Showing posts with label demagoguery. Show all posts
Showing posts with label demagoguery. Show all posts

Saturday, August 6, 2011

Senator John Kerry Lobs Grenade at First Amendment in Ongoing War on Prosperity

On MSNBC yesterday, Senator John Kerry took aim at the First Amendment of the Constitution when he suggested that the media should censor the Republican Party and their members of the Tea Party.

“And I have to tell you, I say this to you politely. The media in America has a bigger responsibility than it’s exercising today. The media has got to begin to not give equal time or equal balance to an absolutely absurd notion just because somebody asserts it or simply because somebody says something which everybody knows is not factual.

“It doesn’t deserve the same credit as a legitimate idea about what you do. And the problem is everything is put into this tit-for-tat equal battle and America is losing any sense of what’s real, of who’s accountable, of who is not accountable, of who’s real, who isn’t, who’s serious, who isn’t?”

The problem for Mr. Kerry is that the public does know who is serious about debt reduction and who isn't.

In light of the fact that Standard & Poor's rating agency lowered America's credit rating from AAA to AA+ citing in part;

The downgrade reflects our opinion that the fiscal consolidation plan that Congress and the Administration recently agreed to falls short of what, in our view, would be necessary to stabilize the government's medium-term debt dynamics.”

The outlook on the long-term rating is negative. We could lower the long-term rating to 'AA' within the next two years if we see that less reduction in spending than agreed to, higher interest rates, or new fiscal pressures during the period result in a higher general government debt trajectory than we currently assume in our base case.”

It would seem that the Tea Party representatives were the ones making the logical case for a Balanced Budget Amendment, cutting spending in a real way and insuring those cuts take place by capping spending. It would seem in light of the results here that Mr. Kerry's party are the ones who are not living in the real world.

As the War on Prosperity being waged by the Democratic party becomes more and more vociferous, the American public is becoming increasingly aware of what is actually going on. The fact is that this country's economic problems, brought on by the Obama Administration's policies of attacking Prosperity, are becoming almost impossible to ignore. This has forced the generals on the Democratic side to try to reinforce their battalions in the Media by taking aim at freedom of speech.

The First Amendment of the Constitution states: “Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech, or of the press; or the right of the people peaceably to assemble, and to petition the Government for a redress of grievances.”

For a United States Senator to urge the press not to report a view held by a majority of the American public in blatant violation of the Constitution only shows that the opposition to the War on Prosperity is growing.

The public is aware that we have a real problem with government spending and regulation in this nation. Our national debt has now reached 100% of gross domestic product with this latest round of new borrowing. Americans realize that Spain's debt problems, which contributed to Thursday's stock market crash, are the result of Spain's debt ratio of 120% of that country's GDP. We are rapidly approaching an equal ratio of debt to GDP, and while those waging the war would like to have that much more of our children's money to spend in the US, the public knows it is unsustainable. The media knows it is unsustainable, and to continue to support the policies which exacerbate it is becoming ludicrous if not just plain silly.

Tuesday, July 26, 2011

Where Does the Buck Stop?

Last night we heard the President of the United States once again take to the microphone and lecture us about the debt crisis. While I listened very carefully to what he said, I was saddened. It was little different from many speeches he has given recently with no plan, no new information, and very little truth.

There was a time in America when we were proud of the leader of our country. There was a time when, rightly or wrongly, we trusted what he said. There was a time when we could tell our children to be inspired by his words, to look up to him and aspire to the quality of his character.

It is no longer that time. Our country has a serious problem. We are spending our children into indentured servitude, slavery as it were. We are digging for them a hole from which they will find it impossible to extract themselves. Everyone knows this, it is self-evident.

A man with integrity, with strength of character, a man of leadership, would take bold action. He would acknowledge the elephant in the room and recognize that when one finds one's self at the bottom of a deep hole, the wise course is to stop digging.

What did we hear from our President last night? First of all, blame Bush. Nothing new here. Second, scare people. He once again threatened senior citizens by offering to withhold their Social Security checks. The problem is that threat is an outright lie, and designed only to maintain a hold on his power, and to urge us to let him make the hole deeper with a backhoe, rather than a shovel. How am I to teach my daughter the value of honesty when the President of the United States knows very well that he cannot stop the Social Security payments, even if he wanted to. There are 2.6 trillion dollars of treasury notes in the Social Security trust fund. Those treasury notes are already there, and are not affected by the debt ceiling. Mr. Obama knows that they can be negotiated in order to pay our seniors, and that the law requires him to do so.

He threatens default on our debt, when he also knows full well that there is more than enough money coming into the treasury on a monthly basis to service our debt, pay our soldiers, and cover our most pressing obligations.

There is no integrity in this man. He is concerned with his own political future, period. How can I point to the Office of the President of The United States, and tell my daughter how great this country is? How can I talk about the principals which made America the most desirable place in the world to live, when we have such a blatant ego-maniacal liar for our leader?

He has offered no plan. He has obstructed every sensible plan offered. He has stood squarely in front of every effort of business to grow our economy, from denying permits for oil and coal exploration, to blocking manufacturing plant expansion, to taxing tanning salons out of business.

So we should hand him a larger shovel, a mechanized shovel with which to bury us and our posterity? Should we allow this man to heap further debt upon the heads of our children while continuing to limit their opportunities for the future? Should we sell our children into never ending servitude to a government whose leader cannot muster up the intellectual honesty to admit he might be wrong about anything?

