I will use this blog to do three things. One, provide a voice of opposition to the liberal controlled government. Two, to track their progress on promises they made to get elected (to see if they ever deliver.) Three, to vent, educate, and to work through my own frustration. Please read the ground rules if you wish to respond to this blog.

Tuesday, November 25, 2008

You Think Your Government is There to Help You?

When I ask people, what is your government supposed to do? They all say, “The government is there to help me.”

This is the fundamental problem with government. What is their role? The Founding Fathers were explicit in their thoughts.

We the People of the United States, in Order to form a more perfect Union, establish Justice, insure domestic Tranquility, provide for the common defence, promote the general Welfare, and secure the Blessings of Liberty to ourselves and our Posterity, do ordain and establish this Constitution for the United States of America. (The Constitution of the United States of America for those who didn’t know.)

Now let’s look at what happened yesterday, without a lot of hoopla, news coverage or fanfare.
U.S. Pledges Top $7.7 Trillion to Ease Frozen Credit (Update2) From the Drudge Report. By Mark Pittman and Bob Ivry

No you heard right, $7.7 Trillion was pledged in a congressional meeting Monday, November 24, 2008.

They wrote, “The money that’s been pledged is equivalent to $24,000 for every man, woman and child in the country. It’s nine times what the U.S. has spent so far on wars in Iraq and Afghanistan, according to Congressional Budget Office figures. It could pay off more than half the country’s mortgages.”

Still think the government is out to help you?

By the government’s own numbers, only 18% of the mortgages are problematic. 18% are causing all the problems. (Or are they?)

Do you see the duplicity? Not yet? Let me connect the dots.

The government is going to spend $7.7 trillion dollars to sure up the economy even though only 18% of the mortgages originally were the problem. With $7.7 trillion the government, who is supposed to help you, could pay off half the mortgages in the US, including all the ones that are causing problems. They could have ended the crisis day 1, by buying and refinancing all the bad mortgages themselves. Still think they are in it for you? Maybe the govnerment isn't thre to help you anymore. Maybe they aren't there for you at all. Maybe they are not even thinking of you.

So, what is actually going on?

Maybe it is bigger than they are telling us? Maybe it is larger than they want you to know?

Here is just a thought. They aren’t telling you because they don’t want to believe it themselves.

Here is another point of view. Do I believe it all, no, I don’t. But it isn’t the first time I have heard it either. I have read similar theories in Korean economic papers, European economic papers and, now from Russia.

From The Drudge Report, 11/25/08

Tue Nov 25 2008 09:04:22 ET

A leading Russian political analyst has said the economic turmoil in the United States has confirmed his long-held view that the country is heading for collapse, and will divide into separate parts.

Professor Igor Panarin said in an interview with the respected daily IZVESTIA published on Monday: "The dollar is not secured by anything. The country's foreign debt has grown like an avalanche, even though in the early 1980s there was no debt. By 1998, when I first made my prediction, it had exceeded $2 trillion. Now it is more than 11 trillion. This is a pyramid that can only collapse."

The paper said Panarin's dire predictions for the U.S. economy, initially made at an international conference in Australia 10 years ago at a time when the economy appeared strong, have been given more credence by this year's events.

When asked when the U.S. economy would collapse, Panarin said: "It is already collapsing. Due to the financial crisis, three of the largest and oldest five banks on Wall Street have already ceased to exist, and two are barely surviving. Their losses are the biggest in history. Now what we will see is a change in the regulatory system on a global financial scale: America will no longer be the world's financial regulator." When asked who would replace the U.S. in regulating world markets, he said: "Two countries could assume this role: China, with its vast reserves, and Russia, which could play the role of a regulator in Eurasia."

Asked why he expected the U.S. to break up into separate parts, he said: "A whole range of reasons. Firstly, the financial problems in the U.S. will get worse. Millions of citizens there have lost their savings. Prices and unemployment are on the rise. General Motors and Ford are on the verge of collapse, and this means that whole cities will be left without work. Governors are already insistently demanding money from the federal center. Dissatisfaction is growing, and at the moment it is only being held back by the elections and the hope that Obama can work miracles. But by spring, it will be clear that there are no miracles."

He also cited the "vulnerable political setup", "lack of unified national laws", and "divisions among the elite, which have become clear in these crisis conditions." He predicted that the U.S. will break up into six parts - the Pacific coast, with its growing Chinese population; the South, with its Hispanics; Texas, where independence movements are on the rise; the Atlantic coast, with its distinct and separate mentality; five of the poorer central states with their large Native American populations; and the northern states, where the influence from Canada is strong.

He even suggested that "we could claim Alaska - it was only granted on lease, after all." Panarin, 60, is a professor at the Diplomatic Academy of the Russian Ministry of Foreign Affairs, and has authored several books on information warfare.

We will see. I am not so sure our government is out to help us.

Having three months of food and water on hand doesn’t sound so crazy now does it?