We have a monetary system that is accountable to no one and that’s a very good start. If you think about it, the way that the monetary system is structured, the government at this point can literally spend money on anything. They talk about capping the federal deficits and all that, but they’ll get past that in no time at all.That quote is from a must-read interview: LINK Please read this so you are not just hearing this truth from people like me.
I didn't bother watching The Big Speech last night, mainly because I had a competitive tennis match (which I won) but I would have found something otherwise productive or value-added to do with my life in lieu of watching a snake-oil salesman get in front of the nation and put out a program of massive Government spending that is nothing more than an enormous attempt to buy votes from what is now his largest constituency: the rapidly growing and large segment of the population that is dependent on direct Government transfer payments.
For anyone not familiar with the details of the prosposed "stimulus" program, a good summary can be found HERE (Link) The most ABSURD idea is his proposal to spend $105 billion on school modernization, transportation projects and vacant land rehabilitation. Vacant land rehabilitation?
To be sure some of the ideas are based in good intent (I guess). Like updating schools and keeping teachers to work. But these are the luxuries of a country that can easily afford programs like that. Not the vote-buying effort of the failing President of a country with spending deficits and debt obligations that are beyond manageable and growing everyday - at an accelerating rate. Vacant land rehabilitation?
The proposed spending cut "off-sets," which is the part that Obama promises will "off-set" the cost of the Government's funding of his massive proposal, would occur over the next decade. Quite honestly, it takes brass balls for someone who just transferred $500 million of Taxpayer money to the failed solar company of a wealthy campaign contributor to get up in front of the American public and ask them to believe in the tooth fairy. Seriously.
There is no easy fix to our country's ongoing systemic failure. I have said for many years that we need a financial and political "do over." The former would entail figuring out a way to "re-set" the nation's debt-balance to zero, which will unfortunately require a massive decline in the standard of living for everyone but the most wealthy (those with enough ready-cash to own their own Congressman or President - Buffet, for example). This will never happen without one big systemic collapse. And a political "do over?" Unfortunately, if put to the test of human history, these never happen without a revolution or war.
To end with a note of humor, I thought I would put in a video link to what it was probably like for Obama to learn about the business of Wall Street after he was elected, since he had absolutely no real world work experience in his entire life:
Have a great weekend!