I have several questions for any liberal who reads this.
1) Do you actually believe that spending 2.7 trillion dollars per year on government welfare/entitlements/incentives/grants/social programs, while total revenue is only 2.2 trillion per year and shrinking, is in any way sustainable? That does not include any military expenditures. How long will the Chinese continue to make up the difference?
2) Is there any of this short blog that you can disprove with facts?
3) What is the real reason you continue supporting, promoting, and voting for politicians whose efforts are destroying our nation?
4) What is the real reason you willfully choose those who continue wild spending far beyond our ability to pay?
I would really like to see your answers to my questions.
Here are lessons from Illinois and other liberal, compulsory union states. Is the country as a whole going down the same route?
President Obama's home state is extremely unhappy. This is because Illinois has instituted several severely damaging changes in taxes on both business and individuals. Illinois has demonstrated just how economically devastating bloated government can be.
In January, 2011, the corporate tax rate was increased from 4.8% to 7.0%, a 45% increase. Since that time, the industrial juggernaut Caterpillar has made it clear to Illinois officials that it chose to build its newest manufacturing plant outside of Illinois due to the "business climate and overall fiscal health" of the state. That plant would have added about 1,000 jobs to the state. A number of other large companies are going to do the same thing for the same reasons.
Other smaller businesses have followed suit and actually moved their corporate headquarters from Illinois to neighboring states. Modern Drop Forge Co., which manufactures precision tools and has about 250 employees, along with Internet company, FatWallet.com, an employer of more than 50 workers, are among those businesses that have pulled up stakes and left since the corporate tax increase.
The exodus of companies and reluctance to expand in Illinois provide a great lesson to Obama and his cohorts who plan to increase taxes or limit tax deductions, which are essentially equivalent, on American companies. This will result in fewer American jobs and therefore fewer overall tax dollars as these companies will instead choose to expand overseas.
Obama and others may label this as unpatriotic. What a joke. Is the destruction of our economy, the decimation of the financial health of America’s middle classes, the transfer of great wealth to Goldman-Sachs and other Wall Street giants patriotic? The fact is companies must answer to their investors as to the financial decisions they make. If corporate tax rates are substantially higher in America than another potential location, then a decision has to be made that is right for the investors. Investment money always moves to where it will provide the maximum return to investors. This is one immutable law of economics. In spite of this reality, Obama fully expects companies to forego profitability for “the good of the country” even if it bankrupts the company. That is pathetically ridiculous.
At the same time they raised corporate taxes, Illinois raised personal income tax rate from 3% to 5%. That’s a 66% increase in the taxes individuals pay to the Illinois Treasury. In the eleven months since the tax increase, the Illinois unemployment rate rose from 9.0% to 9.8%. In 46 states, unemployment rates declined during the same time.
Illinois' own President Barack Obama is calling for increases in the personal income tax rate of American families earning over $250,000 per year by ending the Bush-era tax cuts and by making those earning $1 million or more to have a minimum tax rate of 30%. Do you have any estimates of the net revenue increase these taxes will bring in? Because of the negative effect on our economy, it is far more likely there will be a net decrease in revenue.
When Obama released his budget, he quipped, "At a time when our economy is growing and creating jobs at a faster clip, we've got to do everything in our power to keep this recovery on track." What recovery? According to our government's own employment numbers (not unemployment, a suspect number at best) the number of people employed in the private sector continues to drop. Add to that the rapidly rising cost of food and fuel and his words seem to be more likely evidence of glue sniffing than rational thought. The only indication of the tiniest improvement in the economy is in highly suspect government statistics. They routinely change the method used to calculate these numbers to claim things that are patently untrue.
They claim that massive increases in personal income taxes along with increases in corporate tax bills will help strengthen the economic recovery? Of course that’s untrue. Their claims are simply false propaganda. These actions kill jobs and destroy any chance for economic recovery. Illinois is a perfect example of what we can expect overall for the nation.
Illinois politicians said the increases in tax revenues would whittle down the enormous and growing state deficit. Actually, the opposite occurred. Illinois added $2 billion more in debt in 2012 and now has a deficit of some $7 billion. Are these politicians really that stupid or are they dedicated to moving jobs out of Illinois and destroying the state's economy? Historically, when taxes on business are raised, and/or government increases controls and reporting, revenue goes down. The reverse is also true. Why is it that liberals refuse to recognize reality? The only rational conclusion is that they actually want to decimate the American economy—to destroy the wealth of America’s middle class and reduce them to dependency on government.
