Saturday, March 28, 2009

Obama Budget Bill explodes our National Debt

Click the image to enlarge

We keep hearing these heretofore unheard of numbers getting thrown around now for the past two months of the Obama Presidency. It is almost becoming passe' for the Democrats, just a Trillion here, a Trillion there.
We heard Obama on numerous occasions in the past few weeks tout how his budget and plan would "cut the deficit to $500 Billion" by the end of his first term. It just isn't possible. This chart clearly illustrates this fact, and it uses Obama's own OMB (Office of Management and Budget) figures. The CBO (Congressional Budget Office) just announced last week that Obama's OMB figures (the ones used below) are really Two Trillion too low, based upon the CBO's much more realistic calculations of growth and recovery than those used by the Obama administration. In 10 years by the final out year of the Obama Budget, our Federal Debt would be 80% of our Gross Domestic Product. That is unsustainable and impossible for any kind of economic growth or standard of living we are accustomed to or that we can exist under. 80% of Debt to GDP ratio is a 3rd World Nation or Banana Republic type of ratio. Another worrisome fact is what isn't included or mentioned in these deficits; that would be our entitlement programs; Social Security and Medicare. These aren't included in these figures and we know that they will be insolvent and draining the Treasury unless action is taken between now and the next 5 years or so to solve the huge increase in expenditures when the large body of Baby Boomer's start drawing down benefits. If like me, you are concerned about this spending.The Federal Reserves reckless and devaluating policies of printing currency and jeopardizing the value of our dollar and monetary system, and the ramifications of these policies not just for us but also for our future generations, please contact your Congressional Representative and Senators and tell them to STOP THE SPENDING. STOP THIS BUDGET BUSTER BILL. Go to this link and in the MY ELECTED OFFICIALS BOX is a place to put in your zip code and that will get you where you need to get for contacting your Congressperson, and Senators.

I would like to close with a press release by Nancy Pelosi in August, 2003 on Budget Deficits.

Pelosi Statement on New CBO Budget Estimate (from her own Congressional Website)

August 26, 2003

Washington, D.C. -- House Democratic Leader Nancy Pelosi released the following statement today on the Congressional Budget Office's new budget forecast, which estimates record budget deficits of $401 billion for 2003 and $480 billion for 2004:

"Today's estimate from the CBO is yet another reminder of just how appalling President Bush's economic record is. The President's holiday from fiscal responsibility has given our country a parade of abysmal economic statistics.

"President Bush has presided over a loss of more than 3 million jobs and a $9 trillion decline in our nation's fiscal health -- from the $5.6 trillion surplus he inherited from President Clinton to a $3.5 trillion and growing deficit today. The deficits that the CBO predicts for the next two years are the largest in history, and the forecast makes clear that they are not going away.

"Where does it end? The President does not have a plan to bring the budget back into balance. He continues to promote tax cuts for the wealthy that we cannot afford, sticking our children with the bill. Every penny he adds to the debt, our children will have to repay with interest.

"Today's CBO estimate would be shocking if it were not so predictable from this Administration."

Nancy Pelosi was mostly right then. She makes the Democrat often repeated falsehood of citing a non-existent Clinton Budget surplus as though this projected surplus of the out years in Clinton's budget like it was sitting in the Treasury. It never existed because that projection never forecast what the nation suffered with the Dot.Com collapse in 2000 thereby wiping out 3 Trillion in wealth. Bush, like Obama also inherited a recession and budget/spending outlays of a predecessor to contend with. He accepted the responsibility and led. Then came 9/11. How quickly we forget the layoffs and economic upheaval of every sector of our economy? People stopped traveling, buying cars, and business responded with huge layoffs and cutbacks. Bush found himself engaged in a Worldwide War on Terror with an enemy that had challenged us on our own soil in a way we had never experienced in our History.
Yes, he spent to engage the enemy, whenever and wherever necessary. He spent to bolster our safety and security right here at home.

