As of today, the number one topic of the media and much of the blogosphere will likely be the measures recommended by the inept chairs of the Deficit Reduction (aka “Catfood”) Commission to reduce the federal deficit. The fact that these men and this topic are the focus of attention is itself a national tragedy, a sign of the political elite’s unwillingness to heed the public’s demands that government focus on the nation’s real priorities.
Whether one looks at public opinion polls, which consistently place confronting massive unemployment and the recession’s economic effects first, or the views of our wisest advisers, there is no public demand or convincing intellectual argument for focusing now on the federal deficit, even for the long run.
It is bad enough that we have been misled by the lies and misrepresentations of deficit hysterics at the Washington Post and Peter Peterson’s billionaire gang, or faux deficit hawks in Congress who would slash an undisputably solvent Social Security while claiming it’s fine to give $700 billion in tax breaks to the richest people in America.
It is even worse that a media that has been given enough information from its own polling, government or think tank reports, and it’s own reporting has fallen for this insanity. This is the economic equivalent of believing we should go to war to rid Iraq of WMD and end Saddam’s alliance with al Qaeda. The justifications for waging war on the deficits are that false, that stupid, that disproved and that disastrous for the nation. It’s been the Washington Post’s Fred Hiatt playing the New York Times’ Judy Miller.
The public is once again smarter than the Village pundits. In poll after poll they’ve said the country’s number one priority by far is to deal with the Great Recession’s disastrous effects on unemployment, economic security, foreclosures, declining wages and disappointed retirement hopes. How one could know that and still think the solution is to delay and reduce Social Security and Medicare benefits is a mystery.
Yet night after night we have to listen to the sickening hypocrisy of the John Boehners lecturing us on how the Democrats lost because they, and only they, failed to listen to the American people. There’s no mandate to radically slash deficits or threaten safety nets in the middle of a recession. And there’s certainly no support for slashing Social Security. Yet that’s exactly where Obama’s selectmen Knowles-Simpson are.
The country does not need a crash program to reduce the deficits now, so asking a high-level commission to focus on that problem and present its recommendations now is the worst possible distraction one could imagine. Instead, the country desperately needs an economic recovery plan, a jobs plan, a state rescue plan, an infrastructure investment plan, an alternative energy plan. Where are the Presidential commissions for these real priorities?
The Catfood Commission is not merely a momentary distraction from what needs to be done; it is a calculated displacement — a cynically manipulated replacement of the right priorities with exactly the wrong ones. As long as Washington and the national media debate the details of budget reduction, it will be impossible to discuss what we need to do to put people back to work or even to ameliorate their suffering until the jobs and economic security return.
The Bowles-Simpson proposals should not be debated; they shouldn’t even be read. Instead they deserve to be put on a shelf, probably for at least three years and likely more, until this country is well on its way to economic recovery and the numbers of unemployed are several millions fewer and steadily declining. No other economic/budgetary priority comes even close.
When Obama established his commission, it may have been the worst strategic blunder by a Democratic President in our lifetimes. It’s almost impossible to calculate how much damage he may have done to the country in this single, foolish act. We have 15 million unemployed, millions undergoing bankruptcy and/or foreclosures, record poverty, state and local governments in budgetary collapse, services being slashed, teachers/firemen/police losing jobs — all of which could be prevented but will take more federal spending because that is the only place increased demand can come from. Yet the Deficit Commission focus will now be an unneeded obstacle to every proposed solution.
The only useful thing a responsible deficit commission might have done now is to debunk the falsehoods and hypocrisy of the deficit hysterics and faux deficit hawks. A truly responsible group might then have continued working, in public, to analyze long-run future budgetary issues. But they’ve not only failed to clarify the problems and debunk the myths; they’ve made public understanding worse. If they’d been commissioned by a successful corporation wanting to understand its future priorities, these folks would have been fired months ago.
Now we have to spend all our energy fighting a set of deficit proposals, including proposals to weaken Social Security, from two men chosen by Barack Obama whom no one with any sense would ever trust with setting the nation’s priorities. Next will come mindless proposals for balanced budget amendments, whose constraints could turn a sovereign federal government with its own currency into a gridlocked California or Greece.
And liberal Democrats now squarely confront the dilemma that the only way to stop the slide into fiscal insanity and restore the nation’s focus on its real priorities is to defy and discredit a supposedly Democratic President. This is his error; make him fix it or go down with it. I hope they wake up in time.