It is informative to note here that by far the largest transfer of wealth from the 99% to the 1% was engineered by liberal bureaucrat thieves who looted Fannie Mae and Freddie Mac with the aid and blessings of liberal Democrats in Congress and Barack Obama. I see this as simply one of many actions designed to destroy America’s middle class and turn our country into a Marxist Communist dictatorship.
President Obama says higher taxes are necessary to pay down the debt. He knows higher taxes will produce the opposite results for America, just as in Illinois. It would be advantageous for voters to look at Illinois, and maybe Michigan, California, New York and other liberal, compulsory union states (and at their great financial success
Another example of the (beneficial?) effects of liberal policies combined with compulsory union membership:
Remember King Lyndon’s Great Society programs? Part of that was his Model Cities program which cost billions of taxpayer dollars and was a total failure. I need only repeat one of King Lyndon’s pronounced promises: “Detroit will be a shining example of the benefits of our Model Cities program.” It is quite telling how accurate Johnson’s prediction was. It certainly has become an example of the results of the policies of his “great society” programs now being greatly expanded by Obama and his cronies. Go to the following site for a more in depth description of the results of this example of liberal Democrat efforts and policies.
Or better still, take a drive through the inner city of Detroit and see for yourself the results of fifty years of liberal Democrat policies and labor union efforts. By sure to do so in broad daylight because doing so at night carries a high risk of being car jacked and murdered. Actually, you can see a lot of abandoned homes and buildings just by driving through on I-75. I did that myself a short time ago. Burned out homes and factories were quite evident, even from the Interstate. Much of the city of Detroit looks more like the bombed out center of a third world city than an American one. The media elite boneheads are now beginning to extol a growing renaissance of Detroit in direct denial of realty and in spite of the fact unemployment is nearing 50%. Also, 30% of those working are employed by government. This shining example of liberalism in action has lost 60% of its population in the last 50 years. Those who fled the city were mostly middle class workers and included virtually all of the whites. They have been largely replaced by uneducated and poor Muslims and Hispanics with their huge birthrates.
Now those same morally deficient snake oil salesmen and tyrants are using the same process that has clearly devastated all of the most liberal states, to do the same thing to America with absolute certainty. There may in fact be enough ignoramuses at the public welfare and employment trough, in government unions, and that listen to a totally corrupt and deceptive media, to win the next election. Maybe there are enough of those who have had their fires of hate fanned by emotional blackmail to bring down America. (Thank you reverend Wright!) It is obvious to me that the left’s “spread the wealth to equalize economic conditions” means making everyone poor and dependent on government.
When I pointed this out to my Socrates discussion group, one of the many liberal members said I was wrong, that it was not liberal Democrat policies that brought about the demise of the American auto industry that caused Detroit to collapse. I then asked him what he thought was the real cause of the demise of the Detroit’s auto industry. “Why, the failure of the auto industry to compete with cheaper and higher quality foreign cars.” He replied.
I then asked him what he thought was the reason for that. “Older factories, antiquated equipment and the failure of management to modernize and adapt new manufacturing techniques.” He answered.
“I couldn’t agree more,” was my surprising (to him) reply. “And just who or what was it that prevented the industry from doing those important things?”
He had no concrete answer and mumbled something about greedy executives and poor management, so I continued. “The UAW demanded benefit and labor cost increases that took capital that could have been used for modernization, while union work rules prevented the adoption of new manufacturing methods, especially in the use of automation and robots. These union efforts were backed and supported totally by all liberal Democrats. That’s why liberal policies, politics, and support for unions are responsible for the demise of Detroit so I will stand on my original reasoning.
These examples are undeniable realities, and there are many many more. If Detroit is not enough, think New York, California, Illinois, Wisconsin, New Jersey, and all the other blue states that are virtually bankrupt. It certainly wasn’t conservatives who ran them into the ground. Now that the voters in several of those states threw out the Democrats and elected Republican governors and state legislatures, Democrats are using every legal and illegal tactic they can to continue the fiscal carnage they have wrought on those states. What do you think they will look like in five or ten more years? And how about Fannie Mae, Freddie Mac, Amtrak and the Postal Service? Competitive private entities clearly beat the pants off these government operations. These private companies make a profit (that word liberals hate) and pay taxes (the word liberals love) to boot. Those four (and every other government operation) are terribly inefficient and require huge infusions of tax payer money to keep operating. Currently they are all drowning in the red ink of substantial losses.
