Showing posts with label fiscal irresponsibility. Show all posts
Showing posts with label fiscal irresponsibility. Show all posts

Tuesday, July 21, 2009

Fed to Congress - We have no idea where that $500bil went...

Denninger's Market Ticker blog has an excellent excerpt from Bernanke's testimony today.

I'm heartened (just a tiny bit), to see that at least some of our Con's in gress are starting to ask the correct questions:

Listen and read here:Where Did the Money Go?

Wednesday, April 15, 2009

The UN, or "Blame America and Iraq for the World's Problems"

U.N. President Calls G-20 Failure, Criticizes Wealthy Countries for Failing to Help Developing World

[U.N. General Assembly President Miguel D'Escoto Brockmann] said that the members of the G-20 have neglected to allocate $2 trillion to $3 trillion needed in the developing world, and many countries have lost their trust in the U.S. dollar as the international reserve currency.


Yes, it's far more important that we throw money at corrupt dictatorships, warlords, and Communist/Socialist jackasses that couldn't find the toilet to relieve themselves (if they even have running water after the recent coup d'etat) rather than using that money to attempt to ensure we still have a country left for them to fleece. How dare we not give every penny we possibly have so that their leaders can live in mansions and ride around in limousines while their people starve.

It gets better...

Such claims of progress were dismissed Tuesday by D’Escoto, who linked the global economic crisis to the war in Iraq and said that the whole world is now paying for the reckless decision of the United States to finance the war.


Everyone repeat after me.

The U.S, and other countries who have adopted Governmental systems that have proven superior to other systems, and that have worked to keep as much corruption and abuse out of their systems as possible (though we are starting to fail at that miserably), are at fault for the rest of the world not being as affluent as we are.

Remember, we're scum and villains for spending our money on ourselves, in an attempt to maintain the lifestyle that actually feeds and clothes 90% of the rest of the world.

Oops, I mean, really it's the war in Iraq that has caused the global meltdown.

There, now we just hit the two main Liberal talking points.
1. The US is bad and must be punished for its success.
2. The war in Iraq is the root of all that is evil (except for the US that is...err...I think).

I've said this before, and I'll say it again. D'Escoto, I have a much better idea you pompous jackass:
How does ZERO, as in NO money sound to you? Sound good? Great, now rot in hell.

Get US out of the UN.

Wednesday, March 18, 2009

Two Faced Lying Buggers

Your typical CONgress critters at work.

Those screaming loudest about the bonuses recently granted by AIG are those WHO ALLOWED IT TO HAPPEN!



A thanks to Mark Levin for pointing this out yesterday on his show. At least some of the media is being honest about what's really going on.

Congratulations America! Another Nail in the Coffin!

When I first put the National Debt Ticker on my side nav, we owed $4k less than we do now. I put that ticker up sometime in November. Your Government has spent $4k PER PERSON (not per taxpayer, but per man, woman, child, baby) in the country in just four months.

A day or two ago, we crested a new major number in our National Debt. The number 11 now shows for the first time ever.

Bear in mind, as I mentioned in an earlier blog, the $11tr listed there is not actually being recorded as it would in a real business. The true current cost of all of our entitlement programs, backstops, and concerns is actually somewhere in the neighborhood of $50 trillion (with a T). As I mentioned in that post, that is more than the GDP of the ENTIRE PLANET.

Our Lords and Ladies must be very proud.

Monday, February 2, 2009

Get out of Debt, Hurt the Economy

Frugal Americans Hurt Economic Recovery

This is great to see. Americans finally realizing that you can't spend your way to freedom.

Now if we could just get the Government to realize the same thing.

Dangerous Currents and Shoals

Anti-Gun Movement Gathering Steam

I don't know if I'd say it was gathering steam. In fact, with the recent gun purchases, and the recent advances made in the name of gun rights, I'd actually say gun control is losing steam.

This statement, however, should not be construed as saying that gun control groups (usually funded and run by a small group of rich elites) aren't turning up the volume. I am also not saying that we are entering a legislative period in which those small groups will be able to pass ridiculous anti-gun laws.

We are indeed entering what likely will end up being a very dangerous and dark time for our rights. And with efforts nationwide to make it as difficult as possible to remain a law abiding citizen while still exercising the rights we were supposedly guaranteed by the Founders of this once great nation, I fear greatly for our future.

