Appalachian Mountains, Great Lakes, Northwest Territory, Louisiana Territory and the Erie Canal

Posted by PITHOCRATES - April 29th, 2014

History 101

(Originally published July 30th, 2013)

Everything grown on the West Side of the Appalachian Mountains eventually ended up on the Mississippi River

At the time of the Founding the American population was clustered around the East Coast.  And on major rivers that flowed into the Atlantic Ocean.  On land east of the Appalachian Mountains.  Not by choice.  But because of geography.  The Founding Fathers knew what great land lay west.  But getting there was another story.

The Great Lakes are huge.  The largest group of freshwater lakes in the world.  If you walked all the coastlines you’d walk so long and so far that you could have walked halfway around the world.  Getting on the lakes opened up the Northwest Territory.  Western New York.  Western Pennsylvania.  Ohio.  Michigan.  Indiana.  Illinois.  Wisconsin.  Minnesota.  And with some portaging, the great interior rivers.  Including the Mississippi River.  Opening up the Great Plains to the West.  And the rich fertile farmland of the interior.  But there was one great obstacle between all of this and the east coast.  Niagara Falls.  Which portaging around was a bitch.

The United States would become an agricultural superpower.  But until they had a way to transport food grown on the land west of the Appalachians that land was not as valuable as it could be.  There were some land routes.  George Washington crossed many times into the Ohio Country from Virginia.  And Daniel Boone blazed the Wilderness Road through the Cumberland Gap into Kentucky and Tennessee.  Opening the Northwest Territory to settlement.  All the way up to the Mississippi River.  And its tributaries.  Including the Ohio River.  But none of these water routes offered a way back east.  Which is why everything grown on the west side of the Appalachian Mountains eventually ended up on the Mississippi River.  And traveled south.  To the Port of New Orleans.  But there was one major problem with that.  The Port of New Orleans belonged to the Spanish.

Thomas Jefferson fought Tirelessly against the Constitution to Restrict the Powers of the Executive Branch

At the time of the Founding there were four European nations jockeying for a piece of the New World.  Who all wanted to keep the Americans east of the Appalachians.  The French had lost New France to the British.  Which they hoped to get back.  And the farther the Americans moved west the harder that would be.  The British were in Canada.  With outposts still in the Northwest Territory.  Despite ceding that land to the Americans.  While the British were pressing in from the north the Spanish were pressing in from the south and the west.  Coming up from Mexico they were in New Orleans.  Texas.  The trans-Mississippi region (the land west of the Mississippi River.  And California and the West Coast.  Making navigation rights on the Mississippi River and the Port of New Orleans a hotly contested issue.

Time would solve that problem in America’s favor.  Napoleon would get the Louisiana Territory for France from the Spanish.  And was intent on rebuilding New France in the New World.  But with the slave rebellion in Saint-Domingue—present day Haiti—Napoleon’s plans changed.  Instead of building New France he was focusing on saving Old France.  As the world war he launched wasn’t going all that well.  So he sold the Louisiana Territory to Thomas Jefferson, then president of the United States.  Making the navigation rights of the Mississippi River a moot point.  For it now belonged to the United States.  Which was great for Thomas Jefferson.  For, he, too, looked west.  And believed the young nation’s future was on the west side of the Appalachian Mountains.  Where yeoman farmers would work their land.  Forming the backbone of the new republic.  Honest men doing honest labor.  Not merchants, bankers and stockjobbers that were trying to destroy the new nation in the east.  The detestable moneyed men that Jefferson hated so.  No.  The winds of the Revolutionary spirit blew west.

This is why Jefferson jumped on the Louisiana Purchase.  In direct violation of the Constitution.  A document he hated because it gave way too much power to the president.  Making the president little different from a king.  Which was the whole point of the American Revolution.  To do away with king-like power.  Throughout his active political life he fought tirelessly against the Constitution.  Fighting to restrict the powers of the executive branch wherever he could.  But the Louisiana Territory?  President Jefferson suddenly had an epiphany.  It was good to be king.

