I remember the celebration among real taxpayers after the November 2010 elections. Happy days are here again and the Republican led House of Representatives will save the country. Really?
One of the first consequences was a “deal” with the devil where the Bush tax cuts would be continued in exchange for extending unemployment benefits for 99 weeks through December 2011.
The news from March 9th told us that 35% of the total wages and salaries comes from government payouts. From CNBC.com:
Government payouts—including Social Security, Medicare and unemployment insurance—make up more than a third of total wages and salaries of the U.S. population, a record figure that will only increase if action isn’t taken before the majority of Baby Boomers enter retirement.
As President Reagan put it so succinctly: Government is the problem. So why are people giving the Republican Party a pass based on the following actions?
Our current federal budget is $3.69 trillion which includes $1.4 trillion which we do not have. This money is being printed by the US Treasury under the direction of the Federal Reserve – a private organization controlling our money supply. Is anyone concerned that 38% of our spending is being subsidized out of thin air? So why is no one addressing the Republican Party pledge to pass $100 billion in tax cuts which is now $61 billion?.
Here is the reality of our bankrupt country in terms of how the Republican Party will save our future:
1. $61 billion represents 23.3% of the deficit spending for just the month of February, 2011
2. $61 billion represents 1.65% of the total budget for 2011.
3. $61 billion represents 0.43% of the country’s national debt.
4. $61 billion represents 0.04% of the total amount of the national debt plus the amount owed by unfunded liabilities.
To put number 4 above another way:
I owe you $100.
You come to collect your money.
I offer you a nickel.
If I am in Chicago, my life is not worth a plugged nickel unless I had four ounces of Kobe beef from Japan which is $100.
When a political party or politicians start to address this nation’s economic collapse, we will have some hard choices to make. Political posturing is not accomplishing the necessary measures that are not even being discussed. Of course, wecan always console ourselves by chanting “We will take it back in 2012”.