Posted on 12/02/2013 11:14:27 AM PST by 1rudeboy
Abstract
The great and calamitous fiscal trends of our time—dependence on government by an increasing portion of the American population, and soaring debt that threatens the financial integrity of the economy—worsened yet again in 2011 and 2012. This rise in government dependence happened despite the nation undergoing an economic recovery after the economic collapse of 2008 and 2009. The United States has reached the point at which it must reverse the direction of both trends or eventually face economic and social collapse. Yet policymakers have made little progress on either front since the 2012 Index of Dependence on Government was published. The United States held a dubious distinction in 2011—44.7 percent of the population pays no federal income taxes. While this percentage is a cause for concern, the figure is an improvement compared to the 48.5 percent of the population who paid no federal income taxes in 2010. Among the greatest danger is that the swelling over time of the ranks of Americans who enjoy government services and benefits for which they pay few or no taxes will lead to a spreading sense of entitlement that is simply incompatible with self-government.
America is increasingly moving away from a nation of self-reliant individuals, where civil society flourishes, toward a nation of individuals less inclined to practicing self-reliance and personal responsibility. Government programs not only crowd out civil society, but too frequently trap individuals and families in long-term dependence, leaving them incapable of escaping their condition for generations to come. Rebuilding civil society can rescue these individuals from the government dependence trap.
Related to these disturbing trends, publicly held debt continued its amazing ascent without any plan by the government to pay it back. As if those circumstances were not dire enough, the country is about to witness the largest generational retirement in world history by a population that will depend on currently insolvent pension and health programs.
The 2013 Index of Dependence on Government is designed to measure the amount of federal spending on programs that assume the responsibilities of individuals, families, communities, neighborhood groups, religious institutions, and other civil society institutions. It seeks to measure the overall extent to which the society as a whole, as opposed to any particular individual, is dependent on government.
The 2013 Index of Dependence on Government highlights the gathering fiscal storm clouds. Unsustainable increases in spending on dependence-creating programs that supplant the role of civil society predate the recent recession, and have continued to rise since the economy collapsed in 2008 and 2009. There is one silver lining to those clouds: A few policymakers and independent public policy groups have advanced plans for restoring fiscal balance in Washington. Among them is The Heritage Foundation. Heritage calls its fiscal plan Saving the American Dream. The Heritage plan reforms and funds those government programs that matter most to people who need the government’s help, and it frees the private sector to create the millions of jobs that will dramatically reduce the growth of dependence on government.
Very long read at the link.
So many of these trends are absolutely unsustainable. And the progressive media is obviously going to be “shocked” when the implosion arrives.
Bump for later.
Let me try to summarize.. You and I are SCREWED..
Let me summarize your comment: we're doomed.
We’re way past the point of trying to advocate on the side of self reliance. Time to go full honey badger, turn the government spending up to “11” and get the collapse over with. Embrace anything that hastens it. Gridlock was our last hope. It failed. Get the collapse over with while we’re stl yoing enough to rebuild.
bump
That chart appears to be placing all the blame on Republican tax reform efforts.
Study later.
Uh, no.
Have you seen the wealth transfer the FEDs low, low rates have allowed governments?
http://nextbigfuture.com/2013/12/us-and-european-governments-gained-16.html
It’s a mess.
WOW, thats why we are broke and will continue to be.
“That chart appears to be placing all the blame on Republican tax reform efforts.”
There is some truth to Republican tax reduction being responsible for fewer Americans paying taxes. Each time the marginal rates were adjusted, more lower income people were removed from taxation (i.e. the floor of the lowest tax bracket was raised). The Republicans helped create an underclass with no obligations.
I’m not sure how much MORE I can Hunker Down! I’ll be in my bunker cleaning my guns if anyone needs me.
Thanks G*d I love Rice and Beans, can stitch a wound, sew on a button, pack shells, bake bread and make soup from scratch!
In The New World Order, I will be revered as a Goddess! A GODDESS, I tells ya!
Many of our extreme left fellow Americans use these data to support the argument that taxes are low and need to be raised. Our take is that it's unsustainable to keep dumping the tax burden on those that hire because now there's no hiring.
Some people say the Fed controls the economy, both the labor markets by being able to say how many jobs there are and the capital markets by being able to say what everyone's interest rates are. Most of us decide for themselves what we do with our money without first consulting the Fed.
Just the same, interest rates are low, and this does benefit gov't interest payments more than those for private borrowing--
--although those gov't interest payments will ultimately have to come out of private pockets...
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