The Erie Canal connected the Eastern Seaboard with the Great Lakes without any Portages

Jefferson would resort to his anti-government positions following the Louisiana Purchase.  He may have violated everything he stood for but even the most stalwart limited government proponent no doubt approves of Jefferson’s actions.  Jefferson was happy.  As was everyone west of the Appalachians.  But it didn’t solve one problem.  The Great Lakes region upstream of Niagara Falls was still cutoff from the East Coast.  And the Port of New Orleans.  There were some routes to these destinations.  But they included some portaging between navigable waterways.  Which made it difficult to transport bulk goods into the region.  And out of the region.

As Jefferson’s vision of limited government faded government grew.  As did government spending.  Especially on internal improvements.  For they had great political dividends.  They created a lot of jobs.  And brought a lot of federal money to communities with those internal improvements.  Which helped politicians win elections.  And back around the 1800s the big internal improvements were canals.  Such as the Erie Canal.  Connecting the Eastern Seaboard with the Great Lakes.  Providing a waterway without any portages from the Hudson River that flows into the Atlantic Ocean at New York City.  All the way to the Great Lakes.  Near Buffalo.  Just above Niagara Falls.  Opening the Great Lakes regions to settlement.  And the Northwest Territory.  (Something George Washington wanted to do.  Who wanted to extend a canal into the West from the Potomac River.)  Creating a trade super highway between the Great Lakes region and the East Coast.  Through the Port of New York.  And on to the rest of the world.

The U.S. population moved west.  But still clung to rivers and coastlines.  Until another internal improvement came along.  The railroad.  Which did for the country’s interior what the Erie Canal did for the Great Lakes region.  With cities growing up along these rail lines.  Away from rivers and coastlines.  Then came the interstate highway system.  Which allowed cities to grow away from the rail lines.  There is now a road, rail or waterway that will take you pretty much anywhere in the United States.  And now we have the airplane.  Which can fly over the Appalachians.  Or the Niagara escarpment.  Allowing us today to move anyone or anything anywhere today.  Something George Washington and Thomas Jefferson desperately wanted.  But could only dream of.

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Americans want ever more Free Stuff as the Founding Fathers feared they would under Mob Rule

Posted by PITHOCRATES - April 27th, 2014

Week in Review

Let’s imagine you buy your groceries a different way.  Instead of going to the store and picking things off of the shelves and paying for them at checkout imagine this.  You don’t pay the store.  A third party does.  Like it does for everyone else that shops at this store.  Sounds great, doesn’t it?  Let’s say people pool their money together for purchasing power.  And have this third party take that pooled money and use it to get better pricing.  Because of the large amounts they will be paying for.

So everyone pays in a monthly amount to their third-party purchaser.  Then goes to the store and takes what they want.  And at checkout they just sign an invoice to acknowledge they took this stuff.  And the store will submit the bill to the third-party purchaser.  Of course, there would have to be some rules.  Because if everyone pays a flat amount each month you can’t have someone picking up steaks every day when you’re buying hamburger for your kids.  So there are limits to what you can buy.  Requiring the third party to review every submitted invoice.  Requiring a very large staff to review every grocery store purchase to approve and disapprove line items on each and every invoice for payment.  To resolve billing and payment errors.  And to bill shoppers for any unapproved purchases they made.  Even if they didn’t understand that these items weren’t covered.

So, included with that monthly payment there must be an overhead fee.  To pay for all those people reviewing those invoices.  Those who bill shoppers for unapproved items.  Those who pay for the approved purchases.  And those who process payments from shoppers.  Still, things slip through the cracks.  People are getting unapproved purchases through the system.  Grocery prices rise.  The overhead costs at the third party grow due to new costly regulations.  Etc.  Such that on occasion the total amount of cash out at the third party exceeds the total of cash in.  Requiring them to raise the monthly amount everyone pays.

