A Short illustr…

A Short illustration lesson on the national budget

 

 

 

This is a non-partisan video produced by an accountant, Hal Mason, retired after 27 years with IBM. He looks at the budget, its revenues and expenses, and very simply illustrates the problem. Amazingly, we get all the media talking heads blathering and shouting for hours and never get clarity. This guy does it in a couple minutes. 

Click below to view the video.
http://www.youtube-nocookie.com/embed/EW5IdwltaAc?rel=0

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 Green Jobs Co…

 

Green Jobs Cost Taxpayers $6.7 Million Per Job (So Far)

 
These are examples of why government should not be in the business of creating private sector jobs.  Simply giving firms money to develop or make something the government likes does not work.  The government can and should support research and development of technologies that have legitimate potential.  But, giving private industry taxpayer backed money to build stuff the government likes is not its role.  The government does not create demand for products, the free enterprise market does.  Likewise, governement does not create consumer based civilian jobs, private enterprise does that.  The current (and past) administration’s attempts to create jobs and solve problems by intruding into free market commerce prove the point.  Despite government efforts to do both the unemployment rate has been above 8% for the last 43 months and little improvement in the oeverall economy can be found.  An admittedly over simpliflied description of the goverement’s role in the economy is:  Assure that private enterprise operates on a level playing field for the benefit of “all” American citizens/tax payers/consumers and the country.

 George Burns

http://finance.townhall.com/columnists/maritanoon/2012/09/30/obama_never_admits_green_failure/page/full/

Some Dishearten…

Some Disheartening Facts

 

by George Burns

Below are some random items I have accumulated over the past several months.  These are among the more disheartening ones.  I think you will agree. 
 
1.  As recently as 24 January 2011, the National Council on Aging reported that a government analysis found that one in six elderly Americans were living at or below the federal poverty level.  Given the state of the economy that number has most likely increased since.
 
2.  A 17 September 2012 CNSNews.com article reports that the Social Security Administration recently released data showing that as of this month 8,786,049 American workers are collecting federal disability payments, a new record and an 18,108 increase over the August figures.  The number of workers receiving disability payments has quadripled over the past 45 years relative to the actual number of workers.  
 
3. In January 2012 Investers Business Daily reported that over the past four decades government direct payments to individuals has been on a gradual upward spiral.  However, the last three years have seen a 32% increase totaling $600 billion.  Given current projections another increase of $500 billion will occur by 2016.  At that time direct government payments to individuals will consume two-thirds of all federal spending.
 
4.  According to the most recent Bureau of Labor Statistics (BLS) numbers the nation’s unemployment rate has been above 8.1% for the past 43 consecutive months.  In contrast during the 60 years between 1948 and 2008 the monthly unemployment ratetopped 8% only 39 times.  Further, we learn from Donald Lambro that the BLS numbers show that over the past four years unemployment has increased in 26 states.  In addition, BLS numbers reveal “that the number of working Americans shrank last month as payrolls fell in 21 states, the result of tens of millions of discouraged workers who have stopped looking for a job and are no longer counted.”
 

 A Dismal Stat…

A Dismal State of Affairs

by George Burns

 

Lately there has been a lot of chatter about the economy, government spending and jobs.  Let’s take a look at some numbers to see what they say.

 

Nicholas Eberstadt’s recent Wall Street Journal  article points out that the full range of 2010 entitlement spending for programs such as Medicare, Medicaid, disability insurance, food stamps, subsidies, etc. at all levels of the government amounted to $2.2 trillion.  That equals about $29,000 for a family of four, or $7,200 for every man, woman and child in the country.

 

According to the Census Bureau one out of every two households now receive benefits from at least one government entitlement program.  Given our declining economy and the rapidly aging of the baby boomer population government benefit pay-outs will continue to balloon, not to mention the cost of international diplomatic and military excursions.

 

All wage earners making up to $110,100 per year pay required FICA taxes of 4.2 percent for Social Security and 1.45 percent for Medicare with employers paying the balance due of 12.4 percent for Social Security and 2.9 percent for Medicare.  Self employed workers must pay the entire amounts due for both programs.  Meanwhile only 51 percent of wage earners pay the income taxes that fund all other government expenditures.