John Chandley
More:
Kevin Drum, Is the Deficit Commission Serious? [no]
Paul Krugman, Unserious People
Dean Baker, Erskine Bowles, Morgan Stanley, and the Deficit Commission
Jon Walker/FDL, Disaster for Democrats
Masaccio/FDL: Catfood Co-Chairs Use Social Security to Cut Deficits
Michael Whitney/FDL — FDL Petition — Tell President Obama and Catfood Commission: Hands Off
DeLong: Unexpected thoughts: “I’d be a happier camper if Obama (and Biden) resigned tonight.” And that was before he read this.



73 Comments

This is a truly exceptional post.
Recommended.
Yeah… it’s real good. Nice work.
Wrecked.
Thriving on chaos and shock doctrine, – who knew, eh?
rec’d
We live in a remorseless predatory culture. Those in power don’t intend to give that up. I really have given up hope in the common sense of ordinary people and the vote to any longer protect civility. I simply cannot read the past ten years as any thing other than further remorseless progression in destroying the instruments and power of government, turning the country over to the predators.
Unrestrained capitalism is a failing and failed system now turning in desperation to consuming its progenitors.
I covered my little email dustup with Alice Rivin yesterday, but will repeat it one more time here, as it so perfectly illustrates the point. Don’t do html, so hopefully I can type it clearly enough to show who said what to whom.
I enticed her into responding by sending her a link to a 1980 photo on a rafting trip that she, I & 10 other interesting women took. In the initial email with that link, I mentioned her work on the CC. For the record, I have barely been in touch with her in the intervening 30 years.
She responded with how important it was to “fix” SS now to “save” it for the all of the future & included a link to her more extensive writing on the subject.
My return email to her was:
“Of course, everyone knows that SS doesn’t need saving. The surplus that would have made it solvent for a long long time was given to the rich by the W tax cuts.
Besides, I’m puzzled why anyone would work on a problem so far in the future, when current economic problems are so much more pressing.
But I guess we’ll never know, since your proceedings are secret.
Meanwhile the FRB is doing its best to impoverish retirees before the Catfood Commish gets its chance.”
The latter included a link to masccio’s post yesterday on how low interest rates are punishing retirees.
I let Alice have the last word with her response:
“I guess we disagree on some basic facts that “everyone knows.” I am sad that you are so angry. Maybe someday we can have a thoughtful conversation. I’d like that. Alice”
“The public is once again smarter than the village pundits.”
Refreshing to see that, instead of the latte’ liberal compulsive trashing of the voters because, as Truman said, they don’t like bogus democrats.
And, maybe a bit relative to that, here’s a good ‘toon by Oliphant, a staunch progressive, that nails Pelosi and her insistence on continuing as the dems House leader. The republicans would LOVE to have her to point to, again, in 2012:
http://news.yahoo.com/comics/pat-oliphant
Yes we can can the pu$illanimou$ pu$$yfooder$ (and its obamanible executive catfood commissar)! $How us the bu$h, chenge, quarter barack and nobama line! “Willy pete” peter$on, er’ $kin bowle$ and re-elan $imp$on!! With their catfood entrees, serve ‘em all the salt peter, son!!!
Ian Welsh does a great job of explaining what is going on:
“Everyone is trying to slash expenses on ordinary people, so they can funnel money to the top, and avoid forcing rich people and corporations to take their actual losses.
So, take as much from the public domain and turn it into monopolistic profit centers for private enterprise (for example, the health care bill, mandating purchases of a private product with no price controls or unregulated credit card interest rate and fee increases), slash spending on things which can’t be turned into profit centers, and make sure that banks and other corporations aren’t forced to take losses.
To bring it home, you have New York Governor-elect Cuomo saying that his first goal is to take out the NY unions – ie. to get wage and benefit concessions out of them. You have a huge push against teachers unions, both to reduce costs and to turn eduction into a profit center (money for corps). You have the push to slash SS and Medicare (entitlements) and so on. And on the top end, to keep low tax rates for rich people and even decrease them more.”
http://www.ianwelsh.net/
eCahn’s spot on. The GOP can’t say:
“Holy Shit! We’ve got all that money just sitting there, and we let the stock market and the fatcats go through all this stress? We can give them the keys to the SS lockbox, and then the poor souls won’t have to make do with last years Hatteras 53.”
