Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

$50 TRILLION NATIONAL DEBT

The critical thinking folks at Casey Research in their February report analyzed the already catastrophic Obama 10 year budget and ignored the pie in the sky revenue assumptions, exceedingly low interest rate suppositions and ridiculous postulations regarding military spending. The annual growth in government receipts over the last decade has been less than 1%. Obama’s budget is based upon a 7.8% average annual increase for the next 10 years. No one in the MSM is interested in the truth. The assumption regarding the interest rate on the National Debt is 3% for the entire 10 year period. I guess the laws of supply and demand don’t apply to the Obama administration. Even Turbo Tax Timmy could figure out that interest rates are headed higher over the next decade. Military spending has grown at an annual rate of 8.5% over the last decade. Obama’s 10 year budget assumes growth of less than 2% annually. No new wars are anticipated, the existing futile wars of choice end, and the war on terror is an absolute triumph, over somebody. If George Bush made these shameful assumptions the MSM would laugh him out of the room. Why aren’t Obama’s assumptions questioned by the MSM?

 

  

Using a still optimistic receipt growth rate of 3.5%; assuming that interest rates will gradually increase by 1% per year; and military spending increases at recent levels, the National Debt would reach at least $40 trillion by 2020. The country would collapse well in advance of reaching this level. This doesn’t even address the false assumptions of the healthcare entitlement just passed. This fiscal hurricane is a Category 5. The Social Security/Medicare hurricane is off the scale and will reach our shores in 2020.

 

The United States needed to implement a long-term plan ten years ago to address the impossible to fulfill promises made by its corrupt, intellectually bankrupt politicians. Americans’ inability to deal with reality and fondness for not thinking beyond tomorrow has shown them to be an inferior species, as Mencken noted:

“The one permanent emotion of the inferior man is fear - fear of the unknown, the complex, the inexplicable. What he wants above everything else is safety.”

Take the Power Back

 “It doesn't take a majority to make a rebellion; it takes only a few determined leaders and a sound cause.”         H.L. Mencken

The shame of the so-called healthcare debate, which raged for over a year, is that five or six changes to the existing system would have improved the scheme dramatically. The biggest lie foisted upon the public by the Democrats and their mainstream media allies is that 32 million people do not have access to healthcare. The non-critical thinking public just soaks in this propaganda without question. The fact is that every person (including illegal immigrants) can walk into a hospital emergency room and must be treated, whether they have health insurance or not. Therefore, it is a question of cost and delivery. There are no Americans dying in the streets due to no healthcare insurance, despite what Keith Olbermann might be spewing on a nightly basis. Of these 32 million “uncovered” Americans, 18 million of them earn more than $50,000 per year, with half of those earning more than $75,000 per year. These people are mostly young and don’t feel the need to purchase health insurance. Another 4 million people are eligible for Medicaid or SCHIP and haven’t signed up. There are 310 million people in the country and the American people just allowed the government to take over their healthcare in order to cover 10 million long-term uninsured that already had access to every hospital in America. We have fallen for the assurance of safety at the price of liberty. The result will be an ever increasing number of unproductive leeches demanding their “right” to free healthcare, while producers are sucked dry. The only beneficiary will be government bureaucrats and politicians. 

“For society as a whole, nothing comes as a 'right' to which we are 'entitled'. Even bare subsistence has to be produced.... The only way anyone can have a right to something that has to be produced is to force someone else to produce it... The more things are provided as rights, the less the recipients have to work and the more the providers have to carry the load."                                                                                                    Thomas Sowell

