A friend of mine came up with a brilliant idea: all political promises have to be backed by the personal financial guarantee of the person making the promise. Why? Because we are all tired of being told that some new law or program will “save money” or “create jobs.”
What started this conversation was a discussion over the proposed new rules by the Department of Labor which would mean that one’s investment advisor/broker could not give advice on retirement accounts unless he or she got additional accreditation. Why is this suddenly being proposed? This is primarily because the Department of Labor wants to control retirement account policies versus the S.E.C., which currently oversees the investment rules and regulations. As part of a power struggle, Labor is trying to claim that somehow this will reduce the user’s fees charged by the brokers. No details are given of course. Just like so many rules and laws that the political leadership in the House and Senate and White House pass or institute.
For instance, remember how Obamacare was going to reduce health costs? Not for many of Americans who have been forced to pay much higher premiums because the insurance industry gets to charge much more for policies under the new legislation than they did before when they had to compete for every person’s health insurance.
Think of Trump as another example. Now, he is the “change” candidate who is promising that he will create jobs and wealth for all Americans – although not ones who are born on American soil of non-American parents. No details of how he will do this. No recognition that some of his grand schemes will require Congressional approval or the changing of the Constitution.
Here is the idea: If a government agency or Congress or The White House promises financial gain for the American people, the person who makes the promise has to personally guarantee the positive result with his or her own funds! If the Department of Labor gets this proposed new requirement passed, if any American’s fee for financial advice is increased, the Secretary of Labor and the President have to reimburse us from their own pockets. They claim this will save us money so “put up or shut up” as the saying goes.
Trump should do the same. He claims he will bring jobs back and wealth to the U.S. He should put all of his money in a trust that will be used to reimburse all Americans who do not benefit if he becomes President.
A personal guarantee might force politicians and elected officials to stop their unsubstantiated promises and to be honest with the American people. It will never happen, but it’s a great idea!