Instead:
“Oh, my. The wretched socialistic safety net is all buggered. But we fiscally responsible republicans (and our Wall Street robber-barons) know just how to fix it…in fact, let’s invest a good chunk of it in a new Halliburton mall in downtown Kabul!
That’s a guaranteed winner!”
Heh. Cuomo fils. About 1000 degrees to the right of Cuomo pere. Why am I not surprised.
Thanks for posting this exchange eCAHNomics.
Rivlin said,
I am sad that Ms Rivlin is apparently unwilling to consider or discuss the issues raised by eCAHNomics.
Excellent post. Thanks. Sadly many Americans who oppose cuts to Social Security don’t understand that it was Obama who created the cat food commission and appointed the neanderthals who are on it. Too many of these Americans still blame the Republicans alone. Blindly they refuse to see Obama as he really is or understand how right-wing and reactionary he is. These cat food idiots now plan to cut the benefits of seniors currently on Social Security by limiting the cost-of-living increases to the rate of inflation (itself a phony number) instead of to wage growth or a more realistic peg. For heavens sake, the current increases are inadequate and these jerks want to lower them.
Sheez, no preview? no edit? no HTML? Not a great combination. Or is it just me and Firefox?
AND, this is the FAT Feline face of full Frontal FASCISM in the Obameh FATHERLAND!
Tuesday in Tennessee. Representing the have-mores, Rep. Todd Likens refers to the non-have-mores as RATS.
http://www.youtube.com/watch?v=TE237g7KI8Y&nofeather=True
You got it, Cate.
The big, bad, republicans, with that deadly 18 seat deficit in the Senate and the ever-dangerous 77 seat shortfall in the House, have beaten poor, courageous, Obama senseless…and stolen the poor man’s Exxon-Valdez of political mojo that we gave him two years ago.
The horror!
The CatFood Conspiracy was in no way a “strategic blunder” by Obama. It was a carefully calculated ploy intended to produce precisely the results we are seeing. Obama is not our friend, he is bent upon the destruction of the Democratic party and the impoverishment of all working Americans. Obama is a member of the club which includes Dick Cheney, George W. Bush, Rupert Murdoch, and the Koch brothers. This is their plan, and it’s all working out just the way they want it to.
Scarecrow, I bow in awe.
Now that’s speaking truth to power, straight from the heart.
God bless you.
I know they’ve rolled out the plan, but I don’t think it’s going to work as smoothly as they think. At least, I hope not.
I think that the only thing those inside the beltway would notice is if there were suddenly a mass exodus of the middle class to other countries.
After all, who would then pay the taxes that allow the financial elites to keep a quarter or more of our GDP?
Obama’s next target, public education, I didn’t really get the end game on that until I read the post. Why do conservatives (Obama) hate public education? It’s an expense, and needs to be made into a profit center.
The CatFood Conspiracy was in no way a “strategic blunder” by Obama. It was a carefully calculated ploy intended to produce precisely the results we are seeing.
Obama himself is a carefully calculated ploy. His “making history” as the first African American president was the shiny object that distracted all but the terminally cynical (read: us) to what has been going on.
I don’t think this has been addressed hardly at all anywhere, because who cares about Asia while the Deficit hawks are screaming and the republicans are sidetracking about how “expensive the trip is? But, it;’s all of a cloth of how our government is attacking US and other countries.
Obama and the US corporate takeover
US-based Monsanto’s monopoly in the Indian seed market has allowed the US corporation to harvest huge royalties through Intellectual Property Rights (IPR) while Indian farmers are pushed into debt and suicide. Two lakh farmers, mostly in the cotton belt, have committed suicide in India since 1997, the leading cause being debt linked to crop failure of the Monsanto Bt cotton, the spread of monocultures and of highly expensive, capital-intensive inputs that made cultivation economically unviable.
“Mr Obama is also trying to pursue President George W. Bush’s agenda of unleashing Walmart on India’s retail economy. The argument used is reduction of waste and creation of jobs. However, Jonathan Bloom’s recently published book, American Wasteland: How America Throws Away Nearly Half of its Food, puts the blame on the Walmart model for the destruction of food. India cannot afford such an expensive mistake. Further, retail generates 400 million jobs through self-employment. Instead of exporting unemployment to India from the US, Mr Obama should be importing innovative ideas of employment generation by learning from India’s small-scale entrepreneurs.”
http://www.deccanchronicle.com/dc-comment/obama-and-us-corporate-takeover-708
Disaster Capitalism indeed
We must make the Bond Traders happy by lowering the deficit.