Sounds a bit more complicated than just going to the store and paying for what you want out of pocket.  And more costly in the long run.  But if someone else pays the third party for those monthly fees it’s a whole different story.  Say as a benefit at work.  Because without you having to pay anything it’s just free groceries.  At least, to you.  And you will demand that your employer pays for more stuff so it’s free to you.  Even though it’s not.  Because the rising cost of third party grocery purchases will cost your employer.  Which will limit your pay.  And other benefits.  Because in the real world nothing is free.  Even if people think that a lot of stuff is free.  Or should be free.  Like health care (see Nearly 7 in 10 Americans say health plans should cover birth control by Karen Kaplan posted 4/22/2014 on the Los Angeles Times).

Among the various provisions of the Affordable Care Act, few are as controversial as the one requiring health insurance providers to include coverage for contraception. A new survey finds that support for this rule is widespread, with 69% of Americans in favor of the mandate…

Women, African Americans, Latinos and parents living with children under the age of 18 had higher levels of support for mandatory contraception coverage than people in other demographic groups, the survey found…

— 85% of those surveyed supported mandatory coverage for mammograms and colonoscopies.

— 84% supported mandatory coverage for recommended vaccines.

— 82% were in favor of mandatory coverage for diabetes and cholesterol screening tests.

— 77% backed the provision on mandatory coverage for mental health care.

— 75% supported mandatory coverage of dental care, including routine cleanings.

There’s a reason why the United States is a republic and not a democracy.  For the Founding Fathers feared a democracy.  And wanted responsible people between the people and the treasury.  For once people understood they could vote themselves the treasury they would.  And things like this would happen.  Mob rule.  Where the mob demands more and more free stuff while fewer and fewer people pay for that ‘free’ stuff.  And people in government anxious to win elections will keep giving the people more ‘free’ stuff that others have to pay for.  Until one day you end up with the health care system we have in the United States.  All because other people were paying for routine costs people could expect and budget for.  Things that if they paid out of pocket for would cost less in the long run.  Which would keep insurance what it was supposed to be.  Insurance.  And not turn it into a massive cost transfer scheme that only allowed the price of health care to soar.

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FT217: “If you want to know what it was like living under an absolute monarchy just think of the IRS.” —Old Pithy

Posted by PITHOCRATES - April 11th, 2014

Fundamental Truth

Thomas Jefferson wanted to keep the New Federal Government and Money Apart

Thomas Jefferson did not trust government.  And he didn’t trust moneyed men.  Because when the two come together they cause nothing but trouble.  That’s why he hated and distrusted Alexander Hamilton.  Hamilton wanted a strong central government.  A central bank.  And an economic system favoring merchants and bankers.  With big city moneyed men financing the government in return for special favors.

This is why the nation’s capital isn’t in New York City.  It once was.  But one of the first deals the Hamilton and Jefferson camps made was the relocation of the nation’s capital to a mosquito-infested swamp on the Potomac River.  A long, long way from the moneyed men in New York City.  To try to keep the new federal government and money apart.  To restrict the influence of the moneyed men on the government.  And to prevent the government from having easy access to big money.

Why did Jefferson want to do this?  Well, they fought for their independence from Great Britain.  Which was a constitutional monarchy.  Where some in Parliament were no friends of British America.  And got the king to agree with them rather than the pro-British America faction in Parliament.  Ironically, the Americans got help in their War of Independence from France.  Which had an absolute monarchy.  Whose king ruled with no check on his power.  Both governments were in the big cities.  London.  And Paris.  Where the moneyed men were.  In the big cities.  Allowing these monarchies to do a whole lot of mischief all around the world.  And a fair amount of mischief inside their own countries.  Because the money and the government were in the same city.

Government + Money = Corruption

Great Britain and France were forever at war with each other.  And with other countries.  Requiring a lot of money.  Which they got from the moneyed men.  In return for special privileges that allowed them to get ever richer.  Of course the mischief grew greater as they fought a world war or two.  Requiring ever more money.  Which they got from, of course, taxing the rest of the people.  Even those who could little afford it.  And once this starts, once the government starts accumulating debt, that taxation will only get greater.

