UPDATE III: Austerity à la America (US Vs. UK)


In their agreement to fiddle with future spending, our politicians are like bank robbers who’ve planned a string of heists, but then decided, charitably, to spare one bank.

The reckless high rollers in DC are congratulating themselves for agreeing to cut about $38 billion from federal spending this year (Bloomberg.com). This minuscule “cut” claws back some parts of an enormous entitlement program that has not yet kicked in: Obamacare.

“According to the Treasury Department, the federal government spent more than eight times what it brought in in the month of March. Eight times.” (CNN)

And the more money you stuff down the feds’ greedy maw, the more it’ll spend.

“Heads between knees, arms over heads, hold that position. Pray if you’re inclined to. Brace for impact!” That’s John Derbyshire’s advice about the coming economic collapse in the US. (If you’ve escaped the debased dollar, all the better.)

UPDATE I (April 10): “Friday’s 348-70 vote to fund the government through the week”: Only “twenty-eight of the ‘no’ votes were cast by Republicans. Sixteen of those are members of the 87-member freshman class. Also voting no: Tea Party star and possible presidential candidate Michele Bachmann, R-Minn.”

That’s an abysmal showing for Republicans and Tea Partiers. Can someone please send a link with an exact breakdown, plus names?

UPDATE II: Two hundred and eight House Republicans voted “yes.” And that’s not a disgrace?

UPDATE III (April 12): Little mentioned in American media is that the non- Micky-mouse countries in Europe and the English have gotten religion on austerity. In his first 100 days in office, David Cameron had gone further than Thatcher did in cutting government. Yes, yes, that’s nothing very impressive, but it’s more than anything that has been done to tackle the debt in the land of the free and home of the brave. The Merkel (Angela) told “financier- philanthropist” George Soros—also an all-round radical and BHO surrogate—to jump when he tried to muscle her into printing and inflating her country’s currency to Weimar-Republic levels.

If our media made these contrasts, perhaps Americans would begin to think beyond the “rah-rah we’re the best” mantra.

14 thoughts on “UPDATE III: Austerity à la America (US Vs. UK)

  1. Bob Harrison

    The bond markets will impose a harsh reality upon us soon enough, just like they have with Greece, Portugal and Ireland. This process will only come quicker as the second largest American bond holder (Japan) will be selling many of our bonds to raise money to spend on their own people in the wake of the disaster they just experienced. It will be the bond markets vs. Congress and the Federal Reserve. My money is on the former!

  2. Myron Pauli

    I wonder what people were saying in France in the late 1780’s? The rumblings were going on but I don’t think the precise timing and nature of “le deluge” could be predicted.

    We probably have a few years of financial whim wham left and hence investors are still putting money here at 2.7% interest.

  3. Greg

    John Boehner is a typical Republican coward. Will conservatives ever wake up and stop supporting the Republican Party? The American people lose again. And all of the people afraid of a government shutdown, wouldn’t a shutdown be a good reason not to hitch your wagon to the federal government? Boehner should have shut it down!!

  4. Dennis

    Some time back, late 2010 or early 2011, PBS aired Niall Ferguson’s “THE ASCENT OF MONEY” series. Information can be found at: http://www.pbs.org/wnet/ascentofmoney/featured/about-the-film/1/

    I found it very interesting. If you do view it, please pay special note to the
    part about JOHN LAW and THE BANK OF FRANCE.

    I believe a Part Two could be done about

    PS: Bob H. – will the Bonds be paid with more Fiat Currency or will Gold / Silver and Land be demanded by the Lenders?

  5. Robert Glisson

    Greg: Will Conservatives grow up- NO. I just visited a close Conservative relative. As long as I dissed the Democrats and Obama, we were in agreement. The second I said, “Bush did the sam…” I had a fight “Well, maybe Bush didn’t do everything right; but… There is no hope for them.

  6. MeMyselfI

    Let’s see…

    The Republicans control… what? The U.S. House of Representatives.