In many respects with 9/11 and the horror of that attack freshly seared into America's psyche and the uncertainty of what else would come after it, Bush had greater challenges to face than Obama.

The difference was how he solved the challenges and bombshells dropped on his economy. He slashed the tax rates for every American across the board. And he unleashed the Economic engine of our Private sector, Corporations, Small Businesses and Entrepreneurs. He unshackled the indomitable spirit of Americans to do what they always have done, rise to a challenge. And it worked. He added millions of new jobs, and saved millions more. His policies generated terrific revenue increases and personal/governmental wealth generation and economic growth.

Bush fell down when it came to spending restraint. He failed to cut or hold non-war/security related spending in line. In that respect he failed miserably against the fiscal Conservatism that his party and Conservatives have always stood for. His Congress controlled by Republicans were no better putting budgets laden with pork and earmarks before his pen. But even on Bush's worst day, he will never be as good as Obama, Pelosi, Reid and Geithner when it comes to spending. In just two months of this Coalition of the Clueless, led by Obama, they have put more spending and deficits on the books on the way to the tune of 12.5 Trillion than George W. Bush did in his entire 8 years of his Presidency. Bush was in full- blown War mode footing at the time.

Yet today the budget deficits and spending Pelosi criticized when not Speaker, are now all of the sudden okay? They are O.K. evidently only if they are TRIPLE or QUADRUPLE what Bush had done? Pelosi ignores truth now for her political agendas expediency because she is intoxicated with power. Her statement above shows what a liar she and her party have become. They have one goal in mind to achieve and it is obvious they intend to do so at any and all costs; to make Government the central authority and provider in American lives. Socialization of our Economic, Business,Governmental, Social, Health, Energy, Environmental and Entitlement arenas are their ultimate goal of attainment. They are well on their way to stripping us of our liberty with a tyranny of lunacy unless Americans wake up and stop it cold.

Michael R. Bednarz


Friday, March 20, 2009

The AIG Bonus Furor: The Trojan Horse Hiding The Real News Of The Day

Okay folks, my first blog posting since the election required me to get the Irish up enough to want to start hammering away on the keyboard again. ENOUGH OF THIS CRAZINESS. I haven't posted one thing about what happened Nov. 4th, but I have to speak out now and we all need to start waking the hell up, before it's too late. If we all keep passively ignoring the incompetency around us, all their actions will ruin us before it can be stopped or reversed. They must hear our voices and feel the anger and wrath at what they are doing to our national security, wealth, and the economic future for not just our own generation but also the future of our children and grandchildren. Please take the time to read the linked articles and watch all the video. Then if you share my concern and find it alarming, forward it and lets get everyone involved and aware of whats really happening.

Watch this video clip and read this very important story and the imbedded video clip. Glenn Beck has really nailed this. If you are like me; it will be a real eye-opener for you. Our government has just indebted us all an additional One Trillion dollars on Thursday afternoon March 19th, 2009. With a stroke of Fed Chief Bernanke and Treasury Secretary, Tim "Turbo Tax" Geithner's pens; it was done. Hang on now here is what a Trillion dollars looks like: $1,000,000,000,000.00 The only indicator of what occurred was the Treasury had the Federal Reserve slip through a little noticed press release at the end of the news day cycle, under the cover of the Media and Congressional contrived outrage and frantic furor of their AIG BONUS SCANDAL, a scandal of Obama and Congress' very own doing. What a perfect way to screen and dull the biggest financial earthquake imaginable; one that would never be felt.

What's the "Trill" for? Not a new yearly budget bill, or anything like that. No, this isn't a new Government "Stimulus" Bill, or another Bailout for a Bank, Auto Maker, Fannie Mae, Freddy Mac, AIG or any other bailout that would need even the most perfunctory and useless of the usual 12 to 24 hour period of superficial debate performed by this Congress with a few Presidential Town Hall meetings thrown in. Nope, this even slipped in under their normal "Fast Track" bill factory process and system they have perfected for scaring the living hell out of us stupid goober Americans into supporting this bill, or that tax, or else the Nation will collapse-- most likely tomorrow if it isn't passed today!!!! No, this one went through quietly, just like the IOU's that were first slipped in when our Government raided the Social Security Trust Fund starting the precedent to finance our regular budgetary outlays with S.S. trust fund reserves.