The rising chorus that I hear day in and day out from Statists and Obama supporters is "give it a chance". The problem is, so much of what the government does any more is permanent. While occasionally, after years or even decades of fighting, a piece of legislation or policy gets reversed, it is so very rare that we actually see a bad law reversed. The answer is always "we didn't go far enough", and they layer it on further.

Look at this piece of garbage from the Times. Instead of looking at the Great Depression and attempting to learn from the mistakes made by both Republicans and Democrats alike during that dark time, they think it just didn't go far enough. Make it bigger! More expensive! Better! It'll work this time!

The problem is, it won't. Taxing corporations more, increasing deficit spending, all while funding social programs that, by their very definition, can not create wealth, doesn't get you out of this morass. What results is that your children, and your children's children, and possibly even their children end up losing their quality of life simply because Government today just can't fathom why they can't spend their way to prosperity.

The lobbies are lining up, and so are the states and cities for that matter, to dip a hand in the government dole. What is so often forgotten these days is that it is not the Government's money that is being handed out. It is your money. It is the fruits of your labor, the sweat you exert day in and day out in the hopes when all is said and done your family will be able to keep a roof over their heads and eat until the next paycheck. And every time they take money away from you, and spend it frivolously on STD prevention, or give it to people who don't even pay taxes in the name of a "tax rebate", or even enable fraudulent groups like ACORN to get funding, all they are doing is preventing you from ensuring your own family's survival. They are preventing companies from hiring and employing more workers, and expanding to create even more jobs.

They are ensuring your slavery. They want you under their thumb and desperate for the next handout to keep food in your mouth. Their attempts to control small arms, and restrict speech, and their propensity to kick in your doors in the middle of the night because some drugged out informant is being paid, by them, for results, is just another attempt to ensure your servility.

I, for one, am rapidly growing tired of being treated like a serf. Unfortunately, the masses have not awoken yet, and I fear that by the time they do, it will be far too late.

Thursday, January 15, 2009

What a Waste

BofA to Receive $15B in New TARP Money

You have a business that is in trouble. You receive Federal Funds to bail you out. So you then use those funds to try and buy out another hurting business because you can. Then you realize you don't have enough money to actually accomplish the acquisition.

What do you do? Well! Ask for more of course.

This is utter nonsense. If there is any further evidence you need to see to prove that the TARP is an epic failure, I don't know what else to show you. Your tax money (actually, foreign nations' capital) is being squandered left and right. If there is any further evidence that we do not need to grant the Government another $350bil to use to attempt to bail out their crook crony friends - this is it.

Please contact your Congressfolks - tell them to refuse to give the Fed one more dime.
If you'd like to suggest an alternative to this idiocy, Karl Denninger at The Market Ticker has a wonderful set of steps to allow the market to correct itself and put us back on the path to prosperity. Copy the steps from the lower part of this page (and may as well read through it while you're at it) and send them to your representatives today.

Don't stand by and allow the entire economy collapse under the weight of this debt. Do something today.

Heck, I'll post the steps right here. Copy them and fax them to your Representatives immediately:
1. Refuse to authorize the remaining $350 billion in the EESA/TARP. That bill was an act of outright theft, it could not have worked in its original form, it definitely didn't work in its modified form, and there is no defense for continuing the charade.

2. Force, either by demand or if ignored by regulation, the full disclosure of all Federal Reserve "assets", from where they came, the prices paid, and the terms, and demand that all "in extremis" programs end ninety days hence. If the Fed doesn't like this de-authorize The Federal Reserve Act and replace them. I am well-aware that this will cause the collapse of a significant number of banks. We will deal with that momentarily.

3. Withdraw all debt-based support from the general economy. It is necessary that the over-encumbered go under. We have a means of dealing with this - it is called bankruptcy. Do it and get it over with. There is no alternative and stretching this out just makes it worse. If you have cancer the longer you wait the worse it is, and if you wait too long it spreads and you die. We are very close to having the economy die; there is no time for more delay.

4. Repeal the "Bankruptcy Reform" act. That was a monstrous travesty demanded by the banking lobby to enslave Americans they knew couldn't pay! Revoke that - now - so Americans can use bankruptcy - the process for those who are over-encumbered in the general public - as well.

5. Dedicate the other $350 billion that was formerly in the second half of the TARP to capitalizing new banks. We need a banking system, but we don't need the existing banks. Provide the seed capital for new banks. At a 10% reserve ratio this will provide three and one half trillion dollars of lending capacity, all unencumbered. There are competing ideas for the bank's structure; "co-ops" (much like a credit union, perhaps hundreds of new banks) sound interesting as does just setting up ten new large banks.

