Top 11 reasons to blame Democrats for soaring gasoline prices

<# 11 Via American Thinker
In June of 2008, Congressman Roy Blunt released the following information about how the House members voted on energy issues. During this time Democrats were the majority party in both the House and Senate.

ANWR Exploration:
House Republicans: 91% Supported
House Democrats:   86% Opposed

Coal-to-Liquid:
House Republicans 97% Supported
House Democrats:  78% Opposed

Oil Shale Exploration:
House Republicans: 90% Supported
House Democrats:   86% Opposed

Outer Continental Shelf (OCS) Exploration:
House Republicans: 81% Supported
House Democrats:    83% Opposed

Refinery-Increased Capacity:
House Republicans: 97% Supported
House Democrats:    96% Opposed

Summary:

91% of House Republicans have historically voted to increase the production of American-made oil and gas, while 86% of House Democrats have historically voted against increasing the production of American-made oil and gas.

In 2009, the United States still imported 51% of all its petroleum requirements, both crude and refined. This continues to be an unacceptably high number in our quest for energy independence. Gas prices remain hostage to the increasing hostile regimes that sell us oil. Our own Department of Energy has proudly halted off shore drilling. With the political unrest in so many oil producing nations, and the long-term obstruction of Democrats to domestic oil exploration and production, American families have begun to pay the steep price for our failed national energy policies.  This current Administration has wasted tens of billions of stimulus dollars on solar panel factories and windmills rather than building new oil refineries and using new technologies to recover the oil buried in our own back yard.

Number 1-10 via American Thinker<

10) ANWR  If Bill Clinton had signed into law the Republican Congress’s 1995 bill to allow drilling of ANWR instead of vetoing it, ANWR could be producing a million barrels of (non-Opec) oil a day–5% of the nation’s consumption. Although speaking in another context, even Democrat Senator Charles Schumer, no proponent of ANWR drilling, admits that “one million barrels per day,” would cause the price of gasoline to fall “50 cents a gallon almost immediately,” according to a recent George Will column.

9) Coastal Drilling (i.e., not in my backyard) Democrats have consistently fought efforts to drill off the U.S. coast, as evidenced by Florida Rep. Debbie Wasserman Schultz’s preotestation against a failed 2005 bill: “Not only does this legislation dismantle the bi-partisan ban on offshore drilling, but it provides a financial incentive for states to do so.”

A financial incentive? With the Chinese now slant drilling for oil just 50 miles off the Florida coast, wouldn’t that have been a good thing?8) Insistence on alternative fuels  One of the first acts of the new Democrat-controlled congress in 2007 was an energy bill that “calls for a huge increase in the use of ethanol as a motor fuel and requires new appliance efficiency standards.”  By focusing on alternative fuels such as ethanol, and not more drilling, Democrats have added to the cost of food, worsening starvation problems around the word and increasing inflationary pressures in the U.S., including prices at the pump.

7) Nuclear power   Even the French, who sometimes seem to lack the backbone to stand up for anything other than soft cheese, faced down their environmentalists over the need for nuclear power. France now generates 79% of its electricity from nuclear plants, mitigating the need for imported oil. The French have so much cheap energy that France has become the world’s largest exporter of electric power. They have plans in place to build more reactors, including an experimental fusion reactor.

The last nuclear reactor built in the United States, according to the US Dept of Energy, was the “River Bend” plant in Louisiana. Its construction began in March of 1977.  Need I say more?

6) Coal   “The liquid hydrocarbon fuel available from American coal reserves exceeds the crude oil reserves of the entire world,” writes Dr. Arthur Robinson in an article on humanevents.com. The U.S. has approximately one-fourth of the world’s known, proven coal reserves. Coal would be a proven, and increasingly clean, source of electric power and–at current prices–a liquified fuel that would reduce our dependence on foreign oil. Yet Dems and their enviro friends have fought, and continue to fight, both coal-mining and coal plants.

5) Refinery capacity  “High oil prices are still being propped up by a shortage of refinery capacity and there is little sign of the bottleneck easing until 2010,” according to Peak Oil News.  And, while voters in South Dakota have approved zoning for what could become the first new oil refinery in the United States in 30 years,  the Dems’ environmentalist constituency vows to oppose it, just like environmentalists opposed the floodgates that could have saved New Orleans from Hurricane Katrina.

4) Reduced competition  With consolidation in the oil industry, has come reduced competition. Remember, most of the major oil company mergers — Shell-Texaco, BP-Amoco, Exxon-Mobil, BP-ARCO, and Chevron-Texaco — happened on Clinton’s watch.  The number of oil refiners dropped from 28 to 19 companies during Clinton’s two terms.

3) The Global Warming Myth  At a Group of 8 meeting this week, host and Japanese Economy, Trade and Industry Minister Akira Amari “described the issues of climate change and energy as two sides of the same coin and proposed united solutions … to address both issues simultaneously”.   As a result of Global Warming hysteria, the Al Gore-negotiated Kyoto Protocol created a worldwide market in carbon-emissions trading. Both 2005  –the year that trading  was initiated–and this year  –when the trading expanded dramatically — saw substantial and unexpected price spikes in the cost of oil, leading us to reason Number…

2) Speculation  “Given the unchanged equilibrium in global oil supply and demand over recent months amid the explosive rise in oil futures prices … it is more likely that as much as 60% of the today oil price is pure speculation,” writes F. William Engdahl, an Associate of the Centre for Research on Globalization.  According to a June 2006 US Senate Permanent Subcommittee on Investigations report, US energy futures historically “were traded exclusively on regulated exchanges within the United States… The trading of energy commodities by large firms on OTC electronic exchanges was exempted from (federal) oversight by a provision inserted at the behest of Enron and other large energy traders into the Commodity Futures Modernization Act of 2000.” The bill was signed into law by Bill Clinton, in one of his last acts in office.

1) Defeat of President Bush’s 2001 energy package   According to the BBC, “Key points of Bush(‘s 2001) plan were to:
Promote new oil and gas drilling
Build new nuclear plants
Improve electricity grid and build new pipelines -$10bn in tax breaks to promote energy efficiency and alternative fuels

A New York Times article, dated May 18, 2001, explained:

“President Bush began an intensive effort today to sell his plan for developing new sources of energy to Congress and the American people, arguing that the country had a future of ‘energy abundance if it could break free of the traditional antagonism between energy producers and environmental advocates.
Mr. Bush’s plea for a new dialogue came as his administration published the report of an energy task force containing scores of specific proposals… for finding new sources of power and encouraging a range of new energy technologies.”[The Bush plan] “mentions about a dozen areas including land-use restrictions in the Rockies, lease stipulations on offshore areas attractive to oil companies, the vetting of locations for nuclear plants, environmental reviews to upgrade power plants and refineries that could be streamlined or eliminated to help industry find more oil and gas and produce more electricity and gasoline.” The article went on to quote some rather prescient words from the President, “this great country could face a darker future, a future that is, unfortunately, being previewed in rising prices at the gas pump and rolling blackouts in the great state of California” if his plan was not adopted in 2001.
The Times account continued:

“Mr. Bush talked not only of blackouts but of blackmail, raising the specter of a future in which the United States is increasingly vulnerable to foreign oil suppliers…Mr. Bush was praised by many groups for laying out a long-term energy policy. His report contained 105 initiatives…”

Just as President Bush’s predictions have been born out, the article quoted from that most sage of Democrats, former President Jimmy Carter:

“World supplies are adequate and reasonably stable, price fluctuations are cyclical, reserves are plentiful,” he (Carter) argued. Mr. Carter said “exaggerated claims seem designed to promote some long-frustrated ambitions of the oil industry at the expense of environmental quality.”

But, as a later Times article notes, “the president’s ambitious policy quickly became a casualty of energy politics and, notably, harsh criticism from Democrats enraged by the way the White House had created the plan.”

In other words, Democrats refused the President’s plea to “break free of the traditional antagonism between energy producers and environmental advocates.”
Remember that the next time you pull up to the pump … or the voter’s booth.

