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A Failure to Excommunicate

March 20, 2013 By Editor 22 Comments

Harry-Reid1Reprinted from May 16, 2012. It shouldn’t surprise many people that most members of the Church of Jesus Christ of Latter-day Saints, commonly referred to as Mormons, are politically conservative. Indeed, LDS Church members believe that the Constitution of the United States is a divinely inspired document, and that adherence to its original meaning constitutes living according to God’s will. Church members adhere to a strict code of morality, which includes not just matters of sex outside of marriage, but extends to personal areas such as how they dress in public, what they view, and even what they ingest into their bodies.

Much whispering behind the scenes has been accumulating because GOP Presidential Nominee Mitt Romney is not only a high profile Mormon, but a very dedicated member and leader of the church. While Romney endures off-mic rumor and innuendo for his membership in the LDS Church, the arguably second most powerful politician in the nation, Senate Majority Leader Harry Reid, receives not an utterance about his lifelong membership in the same church.

What is the difference between Mitt Romney and Harry Reid? Politically speaking, the two couldn’t be further apart on almost every issue. On religious and moral issues, however, some might suggest they are kindred spirits—not most LDS Church members, but others might.

In fact, much of what Harry Reid espouses in his public life is repugnant to LDS-Christian doctrine. High taxes, exorbitant debt, burdensome governmental intrusion and regulation into the lives of citizens, socialistic schemes, anti-family policies, welfare dependence, the funding of anti-Christian arts, organizations and lifestyles are only the tip of a burgeoning and murky iceberg that is growing exponentially beneath the waters of American society under the leadership of Reid and his hard left associates.

harry_reidSo how does Harry Reid justify his political views and his divergence from the basic tenets of Mormonism? “I don’t believe in abortion,” is his explanation.

That’s it? He doesn’t support abortion in his political life?

I disagree that Harry Reid’s stated opposition to abortion is enough to save him (in a secular or religious way). Like congressmen who attach their pork barrel projects to bills they know will pass without their votes then quietly vote against them so they can claim fiscal responsibility while collecting campaign contributions for success at “bringing home the bacon,” Harry Reid is only fooling himself that he is a good LDS Church member.

There is a reason that most LDS Church members are conservative. It is a question of morality and personal liberty for them. Harry Reid has supported every anti-American, anti-family, anti-decency piece of legislation that has come down the pike. He is responsible for nearly every dollar of the $15.7 trillion debt—and in case he doesn’t understand it, debt robs liberty and creates poverty. Although he personally votes against direct abortion legislation, he supports candidates and elected officials whom he knows will support it—and that’s supporting it.

So what is the real difference between Mitt Romney and Harry Reid regarding their membership in the LDS Church? On the surface, anyway, the difference is that Romney reflects his religious values in his policies while Reid utterly tramples them in his.

For Harry Reid, and all of those who make a pretense of following Judeo-Christian principles while leading our nation, and indeed, the Western world down a path of fiscal and moral destruction, let me share a scripture that you might recognize, and find helpful in your future career.

“I know your works, that you are neither cold nor hot: I would you were cold or hot. So then because you are lukewarm, and neither cold nor hot, I will spew you out of my mouth.” Revelation 3:15-16.

PUBLIUS

Filed Under: All Stories, Economy, Elections, Entitlement, Ethics, Religion

Non-Embryonic Stem Cells Are Curing Disease Now

March 20, 2013 By Editor Leave a Comment

Those who read George Bush’s Decision Points may have been interested to learn that up until the 9/11 attacks the most important issue facing his administration in his opinion was stem cell policy.

The stem cell problem is rooted in the abortion issue. Liberals support embryonic stem cell research because it bolsters their argument that abortion is socially desirable. President Bush echoed the conservative dilemma as he wrestled with the cost/benefits analysis of stem cell research—at what cost would stem cell benefits come?

President Bush wrote that he labored over the issue, holding out hope that adult stem cells (non-embryonic) would become available and the problems inherent in embryonic stem cells would become irrelevant.

According to Roger Nocera, M.D., that day has arrived. In his book Cells That Heal Us From Cradle To Grave: A Quantum Leap in Medical Science (Amazon ebook), Dr. Nocera reveals that useable adult stem cells were discovered in 2003 and have been used to treat serious diseases in clinics around the world since then.

Although Dr. Nocera is a self-described liberal Democrat who supports Roe v. Wade, and admits in the book that the Democrats have been backing the wrong horse on the stem cell issue, because of their misguided devotion to the abortion issue.

The completely naturally occurring adult stem cell discovered in 2003 has been utilized in treatments in offshore clinics—offshore, because stem cell treatment is currently banned by the FDA. This newly discovered adult stem cell is found stored in our own body fat or is left in umbilical cords and thrown out as bio waste.

Many incurable diseases, conditions and injuries are being cured with simple treatments. One of my favorite cases is a middle-aged doctor who needed a heart transplant and would die within a few more months, and was given a simple I.V. with these Healing Cells, and his heart is now as good as new.

This new technology completely vindicates conservatives, and it WILL LOWER HEALTH CARE costs dramatically . . . by cheaply healing serious conditions that currently drag on for years, requiring expensive drugs and medical care.

Publius

Filed Under: All Stories, Economy, Entitlement, Ethics, Sci-Tech

Global Warming, Climate Change, and Big Foot

March 19, 2013 By Editor Leave a Comment

In the 1970s we were told by the media, university professors, Hollywood stars, and NOAA that the earth was slipping into global cooling, the precursor to an imminent ice age. They assured us that it was our own fault – carbon emissions, etc.

When the data just didn’t add up they changed their minds, and stories, and against all logic and acceptable methods of scientific inquiry began to preach the gospel of Global Warming—a religious-like dogma of the left that required strict acceptance of the proposition, regardless of the lack of evidence.

The press, media, and politicos treated us to an incessant barrage of lectures and finger wagging for several years, insisting that global destruction was imminent, and that we had to immediately cut back on Western industrialization and go entirely green if we wanted to survive. Al Gore’s An Inconvenient Truth became the bible of the left, and every social and political consideration came to be filtered through the lens it created. Gore even proffered a petition signed by thousands of “scientists” (most of whom turned out not to be scientists) bolstering his theory. International treaties intended to hand over American sovereignty to international bodies have been waved in our faces and entire economies have been destroyed by the adoption of “green jobs” policies.

Then came Climategate, where it was discovered that climate “scientists” and government employees were actively falsifying data to prove that human activity is causing earth’s weather to change substantially. Why the need to falsify data if it’s true? That has become the trillion dollar question.

We who are impartially considering the data have been disparaged and derided by those who have drunk from the chalice of Climate Change dogma. It is interesting that no one ever asks what our opinion is. In fact, there is a current petition in circulation signed by more than 31,000 real scientists, including more than 9,000 with Ph Ds (we know that because they must certify their degrees on the petition), which certifies:

“We urge the United States government to reject the global warming agreement that was written in Kyoto, Japan in December, 1997, and any other similar proposals. The proposed limits on greenhouse gases would harm the environment, hinder the advance of science and technology, and damage the health and welfare of mankind.

“There is no convincing scientific evidence that human release of carbon dioxide, methane, or other greenhouse gasses is causing or will, in the foreseeable future, cause catastrophic heating of the Earth’s atmosphere and disruption of the Earth’s climate. Moreover, there is substantial scientific evidence that increases in atmospheric carbon dioxide produce many beneficial effects upon the natural plant and animal environments of the Earth.”

Here is an inconvenient truth for the left. During the early Dark Ages global temperatures were reported to be higher than normal. Then there were the memorable “little ice age” conditions that inundated Europe and North America between 1600 and 1900 with lots of snow and ice. During those centuries witnesses reported that the Thames River in London would freeze so solidly that folks roasted oxen on the ice for months during the winters, and that iceboats could sail down the Hudson River almost as far south as New York City. In fact, the famous December 25, 1776 raid on the British in New Jersey was impeded by a Delaware River choked with ice. (Refer to the famous painting)

When is the last time anyone saw the Delaware choked with ice, or the Thames frozen over? It was over 100 years ago that average temperatures rose to the point that those rivers no longer froze in the winter. Is that due to carbon emissions? Anyone who tells you it is, is just falsifying data.

Publius

Filed Under: All Stories, Economy, Elections, Entitlement, Sci-Tech

Cyprus Lawmakers Reject Bill to Nationalize Bank Deposits

March 19, 2013 By Editor Leave a Comment

NICOSIA, Cyprus –  Lawmakers in Cyprus rejected a bill Tuesday that aimed to seize part of residents’ bank deposits in order to qualify for an international bailout.

cyprus-bailoutZero lawmakers voted in favor of the bill, and 36 voted against it.

Earlier Tuesday, The government amended its initial proposal to shield small savers from the plan, which aims to raise euro5.8 billion ($7.5 billion) in return for euro10 billion ($12.9 billion) from other eurozone countries and the International Monetary Fund. The total bailout money would go to prop up the country’s banks and public finances.

But even the modification, which will allow those with up to euro20,000 ($25,858) in the bank to escape the confiscation, opposition to the bill remained strong. Four parties and an independent deputy, accounting for 34 of the total 56 seats in Parliament have all said they recommend voting against the bill. The bill needs 29 votes to pass.

With the bill is rejected, Cyprus’ international bailout is now endangered, raising the very real possibility that Cypriot banks could collapse, and the country could face bankruptcy and may even have to leave Europe’s single currency.