I say NO! I say not while I still have the ability to speak for the lovely young woman who is my daughter! This is my country. I earned the money the federal leviathan extracts from my pocket every two weeks. It is NOT your money Mr. President. I do NOT agree to make the payments on the debt you wish to incur on behalf of my daughter and me. Many brave souls gave their lives to extract themselves and their descendants from the yoke of Tyranny and if it becomes necessary, many more will. If the buck will not stop with you Mr. President, then I say the buck stops here, with me and mine!

Wednesday, July 20, 2011

President & US Senate Support Slavery of our Children!


That may sound like a provocative headline, and it is, but it is also the truth! Our current debt is $14.519 Trillion. That means my 12 year old daughter's share of that is currently $46,564.00. Add in the current unfunded liabilities of $114,751,918,000,000.00 and her share of the national debt plus unfunded liabilities for Social Security, Medicaid and Medicare is $414,583.72 or $1862.00 per month every month for THIRTY years. On top of that the US Senate and President Obama want to add an additional 2.4 Trillion dollars which, under the McConnell plan, have no spending cuts associated with it, and under the Gang (appropriate name for what they are trying to do) of Six plan nobody knows.

Assuming we stopped borrowing right now, and my daughter could get a job right out of high school making $40,000.00 per year, she would already owe her entire take home salary to the government. She did not vote for these debts. She did nothing to create them, yet there she is at twelve years old owing the Slave Owners in Washington nearly a half-million dollars. You owe that much too!

We are all rapidly becoming enduntured servants of the leviathan we call our government. It has long ago ceased to be a governemnt of the people, for the people and by the people. It has become instead a government of the career politician, for the career politician and his friends, and by the lobbyist and government dole recipient. Unfortunately soon there will be no producers left to feed the insatiable appetite of the gluttonous belly of the political beast in Washington DC.

So yes, the President and the US Senate, by refusing to support the cut, cap and balance plan which passed the House of Representatives last night, and offers a real chance to start to get a handle on our spending problem, are de-facto showing themselves to be in favor of enslaving our children and grandchildren now and long into the future.

It is time to stop the practice of making slaves out of ourselves and our children. It is time to stop NOW. We are the governors of this country, not the lazy, cowardly career politicians in DC. Let them know. Let them know that if they do not free your children from the yoke of bondage now, they will be sent home to labor under that very same yoke themselves. It is YOUR country, YOU can make a difference. You have until Saturday, and then it too late.

Tuesday, July 19, 2011

Stop the Senate from Handing a Blank Check to Obama!

Well, folks, I am sorry to report that the fix is in. The Senate, in back room dealing, appears to be prepared to hand President Obama a blank check to spend our children's as of yet unearned money any way he pleases, to the tune of an additional 2.5 TRILLION dollars.

I listened to John McCain yesterday on the Sean Hannity show, and he all but said as much! Mr. Hannity was asking repeatedly about cut, cap and balance, and McCain said he was going to fight for it, but then consistently argued for the McConnell plan. He barley gave lip service to cut, cap and balance, and got angry when Hannity pressed him about the McConnell plan. McCain said it was a last resort, but then continued over and over again to argue it's merits. Heaven help us!

In making my calls to Senate offices yesterday afternoon, my impression did not change. Republican staffers with whom I spoke, seemed to be hedging when I brought up the McConnell plan and my opposition to it. The Democrats staffers just gave me the “yeah, yeah I'll pass your message on” routine.

McCain told Hannity that his office had been flooded with calls from seniors who were frightened by the Obamascare campaign. The fact that the Administration could not stop social security checks from going out, even if they wanted to, because of the way the Social Security Administration's computers are programed, didn't get in McCain's way. Our only course has to be action!

If these Senators' offices are overwhelmed with calls from concerned citizens like you and me, we might have a slim chance of beginning to free our children from the slavery and tyranny being foisted upon them by our so-called representatives.

Given the fact that ICE is busily shutting down blogs and seizing domain names, I don't know how long we will have the opportunity to speak in opposition to this Administration's ongoing power grab and usurpation of the rights with which we were endowed by our creator!

I urge anyone who is interested in freedom, in life, liberty, and the pursuit of happiness to call as many Senators as possible and voice strong opposition to Senator McConnell's plan to hand over a blank check to the President, so he can spend as many of our children's hard earned dollars as he chooses! Do it today! Do it now! Time is running out for our beloved nation!


Akaka, Daniel K. - (D - HI)
(202) 224-6361
Web Form: akaka.senate.gov/email-senator-akaka.cfm

Alexander, Lamar - (R - TN)
(202) 224-4944
Web Form: alexander.senate.gov/public/index.cfm?p=Email

Ayotte, Kelly - (R - NH)
(202) 224-3324
Web Form: ayotte.senate.gov/?p=contact

Barrasso, John - (R - WY)
(202) 224-6441
Web Form: barrasso.senate.gov/public/index.cfm?FuseAction=ContactUs...