Attention Journalism Students Do Not Make a Mistake Like This

Always remember to double check the spellings of names and be SURE to double check all stats and numbers with a second source. Remember figures don’t lie but liars figure as they say. If you just take a single sources word for a key statistic in the story you may end up with egg on your face.

Washington Post:

Moonlighting blamed for air controller fatigue

By Ashley Halsey III, Published: May 24

Young air traffic controllers who make up almost a third of the workforce have had to work two or three jobs to compensate for a 30 percent wage cut imposed during the Bush administration, the head of their union told a Senate committee Tuesday.

Paul Rinaldi, president of the National Air Traffic Controllers Association, told the subcommittee on aviation that wages have improved under a new contract signed 18 months ago, but many young controllers continue to hold more than one job.

“That’s asking for trouble,” Sen. John D. Rockefeller IV (D-W.Va.) responded. “How do you make the case that that doesn’t cause fatigue and poor judgment?”

NATCA spokesman Doug Church said entry-level wages were cut to about $30,000 in some parts of the country in 2006. He said some local controllers began waiting tables at the Leesburg Applebee’s near Dulles International Airport. Under the new contract, he said new controllers start at about $45,000.

The number of recorded controller errors spiked by 53 percent in fiscal 2010, and after an overnight controller supervisor was caught sleeping in the tower at Reagan National Airport this year the Federal Aviation Administration was stung by an embarrassing series of sleeping controller incidents.

The subcommittee Tuesday sought explanations from Rinaldi, FAA administrator Randy Babbitt, U.S. Department of Transportation Inspector General Calvin L. Scovel III and Greg Belenky, a sleep expert from Washington State University.

They got sharply different perspectives from Babbitt and Scovel, who has been asked by the committee to investigate problems in the air traffic control system.

Babbitt expressed determination to reduce errors while underscoring the unparalleled air safety record in the past decade, which has not seen a single major commercial airline crash. He pointed out that the vast majority of controller errors posed little genuine risk to passengers, and said the increase in recorded errors was largely due to more accurate technology and a system that encourages controllers to report their mistakes in return for a promise they will not be punished.

Did you read that very carefully? Good work. What is the narrative of this story? The story is that the union believes that there are more air traffic controller errors because they are paid so poorly (30-45K) that they must take second jobs to make ends meet. The FAA Committee says that errors are just being reported more accurately because of the new error reporting system that is in place.

Now let us look at the story critically. We know that most readers will not get passed the 5th or 6th paragraph in a story unless it greatly interests them. With that said the narrative becomes more clear “Government employees are underpaid and the union is struggling to help them and as a result of the inferior pay lives may be lost.”

The prudent reporter in Washington DC would know that the government union is not so weak as to not be able to negotiate a decent wage. Washington in general does not work that way for government employees which tend to be paid rather well. You can see that we only have one source for the 30-45k pay figure. What would we learn by checking that number from official sources?

Here is a government job posting to hire a citizen to become an air traffic controller which was found in mere moments on the internet. This is an official government web site:

http://jobview.usajobs.gov/GetJob.aspx?JobID=99420536&JobTitle=Air+Traffic+Control+Specialist&jbf574=TD

As you can see the pay range starts at $113,000. Now that we have a rather glaring discrepancy we should look further. A trip to the Bureau of Labor Statistics will tell us what most any government employee makes:

http://www.bls.gov/oco/ocos108.htm

Air traffic controllers earn relatively high pay and have good benefits. Median annual wages of air traffic controllers in May 2008 were $111,870. The middle 50 percent earned between $71,050 and $143,780. The lowest 10 percent earned less than $45,020, and the highest 10 percent earned more than $161,010. The average annual salary, excluding overtime earnings, for air traffic controllers in the Federal Government—which employs 90 percent of all controllers—was $109,218 in March 2009.

They also receive vacations, sick days, and insurance.

The average salary is 109K plus benefits and according to the BLS web site the bigger the airport the larger the pay. Only 10% make near the $45k number mentioned and as the pay scale explains, this would be the most out of the way airports that only occasionally see traffic. No where is 30K even mentioned.

It is safe to conclude that the union representative gave the Washington Post reporter a sizable dose of spin. It is certainly safe to say that a false picture was created. Anyone with access to the internet could see that the story has a major problem in mere moments. The “Line Editor” at the Washington Post should have checked this number as well, as that is a primary responsibility of a “Line Editor”. Now the paper as an institution is starting to look pretty flimsy.

This reporter, Ashley Halsey III, compounded his mistake with a rather large blunder. A long time respected Washington intellectual noticed this discrepency and was kind enough to drop the reporter a note about the error. In response to an official source showing the air traffic controller pay scale the reporter wrote back:

“Why do you assume the website is correct?”

The real question is, why did the reporter assume the union representative gave a number that was representative of most air traffic controllers in the face of a .gov official source? It seems clear that the reporter responded with a rather flippant and elitist attitude.

Unfortunately for the reporter the Washington intellectual is a committee  member of an important press organization. The Washington intellectual pointed out that this is not the first time Ashley Halsey III had a problem.

Gerald Celente: American Journalism is a Disgrace

Now before you watch this video there are a few caveats.

Gerald Celente leads the Trends Research Institute. They look at history and examine patterns in events to extrapolate predictions based on trends and their track record has been pretty decent. They are not the end all be all but they are far from stupid.

The network he is on is RT – AKA Russia Today. Russia Today does some pretty good journalism compared to the American Elite Media (which isn’t saying much). RT’s agenda is to make America look bad in front of a Russian and international audience so they often bri8ng on people who have some kind of critique. Anyone who goes on that network needs to keep this in mind. RT is not huge in the states but it is very big around the world and on the internet.

I am presenting this video because Celente makes some good points; especially about why the American Elite Media has not covered the details of what is in the Wiki-leaks memo’s worth a darn.

America’s Founders Your School Will Never Tell You About: Black, Jewish, Women Founders and War Heroes. Women Voted in the 1770′s. What Happened?

Plus, the most recognizable man of the revolution was NOT George Washington, who was he, and why has he been erased from America’s school books? [Hint he was the first evangelical preacher – Editor]

Watch this video, even if you are not a fan of Glenn Beck, what you are about to see will change you forever.

Final word on Obama’s 1967 borders suggestion…

“But Gladiator, going back to the 67 borders doesn’t mean Genocide” … Anyone who tells you that, even if it is a President, is either lying to you or simply has not studied the issue and/or been to Israel. That is not extremist talk, that is not a theory, it is the reality on the ground. We understand that many people reading this do not understand or could even fathom such a reality. The following short video shows exactly the how and why of  what we have told you, and what the Israeli government has maintained for many years.

Let us keep a few thoughts in mind that President Obama went to that “church” in Chicago which preached caustic antisemitism for many years. Antisemitic comments from Rev. Wright and Louis Farakhan are nothing new (Farrakhan was a frequent visitor) . Antisemitism is also in high fashion among the academic left which the other of Obama’s peer circles.