Officials have said a “Plan B” should be sought in case the bill is rejected.

Under the amendment, people with between euro20,000 and euro100,000 in the bank would pay a tax of 6.75 percent on their deposits, and those with higher amounts would pay euro9.9 percent. In the initial proposal agreed on in Brussels late Friday, there would have been no exemptions for those with small amounts in the bank.

The plan has been met with fury in Cyprus and has sent jitters across financial markets.

In a heated debate, lawmakers spoke of “raw blackmail” from Europe in forcing Cyprus into the deal, while hundreds of protesters gathered outside Parliament chanting anti-government slogans.

Banks on the island nation will stay shut until Thursday in an effort to prevent a bank run.

In a sign of the scale of disagreement over the deposit charge, the country’s central bank governor, Panicos Demetriades, recommended that no accounts below euro100,000 be touched. That level represents the amount of savings that are supposed to be insured if a bank collapses.

“The credibility of, and trust in the banking sector depends on this,” said Demetriades, who conceded that he expects at least 10 percent of deposits to be withdrawn when the banks eventually re-open.

Failure to pass the bill could mean no bailout money from the eurozone and IMF and lead to Cyprus’s bankruptcy, which could reignite concerns in financial markets over the single currency’s future. That would likely put deposits in the country’s banks under even more threat.

Although Cyprus is the smallest eurozone country to be bailed out, the details of the plan sent shockwaves through the single currency area as it was the first time savers’ banks accounts have been directly targeted. Other bailed out countries such as Greece, Ireland and Portugal have raised funds by imposing new taxes.

Proponents of the deposit seizure argue that this way gets foreigners who have taken advantage of Cyprus’s low-tax regime to share the cost of the bailout of the banks, which have been hit hard by their over-exposure to bad Greek debt.

About a third of all deposits in Cypriot banks are believed to be held by Russians.

Finance Minister Michalis Sarris was flying to Moscow Tuesday afternoon to meet with his Russian counterpart.

Andreas Charalambous, a senior official at the ministry, said the aim is to extend repayment of a euro2.5 billion loan Russia granted Cyprus in late 2011 when the country could no longer borrow from international markets.

He said Cyprus was also looking for “potential interest for further investment in the country.”

Opponents say a blanket charge on people’s bank accounts will hurt ordinary Cypriots more, and could shake the confidence of all in the country’s banking sector. And by going after deposits, European policymakers have set a precedent that could be repeated in the future. The worry of bank runs across Europe lies at the heart of market concerns.

Charalambous said Cypriot authorities believe depositors should be protected, but that a wholesale exemption for those below euro100,000 would mean a “disproportionate” burden on large savers, and a “very detrimental” knock-on effect on economic growth.

“Because of the size of the estimated (bailout) needs, the burden on those above euro100,000 would be such that it would again impact small people because it would destroy the ability of the country to attract foreign investment,” Charalambous said.

In a Monday night teleconference, eurozone finance ministers concluded that small depositors should not be hit as hard as others. They said Cyprus should stagger the seizures more, but insisted that the overall take should stay the same.

President Nicos Anastasiades, who was elected less than a month ago, told German Chancellor Angela Merkel Monday night that “the possibility of reducing the requirements from self-raised funds is being explored,” a Cypriot government spokesman said.

The two leaders were expected to speak again on Tuesday, he added.

Christine Lagarde, the head of the International Monetary Fund which is participating in Cyprus’s bailout, said in Frankfurt that the IMF was “extremely supportive of the Cypriot authorities’ intentions to introduce more progressive rates in the one-off tax.”

Published March 19, 2013 / Associated Press

Filed Under: All Stories, Economy, Entitlement, Foreign

California Businesses Fuming Over Retroactive $120M Tax

March 19, 2013 By Editor Leave a Comment

California’s top-end taxpayers — already steamed over a recent hike in the nation’s highest state income tax — are now fuming over a new $120 million retroactive tax grab on small business owners.

california_taxIn December, the state’s tax authority determined that a tax break claimed over the past few years by 2,500 entrepreneurs and stockholders of California-based small businesses is no longer valid and sent out notices of payment.

“How would you feel if you made a decision, which was made four years ago, (and) you absolutely knew was legally correct and four years later a governing body came in and said, ‘no, it’s not correct, now you owe us a bunch more money. And we’re going to charge you interest on money you didn’t even know you owed’,” Brian Overstreet told Fox News from his office north of San Francisco.

Last year, Overstreet and his fellow investors sold Sagient Research Systems and immediately reported the sale to the California Franchise Tax Board, the state’s version of the IRS. “It was good for the shareholders, it was good for the employees and good for those of us who founded it,” Overstreet said about the sale of the data mining company. “We paid the tax based on the law at the time.”

But the FTB changed its interpretation of the law after a state appeals court ruled unconstitutional a qualifying provision of the break requiring companies to maintain 80 percent of their workforce in California. Instead of asking the legislature for guidance on what to do, the FTB suspended the break in its entirety and ordered anyone who’s claimed it in the last five years to pay up.

“What that translates into is tens of thousands, if not literally hundreds of thousands, of potential jobs,” Overstreet contends.

Overstreet said he’s learned more about the workings of state government in the last two months than he ever knew before and he’s become the point person for others like him who were surprised by the FTB’s decision. “It’s going to cause not only significant financial hardship but real personal stress on a lot of people who shouldn’t be worried about this,” he said. “They did what is right. They paid their taxes. They should be off working away at their next business — instead they’re having to spend their time fighting this stuff.”

Overstreet wouldn’t disclose the exact amount the FTB says he owes but said it was “well into the six figures,” and calls it a sucker punch from the state.

The taxpayers fighting the FTB won an early victory in their fight when the tax board announced a temporary delay in issuing actual bills, technically called Notices of Proposed Assessments. It’s believed the additional time is to allow the state’s political leaders time to figure out a solution.

“Once the revenue is identified, those folks up in Sacramento will figure out how to spend it already,” warns former state Sen. George Runner. “And that’s what makes this so difficult. Even though it has this great bipartisan support as being wrong.”

Earlier this month, lawmakers from both parties introduced legislation that would force the FTB to scrap the retroactive tax bills. “Californians planned and based their actions on the language of the law as it existed,” Democratic Sen. Ted Lieu said in a statement. “Going backward in time and changing the rules innocent taxpayers relied upon violates the very essence of the rule of law.”

Republican Assemblyman Jeff Gorell’s companion bill would prohibit the state from charging interest and penalties in similar situations in the future.

“We want to unwind this poor decision and bring relief to small business owners throughout the state, while also setting prohibitions against this kind of surprise tax increase again for the future.”

What’s not as clear is what Gov. Jerry Brown thinks of the issue. “Quite frankly, we haven’t heard from the governor on this and the governor could solve this,” Runner, a Republican, said. “Ultimately, the legislature can try to fix it, but ultimately the bill still has to end up on the governor’s desk.”

Brook Taylor, a spokesman with the governor’s business development office, told Fox News in an email that the tax credit “provided a real boost to entrepreneurs” and that the court’s ruling was unfortunate.  Taylor added that, “we are reviewing the situation to determine how best to help these business owners given the court’s decision.”

California’s high tax rates, strong environmental regulations and a Democratic lock on many public offices have led some to conclude the state is anti-business. Texas Gov. Rick Perry, among other state executives, has made repeated overtures to the state’s business leaders to relocate. Those criticisms have been regularly rebuffed by Brown and his staff.

During a recent dust-up over a radio ad promoting Texas, Brown reportedly said, “you go where the gold is” and that Perry is “not going to Lubbock, or whatever those places are that make up that state.”

What’s not addressed by the pending legislation is what to do about the future of the tax credit. It’s been around for 20 years to promote job-growth and investment — especially in the computer technology and bio-research industries. “California has always prided itself in the ability to be that incubator for high-tech, for entrepreneurial investment,” Runner said. “And this just goes to the core of that. Undermines our credibility, if you will, on that particular issue.”

Overstreet’s main focus has been on retroactive part of the FTB’s action but he also said if lawmakers allow for the tax break to go away entirely it will have consequences for the state. “As a going-forward problem if entrepreneurs are no longer allowed this kind of incentive, there’s no longer any reason for us to intentionally grow our companies here in California. We are going to take our business to where it is the cheapest and most effective place to hire people.”

By Lee Ross / Published March 19, 2013 / FoxNews.com

Filed Under: All Stories, Economy, Elections, Entitlement, Ethics

Cyprus’ Decision to Seize Bank Deposits

March 19, 2013 By Editor Leave a Comment

PARIS –  Lawmakers in Cyprus are still scrambling for a way to raise €5.8 billion ($7.5 billion) to help pay for an international bailout of the country’s banks and government.

cyprusA plan to seize up to 10 percent of people’s savings has been met with fury and it has raised concern, if not panic, in the rest of Europe about the security of bank deposits in times of financial turmoil.

On Tuesday, Cypriot lawmakers are scheduled to vote a revised plan that would not be so burdensome for people with less than €100,000 in the bank. Any plan must be approved by the other eurozone countries, which would then commit €10 billion in rescue loans to Cyprus.

Banks in Cyprus will remain shut until Thursday to give political leaders time to hash out a deal.

Here’s a look at the plan and the problems it may pose.

HEY, HOW CAN THEY DO THAT?