Baucus, Max - (D - MT)
(202) 224-2651
Web Form: baucus.senate.gov/contact/emailForm.cfm?subj=issue

Begich, Mark - (D - AK)
(202) 224-3004
Web Form: begich.senate.gov/public/index.cfm?p=EmailSenator

Bennet, Michael F. - (D - CO)
(202) 224-5852
Web Form: bennet.senate.gov/contact/

Bingaman, Jeff - (D - NM)
(202) 224-5521
Web Form: bingaman.senate.gov/contact/

Blumenthal, Richard - (D - CT)
(202) 224-2823
Web Form: blumenthal.senate.gov/contact/

Blunt, Roy - (R - MO)
(202) 224-5721
Web Form: blunt.senate.gov/public/index.cfm/contact

Boozman, John - (R - AR)
(202) 224-4843
Web Form: boozman.senate.gov/public/index.cfm/e-mail-me

Boxer, Barbara - (D - CA)
(202) 224-3553
Web Form: boxer.senate.gov/en/contact/

Brown, Scott P. - (R - MA)
(202) 224-4543
Web Form: scottbrown.senate.gov/public/index.cfm/emailscottbrown

Brown, Sherrod - (D - OH)
(202) 224-2315
Web Form: brown.senate.gov/contact/

Burr, Richard - (R - NC)
(202) 224-3154
Web Form: burr.senate.gov/public/index.cfm?FuseAction=Contact.Conta...

Cantwell, Maria - (D - WA)
(202) 224-3441
Web Form: cantwell.senate.gov/contact/

Cardin, Benjamin L. - (D - MD)
(202) 224-4524
Web Form: cardin.senate.gov/contact/

Carper, Thomas R. - (D - DE)
(202) 224-2441
Web Form: carper.senate.gov/contact/

Casey, Robert P., Jr. - (D - PA)
(202) 224-6324
Web Form: casey.senate.gov/contact/

Chambliss, Saxby - (R - GA)
(202) 224-3521
Web Form: chambliss.senate.gov/public/index.cfm?p=Email

Coats, Daniel - (R - IN)
(202) 224-5623
Web Form: coats.senate.gov/contact/

Coburn, Tom - (R - OK)
(202) 224-5754
Web Form: coburn.senate.gov/public/index.cfm/contactsenatorcoburn?p...

Cochran, Thad - (R - MS)
(202) 224-5054
Web Form: cochran.senate.gov/email.html

Collins, Susan M. - (R - ME)
(202) 224-2523
Web Form: collins.senate.gov/public/continue.cfm?FuseAction=Contact...

Conrad, Kent - (D - ND)
(202) 224-2043
Web Form: conrad.senate.gov/contact/webform.cfm

Coons, Christopher A. - (D - DE)
(202) 224-5042
Web Form: coons.senate.gov/contact/

Corker, Bob - (R - TN)
(202) 224-3344
Web Form: corker.senate.gov/public/index.cfm?p=ContactMe

Cornyn, John - (R - TX)
(202) 224-2934
Web Form: cornyn.senate.gov/public/index.cfm?p=ContactForm

Crapo, Mike - (R - ID)
(202) 224-6142
Web Form: crapo.senate.gov/contact/email.cfm

DeMint, Jim - (R - SC)
(202) 224-6121
Web Form: demint.senate.gov/public/index.cfm?p=ContactInformation

Durbin, Richard J. - (D - IL)
(202) 224-2152
Web Form: durbin.senate.gov/public/index.cfm/contact

Enzi, Michael B. - (R - WY)
(202) 224-3424
Web Form: enzi.senate.gov/public/index.cfm/contact?p=e-mail-senator...

Feinstein, Dianne - (D - CA)
(202) 224-3841
Web Form: feinstein.senate.gov/public/index.cfm?FuseAction=ContactU...

Franken, Al - (D - MN)
(202) 224-5641
Web Form: franken.senate.gov/?p=contact

Gillibrand, Kirsten E. - (D - NY)
(202) 224-4451
Web Form: gillibrand.senate.gov/contact/

Graham, Lindsey - (R - SC)
(202) 224-5972
Web Form: lgraham.senate.gov/public/index.cfm?FuseAction=Contact.Em...

Grassley, Chuck - (R - IA)
(202) 224-3744
Web Form: grassley.senate.gov/contact.cfm

Hagan, Kay R. - (D - NC)
(202) 224-6342
Web Form: hagan.senate.gov/?p=contact

Harkin, Tom - (D - IA)
(202) 224-3254
Web Form: harkin.senate.gov/contact.cfm

Hatch, Orrin G. - (R - UT)
(202) 224-5251
Web Form: hatch.senate.gov/public/index.cfm/contact?p=Email-Orrin

Heller, Dean - (R - NV)
(202) 224-6244
Web Form: heller.senate.gov/contact_form.cfm

Hoeven, John - (R - ND)
(202) 224-2551
Web Form: hoeven.senate.gov/public/index.cfm/email-the-senator

Hutchison, Kay Bailey - (R - TX)
(202) 224-5922
Web Form: hutchison.senate.gov/?p=email_kay

Inhofe, James M. - (R - OK)
(202) 224-4721
Web Form: inhofe.senate.gov/public/index.cfm?FuseAction=Contact.Con...