This is what Jefferson was worried about.  And why he so distrusted Hamilton.  The Founding Fathers were all gentlemen of the Enlightenment.  Disinterested public servants.  Honorable men who would never take advantage of their position in government for personal gain.  Because for these men honor was everything.  Some even fought duels to protect their honor.  As Hamilton did.  And died.  Washington, Adams, Hamilton, Jefferson, Madison, Jay and Franklin were men of exceptional integrity.  Men who could be trusted.  But here is where Hamilton and Jefferson differed.  Hamilton believed only men like them would ever enter government.  While Jefferson believed that government service would one day attract mostly scoundrels and knaves.

Of course, Jefferson was right.  For as the nation grew so did the size of government.  And the need for great big piles of money.  Which the moneyed men provided.  In exchange for special privileges.  Patronage.  Lucrative government contracts.  Etc.  Big piles of money flowed into Washington.  And favors flowed out from Washington.  With many a politician getting rich in the process of getting rich moneyed men richer.  Politicians who used their position in government for personal gain.  Corrupted politicians.  As government + money = corruption.  Which is why politicians always leave office richer than when they entered office.

Power + Corruption = Tyranny

This is how it started.  As the size of government grew corruption grew.  Just as Jefferson feared.  All that money flowing into Washington corrupted ever more politicians.  Who were not gentlemen of the Enlightenment.  But the scoundrels and knaves Jefferson knew would come.  Who used their position in government for personal gain.  Whose corruption grew so great it exploded federal spending.  So great that taxes from the moneyed men AND the middle class were unable to fund it.  So the taxation grew more aggressive.

The government created by the Founding Fathers had no income taxes.  They funded the few things the new national government did with tariffs for the most part.  People lived from day to day without any fear of the taxman.  The United States even did away with debtors’ prison.  Prison where people were sent who could not pay their debts.  A relic of the 19th century.  Sort of.  For there is one debt people can still go to prison for not paying.  Past-due taxes.  For the IRS can take everything you have and imprison you if you don’t pay your taxes.  And those taxes have grown great as of late.  As the tax code has grown convoluted.  Requiring businesses to hire armies of accountants and lawyers to comply with.  So the government can help the moneyed men who help the government.  In return for special privileges, of course.  Leaving the masses dreading April 15.  As they dread opening any letter from the IRS.

If you want to know what it was like living under an absolute monarchy just think of the IRS.  People fear the IRS.  Just as people feared the arbitrary power of an absolute monarchy.  A king could take your property and lock you away.  Just like the IRS.  And if you spoke out against the monarchy the king could make your life really unpleasant.  Just like the IRS.  During the 2012 election the IRS targeted conservative political groups to stifle their free speech.  Delayed their tax-exempt status approval.  And harassed them with costly tax audits.  And now their tyranny has extended to people in the middle class.  Who unbeknownst to them had a family member owe the federal government.  Years earlier.  Even a generation earlier.  And the IRS is arbitrarily seizing the tax refunds from these debtors’ distant relatives to pay these debts.  Even though they are in no way responsible for these debts.  And the government has no documentation for this debt.  Doesn’t matter.  Because they have the power to do this.  And these people are powerless to stop them.  Just like people living under an absolute monarchy were powerless to stop their king from doing anything to them.  And this is what Jefferson feared.  For after corruption comes tyranny.  For power + corruption = tyranny.  (Just look at every tin-pot dictator that has oppressed his people).  Which is why people fear the IRS.  And the federal government the IRS is beholden to.  Because they have become everything Jefferson feared they would.

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After the Civil War Men became less Manly and the Federal Government became more Progressive

Posted by PITHOCRATES - March 25th, 2014

History 101

(Originally published February 12th, 2013)

Prior to 1900 the Role of the Federal Government was primarily to Provide for the Common Defense

In 1800 the new federal government didn’t do a lot.  It spent only about $11 million (in nominal dollars).  With 55% going to defense.  About 31% went to pay interest on the war debt.  About 2% went to the postal service.  And about 12% went to other stuff.  Defense spending and interest on the war debt added up to about 86% of all federal outlays (see Government Spending Details).