As a member of the euro currency, Cyprus can to raise or lower taxes whenever it wants. It isn’t the first time that a eurozone nation has raised taxes to cope with mounting debt and to prop up struggling banks. Residents of Greece, Portugal and Ireland — all bailout recipients — have seen their tax bills skyrocket in recent years as those countries tried to reduce their debts. But Cyprus is charting new ground here, and there could be legal — and political — challenges.

AND HOW EXACTLY WILL IT WORK?

Banks have already acted to seal off the amount of the levy — a 6.75 percent tax on deposits under €100,000 and 9.9 percent on those above — so depositors can’t access it. Banks will remain closed until Thursday to avoid a rush of withdrawals while lawmakers finalize the move. They will vote on Tuesday, but some are seeking modifications, mainly to lower the tax rate on deposits under €100,000. To do that, however, they have to raise the rate for the larger depositors, since the overall scheme has to raise a total of €5.8 billion.

HAS THIS EVER HAPPENED BEFORE?

So far in the euro crisis, depositors have been protected. But European countries have taxed bank deposits before. In the 1990s, Italy levied a tax on every bank account to stave off the collapse of its lire currency. The rate, however, was miniscule — 0.06 percent — compared to what Cyprus is enacting. Iceland — another island with an outsized financial sector, although worse weather — also relied on depositors to prop up its banks. When the crisis hit there in 2008, Iceland protected its domestic deposits but reneged on deposit insurance for overseas, Internet-based accounts held by British and Dutch. Those two governments stepped in to help their citizens to the tune of $5 billion. The U.K. and the Netherlands sued Iceland unsuccessfully in a European court to get their money back, but Iceland has nevertheless started to repay some of that money.

European officials are promising this Cyprus is a unique case, and they are right in one aspect: Cypriot banks are overwhelmingly funded by deposits, not bondholders. So it wouldn’t have been very fruitful to go after bondholders.

WHO IS AFFECTED?

All people with money in Cypriot banks — except those with money in Greek branches, which will be sold to Greek banks. EU and IMF creditors clearly wanted to protect struggling Greece, but perhaps also saw that Greece is the most likely place in the eurozone for a bank run. Protecting depositors there minimizes that possibility. Of the more than €68 billion on deposit in Cypriot banks, foreigners hold about 40 percent — and most of those are Russians. Cyprus could have only gone after non-EU depositors, but it may have been hard to distinguish between Cypriot and Russian savers, said Jacob Kirkegaard, senior fellow at the Peterson Institute for International Economics in Washington. That is because many Russians have dual citizenship and many Russian businesses are registered on the island. Kirkegaard said Cypriots may paradoxically welcome this measure since the government just managed to widen its tax base to include a lot of Russians; the taxes levied in Greece, Portugal and Ireland were for residents alone to shoulder.

WHY DID CYPRUS NEED A BAILOUT?

Cyprus built its economy in recent years by becoming a financial center, much the way Ireland and Iceland before it did. Its banks offered Internet accounts to foreigners, were renowned for their service, provided substantial privacy to clients and had very low taxes. It worked so well that Cyprus’ banking industry ballooned to nearly eight times the country’s gross domestic product at the height of the boom. In December, it was still more than seven times Cyprus’ €17.5 billion GDP. Russians — looking for warmer climes, lower tax rates and shared culture in the form of Orthodox Christianity — are thought to hold the majority of those accounts, with about €20 billion in the island’s banks.

But Cyprus’ banks held a lot of Greek debt and suffered significant losses when they took a writedown of those bonds as part of the Greek bailout. Much of Cyprus’ bailout money will be used to recapitalize Cypriot banks to prevent them from collapsing. Like other eurozone countries, Cyprus has also seen its deficit and debt explode as growth has ground to a halt. And with the banking system so large, the government wouldn’t have been able to bail it out even in a healthy economy.

WHY DO RUSSIANS KEEP SO MUCH MONEY IN CYPRUS?

Russian businessmen have preferred to place their savings in offshore jurisdictions, partly to escape political uncertainty and corruption in Russia. Cyprus offers a 10 percent corporate tax rate and relatively stable political situation. Cyprus is also believed to be a top destination for money-laundering. It is much safer for a corrupt Russian official to keep proceeds from illegal activities abroad, hiding information about their fortunes and holdings away from the prying eyes of Russian banking regulators. Russian officials estimated that about $49 billion, which is equivalent to 2.5 percent of Russia’s gross domestic product, was wired to foreign accounts illegally last year.

WHAT HAS THE MARKET REACTION BEEN?

Stock markets and the euro dropped on Monday but not too much. Kirkegaard says that the decision to tap depositors indicates that the European Central Bank is confident that the risk of a bank run elsewhere in the eurozone is low — and by excluding Greek branches of Cypriot banks, they have reduced the possibility even further.

But Heather Conley, director of Europe program for the Center for Strategic and International Studies, says it’s hard to know the far-reaching implications of this one-off deal. The “exceptions” created to solve Europe’s debt crisis are adding up, she said. And some investors may look at this late-night, three-day-weekend deal and see what she saw: a dress rehearsal for a country dropping out of the euro.

___

Published March 19, 2013 / Associated Press / AP Writer Menelaos Hadjicostis contributed to this report from Nicosia, Cyprus.

Filed Under: All Stories, Economy, Elections, Entitlement, Foreign

What’s the Problem with a $16.6 Trillion Debt?

March 15, 2013 By Editor Leave a Comment

President Obama and his associates on the left follow the Keynesian theory of economics, the idea that when economies wane, government deficit spending will reignite the flame. To that end the Obama administration has spent trillions of dollars in 4 years, around 40 percent of which has been borrowed, and on which the country is now paying interest.

The national debt stood at $10 trillion when Barack Obama moved into the Oval Office just four short years ago. That nearly incomprehensible amount represented the unbridled deficit spending of generations of left-leaning presidents and congresses—Democratic and Republican.

Today the national debt stands at $16.6 trillion, more than a 60 percent increase in so short a time. If the congress complies with the President’s demands for increased spending, the national debt will exceed $18 trillion by next year.

What’s the problem, you ask?

When Americans turn off the alarm clock and hustle off to work, the first $1.2 billion they generate every day must be siphoned off of the economy just to pay the current interest on the national debt. That amount grows each day as additional money is borrowed to run the government, and as unpaid interest on the debt compounds.

The federal budget is up to $3.8 trillion a year, with multiple stimulus packages filled with crony payoffs and pork barrel spending wasting additional trillions, without any economic return to the American people. The economy is worsening, with real unemployment and underemployment over 15 percent.

Government leaders should have put the country on a fast-track to pay off the national debt 20 years ago . . . and 10 years ago . . . and 3 years ago. Those on the left boisterously proclaim that the only answer is to raise taxes. We challenge the left to demonstrate to the public when raising taxes has ever improved the economy. In fact, it has never happened. It is when taxes are slashed that money is freed up and businesses invest in new jobs, putting people to work and heating up the economy. President Kennedy proved this, as did Ronald Reagan.

Time after time Keynesian economics has failed. So why do our universities still tout it as the model for our own economy? Why are our government leaders drawing all available dollars, current and future, into the abyss of federal spending? How many jobs were created with the shovel ready projects promised by President Obama as he highjacked nearly $900 billion in the first stimulus package?

Debt creates poverty. Ever family knows this. Those who frequent the check cashing-payday loans establishments have learned the hard way that it is a recipe for financial disaster. So when will our government leaders learn the lesson? We recall well as Jimmy Carter addressed the nation and scratched his head in confusion as he explained that he had implemented all of the university approved, liberal orthodox policies, yet the country appeared to be languishing in a “malaise.” These are people that don’t seem to learn from past mistakes. Debt equals poverty. Perhaps this is why Americans are becoming poorer with every passing day.

Publius

Filed Under: All Stories, Economy, Elections, Entitlement, Ethics

“Fairness” in Taxes and Redistribution

March 15, 2013 By Editor Leave a Comment

As the propaganda press stirs up the occupying proletariat in our nation, and our streets become filled with couch potatoes demanding their fair share of that which has been earned by others, the insanity and impossibility of the scene serves as ample proof that too much weed indeed dulls the human brain’s ability to reason.

The 99 percent demand that they be supported by the 1 percent. They demand that taxation be applied “fairly.”

Indeed, 47 percent of the country pays no federal income taxes whatsoever, and the top 25 percent of earners pay 87 percent of the total burden. The top 1 percent pay 36% of all federal income taxes, while the top 5 percent pay 58%.

In fact, this distribution scheme is unfair, but it is not those who now bear a significantly higher portion of the burden who should be made to shoulder even more of the load.

There is a story that I heard years ago about the fairness of the distribution of tax burdens that I think will be instructive. It’s precise origin is unknown as far as I know, but I would like to give proper credit if I could find the person who developed it.

Suppose that every day ten men go out for beer and the bill for all ten comes to $100. If they paid their bill the way we pay our taxes, it would go something like this:

The first four men (the poorest) would pay nothing.
The fifth would pay $1.
The sixth would pay $3.
The seventh would pay $7.
The eighth would pay $12.
The ninth would pay $18.
The tenth man (the richest) would pay $59.
So, that’s what they decided to do. The ten men drank in the bar every day and seemed quite happy with the arrangement, until one day, the owner threw them a curve. ‘Since you are all such good customers, he said, ‘I’m going to reduce the cost of your daily beer by $20. Drinks for the ten now cost just $80.

