Which Would You Scrap?

Those above items are the largest items on the budget.  The fourth one, the interest on national debt is enjoying the lowest interest rates in decades.  That will not last.  The time soon will come when no one will want to purchase anymore treasury bonds or promisary notes from the US.

When that happens you will see the interest rates go up fast unless we start paying down the debt.  The US is already in danger of losing its AAA credit rating.

In 2010, for every interest rate percentage increase, the US, will have to pay $120 billion more per year on the national debt.  A 4% interest rate increase would increase the annual interest payment to over $880 billion.  That is assuming we have no more deficit spending.  When’s the last time that happened??  1969.

Every decision will be unpalatable and downright painful.  Every American will scream that their Ox is being gored.  The federal government has no constitutional business running Social Security, Medicare/Medicaid, welfare and many other things its doing but seduction politics works.  It’s a Titanic heading for the iceberg and our politicians are having a party in the ballroom.

There is still time but I don’t see the political will from Americans and their politicians.

The people have proven they won’t vote for anyone who will take away their candy even if they have diabetes.

Disaster is imminent unless we get some real leadership in congress.

Advertisements

You Can Fool Some of the People Some of the Time

Are you a fool?  We’ve all been suckers but are you one right now?

I respect, admire and love Abraham Lincoln.  I love his statement:

You can fool some of the people all of the time, and all of the people some of the time, but you can not fool all of the people all of the time.

What percentage of the people do you need to fool to be totally effective?

The Answer —— 80% for a fool proof con job.  The closer you are to 80%, the less the minority matters.  Once you get to 80% the effect I call ‘The Reverse Pareto Principle’ kicks in.   In business, the Pareto Principle is basically that 80% of the effects come from 20% of the causes.

In politics, if you can convince 80% of the participating public of anything, the other 20% doesn’t matter.

For example, right now the American people are seduced into believing that they deserve or are entitled to Social Security, Medicaid/Medicare, etc.  As I’ve said before, theft in the name of charity is still theft. The governement has no business playing Robin Hood.  By the way, was Robin Hood sincerely trying to change the system or gaming the system?

Over 80% of the people believe they are entitled to what is outside of the Constitutional guidelines.   Yes, we are violating the spirit and the letter of the Constitution regardless of what certain Communistic Supreme Court judges rationalize.

Here’s where we’re being fooled:

1. “I’ve paid into the system for years”
2. “It’s my right as an American (to get something for nothing)”
3. “It’s set up for me so why not take advantage of it”

Until the national debt and national deficits are wiped out, there is no reason for a tax cut.  Cutting taxes at this point without eliminating more than what is being spent is recklessly irresponsible and dangerous.  We are taxed too much but until we shake off the Socialism entrenched into the fabric of our country.

We must eliminate the Federal Dependency System.  Independence and Freedom must rule.

Here’s a nice website showing our collective irresponsibility.  The image below is as of 1-16-2010

Click on the image to get the latest shock.

All our collective Irresponsibility