Burch: Much ado about voodoo?

Friday, December 9, 2011 at 1:18pm
By Michael R. Burch

Nashvillians, like Americans everywhere, are rightfully concerned about our enormous national debt, stubbornly high unemployment rates and the mule-headed impasse in Washington.

The Tea Party has a simple (or simplistic) solution: preserve tax cuts for the people and businesses with the most money while slashing spending on what they call “entitlements.” The idea is that as the rich get richer some of the profits will “trickle down” to the middle- and lower-income classes.

A big problem with this pie-in-the-sky “plan” is that we have been trying it for decades and it isn’t working because the people and businesses with the most money are sitting on it, rather than using it to create new jobs. MarketWatch recently explained the problem in easily understandable terms: “As economists and policy makers tear their hair out over ways to get money flowing through a stagnant economy, the nation's biggest corporations are clinging ever tighter to their cash.”

According to a FactSet Research Systems review of second-quarter regulatory filings, the accumulated cash and short-term investments for 24 of the 30 companies that make up the Dow Jones surged 18 percent to $256 billion from the previous year. Companies like Apple, Caterpillar, Microsoft, Coca-Cola and Chevron are sitting on mountains of cash.

Rather than creating new jobs, major American corporations often raise cash reserves by closing plants, moving jobs offshore and otherwise shrinking payrolls. The people who manage to keep their jobs often end up working longer and harder hours, without commensurate raises in pay.

While cash-rich corporate chickens sit on their golden eggs, millions of Americans remain unemployed.

In other words, the Tea Party is off its rocker. Slashing “entitlements” may shrink the national debt, but it will also shrink the economy, because most people on Social Security, Medicare and unemployment spend the bulk of what they receive. Corporate fat cats have extra money, so we need to either tax it or get them to spend it. Our government should give profitable businesses a choice: either create jobs here at home or pay higher taxes so that the government can stimulate the economy. This can be done through a simple formula: subtract all executive pay and benefits from the total payroll and give companies that increase wages to regular workers a tax break. Then companies will face a simple decision: is it better to pay higher taxes and get nothing in return, or to create jobs and/or reward hardworking employees with higher wages?

It remains to be seen if the Tea Party really wants to help the majority of Americans. Temper tantrums and voodoo economics are not going to help the 99 percent. But a simple plan that rewards companies for paying higher wages and only raises taxes for companies that don’t, just might.

Michael R. Burch is a Nashville-based editor and publisher of Holocaust poetry and other “things literary” at www.thehypertexts.com.

Filed under: City Voices
Tagged: Michael Burch

41 Comments on this post:

By: yogiman on 12/9/11 at 1:00

The simplest solution known to the problem for all Americans is: If it ain't made in the USA, don't buy it.

Let the "american" (I can't call them American) businesses that have moved overseas for cheap labor and more profit sell all of their products overseas.

Americans did it before and they can do it again; if they will learn to stand on their own two feet again. But too many are now satisfied for "guvmunt" to 'take care of them'.

You can bet your a.. the corporations and companies would bring the jobs back to the USA if they wanted to continue a profit making company.

By: BenDover on 12/9/11 at 3:09

Corporations will hire American workers when it is profitable for them to do so again.

As long as this administration keeps jacking around with tax laws and compliance rules and employer requirements for healthcare and the environment and labor rules... maintaining absolute uncertainty about what an employee will cost a company; and further making what is certain increasingly bad news; then I don't see any relief in sight.

Obama's running a very divisive campaign now that promises only to further the moronic wrath of people like Burch here against industry and businesses are waiting to see if this ground-hog sees his shadow to determine what kind of investments they'll be making for the 5 - 10 year planning window. Instead of 6 more weeks of winter if the Obama wins we'll be looking at 4 more years of economic tundra to cross and it won't be pretty.

By: Loner on 12/9/11 at 6:18

Another insightful and creative missive from Mike Burch. Thanks, Mike.

Mike wrote: "While cash-rich corporate chickens sit on their golden eggs, millions of Americans remain unemployed."

I like that analogy. Indeed, the chickens have come home to roost; but there could be a fox in the hen-house, or a dirty old egg-sucking hound. And I would not count my chickens before they hatch.

Chicken today, feathers tomorrow?

By: Loner on 12/9/11 at 7:08

Ben Dover has the chutzpah to write, "Obama's running a very divisive campaign ..."

