Wednesday, March 31, 2010
Resign! Repeal! Renew!
By Alan Caruba
The salvation of America now depends on forcing President Barack Obama to resign, repealing the appalling healthcare bill that is now the law of the land, and renewing a full measure of financial prudence to the conduct of the nation’s public affairs and obligations.
The numbers are now irrefutable. The huge debt the United States faces, along with the collapse of Social Security (now paying out more than it takes in) and Medicare, will sink our ship of state unless reversed and quickly.
The deadly trio of Obama, Pelosi and Reid, along with the brain-dead Democrats in Congress threaten the very existence of the nation. I am concerned that waiting until the November elections will be to wait too long. I no longer believe their agenda to be merely partisan politics. I believe theirs is a deliberate effort to destroy the nation.
The practical actions that must be pursued as soon as possible include a legal challenge to the president’s place of birth, an effort he has reportedly fought with an expenditure exceeding a million dollars. A challenge must be made to the healthcare bill which legal scholars deem to be clearly unconstitutional.
The trio cited is preparing to pass a Cap-and-Trade act, a huge tax on all energy use, and an amnesty for millions of illegal aliens. The result of this will be to create a surge of more illegals and an even greater burden on all public services and welfare programs.
Porter Stanford, publisher of an investment advisory, has issued a frightening analysis. “My concern is the U.S. already has more debt than it can afford, which puts it at an enormous risk of a debt and currency collapse.”
Discussing debt service, the amount of interest that must be paid on borrowed funds, Stanford warned that, “Right now, the federal government takes in roughly $1 trillion in income taxes and a much smaller amount of money in other fees, duties, etc. The government takes in another $1 trillion from Social Security and Medicare taxes, but it spends more currently on these programs than it takes in. So, as a result, this revenue can’t factor into our analysis of debt service.”
Noting that the official number regarding federal debt at the end of 2009 was $11.8 trillion, Stanford predicts that “By the end of Obama’s first presidency (2013), I believe the U.S. will owe roughly $17.8 trillion in federal debt, $2 trillion in GSE debt/guarantees, $500 billion in FDIC obligations, and $500 billion in FHA obligations. My only big assumption is $1.5 trillion in additional deficits each year, which is what the president’s budget also predicts.”
Just to meet the debt service, “That would equal $1 trillion in interest payments due, per year. That’s 100% of all income taxes paid in 2009.”
The vast majority of Americans are already well aware of the financial crisis that is being deliberately brought about at the direction of the president. The results of a USA Today/Gallup poll released on March 30 revealed that “Nearly two-thirds of Americans say the health care overhaul signed into law last week costs too much and expands the government’s role in health care too far.”
Robert Samuelson, writing on March 29th in The Washington Post, noted that on March 15th Moody’s Investors Service, a bond rating agency, warned that “The exploding U.S. government debt could cause a downgrade of Treasury bonds.” Despite this, the House of Representatives passed the costly health care legislation a week later! “Obama and his allies sowed the seeds (of financial collapse) because they ignored conspicuous warnings.”
“Let’s be clear,” wrote Samuelson, “A ‘budget crisis’ is not some minor accounting exercise. It’s a wrenching political, social and economic upheaval.”
By whatever legal means possible, the president must be required to resign, the healthcare legislation must be repealed, steps must be taken to salvage Social Security and Medicare, and the nation’s debt crisis must be addressed before the U.S. is forced to default.
When that happens, there will be worldwide repercussions that portend a global financial armageddon.
© Alan Caruba, 2010