Inouye, Daniel K. - (D - HI)
(202) 224-3934
Web Form: inouye.senate.gov/Contact/ContactDKI.cfm

Isakson, Johnny - (R - GA)
(202) 224-3643
Web Form: isakson.senate.gov/contact.cfm

Johanns, Mike - (R - NE)
(202) 224-4224
Web Form: johanns.senate.gov/public/?p=ContactSenatorJohanns

Johnson, Ron - (R - WI)
(202) 224-5323
Web Form: ronjohnson.senate.gov/public/index.cfm/contact

Johnson, Tim - (D - SD)
(202) 224-5842
Web Form: johnson.senate.gov/public/index.cfm?p=Contact

Kerry, John F. - (D - MA)
(202) 224-2742
Web Form: kerry.senate.gov/contact/

Kirk, Mark - (R - IL)
(202) 224-2854
Web Form: kirk.senate.gov/?p=contact

Klobuchar, Amy - (D - MN)
(202) 224-3244
Web Form: klobuchar.senate.gov/emailamy.cfm

Kohl, Herb - (D - WI)
(202) 224-5653
Web Form: kohl.senate.gov/contact.cfm

Kyl, Jon - (R - AZ)
(202) 224-4521
Web Form: kyl.senate.gov/contact.cfm

Landrieu, Mary L. - (D - LA)
(202) 224-5824
Web Form: landrieu.senate.gov/about/contact.cfm

Lautenberg, Frank R. - (D - NJ)
(202) 224-3224
Web Form: lautenberg.senate.gov/contact/routing.cfm

Leahy, Patrick J. - (D - VT)
(202) 224-4242
Web Form: leahy.senate.gov/contact/

Lee, Mike - (R - UT)
(202) 224-5444
Web Form: lee.senate.gov/public/index.cfm/contact

Levin, Carl - (D - MI)
(202) 224-6221
Web Form: levin.senate.gov/contact/

Lieberman, Joseph I. - (ID - CT)
(202) 224-4041
Web Form: lieberman.senate.gov/index.cfm/contact/email-me-about-an-...

Lugar, Richard G. - (R - IN)
(202) 224-4814
Web Form: lugar.senate.gov/contact/

Manchin, Joe, III - (D - WV)
303 HART SENATE OFFICE BUILDING WASHINGTON DC 20510
(202) 224-3954
Web Form: manchin.senate.gov/contact_form.cfm

McCain, John - (R - AZ)
(202) 224-2235
Web Form: mccain.senate.gov/public/index.cfm?FuseAction=Contact.Con...

McCaskill, Claire - (D - MO)
(202) 224-6154
Web Form: mccaskill.senate.gov/?p=contact

McConnell, Mitch - (R - KY)
(202) 224-2541
Web Form: www.mcconnell.senate.gov/public/index.cfm?p=contact

Menendez, Robert - (D - NJ)
(202) 224-4744
Web Form: menendez.senate.gov/contact/

Merkley, Jeff - (D - OR)
(202) 224-3753
Web Form: merkley.senate.gov/contact/

Mikulski, Barbara A. - (D - MD)
(202) 224-4654
Web Form: mikulski.senate.gov/contact/

Moran, Jerry - (R - KS)
(202) 224-6521
Web Form: moran.senate.gov/public/index.cfm?p=e-mail-jerry
Murkowski, Lisa - (R - AK)
(202) 224-6665
Web Form: murkowski.senate.gov/public/index.cfm?p=Contact

Murray, Patty - (D - WA)
(202) 224-2621
Web Form: murray.senate.gov/email/index.cfm

Nelson, Ben - (D - NE)
(202) 224-6551
Web Form: bennelson.senate.gov/contact-me.cfm

Nelson, Bill - (D - FL)
(202) 224-5274
Web Form: billnelson.senate.gov/contact/index.cfm

Paul, Rand - (R - KY)
(202) 224-4343
Web Form: paul.senate.gov/?p=contact

Portman, Rob - (R - OH)
(202) 224-3353
Web Form: portman.senate.gov/contact_form.cfm

Pryor, Mark L. - (D - AR)
(202) 224-2353
Web Form: pryor.senate.gov/public/index.cfm?p=ContactMe

Reed, Jack - (D - RI)
(202) 224-4642
Web Form: reed.senate.gov/contact/contact-share.cfm

Reid, Harry - (D - NV)
(202) 224-3542
Web Form: reid.senate.gov/contact/index.cfm

Risch, James E. - (R - ID)
(202) 224-2752
Web Form: risch.senate.gov/public/index.cfm?p=Email

Roberts, Pat - (R - KS)
(202) 224-4774
Web Form: www.roberts.senate.gov/public/index.cfm?p=EmailPat

Rockefeller, John D., IV - (D - WV)
(202) 224-6472
Web Form: rockefeller.senate.gov/contact/email.cfm

Rubio, Marco - (R - FL)
(202) 224-3041
Web Form: rubio.senate.gov/public/index.cfm/contact

Sanders, Bernard - (I - VT)
(202) 224-5141
Web Form: sanders.senate.gov/contact/

Schumer, Charles E. - (D - NY)
(202) 224-6542
Web Form: schumer.senate.gov/Contact/contact_chuck.cfm

Sessions, Jeff - (R - AL)
(202) 224-4124
Web Form: sessions.senate.gov/public/index.cfm?FuseAction=Constitue...

