The U.S., sadly, has become a nation of dependents, and Obamanomics is accelerating the process. With debt at $17 trillion and rising, more than $50 trillion in unfunded liabilities, and fewer workers to pay for it all we will soon be bankrupt.
A nation of welfare dependents who won’t or can’t work or pay taxes cannot prosper. Instead, it becomes stagnant and unproductive. We’re well on our way.
Lew told CNN\’s \”State of the Union\” show last Sunday \”there is no option preventing us from being in default if we don\’t have the cash to pay our bills.\”
No option? In reality, we have more than enough cash to pay our debts. Revenues flowing into federal coffers exceed our debt payments by nearly 12-to-1.
Sure, if we breached the debt ceiling, we would have to cut federal spending elsewhere and shut down some unnecessary functions of government — a kind of Super Sequester. But our debts would be paid.
Mark Steyn’s article does attract great commentary.
The tax code will never be truly revised because it isn’t about generating revenue. The tax code is all about power. The power of the purse and the power of favors. Try to get rid of it and make it revenue neutral, people will scream. Try to simplify it and show how more money will be generated and people will scream it’s regressive. Try to make it fair (meaning everybody pays their fair share) and people will howl. It doesn’t matter is you could show that a flat 5% on all wage earners would generate more money, it would be squelched as unfair to the poor. It wouldn’t matter if you suggested a flat 5% sales tax on everything but food and lodging, they would scream about it’s harming someone. Car companies would lobby against (increases the car price by 5%), realtors would lobby against (we must have that interest deduction), GE would be screaming and the CPA lobby would justifiably revolt.
Think about it, every savings account a 401K, more money in your paycheck and, a tax plan that rewards saving and restraint. Impossible!
They want the power and they won’t yield it to us under any circumstances.
Another perspective on the nation’s debt and the ultimate consequences of mindless borrowing. The media will focus on gay marriage and gun control, but it won’t focus on the debt problem that will eventually bury all of us. Keep voting for Democrats and hope that money really does grow on trees!
Can it really be that bad? There is no fiscal discipline in government and the lack of restraint grows over time. The media doesn’t address it, politicians ignore it, and the dollar is going to be victim once the dust finally settles. The video espouses keen prescience as to what is going to happen and narrates the story well, but produces a vacuous video with no visual continuity, no charts and data, and no convincing conclusion. It just sounds scary because there is a lot of truth to certain points that are made throughout the video. The dollar is going to suffer given the current monetary policies of the U.S. government. Economic laws, like gravity, will win out in the end. Hyperinflation and other troublesome phenomena will occur just like in Argentina, Mexico, and other third world countries. It’s inevitable. I’m not so sure about the conspiracy regarding the “One World Government” since who really thinks this world can exist with one government. We have 50 states and those governments don’t really see eye to eye. Now factor in the rest of the world.
Nothing good is going to come out of this administration and this country will suffer the consequences for years to come. The unknown turns out to be a frightening dark place, but time will tell. If it gets really bad here, it’s going to be even worse elsewhere.
Municipal debt market analysts are keeping a close eye on the finances of local governments in California out of concern that some could use fiscal emergency declarations as a way to speed Chapter 9 filings to attempt to shed financial obligations.
They used tax money to buy votes, they held their political post, and now they have spent everything and then some. What’s the answer? More taxes! Blame Bush! More government!
There is nothing like a politician who lives in an alternate universe where consequences don’t exist. Barry makes sure that the sequester will be as painful as possible, yet he’s not going to participate in the “painful” cutbacks. He makes expensive trips using money this nation has to borrow:
President Obama is coming to Colorado to highlight the state’s gun control push as he tries to convince Congress to tackle the issue.
Obama is scheduled to come Tuesday. The White House says the president will meet with law enforcement and community leaders to discuss the gun control package signed into law by Gov. John Hickenlooper.
Protein Wisdom has a nice way of juxtaposing the economic choices. Flying this useless man to read a teleprompter is very expensive. Throughout this nation, bankruptcy is the status of many government entities from the municipal level, through the state, and right up to the federal level. If I ran my home economy like the government runs its affairs, I’d lose my home and everything else. The day of reckoning is coming, it is only a matter time. Money just doesn’t grow on trees. That’s hope and change for nation of idiots.
Illinois’ credit rating has taken another hit. Standard & Poor’s Ratings Service downgraded the state from an “A” rating to “A-minus”, making it the worst in the country.
The New York ratings firm’s ranking means taxpayers may have to pay tens of millions of dollars more in interest when the state borrows money for roads and other projects.
The downgrade is the latest fallout over the $96.8 billion debt to five state pension systems.
The downgrade now ties Illinois with California, but California has a positive outlook.
Illinois’ fragile overall financial status netted it a negative outlook, putting it behind California overall.
The ratings came out now because Illinois plans to issue $500 million in bonds within days.
The IRS has paid out as much as $5.2 billion in fraudulent tax refunds to immigrants, and ignored employees who tried to warn agency higher-ups of its mistakes, according to a new audit released Wednesday by the agency’s inspector general.The Treasury Inspector General for Tax Administration said identity theft fraud could cost the government $21 billion over the next five years unless the IRS takes steps to crack down on the bogus use of Individual Taxpayer Identification Numbers ITINs which are issued to immigrants — legal and illegal — in lieu of Social Security numbers, so they can pay taxes.
Food stamps and Medicaid make up a large–and growing–chunk of the more than 100 million recipients. “Among the major means tested welfare programs, since 2000 Medicaid has increased from 34 million people to 54 million in 2011 and the Supplemental Nutrition Assistance Program (SNAP, or food stamps) from 17 million to 45 million in 2011,” says the Senate Budget Committee. “Spending on food stamps alone is projected to reach $800 billion over the next decade.”
The data come “from the U.S. Census’s Survey of Income and Program Participation shows that nearly 110,000 million individuals received a welfare benefit in 2011. (These figures do not include other means-tested benefits such as the Earned Income Tax Credit or the health insurance premium subsidies included in the President’s health care law. CBO estimates that the premium subsidies, scheduled to begin in 2014, will cover at least 25 million individuals by the end of the decade.)”
This is not just Americans, however. “These figures include not only citizens, but non-citizens as well,” according to the committee.
The compassionate liberals are always generous with other people’s money. The problem with welfare recipients centers on their right to vote. Politicians will pander to them to stay in power. The results are what one would logically expect: More “free” money for the layabouts. We’re on same trajectory that led to Greece’s fall. A previous post regarding failed policies sums up the future which is already now in California. The world of the Road Warrior is coming.