These dirty rotten bastards are going to use one hand to take money away from old people who can barely survive on their paltry monthly social security payments and with the other hand give $700 billion to the obscenely rich kleptocrats who will use it to create yet another bubble that will drive prices through the roof for basic commodities like food and gas starving millions of people here and around the world until the bubble explodes and economy crashes again.
Anyone in Congress who votes for this disgusting bullshit proposal deserves to spend the rest of their days locked up in solitary confinement in a dark and dreary underground hole fighting rats for maggot infested table scraps.
Why do conservatives (Obama) hate public education?
Because public education makes it too easy for people from the “wrong families” to advance in society. We can’t have that in 21st century America.
I think we’re gonna have to start thinking about treating the Clinton, Dubya, and Obama White Houses as corrupt conspiracies as a whole according to Federal RICO laws.
Get everything done in all three White Houses thrown out as corruption tainted.
Hah, You?, Angry?
gosh.
By what/which measuring stick?
Is her view the commonly used tool to stifle – in that all ‘good families/groups’ one’s expression of passion or emotion is equant to ‘anger’? You steering the boat away from a rock by disavowing a presumptive point with a fact and the response is ‘I can’t talk to you when you’re like that’?
And that came from a Woman, even worse…
wow.
I love the ‘everyone knows’ thrown in there, oops, a ‘tell’ of the most Silver-Spooned kind…that she is amongst a group that hasn’t a clue either…and happy to stay there in protective custody. On the face of it, Not someone from whom I would be seeking opinion or insight – and am wondering about the rest of the committee’s members being as equidistant from the subject matter as she appears to be.
I think what she wrote is the most discouraging thing I have read about the CC to date in more ways than one.
You’ll roll on as an unflappable, insightful, resourceful, and inevitably valuable outpost and friend to anyone that knows you.
; )
(will try to find the dust-up from yesterday – if have a link handy, please post..)
You’re being too kind, Mason.
Obama tries so very hard to please banks, insurance companies and other big business. He seems to have a terrible, desperate need for their approval. He also appears to think that he is entitled to the support of the Left but is not obligated to them in any way. Ironically, I don’t think that Obama is accepted as one of the business and conservative “pack” that he loves so much. He is not really one of them. He is useful to them and can easily be manipulated. They know how to push his buttons. He is a puppet or a tool who voluntarily does what they want even when they are not friendly. I think at the end they will turn their backs on him. I hope so. As for us, ordinary Americans, we will be in the ditch.
Invisiblle bond vigilantes
And… while we’re at it, let’s not elect anyone else with a Leo Sun (Clinton & Obama) or Leo in the first house (Bush), because it’s always, always, always all about the Leo.
Great post.
“These dirty rotten bastards are going to use one hand to take money away from old people who can barely survive….”
The Social Security cuts are going to be for those 55 and under. Those over 65 voted GOP by a 58 to 42 margin, first of all, so they don’t want to fark them over. Second, you won’t hear the bitching about it from the younger generations who have more successfully been propagandized about “social security not being there for them anyways”.
Village pundits? Village idiots more like (no offence to actual village idiots intended).
“Sadly many Americans who oppose cuts to Social Security don’t understand that it was Obama who created the cat food commission and appointed the neanderthals who are on it.”
Not for long. By week’s end, every sentient adult will know. The guy is a fucking idiot.
Invisible bondage vigilantes
;)
“And liberal Democrats now squarely confront the dilemma that the only way to stop the slide into fiscal insanity and restore the nation’s focus on its real priorities is to defy and discredit a supposedly Democratic President.”
Let’s get to it.
Touche’.
Carlin prophesied it all:
Carlin – The Real
Owners Of America
6-24-8
“The real owners are the big wealthy business interests that control things and make all the important decisions. Forget the politicians, they’re an irrelevancy. The politicians are put there to give you the idea that you have freedom of choice. You don’t. You have no choice. You have owners. They own you. They own everything. They own all the important land. They own and control the corporations. They’ve long since bought and paid for the Senate, the Congress, the statehouses, the city halls. They’ve got the judges in their back pockets. And they own all the big media companies, so that they control just about all of the news and information you hear. They’ve got you by the balls. They spend billions of dollars every year lobbying lobbying to get what they want. Well, we know what they want; they want more for themselves and less for everybody else.”
