I will state this again for the Darwin award winners in the federal government.
Well, it is the United States of America; not the United Federal Government of America. People would do well to have a better understanding of the kinds of services the states provide. Also, there are states with balanced budget amendments. And here, they do not own printing presses like the Federal Government is using a la a post WW1 Germany.
Then there is the idea of taxes. The current U.S. economy with little or no industry is like a football team composed mostly of bench staff. You could tax the top earners at 100 percent and it would do no good; less than a drop in the bucket.
Funny how some act surprised. For instance, who knew that you can't off-shore everything that isn't nailed down? In over 10 years, the U.S. has lost over 50,000 businesses to off-shoring. Our biggest export is empty shipping containers that we didn't even make. THAT is a lot of lost tax revenue. The treason committed by Bush 1 and later Clinton and the congress of the day with NAFTA and GATT is almost complete. Free trade is destructive. Fair trade is not.
As for the "cuts", it isn't all that much; and no balanced budget amendment (signed in blood). The spend-thrift behavior will continue. With all the social services (you have a right to pursue happiness not have it provided for you) the budget will collapse under its own weight. Defence cuts? We spend over $2B per WEEK on 3 useless wars that have NO practical national defense value except to the chicken-hawk war profiteers.
In the end; there will be no parole from the governor. Passing this facade or no, the federal government is going to get worse off and not better. What can be best learned here is the following: you don't give more crack cocaine to an addict (bought on credit).
That is exactly what this federal government is with other peoples money; an addict. And it appears; an incurable one.
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4 comments:
Don't worry Jian Julia is raising $1billion a week to pay wages.
And we are a lot smaller that the USA
...and after the US proves the current and past policies that have brought its economy to its present sorry state, you can guarantee that Australia will adopt them, assuring all that WE will get them right.
My last post should have read "...and after the US proves the current and past policies that have brought its economy to its present sorry state don't work, you can guarantee that Australia will adopt them, with our misnamed leaders assuring all that WE will get them right.
If the global economy was the titanic, then the timeline is as follows.
Left it's home port in 1913 (Create the FED Reserve, and FED Income tax), Got the full steam ahead order in 1971 (remove the Gold std), Steered into the iceberg fields in the 90s and 00s with bubblenomics, ZIRP, etc. Hit the iceberg in 2008 with the GFC.
Just like the titanic there are too few lifeboats, and the power elites will have first access.
The Aust govt is still locked in their stateroom, oblivious to the fact that the ship is dead in the water and beginning to list, while planning what they are going to do when the get to New York (Carbon Tax, More govt Spending on malinvestments etc)
For the 3rd class steerage passengers (that's us)you have to protect yourself. For me as an Aussie, I have moved my super into physical precious metals...
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