What I found amusing is that lie that came from the far left immediately after Obama’s speech is that “1967 borders have always been the policy of the United States so Obama isn’t saying anything new (so you must be racist because you are criticizing him for saying it)”. The truth must be put to this lie right now:

Via Bob Schneider (former Reagan Administration):

What Real Presidents, and their Secretaries of State, had to say about pre 1967 borders.

by Bob Schneider

Obama’s speech today took the peace process backward, instead of forward. Back when the USA had an adult in the White House, here is what they had to say about the Pre-1967 “Borders”

In an address delivered on September 1, 1982 President Ronald Reagan said:

In the pre-1967 borders Israel was barely 10 miles wide at its narrowest point. The bulk of Israel’s population lived within artillery range of hostile Arab armies. I am not about to ask Israel to live that way again… So the  United States will not support the establishment of an independent Palestinian state in the West Bank and Gaza, and we will not support annexation or permanent control by Israel. There is, however, another way to peace. The final status of these lands must, of course, be reached through the give-and-take of negotiations; but it is the firm view of the United States that self-government by the Palestinians of the West Bank and Gazain association with Jordan offers the best chance for a durable, just and lasting peace. It is the United States’ position that – in return for peace – the withdrawal provision of Resolution 242 applies to all fronts, including the West Bank and Gaza. When the border is negotiated between Jordan and Israel, our view on the extent to which Israel should be asked to give up territory will be heavily affected by the extent of true peace and normalization and the security arrangements offered in return. Finally, we remain convinced that Jerusalem must remain undivided, but its final status should be decided through negotiations

Meanwhile Secretary of State Madeleine Albright told the U.N. Security Council: “We simply do not support the description of the territories occupied by Israel in 1967 as ‘Occupied Palestinian Territory’. In the view of my Government, this language could be taken to indicate sovereignty, a matter which both Israel and the PLO have agreed must be decided in negotiations on the final status of the territories. “Had this language appeared in the operative paragraphs of the resolution, let me be clear: we would have exercised our veto. In fact, we are today voting against a resolution in the Commission on the Status of Women precisely because it implies that Jerusalem is “occupied Palestinian territory”.

U.S. Secretary of State Henry Kissinger recalled the first time he heard someone invoke “the sacramental language of United Nations Security Council Resolution 242, mumbling about the need for a just and lasting peace within secure and recognized borders”. He said the phrase was so platitudinous that he thought the speaker was pulling his leg. Kissinger said that, at that time, he did not appreciate how the flood of words used to justify the various demands obscured rather than illuminated the fundamental positions. Kissinger said those “clashing perspectives” prevented any real bargaining and explained: “Jordan’s acquiescence in Resolution 242 had been obtained in 1967 by the promise of our United Nations Ambassador Arthur Goldberg that under its terms we would work for the return of the West Bank of Jordan with minor boundary rectifications and that we were prepared to use our influence to obtain a role for Jordan in Jerusalem.”

However, speaking to Henry Kissinger, President Richard Nixon said “You and I both know they can’t go back to the other [1967] borders. But we must not, on the other hand, say that because the Israelis win this war, as they won the ’67 War, that we just go on with status quo. It can’t be done.” Kissinger replied “I couldn’t agree more”

Moreover, President Gerald Ford said: “TheU.S. further supports the position that a just and lasting peace, which remains our objective, must be acceptable to both sides.

So this is what adults, from both political parties, have had to say about UN 242, and pulling back to 1967 borders. Of all the Presidents, Gerald Ford said it best: it must be acceptable to both sides. Trying to jam a dead UN Agreement down the throats of Israel, sets the stage for another blood bath.

Mini-Update: The spin several days later is that the Obama proposal was similar to the former Israeli PM Ehud Olmert peace proposal. What the administration forgot to say is that when Olmert made this proposal the Israeli population was not pleased as it made a border that was completely indefensible; when Olmert made his proposal to the Palestinian Authority they did not even answer diplomatically, they attacked with mortar fire and rockets [keep in mind that this was the old “more moderate” pre-Hamas Palestinian Authority]. Prime Minister Olmert had to step down because he was indicted for corruption.

The Escape Hatch

Of course, as in most speeches made by politicians an out word or phrase is always inserted so as to make it easier to be securely on both sides of the issue in case backtracking becomes a political necessity [Note: always look for the escape hatch phrase in any political speech].  In the case of Obama’s speech it was 1967 borders “with mutually agreed swaps”. That sounds so good doesn’t it? Tell me, after watching that video how can Israel give up any land West of the large valley between Israel and Jordan, or the Golan Heights etc? To do so would leave Israel with borders that are structurally indefensible. It has only been by the bravery of the Israeli people and the overwhelming technical superiority of American military hardware that has prevented a second holocaust.

With the escape hatch phrase Obama can say “I wanted borders based on the 1967 lines” which resulted in an invasion, while at the same time saying “I said that we cannot just go back to the 1967 borders”. There are few politicians who speak that do not include these escape hatch phrases [Gov. Christie of New Jersey does not use them and even made a speech against their use.]

So Israeli Prime Minister Bibi Netanyahu made use of Obama’s escape hatch phrase and wiped his feet on it saying “President Obama says that we cannot go back to the 1967 borders”. Of course the Prime Minister knows full well this was not Obama’s intent, but graciously gave him an out. One thing is strikingly obvious, President Obama was shocked by the push-back he received from some in his own party. Not only did almost every Republican condemn Obama’s remarks, but so did many Democrats. The simple truth is that most Democrats are not anti-Semites in spite of the fact that the racist “liberation theology” types and many on the academic left are.

Congressman Allen West (Florida-22) gave  a response that was representative of most Republicans:

Today’s endorsement by President Barack Obama of the creation of a Hamas-led Palestinian state based on the pre-1967 borders, signals the most egregious foreign policy decision his administration has made to date, and could be the beginning of the end as we know it for the Jewish state.

From the moment the modern day state of Israel declared statehood in 1948, to the end of the 1967 Six Day War, Jews were forbidden access to their holiest site, the Western Wall in Jerusalem’s Old City, controlled by Jordan’s Arab army.

The pre-1967 borders endorsed by President Obama would deny millions of the world’s Jews access to their holiest site and force Israel to return the strategically important Golan Heights to Syria, a known state-sponsor of terrorism.

Resorting to the pre-1967 borders would mean a full withdrawal by the Israelis from the West Bank and the Jewish neighborhoods of East Jerusalem. Make no mistake, there has always been a Nation of Israel and Jerusalem has been and must always be recognized as its rightful capital.

In short, the Hamas-run Palestinian state envisioned by President Obama would be devastating to Israel and the world’s 13.3 million Jews. It would be a Pavlovian style reward to a declared Islamic terrorist organization, and an unacceptable policy initiative.

America should never negotiate with the Palestinian Authority – which has aligned itself with Hamas. Palestine is a region, not a people or a modern state. Based upon Roman Emperor Hadrian’s declaration in 73 AD, the original Palestinian people are the Jewish people.

Senate Democratic Leader Harry Reid rebuked Obama on national televisionvideo

Social Security now in permanent deficit, Medicare Trustees admit the system is in trouble, liberal ‘Think Tank’ fails at statistics in deficit denial…

The system is not sustainable. The bureaucracy is huge and government employees earn 30-300% higher than their private sector counterparts and have gold plated benefits. Every dollar that goes to a bureaucrat who is not accountable to you and has no incentive to be efficient is another dollar that is not used for someones good care.

Government programs should not be “unionized job programs to get union dues to the Democrats” first, and programs people use second.  We cannot afford to carry on the status quo any more if we want to deliver on promised benefits. Unless we have reform such as the Paul Ryan plan, the system will blow up and the government reports show it.

Social Security

Heritage:

The debate about whether Social Security faces a problem and needs to be fixed is over. The 2011 trustees report, which was released this afternoon, shows that the program already faces massive permanent annual deficits. In 2010, Social Security spent $49 billion more in benefits that it took in from its payroll tax. This year, that deficit will be approximately $46 billion.

Now is the time to focus on solutions. Instead of just blindly defending the current program, both Congress and the Obama Administration should propose comprehensive programs that permanently fix Social Security. It is one thing to oppose a solution; it is another to come up with a plan and fix the problem.

Social Security Problem $1.2 Trillion and One Year Worse

In net present value terms, Social Security owes $9.1 trillion more in benefits than it will receive in taxes. The 2011 number consists of $2.6 trillion to repay the special issue bonds in the trust fund and $6. 5 trillion to pay benefits after the trust fund is exhausted in 2036—a year earlier. This is an increase of $1.2 trillion from last year’s report, which also reflects several changes to assumptions and methodology.

A key change in this year’s report is that Social Security is predicted to run cash-flow deficits from now on. The immediate cash-flow deficits are largely due to the effects of the recession on its finances. The recession increased the amount of benefits paid out by Social Security as older workers who have lost their jobs choose to file for benefits earlier than they might have otherwise. Meanwhile, younger unemployed workers are unable to pay Social Security taxes, while workers who suffer a drop in their income pay lower amounts.