“But I’ll tell you what they don’t want. They don’t want a population of citizens capable of critical thinking. They don’t want well-informed, well-educated people capable of critical thinking. They’re not interested in that. That doesn’t help them. That’s against their interests. They don’t want people who are smart enough to sit around the kitchen table and figure out how badly they’re getting fucked by a system that threw them overboard 30 fucking years ago.
“You know what they want? Obedient workers people who are just smart enough to run the machines and do the paperwork but just dumb enough to passively accept all these increasingly shittier jobs with the lower pay, the longer hours, reduced benefits, the end of overtime and the vanishing pension that disappears the minute you go to collect it. And, now, they’re coming for your Social Security. They want your fucking retirement money. They want it back, so they can give it to their criminal friends on Wall Street. And you know something? They’ll get it. They’ll get it all, sooner or later, because they own this fucking place. It’s a big club, and you ain’t in it. You and I are not in the big club.”
“This country is finished.”
“the worst possible distraction one could imagine.”
Not from their POV. This is exactly what they want, anything ever so slightly better than this colossal steaming pile will be heralded as Yet Another Progressive Win!
I take that reply to be snotty. Do you?
Oh, and lest we forget. The absurdly named Department of Justice started this week from Hell by refusing to prosecute Jose Rodriguez for deliberately destroying 92 torture tapes in order to prevent the CIA torturers, including himself, from being prosecuted for war crimes. The dirty rotten CIA scumbags get to go on living, torturing, and killing poor people with brown skin in the name of increasing corporate profits, while an ordinary citizen like you or me will be sentenced to prison, if we get caught attempting to buy a joint.
Then Obama knifed us in the back by greasing the skids to transfer more jobs overseas.
And now the Catfood Commission delivers the trifecta.
When are people going to wake up and realize that this isn’t a game. This is class warfare.
The rich kleptocrats have stolen our pensions and most of our jobs. They are continuing to outsource jobs as they literally steal our houses from us through fraudulent real estate foreclosures and kick us in the street.
They aren’t going to let Congress fund unemployment when it runs out at the end of the month even though the economy is continuing to lose jobs and there basically aren’t any jobs available, especially for people who are over 50 years old, or who have been unemployed for more than 26 weeks (the so-called long-term unemployed). The states are either out of money or running out of money to continue paying unemployment for the initial 26-week period (the feds used to pick-up the tab after the initial period ended).
Over 25 million people are unemployed or underemployed and the government isn’t even working to develop a plan to create jobs. 59.1 million people can’t afford and don’t have any health insurance and nobody knows how many people are homeless because our useless piece of shit excuse for a government is more interested in cutting food stamps than bothering to try to figure out how many people are homeless.
But all that isn’t enough because now the goddamn neoliberal kleptocrats want our social security too to add to their $700 billion taxcuts even as the bankruptcy rate for old people has increased by 175%.
I’m going to call it what it is. This is mass premeditated murder because thousands upon thousands of people are going to die this winter because they cannot afford food, housing, and medical care.
Those who are not actively involved doing everything they possibly can to avert this catastrophe deserve the utmost contempt because they necessarily are part of the problem.
Because this is war and there is no middle ground.
Hey, another chart reader. Did you get a load of Condi’s chart? Whoa!
Nice post! You alluded to the reason why the deficit/cut SSI and Medicare debate is currently being conducted despite its deep unpopularity among the people — because the economic, business, banking, investment, and political elite (Obama included) want to cut SSI, Medicare, & VA benefits in order to enrich themselves even further.
Obama wants to cut SSI, Medicare, VA benefits, and preserve the Bush tax cuts. Why else would he have delayed making a decision on these measures until after the disastrous Midterm Elections? Obama and his administration knew that they were going to lose control of the House and lose seats in the Senate. Knowing this, if they really wanted to protect SSI, Medicare, VA benefits, etc., they would not have kicked the can down the road until the lame duck session in Congress when it would be more difficult to fight cuts to social programs.
