blueprint is Trump’s Guideline for Success!”
Ty J. Young Editorial

Oh, the joy of the 1980s. The Reagan Revolution ushered in almost 27 years of uninterrupted economic growth!

The Reagan Revolution was unique; it was built on sound economic policy, strong fundamentals, and avoided artificial stimulants like the plague. The Ronald Reagan years were focused on fixing the U.S. economy across-the-board: tax reduction, pro-growth fiscal policy, strong dollar policies, sound monetary policy, massive deregulation, and fair trade policy. It was unprecedented in its scale, and unmatched in its success!

Many forget, however to achieve such a healthy, and prosperous, economy, we had to go through some pain in the early years. The President-elect, Donald Trump, would be wise to follow Reagan’s example, but it could be painful to steer the ship of state onto the right path.

Reagan is largely remembered for his massive tax cutting – and they were a crucial, and perhaps decisive component, to the country’s economic boom and success during the 1980s and beyond. But there were other equally important policy decisions that were made as well. Rooting out the decay, dysfunction, and socialist tendencies of the 1970’s was an enormous task. So, there is a scope of problems and solutions that Reagan offered to consider:

I. What were several key economic policies Reagan implemented?

1. A strong dollar policy.
2. Sound monetary policy.
3. Deregulation.
4. Fair Trade.

II. What were the short-term negatives of Reagan’s policies?

1. Export-driven employment hurt by strong dollar policy. From a macro perspective, a stronger dollar benefits the U.S. by getting more imports (the benefits of trade) per dollar of exports (the cost of trade). This could have negative consequences for manufacturing jobs that export, which could further exacerbate the jobs situation for the voters in the rust belt who supported Trump. But it lowers prices for the consumer at home. You gain a strong dollar by not printing more dollars.

2. Interest rates went up. Borrowing and debt will cost more. But going hand in hand with less money printing, Reagan’s voters wanted inflation stopped. While debt costs can slow business expansion, the higher priority in 1982 was whipping inflation. When the Federal Reserve raises interest rates, banks follow suit. This makes it more difficult to obtain a loan and helps keep price increases in check. But the negative consequences were pronounced – businesses contracted and unemployment spiked to above 10% by 1982.

3. Deregulation left some industries temporarily unregulated. Reagan’s deregulation of ALL layers of government was perhaps as important, or more, important, than his tax reduction policy. Business was freed across all sectors of the economy, creating the greatest economic boom since the end of World War II. However, the Garn-St. Germain Depository Institutions Act, among other laws and regulatory repeals, helped spur bad real estate investments, ending with the 1989 S&L crisis. Sound familiar? Outside of that crisis, however, deregulation in oil and gas, cable television, long-distance phone service, interstate bus service, and ocean shipping all helped U.S. businesses and the stock market rapidly expand!

4. Fair Trade meant increased costs. Reagan was rhetorically a free trader, but enacted a greater number of trade restrictions than Jimmy Carter. Usually, trade restrictions increase costs for the consumer, and would be antithetical to his free trade rhetoric. Reagan increased the number of imports subject to U.S. tariffs from 12% to 23% of imports. This included much of the manufacturing industry, the part of the country where you found the original Reagan Democrats, and now modern Trump supporters.

III. What were the positives of Reagan’s policies?

1. A strong U.S. dollar revived confidence in the American free market. A stronger dollar, as weighted against other foreign currencies, means travel abroad is cheaper, imports are cheaper, and the cost to foreign governments to obtain dollars is higher. While export companies and multinational companies will face headwinds for sales in foreign markets, the result of Reagan strong dollar policies was an improved bottom line for American multinational companies. The value of their brand “improved” globally, and that increased demand for their products. When combined with other pro-growth policies, a strong dollar leads to a stronger America.

2. Sound monetary policy defeated inflation. Reagan and his Fed Chairman, Paul Volcker, committed to a rising interest rate environment in order to defeat non-stop rising inflation. The Fed funds rate reached 20% in June 1982, and the Prime Rate reached 21.5% in the same month. The Democrats and the media were howling as unemployment spiked and the country went into recession. But the medicine was needed to reverse the easy money, high tax, and high regulatory state of the economy during the 1970s. By the end of 1982, the groundwork had been laid for a true economic recovery based upon the fundamentals of the business cycle. A real economic expansion occurred with money that was strong and could retain its value. Inflation had been defeated!

3. Deregulation freed small business to hire and expand! Airline prices dropped and access to easier, cheaper, and quicker travel was available to more of the American public. Cable TV deregulation increased the number of TV channels and offerings available for the consumer. Deregulation of telephone markets was the critical launch point for the satellite/smart phones we have today. Gas prices collapsed thanks to deregulation, and was perhaps the most important impact on the Soviet Union as it killed their primary source of revenue. While tax cutting gets the lion’s share of credit for the Reagan Revolution, it is clear in hindsight that deregulation was just as important to our 20+ year economic boom which followed.

4. Fair trade brought jobs to the U.S.! Reagan took the mantle of the classic “free trader” and is historically considered a free trade absolutist – this was in keeping with his economic mentors, Milton Friedman and Art Laffer. While Reagan supported free trade in principle, he implemented fair trade policies in practice. Free trade assumes a partner who conducts free trade equally. That has not been the case and is rarely ever the case with American trading partners. Reagan increased import restrictions from 12% of imported goods up to 23% of imported goods. Instead of launching a trade war, foreign competitors realized they could not live without the U.S. market. This had the surprising result (to everyone but Reagan) of bringing foreign companies into the U.S. – The U.S. was opening factories, and hiring blue collar workers! In order to sell Nissan’s, you had to build a U.S. Nissan plant. To sell BMW’s, you had to build a U.S. BMW plant. Free trade became fair trade that was “fair” to the American worker.

A President Trump could do a lot worse than following the economic policies of “The Gipper”. But the circumstances of today are not the same as they were back then. The debt is 20 times larger … budget deficits are unsustainable … the insolvency of social security is clearly on the horizon … and the world faces global conflicts that are hot, not cold. Nonetheless, the broad principles of the Reagan Revolution can serve as a guide. If followed, this could help bring about another era of healthy and explosive American economic growth.

Taking advantage of the “Reaganesque” stock market gains, while still protecting from the downsides of the inevitable business cycle, means pursuing a principal protection investment strategy. Call us now to learn how you can protect your hard-earned assets from the volatility of the stock market and earn a reasonable rate of return! 877-912-1919

(https://www.thebalance.com/president-ronald-reagan-s-economic-policies-3305568)
(http://www.heritage.org/research/reports/2001/03/the-real-reagan-economic-record)
(http://www.forbes.com/sites/bobmcteer/2015/01/24/is-a-strong-dollar-a-good-thing-or-a-bad-thing/#4c6806e46b61)
(http://data.bls.gov/timeseries/CES3000000001)