Shaheen, Jeanne - (D - NH)
(202) 224-2841
Web Form: shaheen.senate.gov/contact/

Shelby, Richard C. - (R - AL)
(202) 224-5744
Web Form: shelby.senate.gov/public/index.cfm/emailsenatorshelby

Snowe, Olympia J. - (R - ME)
(202) 224-5344
Web Form: snowe.senate.gov/public/index.cfm/contact?p=email

Stabenow, Debbie - (D - MI)
(202) 224-4822
Web Form: stabenow.senate.gov/?p=contact

Tester, Jon - (D - MT)
(202) 224-2644
Web Form: tester.senate.gov/Contact/index.cfm

Thune, John - (R - SD)
(202) 224-2321
Web Form: thune.senate.gov/public/index.cfm/contact

Toomey, Patrick J. - (R - PA)
(202) 224-4254
Web Form: toomey.senate.gov/?p=contact

Udall, Mark - (D - CO)
(202) 224-5941
Web Form: markudall.senate.gov/?p=contact

Udall, Tom - (D - NM)
(202) 224-6621
Web Form: tomudall.senate.gov/?p=contact

Vitter, David - (R - LA)
(202) 224-4623
Web Form: vitter.senate.gov/public/index.cfm?FuseAction=Contact.Con...

Warner, Mark R. - (D - VA)
(202) 224-2023
Web Form: warner.senate.gov/public/index.cfm?p=Contact

Webb, Jim - (D - VA)
(202) 224-4024
Web Form: webb.senate.gov/contact.cfm

Whitehouse, Sheldon - (D - RI)
(202) 224-2921
Web Form: whitehouse.senate.gov/contact/

Wicker, Roger F. - (R - MS)
(202) 224-6253
Web Form: wicker.senate.gov/public/index.cfm?FuseAction=Contact.EMa...

Wyden, Ron - (D - OR)
(202) 224-5244
Web Form: wyden.senate.gov/contact/

Thursday, July 14, 2011

Fixing the Deficit All by Myself

In the current debt ceiling and deficit talks, one of the major things missing is talk about growth. If Mr. Obama is so intent on raising revenue, he could do it all by himself. Taxing oil companies seems to be high on his priority list. All he has to do to generate more revenue from both oil and coal producers is to let them produce!

According to Fineberg Research in 2006, the Federal Government collects about $0.47 for every barrel of oil produced in the US. With approximately two trillion barrels of oil proven, but untapped oil, that represents almost a trillion dollars of untapped revenue. The oil isn't being produced due largely to regulation from the EPA and the Obama administration. In addition to the direct revenue from the “evil” oil companies, this untapped reserve also represents thousands and thousands of jobs. These jobs are not just directly in the oil fields, but would be created by supporting the new oil field hires. They all would have more money to spend on consumer items, a boon for the local economies where the oil is located, and a boon for the unemployment rate.

I'm going to lose points with this one, I know, but here goes. The National Marijuana market is estimated to be about 100 Billion dollars per year. It is rather silly to argue about the health risks of Marijuana, when alcohol is perfectly legal and is the third leading cause of lifestyle related deaths behind tobacco and obesity. The revenue derived from legalizing it would be significant, not enough to solve the deficit problem, but again it would create thousands of jobs, and people who work pay taxes. Farmers, farm machinery manufacturers, and merchants would all benefit from its legalization.

Get the NLRB and other regulators to back off. Boeing is trying to create thousands of high-paying jobs in manufacturing, but Obama's NLRB is stopping them. This is a real shame, especially since aircraft are one of our major exports.

Repeal Obamacare and save $1.2 trillion instantly! In addition to the instant savings, this one measure alone would release trillions of dollars in pent up capital. Business would feel more confident about expanding their operations, and entrepreneurs would feel more confident about going into business. The tanning tax alone has already cost 24,000 jobs and closed 3100 small businesses.

Growing GDP by just 5% per year would add $100 billion to the revenue stream, and an unemployment rate of 6% would more than double that!

Yes, Medicare, Medicaid and Social Security need to be addressed, soon, and with common sense. But there are solutions to our deficit problems which should be implemented with all due haste, and none of them have to do with changing the depreciation rate on private jets!

Monday, July 11, 2011

Dirty Little Secret About the Budget

The US Government cannot pay it's bills. The credit card is maxed out. The Administration, Wall Street, and many of the Democrats in the House and Senate are begging for a credit limit increase on our collective Visa card known as the debt ceiling.
The Republican party, particularly the Tea Party wing, are insisting on very real budget cuts without tax increases, before they will consider any debt limit increase. In addition, they are demanding an amendment to the Constitution that requires a balanced budget. Why this insistence on cuts and other measures to be sure of lower spending prior to allowing the government to borrow more money? Because the one thing Congress, and especially this Administration, never does is spend less money. The Democrats are telling everyone that the must have tax increases on the “Rich” in addition to spending cuts to begin to bring our budget into balance. The “millionaires and billionaires” must pay their fair share and share some sacrifice they tell us. There are several problems with this statement, however. First of all, they are not really talking about millionaires and billionaires. There isn't enough money there. What they are talking about is wage earners who make over $200,000 per year filing separately, or $250,000 if filing jointly. According to the IRS, in 2008 3.4 million taxpayers reported adjusted gross incomes between $200,000.00 and $500,000.00.

According to the IRS, in 1992, the top 20% of wage earners paid 65% of the income tax. In 2001, when the top rate was 39.5% the top 10% of wage earners paid 64% of the income tax, and in 2008 when the top rate was 35%, the top 10% of wage earners paid 70% of the tax. The threshold for this 10% is an adjusted gross income of $113,799.00 per year. That is not what I would call excessively rich. The interesting thing about this is that the bottom 50% pay 3% of the tax, meaning that the other 40% of taxpayers with adjusted gross income between $33,048.00 and $113,798.00 pay 27% of the total income tax collected by the IRS. The percentage of tax paid by the bottom 50% has been steadily DECREASING since 2001. Federal Revenues have fluctuated from 2.0 trillion to 2.56 trillion in the years 2005 through 2010, peaking at 2.56 trillion in 2007, and dropping to 2.16 trillion in 2010. Spending, however, has steadily increased from 2.4 trillion per year in 2005 to 3.8 trillion per year estimated in 2011. The question we REALLY need to be asking, is where has that extra TRILLION dollars per year since 2008 gone?