In 1860, just before the Civil War, spending increased to $78 million (in nominal dollars).  Defense spending fell to 37%.  Interest spending fell to 4%.  And postal service spending rose to 19%.  While spending on other stuff rose to 40%.  Just over 60 years from the founding the federal government had changed.  It was less limited than the Founding Fathers designed it to be.

In 1900 spending increased to $628.6 million (in nominal dollars).  With defense spending coming in at 53%.  The postal service at 17%.  Interest went up to 6.4%.  And other spending fell to 24%.  Again, defense spending consumed over half of all federal spending.  For the role of the federal government was still primarily providing for the common defense.  Running the postal service.  Treating with other nations.  And trading with them.  As well as collecting duties and tariffs at our ports which paid for the federal government.  There was a lot of graft and patronage.  And long lines for government jobs.  Primarily because government was still somewhat limited.  With a limited number of government jobs to reward campaign contributors.  But that was about to change.

The Progressives expanded the Role of the Federal Government in our Lives and made it more Motherly

The American Civil War killed about 625,000 men.  With an 1860 population of 31,443,321 those deaths amounted to about 2% of the prewar population.  To put that into perspective if 2% of the U.S. population died in a war today that would be approximately 6.2 million people.  And to put that into perspective the total population of the state of Missouri is about 6 million people.  So the American Civil War claimed a very large percentage of the population.  Leaving a lot of children to grow up without a father.  Which had a profound impact on the size of the federal government.

Prior to this generation American men were some of the manliest men in the world.  Tough and rugged.  Who could live off of the land.  Completely self-sufficient.  These are the men that made America.  Men who fought and won our independence.  Who explored and settled the frontier.  Farmers who worked all day in the field.  Men who dug canals by hand.  And built our railroads.  Men who endured hardships and never complained.  Then came the Civil War generation.  Sons who lost their fathers.  And wives who lost their husbands, brothers, fathers and uncles.  Who lost all the men in their lives in that horrible war.  These women hated that war.  And manly displays of aggression.  For it was manly displays of aggression that led to fighting.  And war.  Having lost so much already they didn’t want to lose the only men they had left.  Their sons.  So they protected and nurtured them.  Taught them to shun violence.  To be kinder and softer.  To be not so tough or rugged.  To be less manly.  And when these men grew up they went into politics and started the progressive movement.

The federal government was no longer just to provide for the common defense.  To run the postal service.  To treat with other nations.  To trade with other nations.  Run our custom houses.  No.  Now the federal government grew to be kinder, softer and more motherly.  The progressives expanded the role of the federal government in our lives.  Woodrow Wilson wanted to turn the country into a quasi monarchy.  With a very strong executive branch that could rule against the wishes of Congress.  The Federal Reserve (America’s central bank) came into existence during Wilson’s presidency.  Which was going to end recessions forever.  Then came the Great Depression.  A crisis so good that FDR did not let it go to waste.  FDR expanded the size of the federal government.  Putting it on a path of permanent growth.  And it’s been growing ever since.

They decreased Defense Spending and increased Borrowings to increase Non-Defense Spending

The federal government grew beyond its Constitutional limits.  And the intent of the Founding Fathers.  Just as Thomas Jefferson feared.  It consolidated power just as all monarchies did.  And that was Jefferson’s fear.  Consolidation.  Seeing the states absorbed by a leviathan federal government.  Becoming the very thing the American colonists fought for independence from.  So that’s where the federal government changed.  In the early 20th Century.  Before that it spent money mostly for defense and a postal service.  Now it spends money for every social program under the sun.  There is great debate now in Washington about reducing the deficit.  With the Democrats blaming the deficit problems on too much defense spending.  And too little taxation on the rich.  But if you look at the history of federal spending since 1940 the numbers say otherwise (see Table 3.1—OUTLAYS BY SUPERFUNCTION AND FUNCTION: 1940–2017 and A History of Debt In The United States).