6. Demand that all banks return to a 10% reserve ratio here and now. No ifs, ands or buts. Period. No more sweep accounts, no more games, no more "variable reserves" set by Ben in his "sole judgment", nothing of the kind. This strictly limits bank leverage to 10:1 - as it should. Write into the law that violations of this reserve ratio are bank fraud, a felony, and that each and every officer of said bank is personally responsible for violations. Any existing bank unable or unwilling is closed immediately by the FDIC.

7. Make all bank examinations public. We back the banks with FDIC deposit insurance, we have a right to know what they're doing, how healthy they are, and what they're holding. If you want to see the cockroaches scurry shine a bright light in the room. We need lots of bright light.

8. Force all credit-default swaps and other instruments - all of them - onto a regulated exchange. Strictly limit leverage to no more than 10:1, just as is done for banks. No exceptions, with mark-to-market being required daily. We have computers; this can easily be done and must. At the same time, end all "dark pools" and other similar gimmicks. If you want to trade it you must publish your bids and offers, print the last trade price, and do it where everyone can see it. Again - only the threat of discovery through full public transparency works to keep the crooks at bay.

9. Bring all financial firms, including insurance companies, hedge funds and others, under the 10:1 leverage limits. All firms that want to do business in the United States must comply - period. No exceptions for "special" asset classes are permitted. This instantly ends the game of "infinite earnings via infinite leverage" in the Treasury Bill market, which is currently distorting that marketplace beyond all reason.

10. End all off-balance-sheet games. All assets and liabilities must be carried, valued at the market, and disclosed on-balance sheet. No exceptions. Period.


The alternative is to just allow them to run up multi-trillion dollar (yes, I just said MULTI) deficits and send us spiraling out of control.

Quick reference - the Fed ran up an $800BIL deficit JUST IN THE LAST QUARTER.

We can't keep this up folks. We just can't.

Saturday, January 10, 2009

Putting the Cart Before the Horse

States Look to Prisons for Ways to Save Money, Including Letting Some Inmates Go

As the years have gone by in our now shabby and failing republic, the laws have multiplied fruitfully. The penalties have steadily risen and mandatory jail sentences have been imposed for some of the smallest and least offensive crimes. And the result, the highest number of people incarcerated per capita in the world. Even Russia comes in more than 30% lower.

What happens when you jail someone? They cease to be a productive member of society - often, for the rest of their lives. "Stamping license plates in prison for three years" as a "prior experience" item on your Resume somehow doesn't really get you the job.

There are a number of serious crimes for which prison is, indeed, the only recourse. Serious assaults, murder, etc. But then there are other crimes, such as having a semi-automatic rifle that malfunctions, or minor drug related offenses in which the possessor was simply caught due to a broken tail light. With the number of laws now on the books, we are, in reality, a nation of criminals (at least, as defined by our loving overlords).

With the current economic crisis, states now are realizing that they can't continue to pay to keep all these people in prison. So they're going to let them loose. Assuming the people they let loose are no threat to society, I have absolutely no problem with that.

What gets me though, is this: How many of these states, as a result of this issue, will review their statutes with an eye towards reforming overly draconian laws designed to make criminals out of law abiding citizens?

Somehow, I doubt even one will.

Saturday, September 20, 2008

Obama's "Plan" for Failure

The following are segments from Obama's "plan" for our economy. This was copied directly off of http://barackobama.com/plan. My remarks are inline in red.

Energy Rebates

Obama and Biden will enact a windfall profits tax on excessive oil company profits to give American families an immediate $1,000 emergency energy rebate to help families pay rising bills. Read more »

Listen carefully to what they are saying here. They are going to take an industry that, on average, makes about 10% profits on their revenues each year, and take those profits away. There are a goodly number of industries out there making higher profit margins than that! Should we also take away the profits of the Clothing and Retail industries? Some of which make 20% profits?

Ask yourself - who benefits from profits? Yes, the CEO maybe gets a bonus, but ultimately where do those profits end up? They end up as a higher stock price, as dividends, as expansion of the operations of that company. They end up as money in the shareholder's pockets. That's right - you, and me, and the rest of America that owns stock in that company benefit from those profits.

In this, Obama and Biden show truly as the bullies that they are. They've found an industry that has been villified by the Left and they want the entire schoolyard to help steal their rightful earnings. Who's next? Maybe YOUR industry is making too much profits and needs to be punished as well.