The dirty little secret is this, in 2008 we were told that we had to pass a temporary stimulus package of nearly a trillion dollars to keep the unemployment rate below 8%. The money, we were told, would be spent on “shovel ready” projects which would put people back to work. Since then the unemployment rate peaked at over 10%, dropped down to 8.9% and has now risen back to 9.2%. Real economic growth has stagnated at a meager 1.8%, and our national debt has grown to nearly 15 trillion dollars, or 102% of GDP.

The secret is that this stimulus money isn't temporary. While the democrats claim that they can't cut the budget without throwing grandma out into the street, or starving children with autism or some such other gut wrenching evil, the fact is that 861 billion dollars is simply an increase in spending in several programs over the 2007 levels. (data obtained from the Government Printing Office). The level of spending was too high then. Granted some of the increase is in Medicare, Medicaid, Social Security and Unemployment benefits, and those programs must be addressed, but I don't recall too many stories in the national press about folks starving in the streets in 2007. Government spending equals power in Washington DC, and those folks are loath to give up any power, so the spending, and the borrowing from our children and grandchildren continues unabated.

Tuesday, July 5, 2011

Serious Blog Alert! Our Government's Purse is Full Enough!

Our government does not tax too little, it spends too much.

In response to a “call congress” campaign to voice objection to a debt limit increase without a balanced budget amendment, real significant cuts in spending, and no tax increases, I received several standard “tax the evil rich” responses. In one response, a friend of mine stated that per capita GDP has increased throughout the economic meltdown. While it is true that GDP increased in 2007 and 2008, all be it at a very slow pace, GDP actually dropped in 2009 according to the Bureau of Economic Analysis. That being said, this “tax the rich” philosophy beg the questions how much is enough, and who is it that you consider rich? Leaving aside the fact that if you confiscated the ENTIRE wealth of the fifty richest people in the US (many of whom are democrats by the way i.e. Gates, Buffett, Ellison, Bloomberg, Page, Brin, Soros, Perelman, etc.), you get about 650 billion dollars (figures from Forbes Magazine). That is not even enough to make up half the deficit in this year's budget.

The current top rate for wage earners is 35% which cuts in at $379,150.00 of taxable income. My dear friend states that this is the lowest rates have been since shortly after the great depression. The fact is, however, that in 1992, the top rate was 31%. Be that as it may, let's explore this idea of taxing the rich some more. In 1992, the top 20% of wage earners paid 65% of the income tax. In 2001, when the top rate was 39.5% the top 10% of wage earners paid 64% of the income tax, and in 2008 when the top rate was 35%, the top 10% of wage earners paid 70% of the tax. The threshold for this 10% is an adjusted gross income of $113,799.00 per year. That is not what I would call excessively rich. The interesting thing about this is that the bottom 50% pays 3% of the tax, meaning that the other 40% of taxpayers with adjusted gross income between $33,048.00 and $113,798.00 pay 27% of the total income tax collected by the IRS. The percentage of tax paid by the bottom 50% has been steadily DECREASING since 2001. Federal Revenues have fluctuated from 2.0 trillion to 2.56 trillion from 2005 through 2010, peaking at 2.56 trillion in 2007, and dropping to 2.16 trillion in 2010. Spending, however, has steadily increased from 2.4 trillion/year in 2005 to 3.8 trillion/year estimated in 2011. The question we REALLY need to be asking, is where has that extra TRILLION dollars per year since 2008 gone? In 2009, 2010, and projected for 2011, we have spent an EXTRA trillion dollars more per year that we did in all the years gone before. Even under George Bush, who spent money like a drunken sailor, mostly on war toys, we weren't spending at anywhere close to the rate we are now. Were children starving in 2008? Were old people going without food, clothing and housing in 2008? I don't remember that. I don't remember autistic children starving in the street in 2008, do you?

So where did the money go? 28 billion dollars of it went to GE for high speed rail no one will ride. 0.5 billion for cash for clunkers, 10.6 billion for first time home buyers, 9.2 billion for child tax credits (one reason the bottom 50% pay a smaller share of the tax), 186 billion for grants to states to fund pensions, Medicaid and unemployment, 82 billion to the Department of Education and National Science Foundation (shrimp on treadmills program), 25 Billion to the Department of Energy and the Environmental Protection Agency, the list goes on and on. Of the 2.4 million jobs the administration has claimed to have “saved or created” each job cost $278,000.00 in stimulus money to create or save. That is a fairly expensive way to create and save jobs, which brings me to corporate taxation.