Federal Spending and Debt

As defense spending (including Veterans Benefits and Services) rose during World War II non-defense spending (Education, Training, Employment, Social Services, Health, Income Security, Social Security, Energy, Natural Resources, Environment, Commerce, Housing Credit, Transportation, Community and Regional Development, International Affairs, General Science, Space, Technology, Agriculture, Administration of Justice and General Government) fell as a percentage of total federal outlays.  And the federal debt rose (federal debt is in constant 2012 dollars).  After the war defense spending fell to 50% while the percentage of non-defense spending rose.  And the federal debt dropped slightly and remained relatively constant for about 30 years.

This tug of war between defense spending and non-defense spending is also called the guns vs. butter debate.  Where those in favor of spending money on guns at the federal level are more constructionists.  They want to follow the Constitution as the Founding Fathers wrote it.  While those who favor spending money on butter at the federal level want to want to buy more votes by giving away free stuff.

Defense spending ramped back up for the Korean War and the Cold War during the Fifties.  After the armistice ended hostilities in Korea defense spending began a long decline back to about 50% of all federal outlays.  Where it flattened out and rose slightly for the Vietnam War.  After America exited the Vietnam War defense spending entered a long decline where it dropped below 30% of all federal outlays.  Reagan’s defense spending raised defense spending back up to 30%.  After Reagan won the Cold War Clinton enjoyed the peace dividend and cut defense spending down to just below 20%.  After 9/11 Bush increased defense spending just above 20% of all federal outlays where it remains today.

During this time non-defense spending was basically the mirror of defense spending.  Showing that they decreased defense spending over time to increase non-defense spending.  But there wasn’t enough defense spending to cut so borrowing took off during the Reagan administration.  It leveled off during the Clinton administration as he enjoyed the peace dividend after the defeat of the Soviet Union in the Cold War.  Non-defense spending soared over 70% of all federal outlays during the Bush administration.  Requiring additional borrowings.  Then President Obama increased non-defense spending so great it resulted in record deficits.  Taking the federal debt to record highs.

So is defense spending the cause of our deficits?  No.  Defense spending as a percentage of all federal outlays is near a historical low.  While non-defense spending has soared to a record high.  As did our federal debt.  Clearly showing that the driving force behind our deficits and debt is non-defense spending.  Not defense spending.  Nor is it because we’re not taxing people enough.  We’re just spending too much.  In about 50 years non-defense spending rose from around 22% of all federal outlays to 74%.  An increase of 223%.  While defense spending fell from 76% to 22%.  A decline of 245%.  While the federal debt rose 619%.  And interest on the debt soared 24,904%.  The cost of favoring butter in the guns vs. butter debate.  The federal government has been gutting the main responsibility of the federal government, defense, to pay for something that didn’t enter the federal government until the 20th Century.  All that non-defense spending.  Which doesn’t even include the postal service today.

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FT208: “Good liars can make anyone like them while those who don’t lie can’t.” —Old Pithy

Posted by PITHOCRATES - February 7th, 2014

Fundamental Truth

Having Government remake our Health Care System is not the Limited Government of our Founding Fathers

According to a Gallup poll approximately 38% of people identify themselves as conservative while only 23% identify themselves as liberal (see Liberal Self-Identification Edges Up to New High in 2013 by Jeffrey M. Jones posted 1/10/2014 on Gallup).  With most of the rest (34%) identifying themselves as moderate.  Or, in other words, 77% of the people do NOT identify themselves as liberal.  That’s over three-quarters of the population.  Which means if you were in a group of four people only one of the four would be a liberal.

