Monday, November 23, 2009

It’s the Economy, Stupid.

With all the talk of socialized medicine and corporate bailouts as of late, it may have slipped your attention that the United States of America itself is on the verge of needing a bailout. Even with the Federal deficit at historical highs and continuing to grow, our political leaders are continuing to spend money like there’s no tomorrow. It’s like an addiction; they just can’t seem to stop themselves.

In a November 22, 2009 article, the New York Times reports “With the national debt now topping $12 trillion, the White House estimates that the government’s tab for servicing the debt will exceed $700 billion a year in 2019, up from $202 billion this year, even if annual budget deficits shrink drastically. Other forecasters say the figure could be much higher.” Let me say that again…$700 Billion just to service the debt, not to pay it down, just paying the service on the debt.

The national treasure is not just gone…squandered away by greedy, unscrupulous politicians…it’s been replaced by a mountain of IOUs that we now have to pay back to banks and other countries like China. This is no mere inconvenience, but a matter of utmost national security. If we fail to pay back our debts, we will lose the good faith and credit of the world community that took so many years to build. This will hurt our ability to trade, to assert influence and project power around the world. We will be greatly weakened.

And what is government’s solution to this crisis? Let’s spend more money. This has gotten to a point where it’s even too much for the very left-wing Saturday Night Live writers (remember, Al Franken was an SNL writer). In their recent skit depicting a press conference between President Obama and Chinese president Hu Jintao, President Jintao says, through his interpreter, “You know, as I listen to you, I am noticing that each of your plans to save money involves spending even more money. This does not inspire confidence.”

But, Mr. Obama asks us to have patience over the economy. "Even though it will take time, I can promise you this: we are moving in the right direction; that the steps we are taking are helping," he said in his weekly address. Patience? Patience while they continue to move down paths that got us into this mess in the first place? Well, I guess if out-of-control spending is what got us here, we should keep it up to fix the problem, right? What is the definition of insanity again?

The health care issue may elicit strong emotions on both sides, but the plain fact is that we cannot afford the entitlements we’re providing now, let alone taking on more. Social Security, Medicare/Medicaid are already nearly bankrupt. None of the niceties are possible if we have no economy left. Our ship of state has a sizable leak. We must turn it around and head back for safer shores before it’s too late…before we reach the point of no return. This will not be easy. We will have to make cuts…just like any of our families or employers would have to in a similar situation. But the survival of our way of life is at stake. 

Government should be taking firm, decisive steps to shore up the economy.  Make cuts across the board in all departments.  Reduce spending and stimulate the economy the only way that has ever worked...tax cuts.  Instead they think of new was to spend OUR money.  Enough is enough!

One more line from the SNL Skit: "How exactly is extending health-care coverage to 30 million people going to save you money?" Hu asked.

"I don't know," answers Obama.