Create 5 Million Green Jobs

Obama and Biden believe that we should invest in innovation and manufacturing jobs in the growing clean energy market, freeing us from our dependence on foreign oil within a decade and creating 5 million green jobs. Read more »

Obama doesn't want to raise taxes on the Middle Class, but here he wants to spend more money on something that the free market has not demanded. He wants to dump your money at any and every crackpot "green" idea that comes down the pipe, in the hopes that "something" will free us from foreign oil in a decade. They want to dump money here, and money there, BILLIONs at this. But they're going to lower taxes?

Who pays for this? Who pays for the more expensive energy and technology that will be Federally mandated out of this? YOU do. YOU pay. The middle class will pay, the lower class will pay, and the "rich" (see my blog post here on the fallacy of raising taxes on the "rich") will pay through the nose. And in the end, we'll all lose.

New Jobs Through National Infrastructure Investment

Obama and Biden believe that rebuilding our highways, bridges, roads, ports, air, and train systems will create jobs, ensure safety, and bolster our long-term competitiveness. Read more »

Here's another $60 billion over 10 years to maintain our infrastructure. What happened to the monies set aside for this? Oh right, already spent by the Government on other things.

Technology, Innovation and Creating Jobs

Obama and Biden will increase federal support for research, technology and innovation for companies and universities so that American workers can lead the world in cutting edge jobs and products. Read more »

Even more tax credits! Are you keeping track? Lots of money going out so far...

Support Small Business

Obama and Biden will level the playing field for small business by eliminating all capital gains taxes on start-up and small businesses. Read more »

So now these guys want to get a $500 per worker credit to small businesses, and have the business pay both sides of the income tax for those workers. I'm not even sure how that works. They also want to throw $250 million per year to "incubate small businesses in disadvantaged areas". So the market won't bear a business in that area, we need to make sure there is one there anyways by spending our tax dollars on it. Brilliant.

Labor

Obama and Biden will strengthen the ability of workers to organize for good wages, healthcare, and secure pensions. Obama and Biden will fight for passage of the Employee Free Choice Act. Obama and Biden will ensure that labor appointees support workers' rights and will work to ban the permanent replacement of striking workers. Obama and Biden will also increase the minimum wage and make sure it remains a real wage year over year. Read more »

Now this one gets my goad. This would essentially force companies to pay workers whatever the workers demanded. Not being able to permanently replace workers who are being unreasonable about their requirements on pay/benefits/etc. would essentially force most companies into bankruptcy, AND raise the prices of their goods and services should they remain in business to the point that no one would be able to afford them. The beauty of a free market is simply that if I have a group of workers that strike for higher wages, and I can replace them with similarly skilled workers that work for lower wages, the people demanding higher wages shouldn't be making higher wages in the first place! This part of the plan means that the inmates would be running the asylum.

While they're at it, they'd continue to impact the free market by demanding higher and higher minimum wages. Why not just go ahead and pay workers at Burger King $25/hour. They obviously deserve the house in the foothills and the plasma tv just like everyone else who actually went to school and worked hard to make something of themselves.

Protect Homeownership and Crack Down on Mortgage Fraud

Obama and Biden will crack down on fraudulent brokers and lenders. They will make sure homebuyers have honest and complete information about their mortgage options, and they will give a tax credit to all middle-class homeowners. Read more »

More tax credits in this one. I'm still not seeing any "fiscal responsibility"...

Work/Family Balance

Obama and Biden will help working families by doubling funding for after-school programs, expanding the Family Medical Leave Act. They will provide low-income families with a refundable tax credit to help with their child-care expenses, and encourage flexible work schedules. Read more »

Obama wants to cut the size of companies required to comply with the FMLA from 50 to 25. This may result in critical positions in a small business being unfilled in the event that worker has an emergency for a long period of time. This is not good for small businesses, some of which couldn't survive in that state for long.

Obama also wants another $1.5 billion to provide monies to people taking time off work for certain charitable activities. While a nice idea in principle, I question it as being "fiscally responsible".

In this point also are doubling funding for after school programs, increase the amount of money given to low-income families for child care, as well as create other programs.


So I have one question for Sen. Obama. Where does all the money for this come from? It certainly won't happen from a "windfall profits tax", and I have a feeling that you couldn't squeeze the "rich" taxpayers for nearly enough to cover this.

Where does it come from?

Current Quote

"I would rather be exposed to the inconveniences attending too much liberty than to those attending too small a degree of it." – Thomas Jefferson