 

Because of the malfeasance of both major political parties and their private sector collaborators/financiers we face at least two guaranteed futures: 1) non-stop growth of our national debt and its associated interest payments, and 2) ever increasing taxes.  Put another way, The Congressional Budget Office estimates that absent corrective legislation to slow/arrest government spending, taxes will consume two-thirds of the income of middle income families by 2050 as well as 90 percent of those with higher incomes.  To paraphrase Margaret Thatcher, governments inevitably collapse when taxpayers run out of  money.  That her observation is relevant to our current situation was reinforced on 14 September 2012 when the Egan-Jones credit rating agency announced that it would reduce the US credit rating from AA to AA-.  They made this announcement because of the Federal Reserve’s decision to implement a third round of quantitative easing which, Egan-Jones believes, is nothing more than further monitization of the US debt – a continuation of increasing the amount of national debt and dollars in the economy which has the effect of reducing the value of each dollar in circulation.  The consequence will be a continuing rise in the prices of goods and services which will further stress the overall economy.

 

Consider this observation by Tim Philips.  Starting 10 September 2012 and “for the remaining 108 days of the year, every single dollar the federal government spends, roughly $10.5 billion per day, goes on our collective credit card called the national debt. You and I, our children and their children are of course responsible for paying that debt.  Every single second of the day our government spends over $12,000.”  Philips adds that about every five minutes our government spends $3.6 million. “It takes four seconds for the government to spend what the average American earns in an entire year.”

The current state of the economy and the most recent jobs numbers do not offer hope for any improvements mitigating the sad reality summarized in the previous paragraphs.  Here are a few more cogent facts.

 

     The US population is now 8.8 million larger that when President Obama took office; but, there are 86,000 fewer people with jobs.  Yet he claims to have created 4 million jobs during his tenure.  He should, instead, be reporting that despite the 4 million jobs added there are still 86,000 fewer people with jobs than when he took office.

 

     The number of people employed or seeking work has dropped to 63.5 percent, the lowest level since September 1981.

 

     Last month 568,000 people stopped looking for a job. Only 96,000 jobs were added.  And the US population increased by 212,000.

 

CNSNEWS.com reported that the Department of Labor found that in August a  record high 88,921,000 Americans were no longer in the civilian labor force.  In July the total work force was 155,013,000 but that number fell to 154,645,000 in August.

 

When President Obama took office the national price of gas averaged $1.85 per gallon.  Today it is nearing $4.00 per gallon.  Throughout his time in office his administration has either shut down or hindered extraction of domestic oil supplies in favor of expensive and failing alternative fuel initiatives.

     Timesfreepress.com reports that “Shortly before he became President Obama’s energy secretary, Steven Chu declared, ‘Somehow we have to figure out how to boost the price of gasoline to the levels in Europe’ — which were around $8 per gallon at the time.”

 

During a Senate debate about opening up domestic offshore oil drilling sites then Senator Ken Salazar, now Obama’s interior secretary, objected to an increase in offshore drilling even if it meant the price of a gallon of gasoline would cost $10 or more.

That President Obama agrees with both Chu and Salazar was confirmed when he closed down the Green River Formation, the world’s largest oil field located in three western states.  It is estimated to contain 3 trillion barrels of oil, eight times the amount in Saudi Arabia.  In a report titled GAO To Obama: More Oil Than Rest Of The World, the Government Accountability Office told Congress that the Green River Formation contains “an amount about equal to the entire world’s proven oil reserves.”  What then are we to make of Obama’s often repeated lie that “We cannot drill ourselves out of the oil crisis, we only have just 2% of the world’s oil.”?  Harvesting domestic oil resources would be a huge boost to the economy (business expansion, jobs, increased tax revenues) but the current administration will not permit it.

