National Debt Just Under $14 Trillion

7 12 2010

We’ll fall short of my previous prediction (Don’t Look At This).  That was written almost 2 years ago.  The projection was that by the end of 2010, the national debt would reach 14.5 Trillion.  We will reach just under $14 Trillion.

The national debt ceiling is currently $14.3 Trillion.  In my humble opinion, it is Treason to raise the debt ceiling.  We are ready to implode and collapse as a country.  Take a look at Greece, Iceland, Ireland, Portugal and Spain.

It is Treason to raise the debt ceiling!

Those burying us in debt are traitors.  It does not matter what the political excuse is.  To put us collectively into slavery is treasonous and should be punishable by removal of office.  That goes for any Congressman, Executive, politician or bureaucrat perpetuating and growing the debt.  It should be zero.

The debt should be reduced by 3% compounded every year by statute.

Over 70 welfare programs including Medicare/Medicaid and Social Security are bleeding us to death.  We’re wiping out the sacrifice that patriots fought and died for.  Our freedom is being swallowed as we voluntarily surrender to slavery.  The current deal about to go down is another glut of spending by the Democrats and Republicans.

The Gross National Product is $14.4 Trillion per year currently.  If the debt goes above the GNP, serious implications will follow.  If we continue down the road of fiscal foolishness, our AAA national credit rating will be in jeopardy.  At this rate it will be in 2012 to 2016 that our treasury bonds will be less useful than toilet paper.

It is insanity to try to save people from the black hole of poverty when it will impoverish the whole nation.  Freedom is the only salvation from poverty.  Freedom is not free but the cost is much lower than collective slavery.

Where has individual independence gone?  Are we to become a nation of slaves and serfs?

Are we as a Nation going to climb the cliff or jump off?


The United States Commits Suicide!

3 09 2010

That’s the headline. The picture is even more shocking.

The statue of liberty’s torch of enlightenment has been hijacked for a dagger and she is slowly killing herself for all the world to see.  Somebody Stop Her!!!

It’s like passing a car wreck.  As you pass by you look to see if someone is dead or mangled.  When you see the devastation you’re shocked and horrified but can’t stop looking.

We are killing ourselves as a nation and watching it happen in excruciatingly slow motion.  Have we turned into the Donner Party Nation feeding upon ourselves to keep alive?

It’s like watching the train wreck in “The Fugitive” starring Harrison Ford.   Doctor Richard Kimble is framed for killing his wife.  He’s being transported to a permanent prison location.  Other prisoners trying to escape, cause the bus to wreck and rest on the train tracks.  A train soon comes speeding down the tracks.  The bus is stuck.  The classic scene seems to go on forever while the prisoners and guards struggle to get out of the bus before the train colides.

What comes after a Republic?

Answer: Some form of dictatorship.  It could be a monarchy, military dictatorship, communist/fascist ruling party, war lords etc.  The end result is a lack of freedom and liberty.  If we as a people can’t govern ourselves there are plenty of despots to do it for us.

Who wants to give up their sacred cow?

We all know deep down inside what needs to be done – Sacrifice.  But “Who Wants to Sacrifice their Golden Calf?”  Do seniors want to give up their free ride on Medicare and Social Security?  “I paid in all these years” they say but what was paid in is a small fraction of what’s going out.  Do the needy, greedy or scammers want to give up their any form of welfare?

The list is long but how about the ironically named Earned Income Tax Credit or government housing, or food stamps?  How about exorbitant federal pensions or retirements – work for 20 years and collect for 40 or more years.  Do those who are getting more than they ever put in want to sacrifice?  Who wants to sacrifice anything for the success of the country?  Thousands of Sacred Programs and Projects are sucking the life out of the Republic.

Who wants to give back their something for nothing program? Steal from the rich to give to the poor.  Steal from everyone and give to keep and increase power.

Is the United States of America Bankrupt?

The broad definition of bankruptcy is the inability to honor obligations.  The U. S. of A. is not honoring and will not be able to honor all the obligations or promises made.  We cannot cash the checks we have written with our legislation.  We have been lying to ourselves for quite some time through our selfishly elected representatives.

We put in power those who will give us more.  Who can give us the most?  We have given into our selfish nature and voted in representative who will give us what we want instead of what’s right. The cumulative actions have come to a head and no one is talking about the hard decisions that must be made.  The pain must be felt.  The sacrifice must be made or we will be slaughtered.

No one is talking about doing the hard decisions.  It’s easy to say “Cut Taxes!”  It’s not easy to say, “Grandma’s losing some or all of her benefits.”  Who’s ox is going to be gored?  Who’s talking about making the tough call?  Are talk show hosts, politicians at all levels, religious leaders or We the People talking about making the difficult sacrifices?  Everyone is straining at gnats, and swallowing camels.