The current corporate tax rate is 35%. When a corporation is creating a budget for coming years, one thing it must take into account is its tax liability. Along with the costs of labor, raw materials, fixed operating costs and the like, they also estimate their tax liability. When a corporation decides how much to charge for its product or service, it must take its tax liability into account. If taxes go up, the price of the good or service goes up accordingly. That means the only thing increasing corporate tax rates, or capital gains rates for that matter, does is pass that tax on to the consumer. When tax rates are unreasonably high in comparison to rates in another state or another country, it provides an incentive for a corporation to move to another state or country. Please take note of the mass exodus of companies from New York, Michigan and California and the gain in Texas. We currently have the second highest corporate tax rate in the world, which explains why GE, our President's favorite corporation, moved much of its operations offshore, and paid NO corporate tax in 2010.

With all that said, it becomes clear that we do not tax too little, we spend too much. The only result we will get from raising top tax rates, is that we will shift an even higher burden on to those carrying 70% of the weight now, and diminish economic activity, pushing corporations overseas, and putting increasing strain on an overwhelmingly thin job market. With 9.1% unemployment, and REAL unemployment (including those who have given up looking) over 15%, the last thing that makes sense from an economic point of view is increase the burden on those who are carrying the bulk of the weight now. Anyone who has a sound background in market economics will say the same thing.

Finally, President Obama attacked private jet owners, saying they should lose the tax break that his administration gave them early in his term. This “break” allows a company to depreciate the cost of an airplane, or improvements to an airplane, over a period of five years instead of seven. For those of you without a background in accounting, depreciation is expensing a purchase over a period of time. If a company leases a car, for example, the monthly lease payment is an expense, and is subtracted from the company's income before tax is calculated on that income. If the company purchased the car instead of leasing it, the price of the car, minus it's expected value after seven years, has to be divided by the number of years (seven in this case) and 1/7th of that value is expensed from each year's income before tax is calculated. The only thing changing the length of depreciation for an airplane does is make the company either less likely to buy or refurbish an airplane, or extend the period of time in between such purchases. The reason the depreciation period was shortened in the first place, was to save airplane manufacturing jobs by encouraging companies to trade their planes in faster. Now we want to slow down the turnover of airplanes and put those jobs in jeopardy?

There is no clearer example of this kind of thinking as when George Herbert Walker Bush went along with the luxury tax in 1990. The reasoning was the same. It went like this; “When people are hurting, and need jobs, why shouldn't the rich pay a little more. They are buying yachts and other luxury items, like diamond rings, and we ought to put an extra tax on those items.” Against his better judgment Bush 41 went along with congress on that one. The actual effect though, as one might guess, is that “rich” people quit buying yachts, or bought them offshore. The net effect was that revenues went down, and 200,000 people who worked in the boat building industry lost their jobs. Ultimately it cost Bush the 1992 election.

If you still think “tax the rich” is a good idea, I would encourage you to read anything by Allan Meltzer, Professor of Economics at CMU, Milton Friedman, Nobel Prize winner in Economic Science and Professor of Economics at the University of Chicago, or Ayn Rand for that matter. Rather than take money from the folks in this country who work hard, create business, and create employment for the rest of us just so we can give it to other folks to see what happens when a shrimp gets some exercise, we ought to stop the excessive spending. We should fix our long term problem of unfunded liabilities for Medicaid, Medicare, and Social Security in a way that protects our seniors, and insures our safety net exists long into the future. That way we can let business get back to work doing what they do best, which is grow our economy!

Monday, June 13, 2011

Democrats - Read at Your Own Risk

I have developed a theory about the difference between Republicans and Democrats. I'm talking about the rank and file now, not necessarily the leadership, but what I have to say applies to them as well. Republicans think logically. Republicans try to use logic in their arguments. Ask a republican a question, and if they don't know the answer, they will go look it up, from more than one source. We rely on history. We generally have long memories. We are good with numbers and science, subjects that can be viewed objectively and quantitatively. In short, Republicans are left brain thinkers. Tell a Republican about a problem you have and he or she will generally try to find some solution to it. It may not be a solution you like, but it will generally be based on experience. Where Republicans often fall short is in our ability to express compassion. We have it, we often just don't express it well.

Democrats are more random and intuitive. They rely on their emotions for decisions and are more subjective. They cannot easily be swayed by rational thought, and are easy targets for emotional appeal and demagoguery. In short, they are right brain thinkers. This theory explains how democrats can believe their politicians when they say one thing this week, and four weeks from now say the exact opposite. The rank and file believe both contradictory statements, because the statements themselves appeal to the emotions rather than the intellect. Republicans miss the boat because we try to express ourselves logically and factually, appealing to the logical intellect, and we forget all about the emotional appeal. This works with the Republican base, but ignores the left completely, and to a lesser extent ignores the middle.

In 1993, in response to Hillary Clinton's health care reform bill, the Health Insurance Association of America released a series of ads featuring “Harry and Louise”. Harry and Louise were a couple who were worried about their health insurance, and what would happen to it under “Hillary Care”. The ads were highly effective and derailed the largest takeover of the US economy until Barrack Obama. Those ads were effective because they not only told the truth, but they did so in such a way as to appeal to the emotions as well as the intellect.

We got blindsided by the Patient Protection and Affordable Care Act. The Act was passed through congress almost before it was printed. No one, not even the democrats themselves knew what it said. Speaker of the House, Nancy Pelosi said, in front of the National Association of Counties “You have to pass the bill so we can find out what is in it”. Even she didn't know what it said. I understand, I've tried to read the thing myself, and found much of it unintelligible. The parts that are understandable, however do contain many alarming provisions. If you try to explain some of the scarier portions to a democrat, they won't believe you. Even if you show them the text, they won't believe you. If you prosiest, they will get frustrated and call you names and accuse you of wanting people to die from lack on medical attention. It is a little like trying to teach a pig to dance. It's frustrating for you and merely annoys the pig!