Net present value measures the amount of money that would have to be invested today in order to have enough money on hand to pay deficits in the future. In other words, Congress would have to invest $9.1 trillion today in order to have enough money to pay all of Social Security’s promised benefits through 2085. This money would be in addition to what Social Security receives during those years from its payroll taxes.

Medicare

Heritage:

The just released 2011 Medicare trustees report does not contain any big surprises. Much of what the trustees say in this report they have said before: Medicare poses enormous challenges for patients and taxpayers alike, and its financial condition continues a downward slide. Some key findings:

  • Medicare’s unfunded obligations increased by $2 trillion. A key indicator of the true cost of the program is the cost of the promised benefits that are not financed by dedicated revenues. Using their standard 75-year projection (2011–2085), the trustees estimate this year that Medicare benefits promised that are not paid for amount to $24.6 trillion, compared to their projection of $22.5 trillion last year. These and other projections in the report are based on current law, including the official assumption that the estimated $575 billion in savings from Medicare provider cuts under Obamacare will be sustained, as well as the 29 percent reduction in Medicare physician payments in 2012. The Medicare trustees concede the point: “Although the long-term viability of some of these provisions is debatable, the annual report to Congress on the financial status of Medicare must be based on current law” (emphasis added). Different assessment and different accounting techniques, of course, can yield different estimates of these long-term costs. Based on an alternative scenario of projected costs and spending that many analysts considered more realistic, the Medicare actuary in 2010 estimated the long-term Medicare debt at $34.8 trillion. The Medicare actuary has yet to offer his alternative assessment for 2011.
  • The financial condition of the Medicare Part A trust fund is worse. The Hospitalization Trust Fund—the part of the program that pays seniors’ hospital bills—is in worse shape than reported last year. The Hospital Insurance (HI) Trust Fund is going to be exhausted in 2024 rather than 2029. While the fund has started running big annual deficits ($32 billion in 2010 and $34 billion in 2011), the five-year acceleration of the fund’s exhaustion has been aggravated by a combination of higher hospital spending and the consequent reduction in the payroll tax receipts resulting from the economic downturn. When the HI fund is exhausted, obviously it cannot pay benefits. Congress would have to replenish it with higher taxes. One more point: It should be noted that the most recent Congressional Budget Office assessment of the trust fund (March 2011) is more pessimistic and projects an exhaustion in 2020.
  • The “Medicare Funding Warning” has been issued again. Under current law, the Medicare trustees are required to issue a Medicare Funding Warning. This means that general revenues will account for more than 45 percent of Medicare’s total outlays. The 45 percent threshold for such funding, in contrast to dedicated revenues, is officially “excessive” under current law. In this year’s report, the statutory threshold has been reached again this year, as it was last year, and the President is required to develop a proposal to transmit to Congress to deal with the problem.

This year’s trustees report only confirms the seriousness of the financial challenge posed by an unreformed Medicare program. Over the full 75-year budget window for the entitlements, about 90 percent of the growth of Medicare and Social Security is going to occur by 2035. The baby boom generation, to be supported by a relatively smaller workforce, will drive costs to new levels. That is indeed why The Heritage Foundation’s comprehensive reform proposal, Saving the American Dream, takes on an even greater urgency.

Leftists in Deficit Denial

Heritage:

Liberal Think Tank Fails Statistics

A chart created by the Center on Budget and Policy Priorities (CBPP) has been circulating among liberal bloggers such as Ezra Klein, James Fallows, and Andrew Sullivan.

The chart, seen to the right, purports to show that the next decade’s deficits are entirely the result of the 2001 and 2003 tax cuts, wars, bailouts, recession, and stimulus.

Their methodology fails statistics 101.

Imagine a basketball team that loses 100-98. It would make no sense to cherry pick one single basket by their opponent and blame it for 100 percent of the loss – letting all other baskets scored off the hook. Yet that is essentially what CBPP is doing.

See the rest of the story with charts and evidence HERE.

Government Motors Sponsors Chinese Communist Propaganda Film.

Washington Times:

In late 2010, General Motors agreed to sponsor a propaganda film celebrating the 90th anniversary of the Chinese Communist Party (CCP). The CCP made film titled (translated to English) “The Birth of a Party” or “The Great Achievement of Founding the Party” is set to premiere all over the Communist nation on June 15 reported China AutoWeb last September. The auto website adds:

“According to an announcement posted on Shanghai GM’s official web site yesterday, whose title reads “joining hands with China Film Group, Cadillac whole-heartedly supports the making of the Birth of a Party…”

The report goes further:

“As the CCP marries totalitarianism with capitalism and fools the people with entertainment, only the “politically correct” or stupid–or those who pretend to be so–can get rich. And GM seems to know this very well. While Audi, Mercedes-Benz, BMW, and Volvo have all rushed to please China’s rich and powerful through physical enlargement (offering models of extended wheelbases), Cadillac gratifies the party orally, singing praises through a film.”

According to the above report, the film will discuss events that led up to the formation of the CCP following the 1917 Russian Revolution. When the movie first went into production GM signed up Cadillac as the “chief business partner” with the Communist Party, stating: “Cadillac whole-heartedly supports the making of the Birth of a Party.”

Wow, how much suffering has the Chinese Communist Party caused, how many of it’s own has it murdered, how many dissidents jailed, how many Christians persecuted?

I have an older Chevy Caprice and an older Chevy Blazer and I have been satisfied with those vehicles so I am happy to keep fixing them up.  My family bought a Chevy Trailblazer but it started falling apart right after the warranty expired.

The bailout was bad, the way they stripped Republican dealership owners of their businesses was bad, the commercial that painted a false picture about the bailout money being returned was really bad;  no one likes being lied to.  I am now beyond the last straw. I do not see how I could ever buy another GM vehicle again in good conscience.

Patriot Act Warrants That Let Agents Enter Homes Without Owner Knowing Triple Under Obama

This is exactly the opposite of what Obama promised.

KOAT News:

ALBUQUERQUE, N.M. — A special type of government search warrant that allows authorities to search homes without informing the owner for months is becoming more common, Target 7 has learned.Imagine someone walking through your neighborhood, coming into your home and rifling through your intimate belongings.“(They) search through your home, your dresser drawers, your computer files,” Peter Simonson, with ACLU New Mexico, said.These search warrants don’t involve knocking on doors or any type of warning at all. Delayed-notice search warrants, or “sneak-and-peek” warrants, allow federal agents to enter your home without telling you they’ve been there until months later.

The warrants have always been around, but their use has spiked since the revamped Patriot Act in 2005. The number of delayed-notice search warrants spiked nationally from nearly 700 in fiscal year 2007 to close to 2,000 in 2009.Upwards of 200 approved during that same three-year stretch came out of the 10th Circuit Court, which covers a handful of states including New Mexico. The majority of those delayed search warrants aren’t even for terrorism-related cases. According to the U.S. Department of Justice’s figures, the majority of the warrants are for drug cases.“While billed as an anti-terror tool, (a sneak-and-peek warrant) had no requirements on it that it precluded it from being used in standard criminal investigations,” Simonson said.The warrants are so secret that the New Mexico U.S. Attorney’s Office wouldn’t go on record with Target 7 about them.The ACLU said it expects delayed-notice warrant numbers to keep growing each year as long as certain parts of the Patriot Act remain on the books.

On Oil Obama Says One Thing & Does Another

Polling shows that like Jimmy Carter, Obama’s energy policy is going to send him packing in 2012. So what is the new strategy, tell people you are expanding domestic oil production and just not do it.

But expanding leases does nothing because often it is discovered that a lease cannot be trilled upon for technical reasons. Also, the government and environmental groups are not allowing companies to drill on leases they have paid for. The lease is just the first step of a process that takes years and the government can halt it any step of the way, and has as you will see below.