These developments are more proof that the U.S. is not, at least, no longer is a democracy for, of, and by the people. The U.S. political system is a “managed democracy” in which the organized, wealthy elite IMPOSE their will on everyone else — the PEOPLE and 99% of the population be DAMNED! That’s their mentality.
It may be time to push for amendments to the Constitution.
You better damn well duck, if you dare say that to my 50 year old wife who has paid her FICA taxes ever since she started working when she was a teenager, because she’ll punch your headlights out!
The same is true of just about anyone else under the age of 55, so your comment doesn’t wash.
I would make one addition to, what I consider to be, the relevant comments made by so many on the fact that Obama did not “blunder” in creating the so called “cat-food commission”, but was implementing a considered policy decision. I would just reference the May 10th Wall Street Journal, in which the WSJ compares Obama’s policies positively with the Joseph Schumpeter’s doctrine of “creative destruction”
Schumpter was a leading economist of the Hapsburg founded Autrian School of economics, which produced such rabid apologists for facist free trade as Von Hayek and Von Meses. Why is this important? These are specifically the economists the Senator elect Rand Paul quotes, Austrian School economists, as the foundations for his policy beliefs.
Rand Paul is just the twin face of Barak Obama.
“It may be time to push for amendments to the Constitution.”
That train left the station a long time ago and revolution is the only choice left.
Besides, the Constitution doesn’t need to be amended. It needs to be enforced and a lot of bullshit laws like the Patriot Act, the Military Commissions Act, the Authorization to Use Military Force, FISA, and the Telecom Immunity law need to be repealed along with the obnoxious Health Insurance Corporation and Pharmaceutical Industry Bailout and Enrichment Act. Replace the last one with a single-payer health care bill like Medicare for all.
A+
Scorpio Rising with Sun in Cancer, Moon in Virgo, Chiron conjunct the Ascendant with Jupiter nearby in the First House and a triple conjunction at the Midheaven in Leo between Saturn,Pluto, and the Midheaven is deely offended and pissed off today.
The Scorpion’s tail is loaded and ready to inject its venom through Mercury in the last degree of Cancer conjunct the Midheaven.
Friedrich Hayek’s the, Road to Serfdom, in the highest selling book in Amazon’s political book category.
Milton Friedman and Friedrich Hayek taught Economics at the University of Chicago. Their careers there overlapped in the early fifties. Obama taught Constitutional Law as an adjunct professor in the law school at the University of Chicago after he graduated from the Harvard Law School.
No surprise that Obama is a free marketeer.
Sorry, my previous comment is out of place. It’s a response to Yeraka downthread. I must have pushed the wrong button.
Wait. Wait. Wait. Preserving the Bush tax cuts and instead cutting social programs by a similar amount achieves perfect fiscal balance. It also gives more money to the wealthy, our benefactors who give us jobs. What could be more fiscally sane?
Where is it available? I’d like to take a look. Do you have a link?
“What could be more fiscally sane?”
Suicide.
The Obama administration already has announced that there will be no cost of living adjustment to social security in 2010, which will be the second year in a row.
They refuse to consider increases in the cost of food and gas in calculating the rate of inflation so that they can plausibly deny the COLA adjustment. Meanwhile, Bernanke’s QE2 infusion into the economy is jacking up the cost of food and gas enriching commodity and currency speculators without creating any new jobs or increasing wages.
Bernanke is stupid and dangerous. He should be fired immediately before he destroys the economy.
Eighty percent of the people who have purchased von Hayek’s book in the past year can’t read it.
The proposed COLA changes would be a significant cut in the benefits of current retirees.
I have a Cancer Sun, too, conjuct Mars & Uranus (in 5th house), and a very late degree Aquarius ascendant. I come across as more Piscean, I think, except that I have Saturn in Libra, they say we become our Saturn. I’m fine with becoming more Libra-like.
I’d like to see that one, too! I suspect she has something significant in Cancer, given her remark about Bush being her “husband.”
You can see it at astrodatabank.com. I used to be run by Lois Rodden, but Astrodienst has since taken it over and made it into more of a wiki.
You have to register to see charts, but it’s free.
And I was right. She has Moon & Uranus in Cancer and Jupiter on the cusp of Cancer & Leo.
IT used to be run by Lois Rodden…
With Aquarius Rising, you probably have an intense urge to be independent and different so you’re probably struggling to defend your ways of thinking and doing things without regard to external circumstances, or you’re attempting to destroy the status quo just because.
