Monday, March 09, 2009

Magic and Charms

And we aren't even talking about these two critical areas:

Given an aging America, government faces huge conflicts between spending on the elderly and spending on everything else. But even before most of baby boomers retire (in 2016, only a quarter will have reached 65), Obama's government would have grown. In 2016, federal spending is projected to be 22.4 percent of GDP, up from 21 percent in 2008; federal taxes, 19.2 percent of GDP, up from 17.7 percent.

It would also be "responsible" for Obama to acknowledge the big gamble in his budget. National security has long been government's first job. In his budget, defense spending drops from 20 percent of the total in 2008 to 14 percent in 2016, the smallest share since the 1930s. The decline presumes a much safer world. If the world doesn't cooperate, deficits would grow.

Let's see, what's just happened the last few days that the MSM has mostly ignored? Iran. North Korea. China. And on Social Security, Obama's budget director punted and attacked GOP Rep. Paul Ryan of Wisconsin, who pointed out the obvious no one's talking about:

Ryan told FOX News that his plan avoids efforts to "effectively nationalize health care and the energy sector by fall" and privatization would work because it would be voluntary and would've kept older workers in the bond market, not dealing in stocks.

He said the rate of return on Social Security taxes for his children is estimated at negative 1 percent.

"Social Security is already telling younger people that the money is not going to be there right now, so let's dispel the illusion" that privatization would be riskier than the government program.

Magical Madoff Ponzi scheme thinking from our government. And as a pundit noted during the campaign--nobody ever charmed anybody out of a nuclear weapon.

P.S. Will we personally go broke before the government runs out of money? (Huh?)...let's see the government is going to wreck the economy--will we only have government jobs (but how will we pay for them?) and tax the few of us who still pay taxes (and actually create jobs) into pauperdom, and then take care of social security for all of us. Really?

I am planning on planting my war against prosperity garden now so maybe I'll at least have some tomatoes to count on.

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