… Despite the Obama administration touting a budget deficit of “only” $680 billion in 2013, the GAO’s more accurate accounting shows a total government cost of $3.8 trillion on total revenue of $2.8 trillion.
In other words– the administration wasn’t exactly honest with the American people– the deficit was more like $1 trillion, not $680 billion.
But it gets worse.
The GAO added up ALL the US government’s assets in 2013. Aircraft carriers. The highway system. Land. Cash and financial assets. The total is $2.97 trillion. The liabilities, on the other hand, total $19.88 trillion. This includes the official public debt, plus all sorts of IOUs and loan guarantees.
This means the net EQUITY of the US government is -$16.9 trillion [poster note: yes negative folks. GE.]
Moreover, the US government’s cash position is a mere $206 billion… roughly 1.1% of its public debt. This isn’t enough to cover net interest payments for the next year.
Unlike a savvy investor who borrows cheap money to purchase productive assets, the US government borrows money to pay interest.
…December 23rd 2012 a New York Newspaper Printed the names and addresses of every Licensed Pistol Permit holder in two Counties [poster’s note: Rockland and Westchester] and another County is being posted shortly! This is a massive privacy breach and the latest in a series of over the top emotional reactions to the latest shooting tragedy in Sandy Hook CT meant to intimidate the lawful and prey on peoples fears to exploit the gun grabbing agenda.
In an article title “The gun owner next door: What you don’t know about the weapons in your neighborhood” the paper linked to an interactive map titled: “Map: Where are the gun permits in your neighborhood?” where you can search neighborhoods to see who received a legal permit to own a hand gun license listed by name and address…
We lost the republic long ago. Within Remus’s lifetime, loyal constitutionalist patriots have gone from the majority to a tolerated minority to a designated hate group and now, presumed terrorists. Meanwhile, the collectivists—the Democrat Republican Progressive establishment—are openly consolidating their power, strutting on the national stage like Mussolini in front of a mirror, their witless minions shouting down deviations from DC’s two party one-party line.
DC has taken on the classic structure of totalitarianism: feuding official fiefdoms with fuzzy and overlapping authorities, all burrowing into the formerly private lives of the populace, legal cover provided by a Byzantine tangle of laws and impenetrable codes, a form of lawlessness in itself, as it’s meant to be. In this pervasive fog and fear they needn’t be lawful other than by their own calculations. Continue reading →
“…For the past four years, the Obama administration has created a Franco-German welfare state whose sole purpose is to forge a majority political coalition wedded to the Democratic Party.” The explosion of food stamps, the bailouts — all translated into an ‘I got mine, not gonna worry about anybody else‘ mentality that has ruptured this country into two camps: There are those who pay and there are those who expect the payment without any effort on their part…
… I’ve spent days analyzing the bill… and frankly, it’s a joke. You can read the 200+ pages yourself if you like, but here are the important points–
As we’ve discussed before, US government spending falls into three categories.
1. Discretionary spending is what we normally think of as ‘government.’ It funds everything from the military to Homeland Security to the national parks.
2. Mandatory spending covers all the major entitlement programs like Social Security and Medicare.
Then there’s (3.) interest on the debt, which is so large they had to make it a special category.
The latter two categories are spent automatically, just like your mortgage payment that gets sucked out of the bank account before you have a chance to spend it. The only thing Congress has a say over is Discretionary Spending. Hence the name.
But here’s the problem– the US fiscal situation is so untenable that the government fails to collect enough tax revenue to cover mandatory spending and debt interest. In Fiscal Year 2011, for example, the US government spent $176 billion MORE on debt interest and mandatory spending than they generated in tax revenue.
In Fiscal Year 2012, which just ended 6 weeks ago, that shortfall increased to $251 billion. This means that they could cut the ENTIRE discretionary budget and still be in the hole by $251 billion.
This is why the Fiscal Cliff is irrelevant. The automatic cuts that are going to take place don’t even begin to address the actual problem; they’re cutting $110 billion from the discretionary budget… yet only $16.9 billion from the mandatory budget.
Given that the entire problem is with mandatory spending, slashing the discretionary budget is pointless. It’s as if the US economy is a speeding train heading towards a ravine at 200 mph, and the conductors are arguing about whether they should slow down to 150 or 175.