Obama’s Energy Secretary Steven Chu said after he was confirmed by the Senate that we have to find a way to get the price of gas to European levels (around $8 dollars a gallon). Even the new Democrats National Committee Chair Debbie Wasserman just went on the record with a repeat of the Democrats energy policy, less domestic production, and more deficit spending for Chinese made solar panels.

Obama’s illegal offshore drilling moratorium explained. This will infuriate you. UPDATE – Debbie Wasserman-Schultz Confirms: Democrat Energy Policy is To Push For Less Energy and More Deficit Spending

This is a no miss short film explaining how the government can stop all drilling with the stroke of a pen….

On top of that Obama’s energy policy is now threatening to shut down the Alaska pipeline.

Heritage:

Obama Oil Policy Threatens Alaska Pipeline’s Existence

The invaluable Alaskan oil pipeline isn’t doing well these days. A remedy to help fix this precious resource is available but overzealous environmentalists and over-regulatory politicians are standing in the way.  The ever-decreasing amount of oil flowing through the pipeline is disrupting its effective operation — and threatening its very existence.

This problem could easily be solved by opening up more domestic drilling in Alaska. This would allow more oil to flow through the pipeline, maintain the correct temperature (which falls to dangerous levels with insufficient supply). But access to drilling permits has been severely reduced. With gas prices hovering around $4 a gallon, it is inconceivable that the Obama administration would continue to hinder production and add regulations that could eliminate yet another standard domestic source of oil. Yet that is what is occurring.

In yesterday’s Wall Street Journal, Russell Gold writes about the threat to kill the pipeline:

Shell earlier this year canceled plans to drill in the Beaufort Sea this summer because, after five years, it couldn’t get a federal air-emission permit for an offshore drilling rig. Its plans for drilling in the Chukchi Sea on Alaska’s northwest coast are also held up by a legal dispute. Exxon Mobil is also waiting for federal environmental approval, and in February, the federal government denied ConocoPhillips a permit the company had been working on for five years.

…Shutting the pipeline would force refineries to find new and more expensive supplies of crude oil. And President Barack Obama’s efforts to decrease oil imports would suffer a major setback.

While opening more drilling in Alaska would help significantly, there are even more places where permits and environmental regulations are causing problems. Heritage’s Nick Loris writes:

We can’t drill off the Pacific Coast, Atlantic Coast, or the eastern Gulf of Mexico. The U.S. Environmental Appeals Board withheld air quality permits preventing Shell from moving forward to develop 27 billion barrels of oil off the coasts of Alaska. The Environmental Protection Agency already issued two air permits, but Earthjustice filed a petition to review the permits, causing the Appeals Board to act.

Environmental activists within the Obama administration are literally halting the much needed domestic oil exploration America needs to improve our economic well being and reduce gas prices for hurting consumers. Saving the pipeline should be top priority right now.

What If Oil Producers Actually Received Subsidies Like Wind Energy Producers? – LINK

Related:

Obama: If you’re complaining about the price of gas get a trade in….

GAO – Government Shut Down Yucca Facility for Political Reasons, Not Scientific Ones

Press Grilled Bush When Gas Hit $3.00 – Nada for Obama… UPDATED!

The latest lie from the left: Two-thirds of oil and gas leases in Gulf inactive – UPDATED!

Sarah Palin: What We Were Saying One Year Ago About Obama’s Failed Energy Policy

Obama pushed Brazil to drill more, promises aid to Brazil to help drill. While at home imposes drilling ban.

Obama Administration Held in Contempt for Violating Court Order

API: Recent Studies Show Obama Drilling Moratorium Will Cost 50,000 Jobs; 160,000 by 2032.

Heritage: Anti-Drilling Policies Costing Federal Government Billions in Lost Revenue

Now Russia, along with Mexico, Spain, Cuba, and China are building oil wells just miles off our shores while Obama keeps Americans out. UPDATE – Steve Forbes: Obama repeating Carter’s mistakes.

If You Ever Needed Proof that Democrats Want Higher Gas Prices…

Obama back to old tricks: Pushing banks to give high risk loans again…

… all because this policy worked out so well the last time right?

[LINK – start at the bottom of the linked page and start reading to get a great education on the mortgage crisis. It started with the abuse and deliberate misapplication of redlining regulations to accomplish political goals and economic social engineering. When the OFHEO regulator tried to warn Congress Democrats like Barney Frank and Chris Dodd insisted that the regulator was lying and even used the race card against them, of course the worst economy since the Great Depression has shown us that everything wasn’t fine – Editor]

Via Weasel Zappers and Business Week:

(Business Week) — Community activists in St. Louis became concerned a couple of years ago that local banks weren’t offering credit to the city’s poor and African American residents. So they formed a group called the St. Louis Equal Housing and Community Reinvestment Alliance and began writing complaint letters to federal regulators.

Apparently, someone in Washington took notice. The Federal Reserve has cited one of the group’s targets, Midwest Bank Centre, a small bank that has been operating in St. Louis’s predominantly white, middle-class suburbs for over a century, for failing to issue home mortgages or open branches in disadvantaged areas. Although executives at the bank say they don’t discriminate, Midwest Bank Centre’s latest annual report says it is in the process of negotiating a settlement with the U.S. Justice Dept. over its lending practices.

Lawyers and bank consultants say regulators and the Obama Administration are scrutinizing financial institutions for a practice that last drew attention before the rise of subprime lending: redlining. The term dates from the 1930s, when the Federal Housing Administration drew up maps using red ink to delineate inner-city neighborhoods considered too risky for lending. Congress later passed laws banning lending discrimination on the basis of race and other characteristics. “The agencies have refocused on redlining because, in the wake of the subprime explosion and sudden implosion, they are looking at these disadvantaged neighborhoods and not seeing any credit access,” says Jo Ann Barefoot, co-chair at Treliant Risk Advisors in Washington, D.C., which consults with banks on regulatory issues.

The 1977 Community Reinvestment Act (CRA) requires banks to make loans in all the areas they serve, not just the wealthy ones. A Bloomberg analysis found the percentage of banks earning negative ratings from regulators on CRA exams has risen from 1.45 percent in 2007 to more than 6 percent in the first quarter of this year.

President Obama, Why Has Your Administration Largely Ignored Struggling Homeowners?

President Obama,

You Promised To Save Millions From Foreclosure Yet Your Housing Program Was A Failure And Now The Housing Market Is In The Midst Of A “Double Dip.” Why Has Your Administration Largely Ignored Struggling Homeowners?

The RNC asks a very good question here. A question I asked over and over again on my old blog ( Link + 1, 2, 3, 4, 5, 6, 7, 8.
These girls would like an answer:

PROMISE: President Obama Promised That His Housing Program Would Prevent 7 to 9 Million Families From Foreclosure. “And we will pursue the housing plan I’m outlining today. And through this plan, we will help between 7 and 9 million families restructure or refinance their mortgages so they can afford—avoid foreclosure.” (President Barack Obama, Remarks On The Home Mortgage Industry In Mesa, Arizona, 2/18/09)

FACT:

Only One In Four Of 2.7 Million Homeowners Seeking Assistance From Obama’s Mortgage Relief Plan Succeeded In Getting Their Payments Reduced. “Just one in four of the 2.7 million homeowners who sought to participate in the Obama administration’s signature mortgage assistance program have succeeded in getting their monthly payments reduced.” (Alan Zibel and Louise Radnofsky, “Only 1 In 4 Got Mortgage Relief,” The Wall Street Journal, 2/28/11)

Inspector General Neil Barofsky, Who Oversaw HAMP, Said That The Program “Continues To Fall Short Of Any Meaningful Standard Of Success.” “The program has faced sharp criticism. Neil Barofsky, the departing special inspector general overseeing the program, has faulted the administration for launching it with inadequate analysis and only partially developed guidelines. This led to delays and confusion, and the program ‘continues to fall short of any meaningful standard of success,’ he said a report released in January.” (Alan Zibel and Louise Radnofsky, “Only 1 In 4 Got Mortgage Relief,” The Wall Street Journal, 2/28/11)