    NOT the Senate.

    NOT the White House.

    Now how, exactly, can they hope to do more from such a lofty position of power.


    What they did was a miracle.

    You ALL need to be in this for the long haul. 2012 is the next victory. The fight over the next two budgets will set the stage for that victory. Shutting it down now over a few billion in cuts isn’t worth it. Shutting it down next fall – briefly – over TRILLIONS in cuts WILL BE WORTH IT. That, and only that, will focus the minds of the voters.

  7. Robert Glisson

    I read the breakdown provided by Steve Hogan. From what I gather, the Southern States voted overwhelmingly for the budget. The nay’s came mostly from the Liberal North. Even the outnumbered house Democrats that voted two to one over the Republicans and most of the Republicans that did vote no were from Liberal States. California Democrats voted ‘No’ more than Texas Republicans by double. I don’t see a shift to fiscal responsibility in the future.

  8. Dan Jeffreys

    Yes, the Republicans only control the House but the thing is, it wasn’t but just a few years ago THEY had both congress and the Presidency and we remember how much different THAT was (end sarcasm).

  9. Myron Pauli

    Republicans giving “free market capitalism” a bad name with their hypocrisy face off against Democrats giving “foreign policy restraint” a bad name. The game of SHUTDOWN-CHICKEN clucking over 1% of the budget – it is just Kabuki posturing!

    I agree with Paul & Kucinich that war spending is even worse than welfare spending because $ 1,000,000 spent on 100 welfare mothers gets circulated into the economy while spent for bombs on Pushtun mud huts does zero.. However, it is politically easier to just stop bombing Neanderthals than to cut Americans (rich, poor, or “middle class”) off the Oink-dole.

    NEITHER party does anything about exponential spending because both parties crave POWER. The Republicans promise only to cut “WASTE” as if there is some $ 800,000,000,000 line item named “WASTE”. If the Republicans even try some petty cut like NPR or Planned Parenthood [more out of pique than to really curtail spending!], the Democrats scream as if some genocidal Gulag just sprung up which will end all civilization!

    While a few LESS bombs on Khadaffi’s army would fund Big Bird, Amtrak, and all the pet lefty stuff – most Democrats don’t dare attack Nobel Peace Prize Messiah Obama’s War!


  10. james huggins

    The Republicans ONLY control the House. So what. They are doing their usual act of rendering whimpering gratitude to the Democrats for letting them pretend to be members of the Washington elite. If the Republicans spent as much time thwarting the Democrats rather than trying to thwart the Tea Party they might get something done. By the way, when are they going to actually attack Obamacare?

  11. Myron Pauli

    James H: The last party to expand Medicare prior to 2009 was the Republicans so how can they attack Obamacare (e.g. Romneycare with a darker face) without appearing like hypocrites. And when they do attack Obamacare, it is because it “endangers Medicare” – e.g. Socialism A endangers Socialism B.

    Goldwater, to his credit, was willing to stand up stubbornly for some principles. These Republicans care only about winning.

  12. Bob Harrison

    You know, as much as I dislike the European welfare states, it seems like the common people really are willing to pay for them. The US has some of the lowest taxes on labor in the industrialized world while countries like France and Germany have among the highest. They also suffer through Value Added Taxes as high as 20%, All while slashing corporate tax rates!
    In the US we want a welfare state but we want “the rich” to pay for it. Democrats want to cut taxes for “95% of Americans” while creating massive new entitlements. We need to stop with this make-believe about how the top 5% can subsidize the bottom 95% indefinitely while maintaining economic competitiveness.

    [European countries are also smaller and more homogeneous.]

  13. james huggins

    Myron P: I’m well aware of the past sins of the Republicans. I don’t care if it makes them look like the hypocrites they, and the Democrats, are. Obamacare is the current, greatest danger to our personal well being and must be defeated. Unfortunately the Republicans are all we have to carry this ball.

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