Uranus rules your natal horoscope and it embodies the energy that is your personality’s vehicle of expression and source of power. Uranus with the Ascendant in Aquarius will always focus first on developing and refining a sense of personal uniqueness and when that is accomplished it will move toward interpersonal connectedness.
Sound like you?
Hey Mason–
I just cant see Americans rising up in revolution. We dont have the stomach for it. You’d need a good solid majority to have any hope of success, and thats unlikely any time in the near or midterm future. Not that the idea isnt appealing to many people, but its purely secondary to their everyday lives. Our everyday lives are still commonly fulfilling enough to keep everyone in line. (this is just my opinion, feel free to disagree). If unemployment gets to 40%, then *maybe*.
No discussion whatsoever of a new WEALTH TAX ???
The free ZIRP money in the 2003-2008 Big Bubble constituted the very engine for asset redistribution to the upper class. Free money to insiders — not hard to understand.
Greenspan-Bernanke made the Pareto Curve bend to the will of the top 1/10th of 1%.
A simple WEALTH TAX at 2% for net wealths above $100,000,000 would be a solid step toward equitable claw-back. I like doing 1% for wealth at $50,000,000 to $100,000,000. Scale down to 0.1% for $10,000,000.
Yes, indeed, this requires a Constitutional Amendment. Proposed text: “The Congress shall have power to lay and collect taxes on incomes, from whatever source derived, without apportionment among the several States, and without regard to any census or enumeration.”
The Income Tax took 30 years to pass and ratify. Time to get started if we’re going to get a sensible Wealth Tax. And BTW: no exceptions for family foundations and such tax scams.
Make that: “… to lay and collect taxes on wealth…”
No mention of the paltry $100-billion a year cut to the military budget ? Cummon… aircraft carriers sailing around the world looking for terrorists ???
And no mention of a simple Wealth Tax (maxed to 2% on net wealth above $100,000,000) that would solve a good half of the the long-term deficit problem ?
How can this be a good post ? Solutions have to go where the money is. That means slashing the military and taxing wealth.
I’m not sold that a wealth tax would be such a good idea. The problem is that it taxes principle, and therefore reduces future value, and therefore future tax revenue on income from that future value. So it results in less tax revenue in the long run. The further out you look, the worst the effect. You’ve all heard that investing $10,000 when you’re 20 at 10% interest would net you $1M by the time you’re 70. Assuming a 30% tax bracket, the government would collect $45,800 during that time without a wealth tax. But with a 2% wealth tax it would only collect $19,809.
Here’s my tax function: The free variable is ‘w’ (the wealth tax rate).
x = 10000; // Principle amount
t = 0;
tt = 0;
y = 50;
r = .3;
Do[
p = x .1;
x = x + p;
t = p r;
x -= t;
t = t + x w;
x -= t;
tt += t;
, {y}];
tt)
I’m not sold that a wealth tax would be such a good idea. The problem is that it taxes principle, and therefore reduces future value, and therefore future tax revenue on income from that future value. So it results in less tax revenue in the long run. The further out you look, the worst the effect. We’ve all heard that investing $10,000 when we’re 20 at 10% interest would net $1M by the time we’re 70. Well, assuming a 30% income tax bracket that actually results in just $294,570. The government would collect $121,959 during that time without a wealth tax. But with a 2% wealth tax, it would only collect $102,878 and the remaining principle would then be just $107,274. Here’s a little Mathematica program I whipped up to do the calculations.
The free variable is ‘w’ (the wealth tax rate).
x = 10000; (* principle *)
t = 0; (* tax temporary *)
tt = 0; (* total tax collected over y years *)
y = 50; (* number of years *)
r = .3; (* tax rate *)
Do[
p = x .1; (* p = investment income at 10% *)
x = x + p;
t = p r; (* income tax *)
x -= t;
tt += t;
t = x w; (* wealth tax *)
x -= t;
tt = tt + t;
, {y}];
Sorry. I didn’t mean to post this just yet. It has a bug. The corrected version is below
Great post Scarecrow, comments too.
Gah, so farked are we!
Obama’s cult of personality cannot be over-stated. I’ve seen it subsume normally rational people.
He’s going to lose in 2012 anyway. Might as well get the credit. The American people could learn to love the left yet.