For example, the law has a provision which allows the Secretary of Health and Human Services to set up prevention services organizations to tell you how to live you life, what to eat, how much sleep to get, with whom you can sleep, etc.. I know, you don't believe me. Well here is the text:

‘‘(D) implement wellness and health promotion activities.

‘‘(b) WELLNESS AND PREVENTION PROGRAMS.—For purposes of subsection (a)(1)(D), wellness and health promotion activities may include personalized wellness and prevention services, which are
coordinated, maintained or delivered by a health care provider, a wellness and prevention plan manager, or a health, wellness or prevention services organization that conducts health risk assessments or offers ongoing face-to-face, telephonic or web-based intervention efforts for each of the program’s participants, and which may include the following wellness and prevention efforts:

‘‘(1) Smoking cessation.

‘‘(2) Weight management.

‘‘(3) Stress management.

‘‘(4) Physical fitness.

‘‘(5) Nutrition.

‘‘(6) Heart disease prevention.

‘‘(7) Healthy lifestyle support.

‘‘(8) Diabetes prevention.

I know, you still don't believe me. Well depending on the interpretation of the word intervention, that is EXACTLY what it means. I know, you still don't believe me. Suppose, though, you saw an ad on television.

(opening scene, outside of a house. We see the back of a strong man and a woman with shoulder length hair. Both are wearing blue jackets, like FBI jackets, but with HHS lettering. They ring the doorbell. After a few seconds, a slightly overweight man answers, smoking a cigarette.)

Man: Can I help you?

HHS Woman: “Mr. Johnson, we are here to conduct a healthy lifestyle assessment”.

Man: “A what?”

HHS Woman: “We are going to evaluate your health and tell you what you need to change to keep your health insurance and avoid paying a fine.”

Man: “What?”

HHS Woman; “Yes Mr. Johnson. As part of your health insurance program, you must allow us to asses your habits, and see where they are unhealthy. We will help you to change them to meet the healthy lifestyle requirements laid out by the government. May we come in?”

Man: “What?”

HHS Woman: “Oh, yes Mr. Johnson, it's all part of making America healthy. I see you smoke. That will have to stop, and you are at least fifty pounds overweight. You will need to start exercising right away, and we will tell you what you can eat from now on.”

(fade to black)

(White letters on black background – The Patient Protection and Affordable Care Act)

Voice Over: “The Patient Protection and Affordable Care Act. Is this REALLY what you want from your health insurance provider, or your government?

Call your congressman today, tell them you will make you own choices about how to live.

(Fade to black)

I know, you STILL don't believe me... but you are thinking about it, aren't you?

Monday, June 6, 2011

Missing the Boat.....Again

The New York 26 District congressional seat was lost by a lack of vision on the part of the Republican Party. Why we continue to let the Democrats eat our lunch with demagoguery full of lies is beyond me. Surely I'm not the smartest guy in the room, but even an Ordinary Joe like me can figure this one out.

Now, I don't mean to insult anyone here, but the country as a whole, has the attention span of a gnat. Everyone knows this. I myself, will flip channels the instant a commercial comes on. I just don't have the patience. So when we see an image of granny being pushed off a cliff in her wheel chair by a Paul Ryan look-alike, of course it is going to sway voters. What do we do? We talk and talk and talk. We say “It's not true”. We say “The Ryan plan does nothing to change Medicare for those 55 and over, and it mumble mumble mumble.......or in Charlie Brownese “hanwha whawawnhanahn wah wan”.

How about this instead. Put your imagination caps on here:

Television Commercial

Opening Scene:

(It is a beautiful spring day, we hear soft upbeat spring-like music in the background. Look-a-likes of Barack Obama, Nancy Pelosi, and Harry Reid, all wearing coke bottle thick glasses are pushing a wagon with Grandma, Grandpa, Mom, Dad, and two children through a meadow. Blindly pushing the wagon forward, it comes to the edge of a cliff and tumbles over. Barack, Nancy and Harry throw their hands up and mouths open in surprise)

Voice over: With no plan to repair Medicare, the Administration and the Democrats in Congress are blindly pushing us all off a cliff.

Background noise: Family screaming as they fall!

Cut to: (We see Paul Ryan, John Boehner, Eric Cantor, Michele Bachmann, and several other prominent Republicans holding a large blanket emblazoned with the words Ryan Plan. One by one they catch the falling family members and safely place them all on the ground)

Voice over: Paul Ryan and the Republicans have shown real leadership with a budget proposal that saves Medicare for all of our seniors, and insures health insurance will be there for everyone when we reach our golden years. Don't let those who have no ideas of their own use lies and distortions to scare you. We have an answer that will preserve what was promised, and protect all of us in the future.

Fade to black

“Elect Jane Corwin and preserve our future.” appears on the black background.

Instead Ms. Corwin tried to run from the Ryan plan and it cost her the election.

Unfortunately the demagoguery from the left side of the aisle works. I would not be so offended if it was at least based loosely on the truth. What is missing on the right side of the aisle is not an understanding of what is needed or what works in terms of policy, but an understanding of how to get the message out. We really do need more catchy phrases, and more ways to boil the message down to a thirty second television commercial.

If you folks need ideas, just ask me, I've got a million of them.