A Democratic Republic has no business allowing a Federal Government to be in the business of Social Security, Medicare /Medicaid, and welfare of any kind.  The basic responsibility of the Federal Government is to protect from enemies, facilitate a sound monetary system and commerce between the states and countries.  The Federal Government is supposed to be limited in its power.  Article One Section Eight defines what these powers are.

The current folks in charge of this country seem not to care for its survival but only to perpetuate and increase their power.

Mr. Smith goes to Washington says it all too well.  Will we be as lucky this time around?

Pete Stark has the power and doesn’t want to give it up.

A Stark Reminder.

The Federal Government is now categorized as a degenerative disease. Such a disease causes an immune system to fail and attack what it was designed to protect.
Here is a little general guide to the powers of Congress.  In Article One Section 8 I’ve listed the points below.  If it has a $ sign it is dealing with regulating money or raising taxes.  If it has an I that indicates Interstate or International Commerce.  If it has a P that is for Protection using military and judicial means.

It’s a little boiled down but according to the Constitution, Congress shall have Power To:

  • $ – Lay and collect Taxes, Duties, Imposts and Excises.
  • $ – Pay the Debts and provide for the common Defence and general Welfare of the United States.
  • $ – Borrow money on the credit of the United States.
  • $ – Regulate Commerce with foreign Nations, and among the several States, and with the Indian Tribes.
  • $ – Establish an uniform Rule of Naturalization, and Bankruptcies.
  • $ – Coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures.
  • $ – Provide for the Punishment of counterfeiting the Securities and current Coin of the United States.
  • I – Establish Post Offices and Post Roads.
  • I – Promote Science and useful Arts, by securing for limited Times to Authors and Inventors the exclusive Right to their respective Writings and Discoveries.
  • P – Constitute Tribunals inferior to the supreme Court.
  • P – Define and punish Piracies and Felonies committed on the high Seas, and Offenses against the Law of Nations.
  • P – Declare War,  and make Rules concerning Captures on Land and Water.
  • P- Raise and support and make rules for Armies a Navy.
  • P- Calling forth the Militia to execute the Laws of the Union, suppress Insurrections and repel Invasions.
  • P – Organizing, arming, and disciplining, and coordinating Militias.
  • P – Exclusive Legislation for the District of Columbia, and to exercise like Authority over property necessary for the Federal business.

That in a nutshell is all the Federal Government was designed to do.  Money, Interstate/International Commerce, Protection outside and inside our borders.  Fairness, liberty, justice, freedom is all the Federal was designed to do.  It is not designed to be the cradle to grave caregiver.  Leave that to the Borg.

There were and are those who wanted and want an all powerful government such as a king or some kind of power grab.  Problem is that the power is grabbed from us.  Freedom equals prosperity and happiness.  We have been led down a selfish road to slavery.

Again, Benjamin Franklin at the close of the Constitutional Convention of 1787.

A lady asked Dr. Franklin, “Well Doctor, what have we got, a republic or a monarchy?”  “A republic,” replied the Doctor “…if you can keep it.” – The Benjamin Franklin Collection

The Great Abraham Lincoln:

“Shall we expect some transatlantic military giant, to step over the
ocean, and crush us at a blow? Never! … At what point, then, is the
approach of danger to be expected? I answer, if it ever reach us, it
must spring up amongst us. It cannot come from abroad. If destruction be our lot, we must ourselves be its author and finisher. As a nation of freemen, we must live through all time, or die by suicide.”

Lucky Number 13?

10 06 2010

What’s the deal with 13?  Some people think it’s a bad number.  It’s just a number.  There was even a Thirteen Club started in the 1800’s to dispel superstition.

Well, we are at a unique time in history and the number 13 is a pivot point.

The United States National Debt is over $13 Trillion now.  I hope the Sleeper has awakened.

The National Debt and the out of control spending are leading our country to economic devastation.  At this rate we will be semi-defunct like Greece very soon.  Unfortunately, we won’t have the EU to bail us out.  No one will be able to bail the US out.

As reported in Bloomberg news, the United States National Debt will exceed our Gross Domestic Product in 2012.

The US currently receives the highest rating for its Treasury Bonds.  As soon as that rating drops you will see interest rates go through the roof.  Calculations of when that will happen is between 2013 and 2018.  If the debt goes up as fast as it is now look for 2013 to be the tipping point.