So here is the bottom line in summary. The U.S. Government, just turned on the printing presses and like that printed ONE TRILLION Dollars of really nothing more than MONOPOLY money, backed by the very toxic mortgage and bank securities the Treasury now owns, purchasing them from U.S. Banks and Holders with similarly acquired TARP funds and will use the "fresh" currency just printed to buy it's "own" debt with it.

Got that? Obama and his Treasury Secretary took it from their left hand, wrote, IOU but when the government writes IOU's to send to the world, it's "We the American People" and sent it to the Federal Reserve printing department to chug out a Trillion Dollars in U.S. Currency in return for that valueless IOU. And some said that Tim Geithner isn't smart enough to do his own taxes with Turbo Tax. This is a huge crap sh
oot. And they are betting with your Social Security, Private retirement accounts, savings, trust funds, home, real property, and all your personal possessions; that it will work. It never has before, not in pre-Hitler Germany, not in Banana Republics; not ever.

I have said for about 3-4 months, when the full faith and confidence of the world is lost in the U.S. Dollar and our Credit, we have nothing left. Did you know that China's Premier 5 days ago publicly expressed worry in the value of it's U.S. Investments? I think he has cause for concern. Of the Peoples Republic of China's total financial reserves of Gold, precious gems, metals, International securities (Stocks, Bonds, Deutschmarks, Euro's, Yen, Dollars, and U.S. TREASURY NOTES) Our U.S. Treasury notes, bonds and U.S. Dollar/Treasury backed instruments make up about 70% of China's total financial reserves. What do you think will happen when China perceives a lack of value and loses confidence in these instruments of investment? Pick the scenario you think most likely to occur. A. They won't buy them from us anymore? B. They will dump them on the world market for pennies on the "dollar". C. They will call in the notes to be paid with marketable world currency or demand Fort Knox Gold reserves be tendered? D. Settle some of the debt for the island they call Formosa and we call Taiwan? Or maybe E. All of the above.

Then, to top it off. The same day, our Congressional Budget Office releases a report and correction of the "just crammed through" budget/stimulus bill deficit analysis. The ink was barely dry on this budget buster bill and already it's over budget? It seems not only were those Democrat allowed bonuses to AIG employees in the bill they didn't want anyone to read, but some Fuzzy math was too. It seems that in the process of putting the accounting together, Obama and Congress were a just a tad off on the figures. CBO says the budget deficit for the decade this spending and stimulus bill covers will raise the deficit likely TWO Trillion more dollars than the lower "hopeful" estimates provided by the Administration. And, this doesn't take into effect the ambitions in the new annual budget they are working on promoting his new Education initiatives and Health Care Program, Cap and Trade regulations, and so forth. Nope, with what has only been passed to date by this Congress and signed by this President, this will "change" upward dramatically the deficit and total spending outlays with interest and so forth on the total cost of the bills and new spending programs, according to the CBO.

We must stop this madness. Share this with your friends and family. It doesn't matter what party we think we are in, it's about America and the future of our nation and world. We will all be equally destitute with our wheelbarrow full of Monopoly money in line at the government bread center for our weekly loaf if we don't demand CHANGE in the course and path we are on. This Congress, with this President have spent their way to a bigger budget deficit in just two months, than Bush did for the entire eight years of his Presidency. It seems crazy now that we Republicans were furious at how big a spender Bush was! He was a fiscal Conservative by today's standard. We have to stop them from doing any more damage now. CONTACT your Legislators and tell them in NO UNCERTAIN terms what your vote will be in 2 years if this recklessness continues.

Michael Bednarz