Not allowing insurance companies to deny people with pre-existing conditions coverage, allowing people who switch jobs to retain coverage, expansion of the COBRA program, allowing insurance companies to compete on a national basis across State lines, limiting malpractice awards, and providing healthcare vouchers to the truly disadvantaged would accomplish expanded coverage with lower costs. Expert health courts could replace the existing malpractice system that enriches lawyers, awarding victims quickly while eliminating the 60 cents of every dollar that go to lawyers and administration costs. But, this was not the true purpose of “reform”. This was about an ideology of government command and control versus liberty, freedom, and individual choices. The entitlement state is now absolute. The badly informed masses now expect a government provided retirement, government provided old age insurance, government provided health insurance, 99 weeks of unemployment payments, food stamps, welfare payments, subsidized government housing, subsidized government auto financing, free public education, protection from criminals, protection from terrorists, cheap oil, and easy credit. All they had to do was sacrifice liberty and freedom to obtain privileges and security. In the end, Americans will be left with neither, privileges, security or freedom. The promises made were false. The money needed to fulfill the pledges doesn’t exist. The promised security is actually a false flag for control through rules, regulations and ultimately coercion. H.L. Mencken understood human nature would never change:   

What men value in this world are not rights but privileges. Most people want security in this world, not liberty.  It is not materialism that is the chief curse of the world, as pastors teach, but idealism. Men get into trouble by taking their visions and hallucinations too seriously.

 
The mood of the country has changed dramatically in the last three years. A Crisis period of epic proportions is upon us. A small minority have begun to rise up against the tyranny of government control over their lives. The vast middle class is slowly coming to the conclusion that they have been screwed. Their real wages are lower than they were in the 1960’s. They pay for the welfare state. They bail out the rich bankers. Their jobs were shipped to China. The fat cats in New York City and Washington DC are beginning to worry. Their time in power is coming to an end.

I know the arrogant self righteous intellectuals that populate the MSM are worried by the tone of their nightly shrieking. The target of their vitriol is the Tea Party movement. This movement developed during the insurgent Ron Paul Presidential campaign. The central theme of the movement is that government is too big, spends too much, exerts too much control over our daily lives, and wastes our treasure and our soldiers’ lives on maintaining an empire. This is truly a grassroots movement of middle class Americans who have had enough lies. The only critical thinking about the long term implications of our fiscal policies is being done by the citizens within this movement. The reaction from the liberal MSM is predictable. They are depicting these true American patriots as extremists, racists, anarchists, and nut jobs. These “intellectuals” stoop to associating a disgusting sex act called tea-bagging with middle class Americans protesting out of control government spending. They seek out the one racist sign among 10,000 signs at peaceful protests. They are aghast at depictions of President Obama as Hitler, when they were silent as President Bush was burned in effigy. Dissent and peaceful protest are portrayed as dangerous to society. Voicing your opinion is depicted as anti-American by the liberal MSM. On the other side, the Fox News neo-cons led by Ann Coulter and Sarah Palin, are trying to corral the movement for their purposes. This is what the entrenched ruling elite do. The fat cats from both parties want to derail the Tea Party movement. Smaller government is not a goal of Democrats or Republicans.

The intellectually bankrupt MSM, Wall Street fat cats, and corrupt DC politicians are right to fear the Tea Party movement. The mood of the country will not be reversed. The storm will not subside. The existing institutions will fall in the next 10 to 15 years. There will be blood. The Federal government will not voluntarily get smaller. The entitled class will be angry when the spigot of benefits and privileges is shut off. Wall Street bankers, mega corporations, and corporate media that control the strings of Washington puppet politicians will fight with all their power to retain control. The military will need to make fateful choices regarding their duty to country or their crooked leaders. The passage of government controlled healthcare over the objections of the majority was the final straw. When British troops fired on unarmed protestors on Sunday, January 30, 1972, decades of bloody violence ensued. When Congress passed the 2,400 page takeover of the U.S. healthcare system on Sunday, March 21, 2010, against the will of the American people, they set in motion a rebellion that they will not control. The cause of liberty is sound and the leaders are determined.  The die has been cast. Financial collapse is now baked into the cake. Social chaos will ensue when collapse envelops the nation. Foreign conflict is likely, as China, Russia and Middle Eastern countries take advantage of our fiscal weakness. Critical thinking will not keep the grim reaper from his destiny with the ruling elite.

“They who can give up essential liberty to obtain a little temporary safety, deserve neither liberty nor safety.”

                                                                        Benjamin Franklin



Disclosure: No Positions

Disclosure: no positions