With hope of banking and debt stability in Europe, and the stock market and “some” leading economic indicators showing anemic signs of life here at home, there are those including our President who would have you believe our nation is on the mend. Insomuch as many of us would like to believe that, reality is unfortunately something very different.
The recent Congressional Budget Office report has leading economists warning of a very real scenario for the United States. Ironically, the one thing which stood out for me in the report besides the references to rising fuel costs, inflation and localized budget shortfalls, was the Congressional watchdog agency predicts that even if the “Bush Tax Cuts” were to fade away, any budget windfall would not plug the enormous hole in our economy. Actually, it would not even come close. The CBO cites inflation in all categories, the aging population as it relates to the cost of the health care overhaul and a host of other entitlement programs to include Social Security and Medicare as the main reasons. But it also adds that the estimated $800 billion dollars in added revenue the federal government would receive by eliminating those tax cuts would not keep the national debt from soaring to $21 trillion dollars in less than 10 years, thus setting off a chain reaction of economic nightmares. The CBO is now officially calling our record deficits “unsupportable” and warning of the dire consequences of inaction on the part of our leaders in Washington.
Look folks, no one is praying for light at the end of this tunnel more than I. But the sad reality is this Administration has taken a bad situation and made it far worse, with ideological politics and unprecedented spending. Moreover, for all their talk about saving the country from another “depression”, they have actually set us up for a disaster the likes of which will make the depression of the early 20th century look mild. The cost of this little experiment in socioeconomic restructuring has failed miserably and the numbers show it. And while Americans are being told the “recovery” is on track just slower than expected, the housing market is crippled, fuel costs are rising, unemployment is expected to stay in the 8% range with a real number closer to 15%, wage earners are making less than ever before, every man women and child in America is shouldering close to $50,000.00 of the national debt, the federal reserve is printing money with nothing to back it up, and we will once again run a $1 trillion operational deficit, with servicing interest on the national debt actually eclipsing what is spent on Medicaid.
So when some politician points to the paper tiger that is the stock market today, bear in mind this is a bunch of speculative paper, backed up by less tangible assets than at any time in its history. Thankfully, I hear folks becoming more and more attune to the truth about where we really stand and what it means to our children.
I thought this would add an interesting twist to this post. I heard an exchange between an internet caller and the POTUS the other day where a women asked the President why her husband couldn’t get a job in the engineering field when the President has spoken so much about how many of these jobs are out there. Now as I have said time and again, I feel President Obama is in way over his head. However, I will leave it up to you to listen to the exchange and tell me if he doesn’t sound like a man who has very little real world experience, and even less in the actual job market. Keep in mind then, how can we ask that he or his administration “feel our pain”?[yframe url=’http://www.youtube.com/watch?v=aj3HOmL0OJs’]