It’s the Republicans Stupid… No, it’s the Stupid Republicans!

The last time the Republicans were a majority in congress they morphed into being fiscally indistinguishable from the Democrats. They have just been given a second chance to show they can make government smaller. Why are Mitch McConnell and other senate republicans waffling on banning earmarks?  Do they not understand why they won.  Are they going to make the same mistake twice?  It’s the Stupid Republicans!

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A suggested response for Leader Boehner to President Obama

Dear Mr. President: When you were campaigning for president, your speeches stressed that when you got to Washington, you would reach your hand across the isle and end partisanship.  When you reached Washington, you promptly told us you won the election.  As we considered your legislation at the Blair House meeting under the pretense of bi-partisanship, you and your majority party subsequently would not include our input and blocked our amendments.  Then in an air of condescension to the American people and an elitist assumption of their stupidity, you claimed we were obstructionist and the party of no. You and the majority party proceeded to pass your legislation in a totally partisan manner, without transparency, using vote buying and slide-of-hand tricks.

Now that you have had your butt handed to you in the election, you claim that you will listen to our ideas if we come to you in a bi-partisan atmosphere. Are you crazy?  Obviously you do not see that the momentum has changed sides.  We will simply submit legislation representing the American people’s agenda for change.  The only power you have now is veto!.  If you opt to use it, the Democrats will actually be the party of no and the stupid Center-of-Right American Majority will crash your servers with their response.  Tread lightly Mr. President.

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Extending the “Bush Tax Cuts” does not create a deficit. It’s the spending stupid!

The Bush Tax Cuts have been in effect for ten years. For ten years congress has been without those revenues. Now the Democrats claim that continuing those tax cuts will create a $700 billion deficit. How? How? How? Wouldn’t increasing spending by $700 billion create the deficits. It’s the spending stupid!

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Apology to Bill Maher

Recently I saw Bill Maher on TV raving about conservatives being radical, sub-human and mindless.  His vitriol angered me.   Bill Maher you are right. You are mainstream and you can in no way be categorized as a radical. I apologize for not knowing my place. According to you, I am too stupid to be an American.

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A Palestinian Sate inside Israel? Impossible!

Recently Israeli Prime Minister Benjamin Netanyahu offered to stop the settlement building if the Palestinians would agree to recognize the state of Israel. The Palestinians refused.

How absurd is it for our President and the Europeans to push Israel into giving up a portion of their land for a Palestinian State, when the real goal of the Palestinians is Israeli annihilation. Israel’s neighbors harbor the same goal and have attacked on more than one occasion. Israel possesses some land gained in winning these wars. Why should Israel give up anything when its antagonistic neighbors continue to lob missiles at them!

Peacefully forming a Palestinian State within Israel appears to be impossible. Since Iran and Syria (via Lebanon, Hezbollah, and Hamas) supply the missiles being fired at Israel, a logical solution would be for our President to suggest to the world that a Palestinian State be carved out of land furnished by Iran and Syria. That seems like a simple and fair thing to do.  To facilitate this peace process, the President could offer to supply the buses.

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Fear and the Recession

Recessions end when people and business start spending again. When products and services are purchased, people are hired and manufacturing expands to replenish inventories as the economic engine begins to roll again.

All this happens because of confidence and optimism, not government intervention. Shovel ready projects and subsidized state/local governments do not create jobs, they create debt. These jobs are lost when the funding stops, but the debt remains.

The stimulus actions of congress and the Obama administration have done nothing but create fear. Parents are afraid of the results of government spending and debt on the futures of their children. They are foregoing instant gratification and paying off credit cards. Businesses are not expanding, not hiring and hoarding money in anticipation of the uncertainty in the current climate.

This fear prolongs our emergence from the recession and may cause a double dip. The Democrats and Obama do not get this! Maybe by not following our stimulus and legislative lead are the reasons China, Asia and Europe are beating us out of the recession. It’s the Government Stupid!

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The Government stupid?

For decades the politicians have grown the government under the premise of helping people in some way because they could not accomplish meeting the need on their own. Thus the creation of a multitude of programs subsidizing agriculture, health care, elder subsistence, education, business and many more.

What the stupid politicians do not realize is that the cost of government is ultimately absorbed and passed on in the price of everything purchased in our lives. For example, when a company hires an employee, the compensation paid is what the company is willing to pay and also absorb the Social Security tax match, unemployment taxes, cost of meeting governmental regulations, workers comp, state and local sales, property taxes, licenses, fees etc. The employee is willing to work for that compensation, and pay their sales, income, property taxes and other government expenses out what they receive. Therefore, all the costs are included in the price of what the company has to charge to cover that expense.

All of government spending has to be covered in one of three ways. Taxation, borrowing, or printing money. Taxation is absorbed in the price of the products and services the consumer purchases. If a loaf of bread is $3, half the price may be paying for government. If government were a lot smaller, would it not be better for low income earners to pay $2 for bread than $3 with food stamps?

When government borrows, interest rates are driven up because it will pay whatever rate is necessary to attract the money necessary to cover its spending. Businesses and private consumers pay the interest rate necessary to compete for whatever funds are left to loan. Private borrowers pass on their borrowing expenses in the compensation they are willing to work for and be employed. Businesses pass on the borrowing expense of both the employees and the company in the price of their product or service.

Printing more money by the government to cover spending, results in inflation (higher prices).  All government expense ends up in the price of what we buy.

This is the concept that our 80 IQ politicians fail to understand and thus the unintended consequence that results. Smaller government actually helps the poor, large
 government hurts by making bread more costly!

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