A Reuters news story on June 8th stated that according to a Treasury Department report to Congress, the National debt will reach $19.6 Trillion by 2015.  If that becomes true, the interest on the debt at only 4% would be almost 800 Billion.  Say for example we have to sell the bonds at a higher rate, say 6%, the interest rate payment will be almost 1.2 Trillion per year.

We are at the tipping point right now.  We need to eliminate the debt not add to it.

Below is the list of our Senators vote to raise the debt ceiling to 14.3 Trillion.  It’s simply raising the line of credit to ourselves.  Those who voted for it are the YEA’s and those against of the NAY’s

YEAs —60
Akaka (D-HI) Baucus (D-MT)  Bayh (D-IN) Begich (D-AK) Bennet (D-CO) Bingaman (D-NM) Boxer (D-CA) Brown (D-OH) Burris (D-IL) Byrd (D-WV) Cantwell (D-WA) Cardin (D-MD) Carper (D-DE) Casey (D-PA) Conrad (D-ND) Dodd (D-CT) Dorgan (D-ND) Durbin (D-IL) Feingold (D-WI) Feinstein (D-CA) Franken (D-MN) Gillibrand (D-NY) Hagan (D-NC) Harkin  (D-IA) Inouye (D-HI) Johnson (D-SD) Kaufman (D-DE) Kerry (D-MA) Kirk (D-MA) Klobuchar (D-MN) Kohl(D-WI) Landrieu (D-LA) Lautenberg (D-NJ) Leahy (D-VT) Levin (D-MI) Lieberman (ID-CT) Lincoln (D-AR) McCaskill (D-MO) Menendez (D-NJ) Merkley (D-OR) Mikulski (D-MD) Murray (D-WA) Nelson (D-FL) Nelson (D-NE) Pryor (D-AR) Reed (D-RI) Reid (D-NV) Rockefeller (D-WV) Sanders (I-VT) Schumer (D-NY) Shaheen (D-NH) Specter  (D-PA) Stabenow (D-MI) Tester (D-MT) Udall (D-CO) Udall (D-NM) Warner (D-VA) Webb (D-VA) Whitehouse (D-RI) Wyden (D-OR)

NAYs —39
Alexander (R-TN) Barrasso (R-WY) Bennett (R-UT) Bond (R-MO) Brownback (R-KS) Bunning (R-KY) Burr (R-NC) Chambliss (R-GA) Coburn (R-OK) Cochran (R-MS) Collins (R-ME) Corker (R-TN) Cornyn (R-TX) Crapo (R-ID) DeMint  (R-SC) Ensign (R-NV) Graham (R-SC) Grassley (R-IA) Gregg (R-NH) Hatch (R-UT) Hutchison (R-TX) Inhofe (R-OK) Isakson (R-GA) Johanns (R-NE) Kyl (R-AZ) LeMieux (R-FL) Lugar (R-IN) McCain (R-AZ) McConnell (R-KY) Murkowski  (R-AK) Risch (R-ID) Roberts (R-KS) Sessions (R-AL) Shelby (R-AL) Snowe (R-ME) Thune (R-SD) Vitter (R-LA) Voinovich (R-OH) Wicker (R-MS)

Not Voting – 1
Enzi (R-WY)

The vote was down party lines this time but when Republicans were in power they were not responsible spenders either.  There must be a moratorium on the deficit then gradually eliminate the debt.  Let’s have Congress pass a law that the national debt ceiling is lowered to $13 Trillion and gradually lower it at least 5% each year after that.  Lots of sacred cows will have to be slaughtered and there will be citizens complaining but if we are to survive surgery is required.

13 is a great number.  It is the number of colonies that joined to form the United States and the original number of stars on the US flag.  In the Great Seal of the United States there are: 13 olive leaves (with 13 olives), 13 arrows, and 13 stars, all forming a triangle over the eagle with the number 13 on each point.  On the pyramid there are 13 levels.

The Apollo 13 mission failed, but is one of the most inspiring space adventures in history.  All three astronauts returned safely to Earth.  I recommend the movie of the same name.

13 Trillion can be a turning point for America,  We can return safely to sound economics, yes we can, but not with the current spending intoxication.

Word Up Obama

3 02 2010

Bad Economics Kill Economies!

Artificial manipulation in the short run kills stability in the long run.

People of the United States of America….Your current President has an unsustainable philosophy!  After reading this post, watch to video to see what philosophy he subscribes to.

Your only real power in the US government is to pester, pester, pester your Senators and Congressional Representatives.  That’s it.  Kill this new proposed budget by the Obama Administration if you disagree with it by being a Congressional Pest.  It is so bloated it’s reaks like a pack of swollen dead skunks on the side of the road.  A one year deficit of 1.56 Trillion at least.  If revenue doesn’t meet expectations then its worse.