“It’s Official. Home Prices Have Double Dipped Nationwide, Now Lower Than Their March 2009 Trough, According To A New Report From Clear Capital.”(Diana Olick, “National Home Prices Double Dip,” CNBC, 5/5/11)

 “Home Values Posted The Largest Decline In The First Quarter Since Late 2008, Prompting Many Economists To Push Back Their Estimates Of When The Housing Market Will Hit A Bottom.” (Nick Timiraos, “Home Market Takes A Tumble,” The Wall Street Journal, 5/9/11)

The Oregonian: “Economists Who Once Predicted That Prices Would Bottom Out Sometime This Year Now Are Saying, Well, Maybe In 2012.” “Lenders have filed more than 300,000 foreclosures against American families every month for almost two years. As long as that’s occurring, the housing numbers will stay bleak. Home prices nationally have fallen for 57 consecutive months. … Economists who once predicted that prices would bottom out sometime this year now are saying, well, maybe in 2012. ” (Editorial, “American Housing: Underwater And Still Sinking,” The Oregonian, 5/9/11)

Obama’s Assault on South Carolina Jobs

Of course this is aside from his assault in Gulf Coast jobs with the illegal offshore drilling ban, the assault on Alaska jobs with the revocation of Shell’s oil rights, the assault on West Virginia jobs with the completely arbitrary revocation of mining permits, the assault on Nevada jobs with the political closing of the Yucca Mountain nuclear facility.

South Carolina Gov. Nikki Haley responds on this blatant show of corruption from the Obama Administration.

[Editor’s note – The Democrats used every sex smear in the book trying to defeat this governor in the last election.]

More details from Newt Gingrich in Human Events:

Suspicious Timing

In October 2009, Boeing decided to open a new production facility in North Charleston, SC to meet the growing demand for its 787 Dreamliner airplane.

The decision came after months of negotiations with the machinists union leadership at Boeing’s main production hub in Puget Sound, WA.  Since 1995, there have been five work stoppages in the Puget Sound plant. The most recent strike, in 2008, lasted 58 days and cost the company $1.8 billion.

Still, Boeing negotiated in good faith with the union leadership for the Puget Sound facility to try and find a way to open the new factory there.  In exchange, Boeing wanted a ten year moratorium on strikes so the additional capacity upon which the company was about to spend billions of dollars would be a sound investment.

Boeing and the union were unable to reach an agreement so the company looked elsewhere.  They eventually settled on South Carolina, which is one of the twenty two “right-to-work” states in our country where workers cannot be forced to join a union.

The complaint filed last month by the NLRB on behalf of the machinists union alleges that Boeing located the new facility away from Puget Sound in retaliation for the 2008 strike, which is illegal under the National Labor Relations Act.  It makes this accusation despite the months Boeing spent negotiating with the union to try and reach a deal to open the new facility in Puget Sound, and despite the fact that there is a clear legal precedent that allows companies to consider the impact of future strikes when deciding where to open new facilities.

It is the timing of NLRB’s complaint, in fact, which seems retaliatory in nature, not Boeing’s business decision.

The complaint comes a full seventeen months after Boeing announced the location of the new facility and thirteen months after the union leadership first asked NLRB to look into the issue.
Boeing has already begun construction of the new facility, hiring over 1000 people in South Carolina and investing $1 billion. This complaint puts all those jobs created and all that money invested at risk.

Unelected, Unconfirmed Bureaucrats Running Wild

This action by the NLRB is even more disturbing when you consider that it is being led by Lafe Solomon, the acting General Counsel for NLRB, who still needs to be approved by the Senate.  He only holds his position because of a recess appointment by President Obama.

The president also used a recess appointment to place Craig Becker on the NLRB after Becker was rejected by a Democratic Senate in 2010.

As a recent Daily Caller article discovered, Becker’s past writings reveal a disturbing socialist bent that bear directly on the Boeing complaint.

Becker has previously written that the federal government should control and constrain the freedom of companies to direct their capital and resources as they please in order to rig labor negotiations in favor of unions.   Becker has also written that the NLRB possesses the power to impose card-check policies on the nation without an act of Congress.

An Assault on the Right to Work

It is clear that President Obama is packing the NLRB board with left wing ideologues as a payoff to his union boss allies, so that the fix is in with regard to this case and others like it.

The move is consistent with an ongoing pattern in the Obama administration, in which they use the apparatus of big government to reward their allies and punish their opponents.

South Carolina Senator Lindsey Graham was exactly right when he characterized the complaint as “one of the worst examples of unelected bureaucrats doing the bidding of special interest groups that I’ve ever seen.”

If the NLRB is successful in overturning Boeing’s perfectly rational business decision, it puts tens of millions of future jobs in all 22 right-to-work states in jeopardy.  It would make it effectively impossible for U.S. companies to open new facilities in right-to-work states if they are currently located in one that allows forced unionization.

Global Competition Is a Fact, Not a Theory

The Left simply cannot come to grips with the intensity of global economic competition and the demands it places on U.S. economic policies.

This blindness to reality was on display in the reaction to a recent USA Today article showing that Americans paid less taxes in 2009 than any time since the 1950s.  The article has been used by the Left in recent days as a counter to the conservative case that tax increases would be devastating to any economic recovery, possibly driving us back into recession.

Their argument shows the Left is completely missing the point.  In the new global economy, America is not competing against itself from 1990, 1970 or 1950.

We are competing against Germany, which today has only a 15% federal corporate income tax (and recently hit a 19-year low in its unemployment rate), compared to a 35% corporate tax rate in the U.S., the highest of any central government in the industrialized world.

We are competing against Singapore, which has a capital gains tax of zero, compared to a potential 35% capital gains tax in the United States.

We are competing against Switzerland, which caps the federal personal income tax rate at 11.5%.

We are competing against Canada, which just last week reelected an incumbent Conservative government that has pledged to cut the corporate tax to 15% and lower the personal income tax for families – all while planning to balance its entire budget by 2015.

Consider the case of the New York Stock Exchange.  This icon of American free markets is now owned by a Dutch holding company.

That $10.2 billion takeover was driven by simple economic reality. As Walter Gavin, Vice President of Emerson, explains, the Netherlands has a tax code which makes it more profitable for the NYSE to be owned by a Dutch company than by an American one.  In fact, according to Gavin, the United States lost almost forty companies to Amsterdam in 2010 alone thanks to their more business friendly environment.

This brings us back to President Obama and his union allies’ assault on South Carolina jobs and all twenty two right-to-work states in America.

If the NRLB’s complaint is successful, U.S. companies will simply increase their flight of capital and new facilities to places outside the United States.  In the midst of a struggling economy, it will make it harder for businesses to operate in America, not easier.

The union bosses and their political allies in the White House aren’t going to save union jobs by attacking right-to-work states.  They’ll simply prevent new jobs from being created here in America.

More HERE.

Ohio Business Owner Shot For Being Non-Union

If you are non-union or in a large metro area getting armed and trained is becoming more prudent.

Our friends at Red State report:

With around 25 employees, John King owns one of the largest non-union electrical contracting businesses in the Toledo, Ohio area. As a non-union contractor, his business happens to be doing well at a time when unions in the construction industry are suffering. This, it seems, has made the usual animosity unions have for him even greater, making him a prime target of union thugs. So much so, that one of them tried to kill him last week at his home.

John King didn’t plan on being an enemy of unions. In fact, he says all he’s ever wanted to do is work at something he loves doing and be successful at it—something that most normal Americans would call ‘The American Dream.’

After high school and some college, Mr. King briefly worked for an IBEW contractor before being drafted into the military. Following his service in the early 70s, King became his own boss by going into business as the youngest electrical contractor in Toledo.

Over the years, King Electrical Services had always been a small business. However, during the Great Recession, King’s business has actually improved as his union competitors have priced themselves out of work.