The group still wanted to pay their bill the way we pay our taxes so the first four men were unaffected. They would still drink for free. But what about the other six men – the paying customers? How could they divide the $20 windfall so that everyone would get his ‘fair share?’ They realized that $20 divided by six is $3.33. But if they subtracted that from everybody’s share, then the fifth man and the sixth man would each end up being paid to drink his beer. So, the bar owner suggested that it would be fair to reduce each man’s bill by roughly the same amount, and he proceeded to work out the amounts each should pay.

And so:

The fifth man, like the first four, now paid nothing (100% savings).
The sixth now paid $2 instead of $3 (33%savings).
The seventh now pay $5 instead of $7 (28%savings).
The eighth now paid $9 instead of $12 (25% savings).
The ninth now paid $14 instead of $18 (22% savings).
The tenth now paid $49 instead of $59 (16% savings).
Each of the six was better off than before. And the first four continued to drink for free. But once outside the restaurant, the men began to compare their savings.

‘I only got a dollar out of the $20,’declared the sixth man. He pointed to the tenth man,’ but he got $10!’

‘Yeah, that’s right,’ exclaimed the fifth man. ‘I only saved a dollar, too. It’s unfair that he got ten times more than I!’

‘That’s true!!’ shouted the seventh man. ‘Why should he get $10 back when I got only two? The wealthy get all the breaks!’

‘Wait a minute,’ yelled the first four men in unison. ‘We didn’t get anything at all. The system exploits the poor!’

The nine men surrounded the tenth and beat him up.

The next night the tenth man didn’t show up for drinks, so the nine sat down and had beers without him. But when it came time to pay the bill, they discovered something important. They didn’t have enough money between all of them for even half of the bill!

And that, boys and girls, journalists and college professors, is how our tax system works. The people who pay the highest taxes get the most benefit from a tax reduction. Tax them too much, attack them for being wealthy, and they just may not show up anymore. In fact, they might start drinking overseas where the atmosphere is somewhat friendlier.

Publius

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Senate Dems Poised to Advance Gun Ban, Seek Obama’s Help in NRA Battle

March 14, 2013 By Editor Leave a Comment

WASHINGTON –  Senate Democrats are poised to pass a renewed and strengthened assault-weapons ban out of committee Thursday as part of a package of measures advancing to the floor, but are appealing to President Obama to help battle opposition from Republicans and gun-rights supporters.

Dianne_FeinsteinThe Senate Judiciary Committee, after advancing bills earlier in the week to enact near-universal background checks and combat gun trafficking, on Thursday morning will take up what is arguably the most controversial measure drafted since the Newtown, Conn., shooting.

Sen. Dianne Feinstein’s effort to revive an assault-weapons ban, as well as a ban on large-capacity magazines, has revived a tense debate over gun rights in Washington and across the country. The panel seemed likely to approve the measure Thursday on a party-line vote. But once it reaches the full Senate — probably in April — the measure faces heavy opposition by Republicans and some moderate Democrats, as well.

Feinstein acknowledged she’d need more backing if it is to stand a chance on the floor — even then, it’s hard to imagine a circumstance where the Republican-controlled House would allow the measure to proceed.

“I’d like to see everybody doing more,” bill sponsor Sen. Dianne Feinstein, D-Calif., said Wednesday when asked if she’d like more assistance from Obama. “Yes, absolutely, we need help. We have the 800-pound gorilla out there” — a reference to the potent National Rifle Association.

Obama made an assault weapons ban part of the gun curbs he proposed in January, a month after a shooter with an assault rifle killed 20 first-graders and six educators at a school in Newtown, Conn. Feinstein and others have argued that such firearms are used in a disproportionate number of mass shootings and shouldn’t be available to civilians.

The prohibition has emerged as one of the most controversial of the gun restrictions being considered in Congress. Foes of barring the weapons say law-abiding citizens should not lose their Second Amendment right to own the weapons, which they say are popular for self-defense, hunting and collecting.

Feinstein’s bill would also ban large-capacity ammunition magazines carrying more than 10 rounds, which she and her allies say allow shooters to inflict more casualties before pausing to reload, which is when they might be stopped. Adam Lanza, the Newtown gunman, was said to have had 30-round magazines.

The measure’s passage by the Judiciary panel has been a foregone conclusion for some time. It will be far more vulnerable in the full Senate, where Democrats are expected to need 60 votes for passage through the 100-member chamber. That is where the NRA and other pro-gun groups are working hard for the ban’s defeat.

“We are focused on the next step of the legislative process,” Chris W. Cox, the NRA’s chief lobbyist, said Wednesday.

There are 53 Democrats plus two independents who generally side with them. Republicans seem ready to oppose the ban overwhelmingly, and Feinstein can’t count on a half-dozen Democrats from Republican-leaning states who face re-election next year.

The ban also stands little chance of approval in the GOP-controlled House.

Feinstein’s bill would ban semi-automatic weapons — guns that fire one round and automatically reload — that can take a detachable magazine and have at least one military feature like a pistol grip.

It specifically bans 157 named weapons. But in an effort to avoid antagonizing those who use them for sports, the measure allows 2,258 rifles and shotguns that are frequently used by hunters.

It also exempts any weapons that are lawfully owned whenever the bill is enacted.

Feinstein was a leader in passage of a 1994 ban on assault weapons and high-capacity magazines. Congress failed to renew it when it expired in 2004.

There are no definitive figures on assault weapons or high-capacity ammunition magazines in the U.S., since there are no government registries of firearms and Congress has curbed federal research on guns since the late 1990s.

When the previous assault weapons ban took effect in 1994, there were an estimated 1.5 million assault weapons and at least 25 million large-capacity magazines that were privately owned in the U.S.

Proponents of banning the weapons cite studies showing that once the assault weapons ban took hold, the portion of gun crimes using those firearms dropped by up to 72 percent in six cities surveyed. They also argue that each assault weapon taken off the streets reduces the potential for mass shootings.

Opponents cite studies showing that assault weapons have been used in fewer than 1 in 10 crimes involving firearms and argue that eliminating those weapons would put only a minor dent in gun violence. High-capacity magazines are involved in up to a quarter of gun crimes.

The Judiciary Committee has already approved three other measures expanding the requirement for background checks for gun buyers; toughening federal laws against illegal gun traffickers and those who purchase weapons for people barred from owning them; and increasing aid for school safety.

The Associated Press contributed to this report.

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The True Champions of American Blacks

March 13, 2013 By Editor Leave a Comment

Under the British system, a system where the king could do no wrong, and all subjects were essentially his private property, indentured servitude and slavery were common. It is how many young people escaped the class poverty of Europe, by indenturing themselves until the age of 18, or later, then receiving their freedom. Others were indentured to repay family debt. Many of these became successful free citizens under the system, while many never escaped the bonds of servitude. Europeans had developed quite a system of slave trading before the foundations of America, and under the British Empire slaves were tasked with working the vast agricultural holdings of the colonies, including those in the New World.

abraham_lincolnMost of the founders were very hostile to the system of servitude, and although they existed within it, they sought to extinguish it. When the founders declared our liberty from Great Britain, they did so with the intent of retaining the new nation’s faith and credit. Huge holdings were offered as guarantee of repayment of war loans, including vast agricultural empires, which included the slaves that worked them. The slavery question was hotly debated in the forming nation, and it is the one failing of the founders that they were unable to win the day against slavery—due mainly to the collateralization of debt issue—but could only “kick the can down the road,” as our current government does daily.

The intent of the founders was to phase out slavery, but agricultural interests in the southern states resisted all attempts. Finally, the Republican Party was formed and at the peril of national civil war, its candidate, Abraham Lincoln, ran on the platform that slavery must finally be abolished. Over a half million Americans lost their lives in the ensuing conflict, but the issue was officially, if not finally settled. In fact, hundreds of Republican whites and blacks were murdered in the South even after the Civil War, during “Reconstruction.”

Republicans in the 1950s and 1960s attempted to enforce voting and civil rights to the descendants of African slaves emancipated during the Civil War, but they were blocked by the Democrats and Southern state “Dixiecrats,” who blocked passage while they blocked black students from entering Southern universities. Who were these Democrats who filibustered and voted against civil rights and voting rights for blacks? John F. Kennedy, Al Gore, Sr., Lyndon B. Johnson, George Wallace, and Senate Majority Leader Robert Byrd, otherwise known as the Kleagle and Exalted Cyclops in the Ku Klux Klan, to name a few.

It was when “progressives” adopted the charlatan policy that they “adopted” African Americans and other “minorities” as their charges. In the name of the oppressed, the disenfranchised and the downtrodden, most of whom were that way because of the old prejudices of the Southern Democrats or have become that way through the taxation and confiscatory policies of the expanded left leaning US government, “progressives” have created a fatherless and helpless nation of minorities in America. Once all left leaning politicians received the Memo that all things were possible in the name of the downtrodden, those very politicians who had so vehemently opposed voting and civil rights for American minorities suddenly became their “champions.”

The Republican voting and civil rights bills were immediately redubbed Democratic legislation, and were passed, with several new powers being given to the federal government in the deal.  The “Great Society” was born and American blacks instantly went from struggling to get into the middle class to dropping directly into the abyss.  American minorities are well on their way to becoming completely dependent on government handouts, and feel beholden to politicians who keep them on the public dole.

Does every American liberal or moderate set out with these leftist results as their goal? No. They are fooled by their leadership, who have their own secret agenda, as recently lamented by Bob Beckel, Liberal Commentator:

“We liberals made a terrible mistake, going back 30 years ago.  We made a dependent society because we thought we were doing the right thing.  We had things like public housing, and we had welfare payments, and all that bred dependence.”