And yet we have Obamacare.  Thanks to the Affordable Care Act passed on partisan lines when the Democrats controlled both chambers of Congress.  The most liberal change to our health care system (the government will charge people a fine/tax if they don’t buy health insurance).  The only time in history that government has forced people to buy something against their will.  Without having any kind of say in the matter.  Like we do with car insurance.  If you don’t want to buy car insurance all you have to do is NOT drive a car.  But with Obamacare there is no choice.  Everyone has to buy health insurance.  Period.

Having government remake our health care system is not the limited government of our Founding Fathers.  It is actually more in keeping with a royal decree issued by the king the Founding Fathers fought for their independence from.  Ye shall do this.  For the ruler has spoken.  And ye shall pay more taxes to fund this huge growth of government.  Another thing not in keeping with our Founding Fathers.  Higher taxes.  So how have we come to this when 77% of the people don’t want any of this?  Because liberals are some of the best liars in the world.  That’s how.

Discounted Reimbursements are causing Doctors and Hospitals to leave the Obamacare Network

To make Obamacare work they needed to get people to pay more for their health insurance.  So they could raise a lot of money to subsidize health insurance for those who could not afford to buy it.  Which they couldn’t do if people kept the policies they liked and wanted to keep.  Especially those lower-cost ones.  So they made the policies people liked and wanted to keep noncompliant with the Affordable Care Act.  Forcing their insurers to cancel them.  And forcing people to buy more costly policies.  This providing the subsidy money Obamacare needed.

So this was the plan.  To cause mass cancellations.  And then force those people with cancelled policies to buy more expensive policies.  But this was only part of the formula.  To keep more of those higher insurance premiums they also raised deductibles.  So not only did people pay more for their health insurance policies.  Those policies paid for less.  Forcing people to spend a lot more out-of-pocket before their insurance kicked in.

We have huge budget deficits.  And growing national debt.  A big part of that debt is from Medicare and Medicaid (and Social Security).  Getting people to pay for other people’s health insurance won’t cut these costs.  But there is something that will, though.  The same thing the government is doing with Medicare.  Pay doctors and hospitals less.  By discounting their reimbursements.  It worked pretty well with Medicare.  So they were sure it would work well with Obamacare.  Of course, health care providers overcharged private insurers to recoup what the government didn’t pay.  So this will no longer be an option under Obamacare.  Which has caused a lot of doctors and hospitals to already leave the Obamacare network.

People would rather hear a Pleasant Lie than an Unpleasant Truth

There was a lot if opposition to the Affordable Care Act.  For the people did not want national health care.  And they felt that was where Obamacare would lead to.  So President Obama told people in person.  And looked into the camera.  Making a promise to the American people.  “If you like your health care plan you can keep your health care plan.  If you like your doctor you can keep your doctor.  If you like your hospital you can keep your hospital.  Period.  No one was going to take these away from you.  All we’re going to do is give you better health insurance while saving the average family $2,500 on their annual insurance premium.”  None of which was true.

Of course, had the president told the truth he would only have confirmed everyone’s fears.  Which is why he lied.  A lie so big PolitiFact named it the Lie of the Year.  And he told the lie so easily.  He was so reassuring that the people believed him.  In fact, they wanted to believe him.  For they liked this president.  And they trusted him.  Despite his economic policies having failed to produce a strong economic recovery.  For even when polls showed the people thought his policies were taking the country in the wrong direction the people still liked him.  Because he tried.  Always saying things the people wanted to hear.  A lot of feel-good things.  Affordable health care for everyone.  Leveling the playing field.  Making the rich pay their fair share.  Free birth control.  Not enforcing federal drug laws in Colorado and Washington.  With talk like that no wonder the people liked him.  And why it was so easy for him to lie to the people.  As they were willing to believe just about anything he said.