 

And we haven’t even touched upon the housing market, the looming student loan debacle, declining manufacturing, too big to fail financial institutions, expanding oversees committments, balooning government regulations, government waste and the list goes on and on.  Presidential candidates are laying out their positions and making promises.  But, promises are easy.  Not so delivering on those promises as the last four years proves.  Whoever wins in November faces major challenges.  It is up to voters to decide whether a change in management will make a difference.  I can hope but I’m not so sure it will.

 

 

Sources.

 

http://townhall.com/columnists/johncgoodman/2012/09/08/which_party_is_the_party_of_big_government

 

http://finance.townhall.com/columnists/bobbeauprez/2012/09/08/devastating_jobs_report_86000_less_jobs_today_than_when_obama_took_office

 

http://townhall.com/columnists/stephendemaura/2012/09/08/with_corporate_tax_reform_the_private_sector_will_rebuild_our_economy

 

http://cnsnews.com/news/article/record-88921000-americans-not-labor-force-119000-fewer-employed-august-july

 

http://www.bloomberg.com/news/2012-09-07/payrolls-in-u-s-rose-96-000-in-august-jobless-rate-falls.html

 

http://beforeitsnews.com/alternative/2012/09/what-obama-does-not-want-you-to-see-2463684.html

 

http://www.theblaze.com/stories/flashback-obama-scoffed-at-bush-jobs-report-showing-gain-of-300k-jobs/

 

http://www.aei-ideas.org/2012/09/the-awful-awful-august-jobs-report/

 

http://www.cnbc.com/id/49037337

 

http://www.activistpost.com/2012/09/10-shocking-quotes-about-what-qe3-is.html

 

http://www.timesfreepress.com/news/2012/mar/02/high-gas-prices-serve-a-good-purpose/

 

http://rpc.senate.gov/public/index.cfm?p=Blog&ContentRecord_id=468a59d6-4f5a-4b58-9244-5f9ae2665c14

 

http://globaleconomicanalysis.blogspot.com/2012/09/household-survey-number-of-employed.html#RMVBAAfa9ykPisPf.99

 

http://online.wsj.com/article/SB10001424052702303561504577497442109193610.html

 

http://news.investors.com/ibd-editorials/091312-625709-quantitative-easing-hasnt-been-a-success.htm

 

http://reason.com/archives/2012/09/12/worse-than-the-recession

 

http://finance.townhall.com/columnists/johnransom/2012/09/14/lots_of_recoverable_oil_but_one_nonrecoverable_president/page/full/

 

http://www.breitbart.com/Big-Government/2012/09/08/Real-Unemployment-Now-19

 

http://www.nationalreview.com/articles/316854/cost-wind-energy-jobs-robert-bryce

 

http://www.washingtonpost.com/opinions/robert-samuelson-are-you-better-off-now/2012/09/06/3a2ffc5e-f792-11e1-8398-0327ab83ab91_story.html

 

http://www.nationalreview.com/articles/316377/obama-doubled-jobs-deficit-bob-beauprez

 

http://www.americanthinker.com/blog/2012/09/the_truth_about_the_unemployment_rate_in_2_graphs.html

 

 

Additional Items.

 

http://pjmedia.com/tatler/2012/09/09/behind-the-unemployment-numbers-its-worse-than-you-can-imagine/?singlepage=true

 

http://townhall.com/columnists/thomassowell/2012/09/11/an_economic_plan/page/full/

 

http://townhall.com/columnists/phyllisschlafly/2012/09/11/democrats_have_no_plan_to_create_jobs

 

http://www.nationalreview.com/articles/316377/obama-doubled-jobs-deficit-bob-beauprez

 

http://dailycaller.com/2012/09/10/unemployment-would-be-11-2-percent-if-labor-force-same-as-when-obama-took-office/

 

http://www.washingtontimes.com/news/2012/sep/7/obamas-broken-record/

 

http://www.breitbart.com/Big-Government/2012/09/09/Study-Recovery-for-low-wage-jobs-burger-flippers

 

http://www.americanthinker.com/2012/09/un-spinning_jobs_numbers.html

 

http://dailycaller.com/2012/09/10/quick-and-easy-rebuttals-to-obamas-false-narratives/

 