Whoah! Just a minute there, my old friend Benjamin Dover....several of the GOP presidential candidates accused our president of "appeasement", with respect to Iran, in their addresses to a Jewish Republican vetting event this week. That's low.

President Obama rightfully called a press conference and called the offenders out on their allegations...the appeasement charge is both scurrilous and spurious.

The analogy, that Neville Chamberlain is to Hitler and the 3rd Reich, in the 1930's as Barack Obama is to Ahmadinejad and the Islamic Republic of Iran, in 2011, is totally ludicrous....from all angles.

Phony Nazi analogies, like this "appeasement" analogy, cheapen and diminish the horror of the Nazi period and the Holocaust. The irony is that these egregious falsehoods were expressed to a Jewish audience, in hopes of ingratiating the speakers to an audience of potential campaign donors.

Hopefully, the fawning, up-sucking attempts backfired....they may have offended the audience.

Resorting to false Nazi analogies, in which our president is portrayed as Neville Chamberlain, the appeaser , is exceedingly divisive. But this is nothing new.

The GOP has been the party of sore losers, since November 2008. There have been nothing but bitter personal attacks on President Obama and his policies since day one of his Administration.

The Birther issue and the "He's a Muslim" charge challenged Obama's legitimacy from the very beginning...and now the "appeasement" charge...and still Ben Dover dares to accuse our president of "running a very divisive campaign". That's chutzpah....real chutzpah.

By: govskeptic on 12/9/11 at 7:32

While this re-election piece contains a few large companies that may be sitting
on cash, there are hundreds if not thousand more much smaller that certainly
or not. Many business owner have their homes and entire lives mortgaged in
businesses that are struggling mightily to make a payroll of 5 to 50 employees
every week.
Since "chutzpah" is the word of the day the President has plenty of that in his
rhetoric and constant call for the Republicans to vote on subjects he won't even
discuss with them in person but only through news conferences. Of course,
that goes for the democrats as well, he doesn't talk to anyone but the leadership
of that party either! Anger toward the Tea Party supporters is a small fraction
of the problem the much larger masses have with these inept policies and the
incompetent administrators directing them. The Emperor is Naked and more know!

By: Loner on 12/9/11 at 8:33

Gov wrote:"Since "chutzpah" is the word of the day the President has plenty of that in his
rhetoric and constant call for the Republicans to vote on subjects he won't even
discuss with them in person but only through news conferences."

The Chief Executive is not supposed to routinely sit down with Congressional opponents and act as a lightning rod for their bitterness and loathing. That's not the President's Constitutional duty, or responsibility.

The Legislative Branch is supposed to consist of opposing parties who sit down with each other and discuss the nation's business, face to face....that's their job, that's not the job of the Executive or Judicial Branches of the federal government.

The president has laid out his agenda, the Republicans are fully informed. If the Republicans do not like the Democratic proposals, they should offer realistic and fresh alternatives, in Congress, instead of denigrating and demonizing President Obama on the right-wing talk shows and on the campaign trail.

By: govskeptic on 12/10/11 at 6:45

Loner: I know you consider yourself an armchair authority on the Constitution
and all things Government, but dead wrong on this one. The Opposing Party
has no obligation whatsoever to present an alternative to what a President
proposes, especially if they feel, as a large number of this one does, that
the proposals are worthless to the long term benefit of this country and it's
This President can't spend 5 minutes before the beloved cameras without
getting very divisive and Partisan on any subject. That has also been his
style since the day he walked into the US Senate and continues today.
The Warren Harding of our day is being discovered and revealed daily!

By: dargent7 on 12/10/11 at 7:03

We cannot afford to buy everything, "Made in America".
All electronics that make up 50% of our lives would quadruple in price.
Then break.
A lot of major corporations are realizing all the layers of management aren't needed.
And the worker bees can now do the work of two people.
If you can't, they can find someone who can.

By: yogiman on 12/10/11 at 8:21

I don't know how many of you lived through the WWII era, but I can assure you "Barack Obama" is not equal to Adolph Hitler. Hitler was elected to that office officially legal back in the 30s. Barry Soetoro was not elected the the US president's office officially legal. And by our Constitutional laws, you cannot elect someone to an office if they are not legally eligible to hold said office regardless of the popular votes cast.