Unfortunately, being a non-union electrical company, King has always been on the radar of the International Brotherhood of Electrical Workers (IBEW). In fact, in 2006, he won a significant case against the IBEW at the US Court of Appeals, after the union had improperly promised his electricians jobs on union sites if they voted the union into King’s company.

Since he’s been in business, in addition to the legal battles and verbal abuse, King’s company has been vandalized and threatened on numerous occasions.

“Back then, it was nothing to have to regularly buy a new set of tires.” King said during a telephone interview on Tuesday. “The ice pick was the weapon of choice.”

Until Wednesday, the worst of the union attacks on King and his business came in the mid-eighties during the UAW strike at AP Parts. During a lull during the lengthy strike, King’s business was picketed by more than 50 IBEW picketers. This was at a time when he only had eight or nine employees. One of his employees, whose car was trashed by the union picketers, was also beaten up by IBEW thugs.

Unfortunately, the vandalism has never stopped. This year alone, he’s had to report three incidents of damage to police. This doesn’t include the incidents of stalking he and his men have to go through while they’re working.

In one incident earlier this year, rocks were thrown through the front windows of his shop, one of which had the word “kill” written on it.

Last Wednesday, however, the attacks on Mr. King became much more serious when he was awakened late in the evening at his home in Monroe County, Michigan and saw that the motion lights in his driveway had come on.  When he looked out his front window, he saw a figure near his SUV and went outside.

As soon as he got outside his front door, King yelled at the individual who was crouched down by King’s vehicle. As soon as King yelled, the suspect stood and, without hesitation, fired a shot at Mr. King.

Read More at Red State.

News clip from WTOL11

Sarah Palin’s I Told You So Barack! Quotes Previous Speeches Where She Predicted It All.

For someone who the left said wasn’t qualified, her analysis of what is going on and where we have been going has been far ahead of the “experts”.

Sarah Palin:

In the coming days we’ll sort through the repercussions of S&P’s downgrade of our credit rating, including concerns about the impact a potential interest rate increase would have on our ability to service our suffocating $14.5 trillion debt.

I’m surprised that so many people seem surprised by S&P’s decision. Weren’t people paying attention over the last year or so when we were getting warning after warning from various credit rating agencies that this was coming? I’ve been writing and speaking about it myself for quite some time.

Back in December 2010, I wrote: “If the European debt crisis teaches us anything, it’s that tomorrow always comes. Sooner or later, the markets will expect us to settle the bill for the enormous Obama-Pelosi-Reid spending binge. We’ve already been warned by the credit ratings agency Moody’s that unless we get serious about reducing our deficit, we may face a downgrade of our credit rating.” And again in January, in response to President Obama’s State of the Union address I wrote: “With credit ratings agency Moody’s warning us that the federal government must reverse the rapid growth of national debt or face losing our triple-A rating, keep in mind that a nation doesn’t look so ‘great’ when its credit rating is in tatters.”

One doesn’t need a Harvard Law degree to figure this out! Just look across the pond at Europe. European nations with less debt and smaller deficits than ours and with real “austerity” plans in place to deal with them have had their ratings downgraded. By what magical thinking did we figure we could run up perpetual trillion dollar deficits and still somehow avoid the unforgiving mathematics of a downgrade? Nothing is ever “too big to fail.” And there’s no such thing as a free lunch. Didn’t we all learn that in our micro and macro econ classes? I did at the University of Idaho. How could Obama skip through Columbia and Harvard without learning that?

Many commonsense Americans like myself saw this day coming. In fact, in June 2010, Rick Santelli articulated the view of independent Tea Party patriots everywhere when he shouted on CNBC, “I want the government to stop spending! Stop spending! Stop spending! Stop spending! STOP SPENDING!” So, how shamelessly cynical and dishonest must one be to blame this inevitable downgrade on the very people who have been shouting all along “stop spending”? Blaming the Tea Party for our credit downgrade is akin to Nero blaming the Christians for burning Rome. Tea Party Americans weren’t the ones “fiddling” while our country’s fiscal house was going up in smoke. In fact, we commonsense fiscal conservatives were the ones grabbing for the extinguishers while politically correct politicians and their cronies buried their heads in what soon became this bonfire.

With S&P and others now warning that we could face another downgrade if we don’t get serious about our debt problem (i.e., recklessly spending money we don’t have), Washington needs to wake upbefore things get worse! We’re already hearing murmurs about QE3, which is just madness and will further debase our currency at a time when the dollar’s status as the world’s reserve currency is already being questioned. The loss of the dollar’s reserve currency status would adversely impact us in every conceivable way. Our standard of living would decline as imports become more expensive (including imports of foreign oil), government wouldn’t be able to finance deficits as cheaply, and American corporations – employers – would lose a competitive edge. It would be another crack in our status as a financial superpower.

Now we’re all getting hit with rising food prices too. Back in November of last year, I predicted this would happen when the Federal Reserve dropped a $600 billion money bomb called QE2 on us! That’s short for “quantitative easing 2.” It’s a fancy term for running the printing presses and creating money out of thin air – which drives down the value of the dollar and makes the price of everything more expensive.

As I predicted six months ago, these policies will lead us down a path where for the first time in our history our fate will be taken out of our own hands and placed in the hands of the world’s capital markets. They will force us to make the responsible decisions that our leaders are unwilling to make. Just as the destinies of the Central Valley farms have been taken out of your hands by the federal government’s overreach into your water rights, so the destiny of our nation will be taken out of our hands because our leadership has failed to get our financial house in order.

This isn’t some theoretical threat any more. It’s already happening. The world’s biggest bond investment fund PIMCO announced last month that it was dumping U.S. Treasury bonds. The head of PIMCO, Bill Gross, one of the world’s preeminent debt investors, warned that the U.S. is in serious risk of default with our trillion dollar deficits and no end in sight. And last week, credit rating agency Standard & Poor’s downgraded our credit outlook to “negative” – that’s the first time that has happened to us since the attack on Pearl Harbor. The IMF has even given us formal notice that, unless we do something to deal with our debt problem, we could tip the world economy into another recession.

It is a disgraceful and embarrassing situation when the United States finds itself justifiably chastised in the same tone normally reserved for near-bankrupt economies.

And in this, like in shutting off your water, the federal government has failed you. Their reckless spending and destruction of the dollar will make access to available credit for farmers and small business owners harder to get. And it will make transportation costs higher because it will hit everyone at the gas pump. You see, because the Obama White House won’t let us drill domestically, we’re forced to import oil that we pay for in dollars. So, when the value of the dollar drops, the price of gas goes up. And if you think $4 a gallon is bad, wait till you see what life is like at $6 or $7 a gallon.

Last November, the so-called smart people all laughed at me when I warned them of this. They told me not to make such a big deal about rising prices. Well, guess what – it became a big deal all on its own.

In fact, there was an editorial in the New York Sun that said – and I quote: “As gasoline is nearing six dollars a gallon at some pumps, the cost of groceries is skyrocketing, and the value of the dollars…has collapsed to less than a 1,500th of an ounce of gold. Unemployment is still high. Shakespeare couldn’t come up with a better plot. But how in the world did Mrs. Palin, who is supposed to be so thick, manage to figure all this out so far ahead of the New York Times and all the economists it talked to?”

Well, I’m sure the New York Times writers will remember the famous line: “You don’t need a weatherman to know which way the wind blows.” And right now the American economy is in the howling, hot headwinds of a gathering storm. We’re printing up and buying up our own notes at an unprecedented rate, and the Fed is artificially holding interest rates down to nearly zero. Anyone with commonsense could see what was coming. Unfortunately, common sense is in short supply among our leaders. It’s like they never believe that the rules of common sense apply to them. They think somehow we’ll escape from the consequences of their policies. It’s the same magical thinking that allows them to run up trillion dollar deficits and still think that we can “win the future.”

