Of course the government will have enough money to pay the monthly Social Security checks. The Social Security administration has its own savings – in Treasury bills. I realize that lawyers (such as Mr. Obama and indeed most American presidents) rarely understand economics. But this is a legal issue. Mr. Obama certainly must know that Social Security is solvent, with liquid securities to pay for many decades to come. Yet Mr. Obama has put Social Security at the very top of his hit list!
Webmaster's Commentary:
The GOP (not to mention the American people) signed off on the "Deal" on Obama's promise there would be no increase in taxes. Then before the ink is even dry, Pelosi admits they are planning to get around that by creating NEW taxes, including a VAT or National Sales Tax! The likely members of the so-called Super Congress are already talking about "finally" imposing a carbon-tax on Americans "to fight global warming" even though the southern hemisphere is in the middle of their fourth record-setting cold winter in a row!
They are addicts! They are addicted to your money! They are so deeply in withdrawal for the last of your cash they couldn't even wait for the Senate to vote on the "deal" before bragging to everyone it was a scam!
And the sad thing is that none of this "Deal" will protect the US credit rating, because all the debt deal did was authorize Bernanke to print up lots more paper currency, driving the value of the dollar down, thereby reducing the value of existing loans to the United States. The US Government is trying to inflate the debt away, and nobody can keep giving the US Government a AAA rating when they are simply printing up the money to pay their debts off. The money has to be worth something, and ultimately those dollars are in theory redeemed by the slave-labor of the American people. But there is a catch! In their haste to set up Americans so the banks could steal their homes to cover the losses from the mortgage-backed securities fraud, the US Government encouraged the off-shoring of manufacturing jobs to other nations. So it doesn't matter how hard the government flogs the American people, the means to transform labor into capital, manufacturing, is not present in this nation in large supply.
It is one thing to produce full domestic employment by handing out rubber gloves and badges, but to redeem those paper dollars held by foreign governments requires tangible material goods that those dollars may be traded for, and those are in very short supply.
Those paper dollars already pouring out of Bernanke's printing presses are worthless in the foreign markets if there is nothing in the United States anyone wants to buy with them! Even our once profitable weapons industries reel from the embarrassments of the USS San Antonio, the grounding of the F-22s, the scrapping of the USNS Bejamin Isherwood and the USNS Henry Eckford without ever seeing a day of real service, etc. etc. etc. have proclaimed to the world that America's weapons systems, like its medical care are drastically over-priced and ineffective.
Right now the only thing holding the US Government's AAA credit rating in place may well be the threat of nuclear annihilation!
No comments:
Post a Comment