Skip to comments.Governments Binge on Debt with Easy-Money Policies and Low Interest Rates
Posted on 03/17/2014 9:32:33 AM PDT by Kaslin
Confirmation that governments are squandering money on ill-advised programs fueled by the easy-money policies of central banks worldwide became all-too-evident earlier this week when a European business leader responded to a question I posed at a press briefing here in Washington, D.C.
(Excerpt) Read more at townhall.com ...
Wonder how much of the squandering money ends up in Swiss bank accounts?.
It is an historical and incontrovertible fact that politicians will always overspend...up to a point. (That point moves up quickly when the people start throwing the bums out.) But it is high taxes, not high government deficits, that hurts us the most. The most important thing towards individual prosperity and a healthy economy which is of primary importance, and a healthy fiscal policy which is of secondary importance, is a LOW, FLAT TAX (10%-15%).
The article’s point is a good one but I’d change the headline. As always, the problem is a SPENDING binge. Whether its paid for by taxes or debt is secondary to the issue that we are on a truly out of control spending binge that no one seems to be able to stop. Obama’s spending is insane but Bush was bad too — its a bi-partisan issue. Focusing on debt hides the nature of the issue: out of control spending.
I watched Ted Cruz during his valiant effort to halt the disaster called Obamacare. I hope you watched it as well. If he used it once, he used the phrase “...we no longer listen to the people, our constituents...” over a hundred times. And he was right...they don’t. And the fact is, THEY NO LONGER NEED TO.
I’ve sent my little rant on this topic before but Ted’s honest comment compels me to do so again.
WHY THE POLITICAL RULING CLASS NO LONGER LISTENS TO US!
When the servants of the people are paid with something other than that which the people themselves have produced (i.e. the real, tangible products of their labors or some fixed and real medium of that exchange), the roles of master and servant will be reversed.
That was Thomas Jefferson warning that the financial disaster we now face would be but one of many problems paper money would visit upon us if we allowed our leaders to remove the backing from the currency.
It was believed by Roger Sherman and a majority of those at the Constitutional Convention that unbacked fiat currency would so damage the fabric of the nation that they ATTEMPTED to prohibit it with these few words at Article 1, Section 10, requiring the states to enforce the prohibition: No State shall make any Thing but gold and silver Coin a Tender in Payment of Debts;
If the people and their states grew inattentive to this matter (and they have!), Jefferson also saw another problem ahead.
In a letter to John Taylor in 1816, he wrote, “And I sincerely believe, with you, that banking establishments are more dangerous than standing armies; and that the principle of spending money to be paid by posterity, under the name of funding, is but swindling futurity on a large scale.”
We have been swindling futurity for a long time and this is now where we find ourselves. If the government, through its banker masters at the Federal Reserve, can create money from thin air, they certainly dont need ours every April 15th. That annual sheep shearing is simply an attempt to vacuum enough of the excess paper from the system to keep the rest of us from catching on to the biggest theft ring in the history of man. They have now created so much that their attempt is failing and failing badly to a point where all but the dullest among us (Obama voters and his growing cadres of personal and corporate welfare beneficiaries) are starting to get it.
If you understood that last paragraph, you can now make the small leap to an understanding as to why the progressive utopian welfare state hacks in Washington dont give a damn WHAT you think. Their power to create all the money they need to fuel their infernal machine and fill the gaping maws of enough of those growing hoards of welfare constituents to assure their perpetual re-election means that — ready — THEY NO LONGER NEED YOU! They have become, as Mr. Jefferson predicted, our MASTERS.
We won’t have even a CHANCE at an honest government until we again have HONEST MONEY.
That they are taking down a nation and a system that has provided more wealth, safety and abundance to more people than any other in history matters not to them. Failing to grasp the lesson of the French Revolution, they believe themselves to be above the impending disaster.
Were running out of time to get this increasingly rapacious beast back into the cage from which we have carelessly allowed it to escape.
PS: I was a 3 year member of the national board of CATS (Citizens for an Alternative Tax System), the precursor to the current Fair Tax organization. I fully support the concept of a CONSUMPTION TAX over the current Marxist INCOME TAX. That said, UNTIL WE GET BACK TO HONEST MONEY, WERE REARRANGING DECK CHAIRS ON A SINKING SHIP.