Every other generation has weathered recessions by sacrifice and belt tightening. But our leaders today decided that they could magically paper over the tough decisions by running the printing presses. A little history lesson might have showed them how well that worked out for Germany in the 1930s. The Weimar Republic inflated its currency so much that it took a wheel barrel full of paper money to buy a loaf of bread. That might be the main thing I remember from Mr. Crum’s history class at Wasilla High, but it told me all I needed to know about the inflationary dangers of a weak currency and why we must avoid it. What a shame Mr. Crum didn’t teach at Harvard.

That was just three months ago, and things have already gotten worse. We have to face this storm head on. It won’t be easy, but there are real solutions to grow our economy and reduce our debt.

First, we need to get serious about our deficit. No more accounting gimmicks. No more cuts in “out-years” that never materialize. The permanent political class in D.C. might be fooling themselves with these Enron-like accounting games, but they’re not fooling the world’s capital markets. And we don’t need any more happy talk from the White House about “investing” in solar shingles and really fast trains. The White House shouldn’t even bother floating these new spending programs. We can’t afford them. Period. We need to stop this deficit spending, balance our budget, repeal Obamacare, cancel all unused stimulus funds, and reform our entitlement programs. We have to have an adult conversation about our spending commitments; circumstances have changed, and we must adapt. I know none of this will be easy, but, “thick” or not, the average American outside the D.C. politico bubble knows that we no longer have a choice! We will have entitlement reform and a balanced budget; it’s just a matter of how. We can do it ourselves in a calm, methodical, and responsible manner, or we can wait for the world’s capital markets to ram it down on us. Let’s be responsible and do it ourselves. And let’s get serious about reducing the size of government across the board and rooting out waste. How many more reports (that today are destined to merely gather dust on the shelf) do we need about duplicative and unnecessary programs before we actually do something about government waste?

We need to get this economy moving again, and the real stimulus we’ve been waiting for is domestic energy development. We must reduce our dangerous dependence on foreign oil by responsibly developing natural resources here. This will provide good paying jobs, reduce our trade deficit, increase federal and state revenue, ensure environmental standards, and actually stimulate our economy without incurring any debt. That’s real stimulus! Affordable, plentiful, and secure energy is the foundation of every thriving economy. Let’s make it the foundation of ours. Let’s do the opposite of President Obama’s manipulation of U.S. energy supplies. Let’s drill here, build refineries, and stop kowtowing to foreign countries in asking them to ramp up energy production which makes us even more beholden to them as we rely on their foreign product. Let’s move on tapping our massive domestic natural gas reserves. Natural gas is the perfect “bridge fuel” to a future when more renewable sources are available. It’s clean, it’s green, and we’ve got a lot of it. Let’s drill. Let’s build an infrastructure for natural gas cars and power plants. Energy development can help kick start our economic engine.

In addition to energy security, I embrace a pro-growth agenda that can make American corporations far more competitive on the global stage. (I will be writing more about this in the coming days.) We need to tell the world, “America is open for business again!” And let’s welcome industry by reducing burdensome regulations. The Obama administration keeps strangling businesses in red tape. From the EPA’s rulings to that nightmare known as Obamacare, the Obama administration is hanging one regulatory albatross after another around the private sector’s neck. Let’s get government out of the way and give the private sector room to breathe, grow, and thrive. We can provide businesses confidence to expand and hire Americans in a stable environment.

Be wary of the efforts President Obama makes to “fix” the debt problem. The more he tries to “fix” things, the worse they get because his “solutions” always involve spending more, taxing more, growing government, and increasing debt. This debt problem is the greatest challenge facing our country today. Obviously, President Obama doesn’t have a plan or even a notion of how to deal with it. His press conference today was just a rehash of his old talking points and finger-pointing. That’s why he can’t be re-elected in 2012.

Our economic news is disheartening and the task before us can seem daunting, but we must not lose our sense of optimism. People look around today and may see only the negative. They see a culture and a nation in decline, but that’s not who we are! America must regain its optimistic pioneering spirit again. Our founders declared that “we were born the heirs of freedom.” We are the heirs of those who froze with Washington at Valley Forge, who held the line at Gettysburg, who freed the slaves, carved a nation out of the wilderness, and allowed reward for work ethic. We are the sons and daughters of that Greatest Generation who stormed the beaches of Normandy, raised the flag at Iwo Jima, and made America the strongest and most prosperous nation in the history of mankind. By God, we will not squander what has been given us!

Our destiny is still in our own hands if we pick ourselves up and act responsibly and quickly. We must all get involved. Concerned Americans must seek truth, work harder than ever, and be willing to sacrifice today to ensure freedom tomorrow. Please get engaged in 2012 electoral politics and support experienced, vetted, pro-free market fiscal conservatives who will dedicate all to preserving our Republic and protecting our Constitution.

Best moments of the September 7, 2011 presidential debate at the Reagan Library

The Reagan Library

Newt treated the press as they should have been treated, as trying to generate drama, hype and ratings instead of being the 4th branch. His way of dealing with them is the same style I advocate for my political clients. The elite media will never be your friend, they are out to further their own careers by destroying yours no matter what damage it does to the country.

Obama says that “Rick Perry doesn’t believe in Social Security”. Rick Perry has made it clear several times as I have that we both believe in Social Security, we believe that big government types spent the money and wrecked the system and are now desperate for someone else to blame.

Rick Perry praises Obama on the few things he has done for the country such as keeping GITMO open and killing Osama . Then he adds, “Keynesian policy is now done. We will never have to have that experiment on America again.”

It is no secret that IUSB Vision Editor Chuck Norton is no fan of Ron Paul, but when he gets it right he deserves credit just as anyone else. Representative Paul knocked the TSA question out of the park. The TSA is abusive and recently an agent raped a prominent blogger by penetrating her vulva four times, and then threatened to sue her for speaking out about it.  The TSA is ineffective which has been proved time and time again by the GSA whose inspectors are able to sneak guns, bombs, and other weapons on planes in over 80% of attempts.  Ron Paul is correct that it is government who set up the stage for the 9-11 hijackings by telling people not to resist and by preventing pilots from having deadly force training and guns.

The entire debate video:

Hey Obama! What Jobs Bill?

[Editor’s Note: Obama has Jimmy Hoffa and Trumka out there trashing people, has the Congressional Black Caucus out there race bating, has MSNBC doctoring Rick Perry videos, all on HIS behalf and he comes out after yet another of his umpteen vacations saying that we need to rise above politics & we have to do this NOW NOW NOW; yet he has proposed no bill. He asks that the rich pay their “fair share” except for buddies Buffet, GE, and the others who earn income in ways that are exempted from the wage earner rate that he wants to raise.

He wants another half a trillion stimulus package, after he promised us that not one dime of the first one would be wasted and yet the billions of wasted dollars are still being tallied such as gay sex studies in South America, billions invested in solar panel companies that took the money and then vanished, billions into Chinese companies and make work projects for unions who give the Democrats kick backs. 

What happened to the $2.5 trillion that was just handed to him in the so called budget ceiling increase deal he just got? What happened to ‘The stimulus is working we just need more time for it to work’, ‘recovery summer’ and all that?

WHAT Jobs Bill?? Is this another case that we have to pass the bill before we are allowed to see it? The last one that was passed like that had three multi-billion dollar slush funds hidden in it. No more.

Remember this?

Republicans Find Multi-Billion Dollar Slush Funds Hidden in ObamaCare Bill – UPDATE: PolitiFact, FactCheck, WashPo Fact Checker, Heritage All Confirm

Democrats Drop 2000 Page 1.1 Trillion Spending Bill in Hopper at Last Minute – UPDATE – Democrats pull bill from floor after outrage

And this?

Boehner: Here we are with an 1,100 pages that not one member has read this not one! When happened to the promise that we were going to let the American people see what was in this bill?!

Boehner goes nuclear when he finds out that language was illegally inserted into the bill at the last minute giving the AIG execs big bonuses with our money. You see they were big contributors to Senator Chris Dodd (D-CT)

Democrats break transparency promise again; Boehner chews out Henry Waxman for dropping a 300 page amendment to energy tax bill in the hopper at 3:09 am (so that no one could read it).

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