African-Americans would do well to return their support to those who have their collective well-being and personal liberty at heart.

Publius

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The $6 Trillion Lie

March 13, 2013 By Editor Leave a Comment

We observed a brief exchange in social media between a liberal and conservative, based on a quote posted by the liberal: “A nation that continues year after year to spend more money on military defense than on programs of social uplift is approaching spiritual death.” Martin Luther King, Jr.

The implication is the same always proffered by the left–that government wastes its revenues on defense spending at the expense of social programs, and should reduce spending on defense and increase spending on social programs.

The argument, on its surface, is one that causes the good-hearted to stop and reflect. Certainly, we all want to assist those in dire circumstances, and as a society we have made a social pact to protect those who have fallen from a secure position in life. We seek to lift up the weak, and to champion the oppressed.

But is it true that we spend more on defense than on social uplift?

As we look at the question, we must first ask ourselves, what is the role of government? For instance, is it the duty of the San Francisco city government to provide aircraft carriers in the Pacific Ocean? We all know it is not. But why is it not? Because different levels of government have different duties to their citizens. With all levels of government working together to provide for the needs of their citizens, so the theory goes, all needs are covered.

So, starting at the top, what is the duty of the federal government to its citizens? The constitution mandates that the federal government be delegated certain duties by the states and their citizens, duties, like national military defense, that cannot be provided by state or local governments very well. Those duties, and powers to fulfill them, are limited by the constitution. These limited powers enable it to provide for the common defense, free the flow of commerce, coin money, establish weights and measures, provide for immigration, bankruptcies, postal services, patents and copyrights, declare wars, establish a Navy and Army, and to establish duties, imposts and excises to pay for the national government’s activities. That’s it.

So if the federal government has no constitutional delegation to provide schools, hospitals or firefighters, how do we get those? We get them from state and local governments. In fact, at the state and local level we find almost all “social uplift” programs. Do states, counties and cities have to provide social uplift programs? No. Do they choose to? Yes.

So how much money do all levels of government spend each year to pay for all levels of government and the services they provide? Here is what we will be spending in the next year:

Federal Gross Spending $3.8 trillion
Intergovernmental $-0.7 trillion
State Direct Spending $1.6 trillion
Local Direct Spending $1.7 trillion
Total Spending $6.4 trillion

Armed with this information we can now make some simple comparisons. For instance–How much is the defense budget? It is $830 billion, or $0.83 trillion. As anyone can see, defense is only 14% of total spending. But how does defense spending stack up to educational spending? In this same time frame we will spend approximately the same amount on each (see our article of June 11, 2012, NEA Report Card: F).

So if America spends around 14% of its annual taxes on defense, and a like amount on education, where does the remaining 72% go? It goes to healthcare ($1.1 trillion), welfare ($0.8 trillion), public employee pensions ($1.1 trillion), etc.

Those on the left have created a myth of government spending that they share among themselves that says that most taxes go to defense spending (which actually pays for the employment of millions of Americans), and social programs get the leftover crumbs. In fact, it is not true at all–it is quite the opposite.

All of those $ trillions are up for grabs to an array of government employee unions, special interests, and administration cronies and contributors, and are funding all manner of social and anti-social programs and movements. This is why Mitt Romney, noting that the federal government borrows 40% of its budget every year (to be paid by a future generation), indicated in the first presidential debate that government spending must be pared back to essentials until the economy returns to full employment.

With all of those fingers in the $6.4 trillion pie (which does not include unfunded obligations), it may be a little difficult for statesmen to serve the American people without offending a few hogs at the trough.

PUBLIUS

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House Republican Plan Aims to Balance Budget in 10 Years, Without Tax Hikes

March 12, 2013 By Editor Leave a Comment

House Republicans unveiled an ambitious cost-cutting plan Tuesday that would balance the budget in 10 years without raising taxes, while repealing ObamaCare and overhauling entitlements — a document Democrats are sure to reject but could be used as a negotiating tool in talks with President Obama.

paul_ryanRep. Paul Ryan, R-Wis., chairman of the House Budget Committee, is sticking by controversial proposals, including one to give future Medicare retirees the option of using government payments for private health care plans.

The plan warns of a looming debt crisis, and endeavors to pay off the debt by 2050.

“It’s not too late,” the plan says. “This budget provides an exit ramp from the current mess.”

Democrats preemptively panned Ryan’s spending plan, with House Democratic Whip Steny Hoyer, D-Md., saying it relies on “spurious budget trickery.”

“His past budgets have included lofty rhetoric about deficit savings, but very few actual details of how those savings are found,” Hoyer said in an op-ed in Politico.

Senate Democrats promise to offer a counterproposal on Wednesday with higher spending on domestic programs and additional tax hikes on top of the higher rates imposed on top-bracket earners in January. It will, in turn, arrive as a dead letter in the GOP-controlled House.

But this year’s dueling GOP and Democratic budget proposals are more about defining political differences than submitting a plan that can pass Congress unchanged.

The exercise comes even as President Obama was to travel to Capitol Hill on Tuesday to meet with Senate Democrats in an attempt to resuscitate his failed efforts for bipartisanship.

Ryan, who became a national GOP figure as the losing vice presidential nominee last year, has for now settled back into his wonkish role as Budget Committee chairman and chief tutor for dozens of relatively junior Republicans. His budget helps to undergird Republican claims that the government does not need to raise taxes in order to bring down the deficit.

The plan would achieve $4.6 trillion in deficit reduction over 10 years. It also aims to simplify the tax code, consolidating the seven income-tax brackets into two, with a top rate of 25 percent.

“We’re introducing a budget that balances in 10 years — without raising taxes,” Ryan said in an op-ed in The Wall Street Journal. “How do we do it? We stop spending money the government doesn’t have.” All told, Ryan’s plan would slash $4.6 trillion in spending over the coming decade.

“On the current path, we’ll spend $46 trillion over the next 10 years. Under our proposal, we’ll spend $41 trillion,” Ryan said. “On the current path, spending will increase by 5 percent each year. Under our proposal, it will increase by 3.4 percent.”

The plan calls for a 10 percent reduction in the federal workforce by 2015, as well as changes to give states more flexibility on Medicaid, the health care program for low-income Americans. It would also repeal the federal health care overhaul, particularly targeting the expansion of Medicaid and government subsidies meant to help millions buy private insurance.

The House Budget Committee has scheduled a vote on the soon-to-be-released measure Wednesday, and the Senate Budget panel is slated to vote Thursday on rival legislation by new Budget Committee Chairwoman Patty Murray, D-Wash., who promises new tax revenues but few cuts from domestic programs like Medicare and Medicaid.

“We are working toward fair and balanced, which is what the American public has said time and time again that they want,” Murray said. “We need to make sure that everybody participates in getting us to a budget that deals with our debt and our deficit responsibly.”

For his part, Ryan has resurrected a controversial Medicare proposal that replaces traditional Medicare for those currently under 55 with a government subsidy to buy health insurance on the open market. Critics of the plan say the subsidies won’t grow with inflation fast enough and would shove thousands of dollars in higher premiums onto seniors before very long.

The House GOP plan again proposes sharp cuts to Medicaid, tighter food stamp eligibility rules and more than $1 trillion in savings over a decade by repealing Obama’s signature overhaul of the U.S. health care system. It seeks to preserve the Pentagon budget, but only at the expense of proposing domestic agency budgets that may prove too low for GOP moderates and the pragmatists atop the Appropriations Committee responsible for guiding them into law.

Even as it proposes repealing ObamaCare, the Ryan plan banks more than $700 billion in the health care law’s cuts to Medicare providers over a decade — just as more than $600 billion in tax hikes on the wealthy enacted in January make it easier for Ryan’s budget to predict balance.

At the White House, Press Secretary Jay Carney was asked about Obama’s failure to submit a budget on time.

“The president has always believed that deficit reduction is not a goal unto itself,” Carney said. “The proposals he’s put forward keep the No. 1 objective in mind, which is economic growth and job creation, not deficit reduction solely for the purpose of reducing the deficit.”

As the two sides battle over future-year budgets, top Senate Democrats and Republicans late Monday released a catchall government funding bill for the ongoing fiscal year that denies Obama new money for implementing signature first-term accomplishments like new regulations on Wall Street and his expansion of government health care subsidies, but provides modest additional funding for domestic priorities like health research and highway projects.

Monday’s measure was the product of bipartisan negotiations and is the legislative vehicle to fund the day-to-day operations of government through Sept. 30 — and prevent a government shutdown when current funding runs out March 27.

It sets a path for government after across-the-board spending cuts that took effect March 1. In most cases the minor changes in agency budgets amount to housekeeping within a trillion-dollar cap for the day-to-day operations of agencies in the current budget year.

Passage in the Senate this week seems routine and could presage an end to a mostly overlooked battle between House Republicans and Obama and his Senate Democratic allies over the annual spending bills required to fund federal agency operations.

Published March 12, 2013  FoxNews.com

The Associated Press contributed to this report.

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Leaked email adds fuel to claims White House playing politics over impact of cuts

March 6, 2013 By Editor Leave a Comment

Reprinted from Foxnews.com, March 06, 2013.

A leaked email from an Agriculture Department field officer adds fuel to claims President Obama’s political strategy is to make the billions in recent federal budget cuts as painful as possible to win the public opinion battle against Republicans.

obama_closeupThe email, circulated around Capitol Hill, was sent Monday by Charles Brown, a director at the agency’s Animal and Plant Health Inspection Service office in Raleigh, N.C. He appears to tell his regional team about a response to his recent question on the amount of latitude he has in making cuts.

