Category Archives: Government

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

Britain, Debt, Economy, Europe, Government, Healthcare, Inflation, Military

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.

Obamanomics: Me, My Minions & YOUR Money

Barack Obama, Debt, Economy, Government, Political Economy, Reason, Taxation, The State

“Obama: U.S. economy cannot afford [a government] shutdown.” Unless the government continues “making key investments in things like education, infrastructure [and] innovation,” we won’t “win the future.” [Transcripts]

This dyed-in-the-wool statist needs the aid of Lego or some sort of pop-up children’s model to figure out that dolling out unemployment benefits, state aid, and government jobs programs, all necessitate the seizure of private wealth through taxing, borrowing, and printing paper.

That cannot create wealth! The fact that some individuals will get wealthy or be “helped” leaves out the unseen; the overall poverty and misery he, his minions and their schemes create.

There is no big secret about “creating” jobs. Government can’t do it. Unless it sucks more capital and credit out of the private economy, it has only the capacity to consume wealth, not create it.

Here’s a simple, crude model for Obama the statist. Play with it with the First Girls. Recommend it to your Fabian friends, Mr. president:

Put 10 blocks in box A. Take 5 blocks out of box A and place them in box B. The owner of box A is 5 blocks poorer, the owner of box B is 5 blocks richer. Total number of blocks: still 10. Total blocks added (or wealth created): 0.

Come on BO, you can do it.

The best BO can do is take a hike; go on a 4-year vacation; walk the plank; just GET OUT OF THE WAY!

Subsidizing “Freedom” for the Arab Street

America, Democracy, Foreign Aid, Foreign Policy, Government, Islam, Middle East, Military

“We are not part of the picture” [in Libya], Ehud Barack told Greta van Susteren, who recounted to him the familiar war-for-Israel-and-oil accusations circulating in some Arab quarters vis-a-vis the offensive in Libya. This, even as the US commits itself to furthering the whims of the seething Arab Street—whoever it comprises, wherever it is, and whatever it wants. American warriors, in arms and in armchairs, seem to believe that repeating the word “rebel” enough times will transform the shady ragtag factions we are fighting for as a princess’s kiss transforms a toad.

Ehud Barack, Israel’s Minister of Defense and Deputy Prime Minister (bio information), has politely applauded NATO and the US for rescuing the Libyans, but he also expresses a conscious thought about the feel-good operation, the kind of thought that will never be floated stateside:

“It’s up to the Arab people to struggle for their rights; to change regime or impose corrections and new procedures in their internal political life.”

My sentiments exactly:

If indeed we’re subsidizing “freedom” for [the Libyans] and are fighting their battles—then we’ve also increased their impotence and diminished their initiative. Subsidize individuals because you believe they are helpless—and you’ll get more learned helplessness.

Besides, what are these people? Wards of the American state? Whatever happened to fighting your own revolutions?

UPDATED: Public Enemy No. 1: Government Unions

Democrats, Education, Government, Labor, Political Economy, Politics, Private Property

The following is excerpted from “Public Enemy No. 1: Government Unions,” my new WND.COM column:

“For evidence of the power of the teachers unions acting out on the streets of Madison, Wis., look no further than your property taxes. Almost 50 percent of mine are garnished for ‘Local School Support.’ ‘Port, Fire, Hospital, Library’ constitute a miniscule 5 percent of the property-tax bill. Law enforcement is not even itemized. Other states confiscate even higher percentages from their propertied taxpayers in the service of government-employed teachers.

Yes, do use the term ‘government unions,’ won’t you, as ‘public sector’ or ‘public servants’ implies, incorrectly, that these people serve the public. Besides, have you seen these slackers? In his path-breaking book, ‘The Worm in the Apple: How the Teacher Unions Are Destroying American Education,’ Peter Brimelow left us with a lasting mental image of our children’s over-sated role models, attending one of the National Education Association’s annual meetings. The same apparition is everywhere apparent in Madison, as teachers ‘wobble and waddle through the teeming crowds of [supporters] … thighs like tree trunks, bellies billowing, jowls jiggling.’

Over and above the property tax – the federal income tax claims from those who pay it more monies for the educational oink sector. Whether the taxpayer has children in the system or doesn’t, whether he chooses to homeschool his offspring or pays for a private school, whether he approves of the job government pedagogues are doing or doesn’t – he has to pay them, even go into hock for them.

To compound it all, America has a most progressive tax code. According to USA Today, the number of Americans who owe no federal income taxes, and do not share in the cost of government, stood at 47 percent in 2009, and is increasing. What has come to pass John C. Calhoun predicted in ‘A Disquisition on Government,’ where he described the devolution of a democracy in which all private property is, eventually, subjected to the vagaries of majority rule. …”

The complete column, “Public Enemy No. 1: Government Unions,” is now on WND.COM.

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UPDATE (Feb. 26): Tom DiLorenzo points out the power of the monopoly that is the government union:

The enormous power of government-employee unions effectively transfers the power to tax from voters to the unions. Because government-employee unions can so easily force elected officials to raise taxes to meet their “demands,” it is they, not the voters, who control the rate of taxation within a political jurisdiction. They are the beneficiaries of a particular form of taxation without representation (not that taxation with representation is much better). This is why some states have laws prohibiting strikes by government-employee unions. (The unions often strike anyway.)
Politicians are caught in a political bind by government-employee unions: if they cave in to their wage demands and raise taxes to finance them, then they increase the chances of being kicked out of office themselves in the next election. The “solution” to this dilemma has been to offer government-employee unions moderate wage increases but spectacular pension promises. This allows politicians to pander to the unions but defer the costs to the future, long after the panderers are retired from politics.
As taxpayers in California, Wisconsin, Indiana, and many other states are realizing, the future has arrived. The Wall Street Journal reports that state and local governments in the United States currently have $3.5 trillion in unfunded pension liabilities. They must either raise taxes dramatically to fund these liabilities, as some have already done, or drastically cut back or eliminate government-employee pensions.