Obamanation Has Begun

Is it just me that the newly appointed U.S president seems in an extreme hurry to ram this "stimulus" bill through Congress without any thorough debt, examination, or exchange of views? He just got into office. Where did he have time to gather all of the pertinent information to create a 600 plus page bill that is expected to cost over a Trillion dollars, according to the government's General Accounting Office? Or is he the one that should be getting all of the attention or credit? This is supposed to be a bill to bring the country out of it's dissention into the economic abyss, but this bill is not only expected to do anything close to making the government's ledger balance, but take it to the edge where it will have to borrow Trillions and Trillions for generations of Americans to come, to the point of not being worthy of being able to borrow anymore money from any nation, not even the Communist Chinese. The Communist Chinese are the biggest buyers of the government's debt, for right now. And for their generosity, China takes those debt notes, is allowed to flood our markets with their imports that drives our goods and jobs out of existence, creates a military that reportedly hacks into our nation's computers, government and private, over a million times a day, and will soon surpass our military in space, in the seas, and on the ground in the not too distant future. But, the question needs to be asked by us all, why is this Administration so in a rush to push through a bill that has been presented as one to stimulate the nation's economy, by the accounts of its accountability office will do nothing of the sorts?

This so called stimulus bill will boost the federal government's size and scope to gigantic proportions and take over sectors of the economy, such as banks, therefore nationalizing [socializing] these now private sectors, without any evidence that it needs the government to do such a thing, or how by the government's takeover of these sectors will stimulate economic growth for the nation. As I look at other socialized institutions, such as the U.S Postal System, and nations, such as Europe, blustering economic growth is not, nor has not, been the outcome. If socialization was such a great engine for economic growth why is it that America has been kicking the European's butt economically since our creation and people flood our nation to escape the suppression of their socialized economy - whether it is to create more wealth or to get a MRI immediately, not days or weeks?

This economic crisis is due to a bad mixture of high taxes on business and individuals, low individual savings, flood of cheap labor, the exodus of high paying jobs, and a fiat money system [Federal Reserve Notes] that is based on nothing but our belief that it is worth something, and is created out of thin air, therefore creates more debt for the nation simply by it's existence. By inserting more Federal Reserve Notes into the U.S economy only greatly exacerbates the critical situation for Americans and place a crushing financial burden on our children's children for years to come. Nothing short of removing these toxic ingredients will a true economic stimulus come about. At the end of the day this crippling economic crisis can only be resolved by a sound economic solution and monetary system.

This understanding is not new. Congressman Kucinich, Democrat from Ohio, stated, "Instead of nationalizing banks, we should nationalize the money system by placing the Federal Reserve under the U.S. Treasury, end the fractional reserve system and stop banks from lending credit into circulation. Then instead of borrowing money from the banks and creating debt, government can spend the money into circulation to rebuild and restore America with money for jobs, housing, healthcare, and education ....The Treasury Department should not be outsourcing to the Fed its oversight responsibilities."; "Instead of giving private bankers more power, we need to incorporate the Federal Reserve into the Treasury where all new money could be created as government money, not as interest-bearing debt.. Mr. Kucinich has also called on the federal government to halt the banks' privilege of creating money out of thin air by ending the fractional reserve system and to institute monetary reform beginning by issuing debt-free money, similar to Lincoln's Greenbacks. Congressman Ron Paul, Republican from Texas and '08 U.S Presidential Candidate, stated, "If Congress really wanted to do something helpful, it would cut taxes. Ideally, we would repeal the income tax altogether and get the IRS off the economy's back." On February 4, 2009, he introduced The Federal Reserve Board Abolition Act, H.R. 833, he stated upon the introduction on the House floor, "The Fed has followed a consistent policy of flooding the economy with easy money, leading to a misallocation of resources and an artificial "boom" followed by a recession or depression when the Fed-created bubble bursts. With a stable currency, American exporters will no longer be held hostage to an erratic monetary policy. Stabilizing the currency will also give Americans new incentives to save as they will no longer have to fear inflation eroding their savings."The Heritage Foundation, a conservative economic think tank, has stated in regards to taxes, "completely eliminating capital gains and dividend taxes would be a cheaper and more effective means of sparking economic renewal. ...The elimination of capital gains and dividend taxes would encourage increased investment that puts more funds into the financial service sector so that the economic pipes can begin flowing again." With regard to Obama's plan of huge spending and borrowing, the Heritage Foundation states, "Borrowing and spending may provide some immediate relief, but such policies reduce growth in the longer run and tend to expand government permanently. A policy of reducing tax rates allows the private sector to produce the stimulus instead, thereby avoiding such flaws." Former U.S presidentRonald Reagan said of government in debt, "Yes, deficits are a problem ... But the problem is not the size of the deficit, it's the size of government's claim on our economy." The great Roman philosopher, Marcus Tullius Cicero, stated of a nation's fiscal integrity, "The budget should be balanced, the Treasury should be refilled, public debt should be reduced, the arrogance of officialdom should be tempered and controlled, and the assistance to foreign lands should be curtailed lest Rome become bankrupt. People must again learn to work, instead of living on public assistance." Thomas Jefferson even spoke of the disastrous consequences of government debt when he said, "We must not let our rulers load us with perpetual debt. We must make our election between economy and liberty or profusion and servitude. If we run into such debt, as that we must be taxed in our meat and in our drink, in our necessaries and our comforts, in our labors and our amusements, for our calling and our creeds...And the fore-horse of this frightful team is public debt. Taxation follows that, and in its train wretchedness and oppression."

I could understand if there were no passed examples of successful economic rebounds for there to be so much ignorance of economic principles displayed by the past and current U.S administrations, but there are several. The Americans for Tax Reform reports, in late 1963, Congress implemented the Kennedy tax cut, which lowered the top marginal personal income tax rate from 91% to 70%.Until LBJ raised taxes to pay for the Vietnam War and Great Society, average annual real GDP growth from 1964-1966 was 6.2%; In 1983, the Reagan tax cuts were fully implemented. They reduced the top marginal income tax rate from 70% to 50%, and also cut the corporate income tax rate. The top personalrate was reduced to 28% in 1986average annualreal GDP growth from 1983 to 1989 (the last year before the George H.W. Bush tax hike) was 4.3%; and in 2003, President George W. Bush cut the top personal rate from 38.1% to 35%, the dividend rate from 38.1% to 15%, and the capital gains rate from 20% to 15%. Real GDP growth averaged 3.0% per year.

It should be noted that the last democrat president to force a huge stimulated government stimulus economic agenda on the American people was Lyndon Johnson. We see how that worked out for America and her people - and that was when the country actually was a world producer, not consumer.

Mr. Obama, supposedly a student of history, supposedly has the best brains around him, is to have thought this proposed 600 plus page bill through thoroughly, and is to presumed to have reached the conclusion that this plan, that severely goes counter to the most passive intuitive economic rationale and will cost the American people Trillions upon Trillions of dollars in debt, including interest, that will be followed by another plan to rescue the financial system, again, that will cost more borrowed Trillions, is the best plan to restore America to financial solvency and sovereignty. That's like letting in the cattle rustlers in the gates and not expecting to have steaks for dinner. One can but wonder if his deep rooted belief that all good comes from government [socialism] is the "change" that will bring this republic to her knees?