Livin’ On The Edge
Wednesday, August 3rd, 2011
“Something’s wrong w/ the world today; I dont know what it is; Something’s wrong w/ our eyes. We’re seeing things in a different way; and God knows it aint His; It sure is no surprise. We’re living on the edge….”
Economic Armageddon was averted supposedly this week with the Debt-Ceiling Deal between the GOP leadership and the President. Time will tell.
In my book, FOR THE CAUSE, I wrote, ” With the administration of FDR, the corrupt forces of international financiers gained further control of the economy. The budget deficit climbed higher than ever before: from $1 billion in 1918, to more than $25 billion between the world wars, and growing to more than $150 billion by 1945. New Deal policies subverted our traditional American values, dictating economic policy. Although the country stabilized from the effects of the Great Depression, it was at the cost of individual and corporate liberty. Power was wrung from the states and commandeered by the federal Gov’t.” (p. 23)
“The annual deficits must cease; no one could continue to run a home or business like Congress runs this country….” (p. 66) Gov’t spending still outpaces tax revenue creating an ever larger national debt now reaching $14 Trillion. So Congress and Presidt Obama agree to raise the Debt Ceiling nearly $2 Trillion more to keep America from defaulting on paying its bills. This will get the country through the 2012 election perhaps, but it does nothing to fix the problem. The Deal comes w/ “cuts” to match the raise- but DOES IT?
The US Govt runs a $4 billion deficit every day of the fiscal year. It borrows 34 cents of every dollar it spends. The 1st year’s cuts (2012) amount to $7 billion. Do you see the problem?! Every fiscal year, executive departments of the Gov’t get automatic 8% increases in their budgets (ie., they dont start over at 0 and prove their year’s need; they dont even stay the same!!!) Do you see the problem?!
Bush’s Two Unfinanced Wars against 4th rate opponents last 10 and 8 yrs respectively w/ no end in sight; he adds an unfinanced prescription drug plan to Medicare; he leaves w/ TARP I; Obama comes in w/ TARP II; the Stimulus Pkg; and then the FED’s QE II debt buying policy. Cumulatively, this makes International Financiers and the Military Industrial Complex richer while devaluing the Dollar (promising future inflation) and leads to mountains of Debt mortgaging future American generations. Time will tell whether the promised cuts lead to 1)balancing future budgets and 2)reducing the federal debt. Future promised cuts are historically nothing more than ’smoke and mirrors’ tricks. The formation of a 12 member “Super Congress” to find the necessary cuts borders on unconstitutional. This “Politburo” could have extra-constitutional powers to change the process of congressional budget planning including taxation. None of this bodes well for the future. Like Greece, Spain, and other European countries, we are living on the edge economically.