By: dargent7 on 12/10/11 at 9:43

Paul Wade: Have a Happy "Brain-Dead" Holiday Season.

By: yogiman on 12/10/11 at 10:22

May I offer the insane same to you, dargent7. If you "went to college" you apparently didn't get through your civics coarse too well.

If you haven't read his 'autobiography' "Dreams from My Father" (the book written for him by his "neighbor" (that he didn't know) Bill Ayres), you should spend a couple of bucks and read it.

Let's look at this issue this way: If, as written in the book, his mother married Barack Hussein Obama, he gained his family name and citizenship from his father (just like you). At his mother's age and status (in 1961) she could not pass her citizenship on to him. The best he could have gotten would have been dual-citizenship.

Now, considering as you and your fellow posters on this site claim, he is a natural born citizen. I'll argue he isn't because dual citizenship is the best that could be accepted in his case and a dual citizen cannot be a natural born citizen. To allow that would be to say our founders didn't know what they were doing when they put that clause in the Constitution.

According to his "autobiography", he states his Indonesian step-father offered to adopt him so he could go to school in Indonesia because Indonesia would only accept Indonesian citizens in their schools. That adoption took place and his name was changed to Barry Soetoro and he was shown by his school papers as a Muslim of the Islam faith. (Was that simply a claim to get him in school, or a fact?)

When he lost his American citizenship through adoption, even if he was a natural born citizen, he could not regain a natural born status again by reverting back to his American citizenship by naturalization.

Barry Soetoro usurped that office and you should all be scared as hell that the people we have in congress allowed it to happen.

Wake up, children, before it's too late.

By: dargent7 on 12/10/11 at 2:42

"yogi"..."civics coarse..."
What is that? A major in sandpapering skills?
It's "course".
And for you to draw a parallel from Obama to Hiltler ("Hitler was legally elected, Obama wasn't") with your "usurper" b.s. is treasonous.
How much of Grandma's fruitcake did you already eat?

By: Captain Nemo on 12/10/11 at 4:00

America will never be destroyed from the outside. If we falter and lose our freedoms, it will be because we let the Tea Party destroyed ourselves.
Abraham Lincoln

By: yogiman on 12/10/11 at 4:46

I guess you didn't get the joke, dargent7. I was suggesting you took your civics course in a 'coarse' manner. You didn't learn it very well by claiming Barry Soetoro to be eligible for the office he took by usurpation. Poorly worded; sorry.

But please explain: How can you elect someone to an office when they aren't legally eligible for said office? Considering that, you're saying anyone in the world can be elected to any US office they wish to hold... as long as they can get the popular votes. Hell, how about bringing someone from Timbuktu over to run for the White House? They're just as legally eligible as Barry Soetoro.

And do a little more studying, dargent7: Even if you're a natural born citizen, you lose that citizenship when you officially become a citizen of another country. You give your American citizenship up.

By: Captain Nemo on 12/11/11 at 12:27

Mike the 99% people is a long way from what the Tea Party is all about. Just how effected the 99ers will be is still to been seen. The so called grassroots Tea Party is funded and influenced by Koch Brothers, in their attempt at controlling Americans politics. Maybe the grand plan it for world control.

By: Captain Nemo on 12/11/11 at 12:37

“Brain-Dead Holiday Season” lol dargent

By: Granpa1 on 12/11/11 at 4:21

I believe were we to strip our stores of all products made outside the USA, there would be nothing left. Even the storage racks and similar such things would be missing. As has become a popular saying, "If it doesn't say made in China, it ain't American". That is realizing of course, Japan,Taiwan, Mexico, etc., etc. also supply our markets.
When the pilgrims hit the sandy beaches in December some hundreds of years ago, much of their possessions were hand made and were imported from England though a smattering of possessions may have originated from Holland. Once having arrived here, they were pretty much on their own I would imagine, and left to the production of their own hands.
I don't think you are going to see a take back on self reliance any time soon.
We will begin to grovel for our meager handouts as more and more people are forced out of work and left to their own devices.

By: yogiman on 12/11/11 at 9:12

Sadly, Grandpa1, we have two groups to blame for our situation; our "guvmunt" and us. Our "guvmunt" sold our manufacturers out to force them into cheap labor and we sold our fellow citizens our by buying the cheaper products made with cheap foreign labor.