According to the partially redacted email, the response came from the Agriculture Department’s budget office and in part states: “However you manage that reduction, you need to make sure you are not contradicting what we said the impact would be.”

The response noted that the administration had already told Congress that the APHIS would “eliminate assistance to producers in 24 states in managing wildlife damage to the aquaculture industry” without additional funds.

Arkansas Republican Rep. Tim Griffin said the administration’s response to Brown’s email shows a bid to undermine efforts to replace the cuts, known as sequester, with less onerous ones.

“This email confirms what many Americans have suspected: The Obama administration is doing everything they can to make sure their worst predictions come true and to maximize the pain of the sequester cuts for political gain,” Griffin said in a statement.

Griffin told Fox News on Wednesday that the bosses effectively said “you can’t do anything that is inconsistent with the negative impact that we’ve told everybody these cuts are going to have.”

Under the 2011 deal reached by Obama and Congress, the cuts are supposed to be across the board, meaning government officials have limited flexibility in moving around money.

The administration in recent weeks has made doomsday predictions about the impact of the cuts. And the White House so far has appeared unwilling to accept a Republican offer to give the president more autonomy in making the cuts, covering $85 billion this fiscal year, to help reduce the impact on some of the most essential or hardest-hit programs or agencies.

Some political strategists say the president hopes the cuts hurt enough to compel Republican lawmakers seeking re-election next year to end them by agreeing to more tax increases.

On Sunday, Gene Sperling, the White House’s top economic adviser, suggested Republicans would indeed make this decision.

“Our hope is, as more Republicans start to see this pain in their own districts, they will choose bipartisan compromise over this absolutist position,” he said.

Agriculture Secretary Tom Vilsack, during a House hearing Tuesday, was asked by South Dakota Republican Rep. Kristi Noem about the Brown e-mail.

Vilsack said he was unaware of the email but denied the administration has a policy of being inflexible and maximizing the cuts’ impact.

“I wouldn’t say that we’ve said no to flexibility,” Vilsack said. “But there are certain circumstances where we don’t have flexibility.”

“I’m hopeful that isn’t an agenda that has been put forward,” Noem said.

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White House retreats from doomsday spending cuts predictions, but keeps blame on Republicans

March 4, 2013 By Editor Leave a Comment

Reprinted March 03, 2013 from FoxNews.com

The White House is retreating from its doomsday predictions about the impact of the $85 billion in federal spending cuts as they enter a second week — with Republican leaders appearing at least satisfied about delivering on their promise to limit government spending and hold down taxes.

sperling_geneGene Sperling, the White House’s top economic adviser, repeatedly said Sunday the cuts will not hurt as much on “Day One” as they will over the long haul.

“Nobody ever suggested that this … was going to have all its impact in the first few days,” he told “NBC’s “Meet the Press.” “It is a slow grind.”

His remarks are in contrast to weeks of President Obama and his Cabinet warning that the cuts will result in furloughs or pay cuts for middle-class wage-earners such as teachers, Capitol Hill janitors and air traffic controllers, which they said could cause 90-minute delays at major U.S. airports.

Sperling declined at least twice to directly answer questions about whether the worst-case-scenario rhetoric has hurt the president’s credibility on the issue. He instead stuck to his argument that independent economists forecast the cuts will result in 750,000 fewer jobs and that corporate executives now anticipate slower economic growth.

Senate Republican Leader Mitch McConnell told CNN’s “State of the Union” Americans absorbed similar cuts once already this year.

“This modest reduction of 2.4 percent in spending over the next six months is a little more than the average American experienced just two months ago, when their own pay went down when the payroll tax holiday expired,” the Kentucky Republican said.

Congress agreed to the cuts, known as sequester, in 2011 after failing to agree on more measure reductions — to defense and some domestic spending. However, the cuts were intended to be so drastic that Democrats and Republicans would be forced to compromise before they started.

Still, Sperling rejected several Republican-backed plans and said no compromise would be reached unless the party agrees to tax increases.

Sen. Kelly Ayotte, R-N.H., responded by saying Congress agreed to such increases in January “at the president’s request” and questioned why Obama and other Democrats will not agree to additional spending cuts.

She argued for potential pay freezes for federal employees and reforms to the federal food stamps program.

“There’s a whole host of ideas to cut spending” without jeopardizing security, Ayotte said on ABC’s “This Week.”

However, she also said she would consider tax reform that comes with entitlement reforms. But she would not agree to revenue increases to pay for additional government spending.

Earlier on the show, Sperling said Republican strategy is flawed because the cuts will take resources from several of the party’s most valued positions — including national defense and border security.

“This is not a win for Republicans,” Sperling said. “This cuts into military preparedness.”

He hinted Sunday at Democrats’ likely strategy for retaking the House in 2014.

“Our hope is as more Republicans start to see this pain in their own districts, they will choose bipartisan compromise over this absolutist position,” he said.

Sperling also dismissed a plan backed by at least some Republicans to give the president some flexibility in the cuts.

“It’s like saying you have to cut off three of your fingers but you can choose which ones,” he said.

Sperling also addressed an email sent to Bob Woodward in which he said The Washington Post reporter might “regret” writing a story that said Obama has “moved the goal posts” on sequester.

He told ABC that he and Woodward share a mutual respect and he hopes they can “put this behind us.”

Sen. Lindsey Graham, R-S.C., told CBS’ “Face the Nation” that any tax increases were unacceptable.

“I’m not going to do any more small deals,” he said. “I’m not going to raise taxes to fix sequestration. We don’t need to raise taxes to fund the government.”

All of this comes ahead of a new, March 27 deadline that could spell a government shutdown and a debt-ceiling clash coming in May.

House Speaker John Boehner said his chamber would move this week to pass a measure to keep government open through Sept. 30.

McConnell said a government shutdown was unlikely to come from his side of Capitol Hill. The White House said it would dodge the shutdown and roll back the cuts, which hit domestic and defense spending in equal share.

Sperling said the White House is committed to trying to find a way that Republicans and Democrats can reach a compromise.

The billions in cuts apply to the remainder of fiscal 2013, which ends Sept. 30. But without a deal they will continue slashing government spending by about $1 trillion more over a 10-year period.

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Woodward blasts Obama “madness” in handling cuts

March 4, 2013 By Editor Leave a Comment

By Susan Heavey, WASHINGTON | Reprinted from Reuters

Journalist Bob Woodward on Wednesday criticized Barack Obama’s handling of the automatic U.S. budget cuts set to take effect this week, calling the president’s decision to hold back on military deployments “madness.”

arrogance_obamaHis comments continued what has become a running dispute between Woodward, perhaps the country’s best-known print journalist, and the Democratic White House over who is responsible for the across-the-board cuts scheduled to begin on Friday.

Last week, Woodward published an opinion piece in the Washington Post – where he is an associate editor – saying the administration was “wrong” to blame the cuts on Republicans.

That drew retorts from White House press secretary Jay Carney, who in posts on Twitter and later in comments to reporters blamed the budget stalemate on Republican opposition to including increased revenues in any deal to replace the cuts.

The $85 billion across-the-board budget cuts were mandated by Congress and the White House as part of the August 2011 deal to avoid a government default. The reductions are split between defense spending and domestic programs.

Woodward, who first gained fame in the 1970s from exposing the Watergate scandal during the administration of President Richard Nixon, wrote a detailed account in his 2012 book, “The Price of Politics,” of the August 2011 deal that led to the cuts.

On Wednesday he attacked Obama for drawing national security into the budget debate.

“So we now have the president going out (saying) ‘Because of this piece of paper and this agreement, I can’t do what I need to do to protect the country.’ That’s a kind of madness that I haven’t seen in a long time,” Woodward told MSNBC on Wednesday.

On Tuesday, Obama warned of threats to Navy readiness in a visit to the Newport News Shipbuilding shipyard in Virginia, where maintenance to the aircraft carrier USS Abraham Lincoln has been delayed by the budget crisis.

Earlier this month, the Pentagon said it was delaying deployment of another carrier, the USS Harry Truman, to the Middle East because of funding.

Obama’s decision to drag the military into the budget fight likely would not have happened in previous administrations, Republican or Democratic, Woodward added on MSNBC’s “Morning Joe” program.

(Reporting by Susan Heavey; Editing by Fred Barbash and Eric Beech)

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Bob Woodward: Obama’s sequester deal-changer

March 2, 2013 By Editor Leave a Comment

Reprinted from The Washington Post: Bob Woodward (woodwardb@washpost.com) is an associate editor of The Post. His latest book is “The Price of Politics.” Evelyn M. Duffy contributed to this column.

Misunderstanding, misstatements and all the classic contortions of partisan message management surround the sequester, the term for the $85 billion in ugly and largely irrational federal spending cuts set by law to begin Friday.

What is the non-budget wonk to make of this? Who is responsible? What really happened?

The finger-pointing began during the third presidential debate last fall, on Oct. 22, when President Obama blamed Congress. “The sequester is not something that I’ve proposed,” Obama said. “It is something that Congress has proposed.”The White House chief of staff at the time, Jack Lew, who had been budget director during the negotiations that set up the sequester in 2011, backed up the president two days later.“There was an insistence on the part of Republicans in Congress for there to be some automatic trigger,” Lew said while campaigning in Florida. It “was very much rooted in the Republican congressional insistence that there be an automatic measure.”