 

http://www.foxnews.com/politics/2012/09/11/us-slips-from-no-1-to-also-ran-in-global-economic-rankings/

 

http://www.forbes.com/sites/briandomitrovic/2012/09/11/obama-has-had-plenty-of-time-but-gave-us-0-3-growth-instead/

 

http://www.washingtonpost.com/blogs/ezra-klein/wp/2012/09/09/everything-people-think-they-know-about-the-stimulus-is-wrong/

 

http://www.moneynews.com/StreetTalk/Taxpayers-Owed-Billion-Bailouts/2012/09/11/id/451478?s=al&promo_code=10096-1

 

http://republicbroadcasting.org/index.php?cmd=news.article&articleID=4100

 

http://finance.townhall.com/columnists/mikeshedlock/2012/09/14/panic/page/full/

 

http://cnsnews.com/news/article/social-security-and-disability-payments-hit-annual-records-month-left-fy

 

http://www.heritage.org/research/reports/2012/09/fy-2013-continuing-resolution-spends-every-dollar-and-more

 

http://www.csmonitor.com/USA/2012/0912/US-incomes-fall-to-1989-levels.-How-did-that-ha

Obama the Capit…

Obama the Capitalist?

 
www.Tinshipproductions.com

We traveled to the RNC and DNC to see what occupy thinks of the political parties. It seems the Occupy movement and unions are not happy with President Obama. It seems he is not far enough to the left. The video is below.

Watch video. http://www.youtube.com/watch?v=XykrTt__1OA&feature=plcp

FED: A private …

FED: A private banking cartel established by Congress

 
by George  Burns

For those who believe the FED (a private banking cartel established by Congress) is an organization benefiting the welfare of our country and its citizens, this short piece should cause you to rethink your position.  Contrary to its established purpose, the audit clearly establishes that the FED, instead of ours, looks after domestic and international banking interests.  It’s charter says that it is suppose to look after the interests of the American economy, stabilize the value of the dollar, and among other things protect us against recessions and depressions.  On all accounts it has failed but has done a good job, to our detriment, looking after domestic and international banking intrests.  What we all need to understand is that the FED used taxpayer funds to do its nefarious deeds.  We can thank both the FED and the federal government for the nation’s debt and sticking us (the hapless taxpayers) with the bill.

http://beforeitsnews.com/economy/2012/09/first-audit-in-the-federal-reserves-nearly-100-year-history-were-posted-today-the-results-are-startling-2449770.html

The Great Fisca…

The Great Fiscal Cliff of 2012-2013

By Samuel E Burns

The Great Fiscal Cliff of 2012-2013

Watch out for January 1, 2013 (just 127 days from today) when more than $1.6 trillion will be sucked out of the U.S. economy. The Bush tax cuts will end and the largest tax hikes in history, plus the largest spending cuts Washington has ever seen will take effect on New Years’ Day.

America will stand at the brink of a fiscal cliff so huge the

at it threatens to crush our economy and leave the stock market in smoking ruin. That would cause our already high unemployment rate to explode higher. This will drive millions of Americans into poverty.

The International Monetary Fund, the U.S. Congressional Budget Office, the Federal Reserve, the U.S. Department of Defense, JP Morgan Chase, Bank of America, and Goldman Sachs, plus armies of U.S. senators and congresspeople in both major parties and many leading economists all unanimously agree that this crisis could destroy what’s left of the economic recovery. Another Great Depression would likely result.

Our hopelessly deadlocked Congress has failed to develop a plan to avert the crisis. Even if they delay some of the spending cuts and tax hikes, there is a potential problem looming that may make matters worse:

Nearly $1 TRILLION per year in fiscal and monetary stimulus will end. Or will it? Fed Chairman Ben Bernanke has hinted that QE-3 may be on the way. Which means, the presses at the Fed could be printing more money which would devalue our dollar even further.

Although it is true that President Obama is not solely responsible for this mess we find ourselves in, he has failed to reverse or slow this trend. Can we stand 4 more years of this kind of polices, or do we need a change?