Because so many of the products were "short lasting" items, it was cheap to buy another one.

Remember when the foreign cars in the USA weren't worth driving home? Foreign products have improved over the years and our economy has gotten worse from not having "made in the USA" factories.

The majority of our work force today is mostly in the sale and service industries.

By: Captain Nemo on 12/12/11 at 2:30

Once again our totally incompetent historian has got it wrong.

It was not the government that, "sold our manufacturers out to force them into cheap labor and we sold our fellow citizens our by buying the cheaper products made with cheap foreign labor" it was the corporations move manufacturing overseas so they would have more profit.

By: Captain Nemo on 12/12/11 at 2:42

I can remember when General Motors, Ford and Chrysler stop making good cars and the American consumer accepted the cars as being good quality. Then the Japanese started making a better product, but the American manufactures keep producing inferior goods and so let American fall behind in the world trade.

By: Ask01 on 12/12/11 at 6:57

The problem is greed. That condition is the underlying thread conecting everyone involved in the nations financial situation. Everyone wants more.

Those with the most want much more and those with the least want a little more. This is not a new circumstance. The same scenario has played out over and over through the centuries.

"Trickle down" doesn't work, because those with the funds always look for ways to increase profits, which dictates cutting cost, which in turn, will inevitably result in reduction in head count. Material costs do fluctuate, but manpower is the biggest expense for most, and as technology advances, fewer people are needed, and of course, machines, while they breakdown, don't strike.

When people don't work, they don't pay taxes, requiring government to look elsewhere for money. Businesses and the wealthy respond by further cutting expenses. The result of this cyclic madness is merchants lament lack of trade, failing to see they are to blame for their own woes.

If people don't work, they dont have money, and cannot buy merchandise. The result is a welfare dependent society or a society drowning in debt, or both.

Fortunate segments of society look down on the unemployed, call them lazy, slothful, and ungrateful, clutching their own money even tighter. What amuses me most is the admonition, so oft repeated, get a job and make your own fortune. This is usually uttered by those with jobs and money, who won't offer employment to people and, if you did try to start up a business would use every trick, fair or underhanded to crush your efforts.

Everytime I discuss the economy, I sound the warning of impending class warfare or social revolution, citing the French and Russian revolutions as the most well known examples. This is getting old, I know, but then, so am I. The examples, though, are still valid, and very real.

Businesses and the wealthy must, as I have declared many times before, actively demonstrate their claims to be job creators, deserving of breaks for their risk taking and enteprenurial spirit driving the economy.

Thus far, I and many others are hearing empty rhetoric and seeing no tangible results. Give us results in the form of jobs and employment, and realize you may not increase your wealth as fast as you wish, or risk losing it all. Either to the government through taxes, fines, fees and other creative avenues to take your money, or, if the situation deteriorates completely, and society falls apart, to social revolutionaries.

Take your pick. (I'd go with creating employment if it was my decision.)

By: serr8d on 12/12/11 at 7:01

Nice to see Marxist Burch come up with so many alternatives that'll correct our Depression! (Yes, it's a Depression, because Professor Paul Krugman in the New York Times finally says it's a Depression; but, he fails to credit Barack Hussein Obama for it's duration, so you'll just have to come to that realization from sifting the copious data and noting that NOTHING Barack Hussein Obama has done has made things one whit better, because he's the SCOAMF).


So, Marxist Burch, what exactly do you want to do? TAKE all the money that's not held by rich Liberal fellow travelers and distribute that to the poor in the streets? Begin even more government involvement in the various markets (3-year plans, 5-year plans, 7-year plans) and take control of the economy? TAKE AWAY and REDISTRIBUTE? Maybe, like your hero Baracky Zero, fight 'the EVIL rich' by Owwie proxy? Conduct a campaign of 'eat the rich' from the podium-pulpit?

You, and Barack, and it seems ALL Democrats are shifting ever-further Left.

You know who stands behind you, right?


By: serr8d on 12/12/11 at 7:08

Mary Steyn answered you, Marxist Burch...

The bill for cradle-to-grave welfare has come due.

The president of the United States came to Osawatomie, Kan., last week to deliver a speech of such fascinating awfulness archeologists of the future sifting through the rubble of our civilization will surely doubt whether it could really have been delivered by the chief executive of the global superpower in the year 2011.