The president and Lew had this wrong. My extensive reporting for my book “The Price of Politics” shows that the automatic spending cuts were initiated by the White House and were the brainchild of Lew and White House congressional relations chief Rob Nabors — probably the foremost experts on budget issues in the senior ranks of the federal government.

Obama personally approved of the plan for Lew and Nabors to propose the sequester to Senate Majority Leader Harry Reid (D-Nev.). They did so at 2:30 p.m. July 27, 2011, according to interviews with two senior White House aides who were directly involved.

Nabors has told others that they checked with the president before going to see Reid. A mandatory sequester was the only action-forcing mechanism they could devise. Nabors has said, “We didn’t actually think it would be that hard to convince them” — Reid and the Republicans — to adopt the sequester. “It really was the only thing we had. There was not a lot of other options left on the table.”

A majority of Republicans did vote for the Budget Control Act that summer, which included the sequester. Key Republican staffers said they didn’t even initially know what a sequester was — because the concept stemmed from the budget wars of the 1980s, when they were not in government.

At the Feb. 13 Senate Finance Committee hearing on Lew’s nomination to become Treasury secretary, Sen. Richard Burr (R-N.C.) asked Lew about the account in my book: “Woodward credits you with originating the plan for sequestration. Was he right or wrong?”

“It’s a little more complicated than that,” Lew responded, “and even in his account, it was a little more complicated than that. We were in a negotiation where the failure would have meant the default of the government of the United States.”

“Did you make the suggestion?” Burr asked.

“Well, what I did was said that with all other options closed, we needed to look for an option where we could agree on how to resolve our differences. And we went back to the 1984 plan that Senator [Phil] Gramm and Senator [Warren] Rudman worked on and said that that would be a basis for having a consequence that would be so unacceptable to everyone that we would be able to get action.”

 

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Who’s to blame for sequestration frustration?

March 2, 2013 By Editor Leave a Comment

Reprinted from Your World, Neil Cavuto

It’s not me. It’s the GOP.

The president laying the blame for this sequestration frustration, on Republicans blocking everything in creation.

They allowed these cuts to happen, not him, who did everything in his power not to let them happen.

obama_blame_gameThey’re stubborn for not wanting tax hikes, because they’ve already given in on taxes in a prior deal. He’s not stubborn for suddenly wanting to include tax hikes, even though Bob Woodward confirms, they weren’t supposed to be part of this deal.

Republicans are playing games by always bringing these things to the brink. But he’s not by holding a hastily arranged PR meeting with them at the White House on the day we hit the brink.

They’re playing to the press when they all but call the meeting kabuki theater. He’s not when he talks to the press right afterwards to insist a meeting that lasted mere minutes wasn’t kabuki theater.

Look, I understand, each side is entitled to its agenda. But neither side is entitled to its own set of facts. Because the fact is Republicans didn’t come up with sequestration as a back-up plan. The president did. And the fact is Republicans didn’t scare the nation into thinking we’d all be eating horsemeat because beef inspectors would start disappearing. The president did. Even though he knew beef inspectors would not start disappearing.

It just amazes me to hear the president today joke about others who say an apocalypse will come, when he was the guy who all but said the apocalypse was here.

If memory serves me right wasn’t the president the one who said our airport security was hanging in the balance?

Wasn’t he the one who stood in front of firemen and policemen, whose jobs he said were at stake, even though they aren’t paid by the federal government, so they can’t be at stake?

Wasn’t his education secretary the guy who had to take back that, tens of thousands of teachers’ jobs lost line?

And his homeland security secretary the one who said our border security was on the line?

Over the line. Over the top.

It takes two to tango.

I’m just saying, would it kill the media to at least try to be fair? If you’re going to call Republicans intransigent because they only want spending cuts, why is the other side not because they only want tax hikes?

And if you’re going to say republicans won’t compromise, even though they already did on taxes, would it kill you to say the same of Democrats, who have yet to budge on spending?

Leaving aside 85 billion in cuts in a $3.8 trillion budget is chicken feed, hearing this lopsided, one-sided, hopelessly blind-sided approach to facts that is just chicken… fit.

Filed Under: All Stories, Economy, Elections, Entitlement

Repeal the 17th Amendment!

March 1, 2013 By Editor Leave a Comment

It made the Senate more democratic — and that’s not good.

By Charles C.W. Cooke, Reprinted from National Review Online

In our grubby, unhelpful political lexicon, certain words exist solely to end conversations. The most prominent such word is “racist.” Less popular, but by no means less potent, are “democracy” and “rights.” When welded together as “democratic rights,” the pair becomes all-powerful — strong enough to send grown men spinning for the exits and to render eloquent speakers mute.

SenateFor a good example of this principle in motion, witness the orthodox reaction to anyone who calls for the repeal of the 17th Amendment. (Direct election of senators, if you’re wondering.) Removing this ugly violation from the Constitution it so corrupts is an idea that has long lingered on the fringe (there’s another of those conversation-terminating words) and, until the massive expansion of federal power that marked the past decade and woke up the sleeping libertarians, it seemed destined to remain there in perpetuity. Even now, to declare in public that you think the whole of 1913 was one long, ghastly mistake is to be looked at as if you have just announced that the United States should consider restoring the British monarchy.

Providing what may be the Platonic ideal of such dismissals, Salon’s Alex Seitz-Wald reacted to the renewed interest by declaring in 2012 that, because any increase of democracy was “unquestionably positive,” any modifications were tantamount to “doing away with rights.” America, “we’re told from a young age, is all about democracy,” Seitz-Wald wrote, “and democracy is all about choosing whom you want to be your representative and holding them accountable.” This, he added, “seems like an entirely uncontroversial idea.” I cannot account for Mr. Seitz-Wald’s grasp of America’s history, beyond saying that if he has indeed been told “from a young age” that America is “all about democracy,” then he must be forgiven for believing it. Still, whatever his schools might have told him, the United States is not in fact a democracy but a constitutional republic, and her virtues lie as much in her undemocratic institutions as in her ample provisions for self-rule — more, perhaps.

Doubt it? Look around. Despite the violence that the 17th Amendment did to it, the Senate remains a partially anti-democratic institution; the Supreme Court is an entirely undemocratic institution; the Constitution is undemocratic, too, requiring for any changes to its structure the consent of a supermajority and containing the Bill of Rights, which is as elevated and explicitly counter-majoritarian a component of national law as you will find. The strong American protections of free speech, freedom of religion, the right to bear arms, due process, privacy, and the right to a jury trial are triumphs of minority rights. How about the absence of a state church? Not for nothing did Patrick Henry cry ardently for “liberty or death.” It is liberty, not democracy, that is America’s highest ideal.

Walter Lippmann famously observed that, at some point in their history, “the American people came to believe that their Constitution was a democratic instrument, and treated it as such.” The New York Times’ David Firestone appears to be one of these American people, arguing as he did in 2010 that “a modern appreciation of democracy” makes the idea of directly electing senators “so obvious” that any proposal of change is “unthinkable.” Putting to one side for now the narrow procedural majoritarianism inherent in his definition, Firestone’s thesis runs into two problems: America is not “modern” and it is not a “democracy.” Perish the thought.

Instead, the American system was deliberately designed to balance power between the various branches of government and to guarantee individual rights against majority rule, thus protecting the people from tyranny whether they liked it or not. The United States government was arranged in this way as a permanent bulwark against federal encroachment. “Changing times” was no more a strong justification for the undoing of this system in 1913 than it is now. And whatever the Wilson-era progressives might have held, the federal government was not intended to be a wholly separated layer of government. Instead, it was to be intertwined with the states to such an extent that it could not ride roughshod over their interests without pushback. As James Madison resolved during the debate over the Bill of Rights:

The state legislatures will jealously and closely watch the operations of this Government, and be able to resist with more effect every assumption of power, than any other power on earth can do; and the greatest opponents to a Federal government admit the State Legislatures to be sure guardians of the people’s liberty.

It is exactly here that America’s democracy fetishists go wrong. As Madison makes clear in the Federalist Papers, in order to defend the vertical checks and balances that allow America’s federal system to function, senators would be “elected absolutely and exclusively by state legislatures.” The Senate was not intended to be the people’s representative body, but that of the states. Lest the federal government “swallow up the state legislatures,” George Mason insisted to his fellow convention delegates in Philadelphia, “let the state legislatures appoint the Senate.” The delegates backed him unanimously.

It makes no more sense to argue that to return to this original arrangement would be to “take away” the “rights” of the people than it does to maintain that not being able to vote directly for Supreme Court justices violates their democracy. Everything has its place, and indulging popular sovereignty is simply not what the Senate was designed to do. One could sometimes be forgiven for thinking otherwise, but the states are not regional departments of the federal government. To ensure that they had a working mechanism by which to resist the expansion of federal power, the architects of our Constitution hard-wired the state legislatures into its structure; with the 17th Amendment, progressives pulled out that wiring like punch-drunk Jacobins.

Has there ever been a time when America was more in need of the states’ being represented in Washington? “The People” have their representatives in the House. The nation has its leader in the White House. What of the states? Andrew Napolitano has it right: The 17th Amendment, he gripes, “effectively just gave us another house like the House of Representatives . . . and the states lost their place at the federal table.” This is problematic because, to their great discredit, The People seem not greatly to care how power is structured. Who then is surprised that the abolition of the Senate as the supporting wall of federalism has led inexorably to, as Jefferson warned just before his death, “all government, domestic and foreign, in little as in great things,” being “drawn to Washington as the center of all power”? Returning the selection of senators to state legislatures would help to focus citizens’ eyes locally, where they belong.

