The 800 lb Gorilla in the Room
Mr Obama spent his lifetime putting chains on
the 800 lb gorilla in his presence. Making the powerful submit to his
will was what he was about. A civil rights lawyer and community
organizer who fought for the rights of the down trodden against the
powerful others like police, business leaders, government that didn't
champion his causes, businesses that hired and fired people for
economic reasons (to remain profitable). Yah those kind of folks.
Now Mr Obama is the 800 lb Gorilla in the
room. And he doesn't appear to know how to act. Should he use brute
force against any resistance? Should he use a mild persuasive approach
that takes up time and energy and may not be successful? Or should he
use a divisive misdirection approach and sneak stuff in before the
opposition can get organized against him?
The promise fulfilled by our founders was to
make this a land of opportunity and not
a land of entitlements.
The founders knew that "necessity is the
mother of invention". They knew without necessity as a stimulant there
would be only stagnation and nothing would improve in their lives.
Government isn't in business to make money.
Government gets into the business of providing goods and services to
pacify a population so they won't oppose government. Politicians get
reelected ad infinitum; however, most of the incentive for people to
improve their lot is lost.
Negative Feed Back
When government increases taxes of the working
entrepreneurs to pay for the goods and services of folks who
won't risk opening a business several outcomes follow:
Some entrepreneurs leave town to do business where taxes are lower. And
other people (their employees) loose their jobs.
2. The tax base shrinks. Taxes are
raised on the entrepreneurs who remain because government's need for funds doesn't
diminish, it increases.
3. The tax laws are adjusted so the
politicians' supporters are rewarded for their loyalty.
4. The cycle of diminishing return is
"Change You Can Believe In"
bill (American_Recovery_and_Reinvestment_Act_of_2009) to solve the
was passed by the house and senate in a huge rush before any one at
all had time to read and evaluate it. Mr Obama allowed all of the
earmarks to get past him. ("Just this one time." he said.) In the rush,
only about 20% of the money was directed toward improving the credit
market. The rest
was social engineering that his party couldn't get passed under another
administration. "Change you can believe in?" Ha.
Trade bill (American Clean Energy
and Security Act) is a
tax on carbon emissions being sold to the public as a fix for "global
warming". Oh, and to help pay for a Government Health Care Plan.
congressman, Hon. Rick Boucher, sent
me an e-mail assuring me that my electric bill and my gasoline
bill wouldn't rise very much
as a result of this hidden tax.
have my doubts.
Ms. Pelosi advised all of us that GAO (Government Accounting Office) is always
presenting worst case scenarios of what the cost of government health
care would be. GAO and CBO (Congressional
Budget Office) sure missed the heck out of their estimate for Social
Security, Medicare and Medicaid expenses
NOT! They were all under
estimated! Congress knows all
these unfunded obligations and they aren't doing anything to help the
situation. After all it's not part of their current tax and spend
agenda. This health care plan is modeled on the one in force in
Massachusets. Massachusets is going broke from it. Canada's health care
program uses forced rationing to contain expendatures.
Did I mention that the Cap'n trade bill that
was debated was a thousand pages. And 300 more pages were added just
before the vote in the house? When did the house members have time to
read and digest these changes? NONE! What the hey, one party has a
solid majority, and it appears their members stay in line or else, so
the outcome was already in the bag. Mr. Obama, when the bill comes to
your desk, which unelected Czar will tell you whether to sign or not?
Who or What Will Lead Us Out of
Small business will provide 70 % to 80 % of
the new jobs to bring us out of the current recession. That's what most
folks tell me, even the politicians. Yet our politicians are promising
to increase the taxes on the very people who must increase the tax base
that these politicians need to pay for their wave of social
engineering. The party in power is so tied up with the idea that
business is the enemy to their constituents that they can't quite
embrace the idea that improving business' competitiveness is the
proven way to pay for their programs.
Tax and spend only leads to financial system
failure and not prosperity. The national debt is out of hand. Didn't
the credit market melt down teach our elected leaders anything?
What's Your Future?
Today we're still the land of opportunity.
Should we become a land of entitlements, Mr.Obama won't have to worry
about being the 800 lb gorilla in the room. Because we won't be the
world's largest economy or have the strongest military any more. We'll
only have nostalgic memories of the "Kennedy Camelot" dream of what
might have been.
There is no free lunch! Somebody always pays.
I gave my wife a plaque many years ago. It
"I'd rather you did it
It's still in the kitchen by the
sink. I don't think she appreciated it at the
time. And still may not. But we sure have run an efficient and
solvent life style for more years than most folks have been on earth.
When you grow up with the idea that debt is your enemy, you never over
extend your credit but still are able to live the true "American
We're not children any more. The cross over from
entitlements to "doing it yourself" is a painful journey and impossible
for the faintly motivated. Mr. Obama, stick to the "tough love" you
preached to the Ghana Parliament. Government provided entitlements are
counter productive to this great country you lead. Let us do it
ourselves so we are all stimulated to increase the tax base to do the
things we can't (but not won't) do for ourselves. Every decision has
Dear Lord, please save us from ourselves. Amen.
I'm Karl Kinkel
PS: If you want a model of a great economy
gone bonkers, study California, 1950 to 2009. I was stationed there a
couple of times when it was still solvent.