“This isn’t about class warfare,” declared President Obama. Really? As his fellow Democrat Dale Bumpers testified at the Clinton impeachment trial, “When you hear somebody say, ‘This is not about sex,’ it’s about sex.” The president understands that “Wall Street,” “banks,” “fat cats,” etc. remain the most inviting target and he figures that he can ride the twin steeds of Resentment and Envy to reelection and four more years of even bigger Big Government. His opponents, he told us, “want to return to the same practices that got us into this mess . . . . And their philosophy is simple: We are better off when everybody is left to fend for themselves and play by their own rules . . . . It doesn’t work. It has never worked.” He blamed our present fix on “this brand of ‘you’re on your own’ economics.”

This is a deliciously perverse analysis of the situation confronting America and a fin de civilisation West. In what area of life are Americans now “on their own”? By 2008, Fannie and Freddie had a piece of over half the mortgages in this country; the “subprime” mortgage was an invention of government. America’s collective trillion dollars of college debt has been ramped up by government distortion of the student-loan market. Likewise, health care, where Americans labor under the misapprehension that they have a “private” system rather than one whose inflationary pressures and byzantine bureaucracy are both driven largely by remorseless incremental government annexation. Americans are ever less “on their own” in housing, education, health, and most other areas of life — and the present moribund slough is the direct consequence.

It would be truer to say that the present situation reflects the total failure of “you’re not on your own” economics — the delusion of statists that government can insulate millions of people from the vicissitudes of life. Europeans have assured their citizens of cradle-to-grave welfare since the end of the Second World War. This may or may not be an admirable notion, but, both economically and demographically, the bill has come due.

Read the rest your own lazy self.


Yes, the bill has come due. Statists want ever-more and more and more; but that's not going to help us now.

We are totally screwed.

By: Ask01 on 12/12/11 at 7:53

I feel like a lone voice crying in the wilderness. Serr8d does see part of my point.

If the situation does not improve, the core segment of society completely and eternally dedicated to institution of a European style social system will find their ranks swelling, as they are joined by the desperate remnants and refugees from an embattled middle class. Spurred on by desperation, uncertainty, fear, and even, yes, resentment certainly, and envy possibly, any party offering rescue and a seemingly safe haven is going to win the day.

This is not new. These events have played out before, and will play out again. History is littered with examples of disasterous outcomes when the rich and powerful allow greed to overwhelm their humanity.

Apropo at this season, as Charles Dickens' tale, A Christmas Carol, was not so much about Christmas, but a criticism of English society's treatment of the underclass and less fortunate.

Let us recall what happens to Scrooge before he has his epiphany. He dies alone, unmourned, while the rabble loot and split up his belongings.

Merry Christmas all.

By: yogiman on 12/12/11 at 8:08


If we are fortunate enough to have an election next year (meaning we can keep martial law out the door), and Barry Soetoro can get enough corpses to keep him in office for another term, we can kiss the USA goodbye.

The fact that the people of Congress allowed this to happen to begin with should tell the people we already have three parties in congress: Democrats, Republicans and Communists.And the Communist party has taken control.

The next ten months are going to be very interesting politically.

By: yogiman on 12/12/11 at 8:11

And I hope we have a better new year, Ask01.

By: Ask01 on 12/12/11 at 8:36

As do I, yogiman.

I am fearful. however, we are locked into a course dictated by the powerful on both sides, the left and the right, with little regard for the pawns, meaning us, caught in the middle.

One concern of mine, to boil the circumstances down to the most basic elements, is the gulf between the "haves" and "have nots" has widened nearly to the breaking point.

I just hope both sides can come together before the bridge collapses, taking us with it in free fall.

The bottom of the chasm will be hard, no matter how feathered your nest.

By: BenDover on 12/12/11 at 8:46

Well... in the shadow of the economic collapse built on the CRA and Sub-prime and triggered by the US of A electing a leftist led congress in '08 and it's first overtly communist president in '10 there were two case studies we can evaluate. In the case of America we swung hard left passing a huge health care entitlement and going on a Keynesian spending binge, the hangover of which my grandchildren will have to suffer.