“Democracy” may be the cry now. But as Alex Seitz-Wald goes on to acknowledge in his dissent, the primary argument in favor of the 17th Amendment was that it might serve to cut out corruption. Money was said to be rife in politics; direct elections would stamp it out. Lobbying by big business was staining the republic; direct elections would cut the buggers off at the knee. The small constituency that a senator served effectively gave him tenure; an amendment would make the body competitive. Bad behavior among senators was rife; the rigors of direct election would make them moral. And how are things now that the scalpel has been taken to Madison’s handiwork? There is more money in politics than ever before; direct elections have served only to cut out the middleman between lobbyists and politicians; senators rarely lose their seats; and Ted Kennedy killed a woman and got away with it.

In a brilliant Humanitas essay from 1996, C. H. Hoebeke rendered this judgment:

In retrospect, the amendment failed to accomplish what was expected of it, and in most cases failed dismally. Exorbitant expenditures, alliances with well-financed lobby groups, and electioneering sleights-of-hand have continued to characterize Senate campaigns long after the constitutional nostrum was implemented. In fact, such tendencies have grown increasingly problematic.

Americans purchased this dismal failure at the cost of their federal system’s integrity. Like the other two Progressive Era amendments that sit either side, the 17th is a testament to hubris — a parchment admonition of those who would tinker with the permanent in the name of the temporary. Nonetheless, it benefits those who would be required to amend it, which, alas, is a recipe for eternal life in Washington. Repeal is thus almost certainly a dead end; interest in such things is limited. And so the federal titan lumbers on, the states shrinking inexorably in stature. One cheer for democracy, Mr. Wilson.

— Charles C. W. Cooke is an editorial associate at National Review.

Filed Under: All Stories, Economy, Elections, Entitlement, Ethics

The “Mormon Effect”

February 22, 2013 By Editor 345 Comments

During the 2012 presidential campaign, that awesomely deep well of perpetual wisdom, Alec Baldwin, proclaimed that if Barack Obama were not black, his vote total would have been 20 percent higher.

mormon_templePeople of real intelligence realize that the opposite was probably true: if he had been white, his vote total would have been 20 percent lower. The African-American voting bloc combined with enough whites suffering from liberal guilt guaranteed a higher vote total for Obama.

The truth of the matter is, if Mitt Romney had not been a Mormon, his vote total might very well have been significantly higher.
In fact, according to a Gallop poll released in June of last year, while 4 percent of people said they would not vote for a black president, a full 22 percent said they would not vote for a Mormon. In fact, only atheists and gays ranked higher.

So Baldwin probably had it backwards, which he usually does, so that comes as no surprise.

What did come as a surprise to me is why people would have such negative views of Mormons. I have known lots of them in my life, and in most cases they have been hard-working, kind, generous family-oriented people—just the kind of people this country used to value (and maybe that’s the problem right there.)

Mormons have intrigued me ever since Mike Huckabee back in 2007 claimed that Mormons believe that Jesus and Satan are brothers. With the recent election over, I decided to check out Mormons a bit more.

My hope in doing this was to explain to readers who Mormons are and whether or not 22 percent of the people were justified in opposing having a Mormon president.

But instead I’m going to share an intriguing bit of Mormon theology I learned that I think makes them perhaps the most politically wise human beings on the planet. Ironically, this story stems from that Huckabee quote about the relationship between Jesus and the devil, but the lesson to be learned is one that, regardless of our political or religious views, we would all be wise to consider.

So here’s what I learned: Mormons, unlike most other Christian sects, believe that all humans lived a life before mortality. They call this the pre-existence or pre-earth life. At birth a veil is placed over our minds so that we don’t remember it (you’ll see why in a minute).

In this pre-earth life, we were all in the presence of God as His spirit children. Jesus was there—the first-born of God’s spirit children, and a leader in the councils in Heaven. Lucifer was also there, and was another leader among the children of God. He was called a “son of the morning.”

At some point in this existence, the Father called all of His children together to explain how things worked. All of His children would have to leave His presence and come to earth for a period of testing. The goal was to see if we would live a righteous life even when we had to live by faith, as we would no longer be able to remember God or heaven (that’s the reason for the veil).

If we would live a righteous life, we would be given the opportunity to return and live with God forever. Otherwise we would forfeit that chance, because no unclean thing can live in God’s presence. However, God knew that we would all make mistakes, so he would provide a Savior for the world. This Savior would live a sinless life, and because of that, he would qualify to pay for the sins of the world through what would be called the “Atonement.” If people would sincerely repent of their sins, then the Atonement would essentially erase their sins, and they could still return and live with God. The Father called for volunteers to be this savior, and two stepped forward: Jesus and Lucifer.

mormon_conferenceLucifer said that he would be the savior and he would force everybody to live righteously, thus guaranteeing that all of God’s spirit children would return to Him in heaven [and he, Lucifer would receive all the credit/glory]. Jesus said that He would follow the Father’s plan and allow God’s children their free agency [and all the glory would go to God]. They could choose for themselves whether to live righteously and take advantage of the Atonement or whether to live in sin and forfeit the opportunity to return and live with God.

God rejected Lucifer’s plan, causing Lucifer to rebel and declare war on God. One-third of God’s spirit children joined Lucifer in this rebellion. In the end, the rebellion failed and Lucifer and his followers were cast out of heaven. They came to earth without bodies and now, continuing the war they started in heaven, they tempt men to do evil to one another and lose out on the chance to return to God. [Luke 10:18; Revelation 12:9; Isaiah 14:12]

PAY ATTENTION HERE; THIS IS THE GOOD PART

Now, any traditional Christians reading this will see similarities to their own belief system. Most traditional Christians believe that Lucifer lived in heaven as an angel, but then declared war on God and was cast out. However, the causes for that war are not necessarily clear in traditional Christian theology.

That is where Mormon theology is so intriguing. For Mormons, the greatest of all battles, the war in heaven, was fought over LIBERTY—or as they call it, “free agency.”Lucifer wanted to take it away, while God demanded that humans have it.

Although a Mormon might balk at my making comparisons between their religious beliefs and modern politics (and as I said earlier, every Mormon I’ve ever known was a very good person, so I apologize to any I offend), I see a direct correlation here. For a Mormon, the battle for liberty is not unique to this life; it is the core battle of the ages. Lucifer lost the war in heaven (he really thought he could beat God?), but the war continues on earth. So seeing the government become more and more tyrannical is not just a political concern; it’s a fundamental, eternal concern.

I’m inspired by this Mormon theological idea: God intended for humans to be free to make our own choices and live with the consequences of those choices. The Founding Fathers of this country said essentially the same thing in the Declaration of Independence:
We hold these truths to be self-evidence, that all men are created equal, that they are endowed by their creator with certain unalienable Rights, that among these are Life, Liberty and the pursuit of Happiness.

My study of Mormonism has not only given me newfound respect for this people and their religion; it has also made me evaluate my own attitude towards the liberty that seems to be slipping through all of our fingers. Is this just something that is nice to have, and for which I thank the Founding Fathers? Or is it really something that is endowed by God, and that He expects me to fight for. According to Mormon theology, I already fought for this once. The fact that I’m here says that I was on God’s side in the war in heaven, and fought for liberty.

A Mormon might ask, why should any of us be less willing to fight for it here than we were there?

Reprinted from “SMART MORMONS,” By Mike Jensen, January 22, 2013

Readers of this story also find the following stories interesting:

This Easter Morning, Remember

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Christians: Marked For Extinction?

Harry Reid: Worst Human On Earth

British Court Dismisses Case Against LDS Church President

The Tree of Liberty is Dying—Is Civil War Coming?

Is Obama Targeting LDS Canneries?

Mormons and Progressivism: United Order vs. Socialism

The Spirit of Antichrist Permeates Our Nation

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Filed Under: All Stories, Economy, Elections, Entitlement, Ethics, Foreign, Gender, Religion

GOP Betrays American People

January 2, 2013 By Editor Leave a Comment

GOP-HouseAt a time when the American people can no longer afford politics as usual, and re-elected a GOP majority in the House to protect them from socialistic tax increases, the GOP led House has caved on a Senate bill that substantially raises taxes on many Americans.

As has been pointed out many times from all quarters, the taxpayers affected are those the country looks to to create more jobs in an economy with real unemployment over 15 percent. These tax hikes are coupled with the incoming Obamacare tax, which is already slated to close many businesses and put millions of additional Americans out of work.

The Republican majority in the House had no reason to go along with these Democrat tax hikes. Without their approval and support, the president and senate have absolutely no authority to raise taxes, or to even spend any money. (See our article GOP House Has Power To Wag The Dog, November 8, 2012).

The GOP controlled House only had to stand firm, and send a single bill to the Democrats; a bill that reduced taxes and reduced spending. In response the Senate and White House would have had no choice but to go along with the bill, because there would have been no money appropriated for running the government without it.  It would have been noisy, yes, but it would have forced the government into a responsible approach to a failing economy.

Instead of exercising strength, the mushy, jelly-bellied slugs in the House decided to go along to get along.

The nation is sliding quickly into a pit of quicksand, and every branch of our national government is pushing it down that hill as fast as it can.

PUBLIUS

Filed Under: All Stories, Economy, Entitlement, Ethics

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