The total budget is $3.8 Trillion.  So, 41% of the proposed budget is provided by hawking some Treasury bills to the pawn shop, selling out our country.  Our national debt will be over $14 trillion if approved.

Call your Congressional leaders to say no on your behalf to such an outrageous glut.

We are as a people participating in one of the seven deadly sins – GLUTTONY – “the over indulgence and over consumption of anything to the point of waste.”

We the people are wasted, intoxicated with self indulgent spending and it’s coming to the point of no return.  A reversal must happen drastically and quickly.  If the deficit is eliminated that’s a start, then work on the debt.  In the long run our country will be extremely strong when it doesn’t have to pay $500 billion (and growing) for interest per year.  At current projections it will be a trillion a year soon just for Congresses credit card interest.

Congress VOTE NO.  Protest the Obama Administration’s budget by burning your martini’s at lunch, slap your favorite lobbyist, wear t-shirts on the floor of the house and senate that says “Down with the Deficit and Debt!”

The new American Motto must be “Pay Down As You Go” not just pay as you go.  We individually and collectively must get out of debt, the new bondage.  We are soon to be worse off than we were under the rule of King George.

A Second American Revolution must take place – a revolution of thought and action.

To remedy our sorry situation means hard choices.

1.  Cut the spending radically.  A serious spendectomy will be painful but necessary.

2.  Zero tax cuts until the National Debt is substantially reduced.

I propose scrapping ALL Federal Welfare and unconstitutional expenditures! – Wipe out Medicare/Medicaid, eliminate Social Security (pay back all that was paid in plus adjusted for inflation) and all unconstitutional expenditures (See the enumerated powers of Congress in the Constitution.  If it isnt in there SCRAP IT).  A gradual approach is always better but we are almost out of time for a gradual approach.

I propose a phased elimination of the of Social Security and Medicare/Medicaid taxes only when those programs are eliminate and only when the National Debt is seriously diminished.

Place the burden squarely back where it belongs – on the individual.  The individual then can go to their family, local community, church or charitable organizations, and their city or state if they want to assume the roll of charitable organization.  A much stronger social network exists rather than the monolithic impersonal cradle to grave approach.

Governments roll is that of governance and common defense.  Charity belongs with individuals, families and HMMM… charitable organizations.  Stop the raid on the Treasury!

My buddy Thane showed me this entertaining version of the economic theory battles raging today.  Thanks Thane!

Which Would You Scrap?

17 01 2010

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.

You Can Fool Some of the People Some of the Time

16 01 2010

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.

US Debt Clock

All our collective Irresponsibility

It’s Just a Trillion

9 11 2009

What’s the big deal?  It’s just a trillion dollars to do the health care, or stimulus, or bailout, etc. etc.  We’re already in over our heads by 12 trillion right now sow what’s the big deal about another Trillion?

It was a big deal when the Federal Deficit and the Federal Budget cracked a Trillion back in the late 80’s.  It’s emotionally less of a big deal now isn’t it?

As I’ve said in previous posts, spending estimates for a new program are almost always extremely under estimated on purpose so the bills will pass.

Senators will vote soon on whether to raise the debt ceiling.  Is it a foregone conclusion that they will raise the debt limit for ‘We The People’?  Do they automatically have to vote yes?

If they vote no, what would happen?  We would automatically be forced to live within our means as a country.  Drastic cuts would have to happen.  The House of Representatives would be forced to slash and burn vast swatches of the budget.  The other option would be to default on our loans, our treasury bills and tell the holders of the notes to take a flying leap.  Our credit rating as a nation would be in the toilet and no one would loan the US any cash.

Does your Senator have the courage to do the tough job and vote no on the debt ceiling?  Do they have real courage so that our out of control House and Executive branch will do its job and only spend within our means?  The Senate was designed to be a wise protection group.  Do they have the will?

The only thing we little people can do is to call and write our Senators and Representatives and go to their town halls and tell them to say no to the increase of the debt ceiling and start cutting our spending now not down the road!

Put the Congressional Credit card back in the wallet or have it taken away.  Do we want to be the land of the free or the home of the enslaved?

The National Debt as of November 2009 is over $12 Trillion.

The average price of a home in the US is $175,000.  How many homes can you buy with $12 Trillion?

OVER 68 million homes!

Look at this graph and ask yourself, “How Long Can This Continue?”

US Federal Spending out of control

What goes up cannot keep going up

The graph is 4 years out of date because the 2010 US federal budget is over $3.60 trillion.

Call, write and visit your Congressional followers.  Perhaps someday we will have real leaders.

Watch this video and multiply by 12, 13, 14…. or whatever our debt will be.

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