In the case of our most economically comparable allies, Germany, Canada and the Aussies.. they each became increasingly more thrifty and conservative as response to the economic down-turn. The Aussies and Canadians are doing just fine compared to America's collapse and huge increase in unsustainable debt and the Germans who tied their fortunes to the idiotic socialist promises of Western Europe over the past decades with the Euro (those same promises America for some odd reason wants to emulate)... those Germans are treading water due to their conservative reforms despite the Euro-anvil chained to their ankle.

People would do well to evaluate the facts rather than just swallow whole the spin of leftists like Krugman whose ideas are perpetuating this world economic crisis.

By: BenDover on 12/12/11 at 8:47

Make that leftist congress in '06 and the commie president in '08... thank you.

By: dargent7 on 12/12/11 at 8:49

All the foreign car manufactures have plants in America. The Camry is built in the largest plant Toyota owns right in Kentucky. VW in Chattanooga is hiring, as is Nissan.
They are "Built in America", by Americans. The engineering comes from Japan, but that's a good thing.
And electronics....all are foreign made. Cheap, realible, too.
Walmart is a distribution center, but employs all Americans.
This is the way of the world. If you want to be a "patriot" stop all these useless wars that do employ Americans but support defense contractors that sell the stuff to Saudi Arabia and Israel.
Ever own a Motorola or Zenith tv in the 60's?
How about an American made washer/ dryer?
Pieces of sh**t.

By: dargent7 on 12/12/11 at 8:50

"commie President in '08"? That would be GW Bush.
Obama wasn't President until Jan. '09.

By: BenDover on 12/12/11 at 8:58

Elected in '08 darge. Obama's been destructive in promise and in practice.

By: yogiman on 12/12/11 at 10:26


As I noted when I come onto this site, I'm no master in passing things along on my computer. I can only read what I read and repeat it.

I just heard a man (Dr. Herbert W. Titus) make a statement about Barack Obama's legal eligibility and with his qualifications and hearing him speak, I would imagine he knows what he is talking about.

I went further into a program and heard a man who happened to be a collection agent with more information that you can imagine on Obama.

Those that have fallen in love with him so much are going to regret it when the truth comes out. I honestly feel sorry for them.

I'll try to figure a way to get that information on to you guys.

But, as I have stated before; it all boils down to congress. The whole damn issue is their fault.

By: Captain Nemo on 12/12/11 at 10:52

Shut up yogi.

By: yogiman on 12/12/11 at 12:16


Try this site: youtube.com/watch?v=WmHmV5scHCQ. If it goes through you might also want to look at a few things after the "talk" with Mr. Titus. One of them is the "collection" agent.

By: Ummm... on 12/12/11 at 12:59

Yogiman seems to be a Hitler apologist and a borderline traitor. (And I don't care what he says, he simply misspelled "course.")

By: yogiman on 12/12/11 at 1:11


It would be great if you knew what you was "saying", Ummm.

By: pswindle on 12/12/11 at 2:49

Yogi is obsessed with President Obama and that has turned him into a sick person.

By: yogiman on 12/12/11 at 3:40

You're correct in stating I am obsessed with Obama, pswindle, but I'm not a sick person on the matter. You, and your fellow Obama lovers are going to prove to be sick people. That will come to the 'front of the page' within the next year. Credit where credit is due, Barack Obama (if that is his name) woke America's citizens up.

If Barry Soetoro was elected to that office legally I would say: "Welcome, Mr. President, I hope you get a lot of good work done in the office." But I cannot say that to a usurper in office. I've apparently learned more about the issue than you and your fellow posters. And the bulk of it comes from common sense which you don't seem to have.

By: Captain Nemo on 12/12/11 at 4:55

Shut up yogi. You are the biggest idiot.

By: spooky24 on 12/15/11 at 12:00

Perhaps, some of you need to be reminded of the biggest problem this country faces and could very well be the beginning of it's downfall. That problem is debt in general and debt to the Chinese government in particular. The taxpayers of America owe the Chinese government 890 billion dollars and the interest on the principal is 23%. Presently their is no hope of ever paying back even a part of this that was mostly loaned to prop up the stimulus program of 2009.
With some simple arithmetic you can soon discover that every single day this country must pay 575 million dollars in interest on that loan. I replete that "Every single day we pay 575million to China for the interest on the money we owe them"
So you can see that their aren't enough 'millionaires and billionaires to tax to even begin to pay this back
This country must stop it's spending habits or someday soon China will take over America when they can no longer afford to pay the daily interest.

That is the problem