Our nation's debt is literally indenturing our children to our international debt holders, but most Americans don't care because they are more concerned about the latest saga involving Snooki on Jersey Shore rather than what really matters, our country’s future.

Tuesday, August 25, 2009

The Pelosi-Obama Deficits-Even $9 trillion might be too optimistic on current spending trends

Yes, its true that the President speaks very well but was that a good reason to elect him President. Now don’t get me wrong the same disaster would have occurred if McCain was elected because neither party has a candidate that actually is willing to do the tough things:

1) we need to close our overseas bases (if Japan, S. Korea and Germany can’t protect themselves so be it),

2) reduce our government payrolls (17% of the nation is employed by as a government employee so in reality we pay taxes to employ these people),

3) reduce taxes (the only way to increase revenues is to create an environment where companies want to invest, Texas has no corporate or individual income taxes but has a $8B surplus, California has the some of the highest rates and has to write IOUs to pay its bills, you figure out what works best),

4) pay off any obligations we have made to our elderly but not allow the same broken systems to continue (Social Security and Medicare are both broke and broken but we can’t allow our elderly to end up in a gutter so lets institute a cutoff, anyone under 45 gets nothing but in exchange they pay no capital gains or death taxes in the future, those who are older have to pay both taxes but in exchange they keep their benefits)

If we don’t do the above or something similar our only alternatives is to let the system just implode because that’s path laid out in front of us now. Pretty soon, three or four years from now when the Government' checks for welfare, social security, the armed forces and federal employees start to bounce then and only then will people realize what a mess we have gotten ourselves into.

Americans are too stupid to realize that since the 1970’s we have become a nation of slaves. Everyday we go to work to pay our debts whether they be called taxes or consumer debt. We no longer believe that you have to earn what you have but rather we believe that we are entitled to things like free healthcare.

If you think I am over reacting check out today’s WSJ editorial and you’ll soon realize that I’m being rather rational.

“Earlier this year when President Obama was selling his first budget blueprint, he promised to end years of "borrow and spend" budgeting. Yesterday, reality struck.

Mr. Obama's White House and the Congressional Budget Office told us that current U.S. fiscal policy is "borrow and spend" on a hyperlink. The good news is the deficit for 2009 will be "only" $1.58 trillion, about $250 billion lower than expected thanks to less need for TARP funds. But the Obama fiscal plan envisions $9 trillion in new borrowing over the next decade, which is $2 trillion more debt than the White House predicted earlier this year. The 2010 deficit also rises by about as much as the 2009 deficit falls from January, so even the TARP windfall gets spent.”


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