  Judge Napol…

 
 

Judge Napolitano on the 2012 Election, Obamacare, and The Future of Liberty

 
“Those of us who really yearn for a return to first principles, the natural law, the Constitution, a government that only has powers that we have consented it may have… are frustrated by the choice between Barack Obama and Mitt Romney,” says Judge Andrew Napolitano, author of the upcoming book Theodore and Woodrow: How Two American Presidents Destroyed Your Constitutional Freedoms, Fox Business contributor, and former host of “Freedom Watch.”
Reason Magazine’s Matt Welch sat down with Napolitano at FreedomFest 2012 and discussed the ramifications of the Supreme Court’s ruling on the individual mandate and whether or not there’s a substantive difference between Barack Obama and Mitt Romney from a libertarian perspective.
Held each July in Las Vegas, FreedomFest is attended by around 2,000 limited-government enthusiasts and libertarians a year. ReasonTV spoke with over two dozen speakers and attendees and will be releasing interviews over the coming weeks. For an ever-growing playlist, go here now:
http://www.youtube.com/playlist?list=PL1ECFFDA94AA8AA05
About 6:30 minutes.

Video: http://reason.com/reasontv/2012/08/17/judge-napolitano-on-the-2012-election-ob

Right to Work a…

Right to Work and Individual Rights

 
The Right to Work clause came into existence in 1935, embedded in the Taft-Hartely Law.  It means that (a) employees may not be forced to join a union, that (b) employers need not hire only those who agree to join a union, and (c) that employers need not fire employees for failing to join a union or pay union dues.
For over half a century, the clause was ignored.  Union bosses and their political allies forced employers to fire those who did not join a union or pay dues to a union, and they forced employees to join a union as a condition of employment and to pay union dues.
With millions of employees federally forced to join unions and pay dues, unions had massive funds, which would vanish if the Right to Work clause were implemented.  So union bosses lobbied ferociously, bribing and threatening politicians to repeal the Right to Work clause.
But for the same number of years, consistently favoring the Right to Work, the electorate voted out of office those politicians who supported its repeal.
After years of struggle, Idaho — apparently the first state to take action — put the RTW clause on the ballot in 1986.  The electorate voted for it overwhelmingly.  Today, 23 states have enacted Right to Work.
What benefits, if any, accrued to them?

Climate and Dro…

Climate and Drought Lessons from Ancient Egypt

 
Ancient pollen and charcoal preserved in deeply buried sediments in Egypt’s Nile Delta document the region’s ancient droughts and fires, including a huge drought 4,200 years ago associated with the demise of Egypt’s Old Kingdom, the era known as the pyramid-building time.
“Humans have a long history of having to deal with climate change,” said Christopher Bernhardt, a researcher with the U.S. Geological Survey. “Along with other research, this study geologically reveals that the evolution of societies is sometimes tied to climate variability at all scales – whether decadal or millennial.”
Bernhardt conducted this research as part of his Ph.D. at the University of Pennsylvania, along with Benjamin Horton, an associate professor in Penn’s Department of Earth and Environmental Science.  Jean-Daniel Stanley at the Smithsonian Institution also participated in the study, published in July’s edition of Geology.
“Even the mighty builders of the ancient pyramids more than 4,000 years ago fell victim when they were unable to respond to a changing climate,” said USGS Director Marcia McNutt. “This study illustrates that water availability was the climate-change Achilles Heel then for Egypt, as it may well be now, for a planet topping seven billion thirsty people.”
The researchers used pollen and charcoal preserved in a Nile Delta sediment core dating from 7,000 years ago to the present to help resolve the physical mechanisms underlying critical events in ancient Egyptian history.
They wanted to see if changes in pollen assemblages would reflect ancient Egyptian and Middle East droughts recorded in archaeological and historical records.  The researchers also examined the presence and amount of charcoal because fire frequency often increases during times of drought, and fires are recorded as charcoal in the geological record. The scientists suspected that the proportion of wetland pollen would decline during times of drought and the amount of charcoal would increase.

Read more: http://www.usgs.gov/newsroom/article_pf.asp?ID=3359