President Obama is everything our parents aren’t.  Who tell us what we need to do.  What we should do.  And what we shouldn’t do.  Regular killjoys.  Unlike the president.  And the Democrats.  Who don’t mind people having a little fun in their lives.  Unlike the Republicans.  Who are as bad as our parents.  Always telling us things we don’t want to hear.  Like truths.  Facts.  And how things are.  Reality.  While the president and the Democrats tell us how things could be.  How life can be more fun and more carefree their way.  Whereas life requires a lot of hard work and sacrifice the Republicans’ way.  Because reality can suck.  Which is why some people use intoxicants to escape it.  Or vote Democrat.  Willing to accept on faith their fictional
alternative to escape reality.  For it turns out people would rather hear a pleasant lie than an unpleasant truth.  And people will like you if you tell them pleasant lies.  While they won’t like you very much if you tell them unpleasant truths.  Which is why good liars can make anyone like them while those who don’t lie can’t.  This is why people didn’t like Mitt Romney.  He told the truth.  And why people liked President Obama.  Because he told them what they wanted to hear.  Such as things like the Lie of the Year.

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John Adams, George Washington, Alexander Hamilton, Thomas Jefferson and James Madison

Posted by PITHOCRATES - January 21st, 2014

History 101

The Inauguration Date was originally in March to allow for Long Travel Times

It was difficult to be a career politician at the federal/national level at the Founding.  Thanks to the horse.  The primary means of transportation over great distances.  Either on horseback.  Or pulled in a buggy.  Neither of which provided for a comfortable ride.  With that discomfort compounded by the fact you were leaving family and friends behind.  People you wouldn’t see again for a very long time.

When John Adams served in the Continental Congress he rode for some two weeks through brutal winter weather on hard, frozen ground.  Ground so hard and dangerous that they let the horses only walk.  Whether it was traveling to Cambridge to meet with the newly appointed General Washington facing off with the British in Boston.  Or riding on to the federal capital in Philadelphia.  The ride was long, brutal and cold.  As well as lonely.  For Adams missed his wife and family when away serving his country.  Which he did often.  And longed to return home.

James Madison was a Virginian.  And hated traveling up to the federal capital in Philadelphia.  And then later in New York.  For he hated being away from his wife.  And he hated those long rides on hard, bumpy roads.  As Madison suffered from some digestive disorders.  Leaving him with chronic discomfort in his abdomen.  And lower.  For he probably suffered from hemorrhoids, too.  Making those long, bumpy rides unbearable.  This is why the inauguration date was originally in March instead of January like it is today.  They had to allow for long travel times and bad weather for the new office holders to get to their offices.  Unlike today where you can fly from anywhere in the United States to Washington D.C. in one day.

James Reynolds had his Wife seduce and sleep with Alexander Hamilton so he could Blackmail Him

George Washington was president when the nation’s capital was in New York City.  Which was a long way from Mount Vernon.  Washington’s Virginian home.  Other Virginians were the first Secretary of State.  Thomas Jefferson.  The first Attorney General.  Edmund Randolph.  And the first Speaker of the House.  James Madison.  While the first Vice President, John Adams, and the first Secretary of War, Henry Knox, came from Massachusetts.  The first Treasury Secretary, Alexander Hamilton, on the other hand, was a New Yorker.  Living in New York City.  Close to the capital.

Ironically, the man closest to his wife was the one to have an extramarital affair.  Alexander Hamilton.  Who was targeted by a couple of con people.  Mr. and Mrs. Reynolds.  That’s right, Mr. Reynolds used his wife, Maria, to seduce Alexander Hamilton.  Including actually having sexual relations with him.  Just so he, James Reynolds, could blackmail Hamilton for money.  Threatening to tell Hamilton’s wife.  And ruining his good reputation as a gentleman if he didn’t pay. He paid.  For awhile.  And with his own money.  Reynolds was later arrested for counterfeiting.  And told the opposition party of Hamilton’s affair.  Thomas Jefferson.  And his fellow Republicans (the forerunner to the Democrat party, not the Republican Party of today whose first president was Abraham Lincoln).

Thomas Jefferson loved his wife and hated being apart from her.  The last place he wanted to be in 1775/1776 was at the Continental Congress in Philadelphia.  A lonely year spent a very long way from his wife.  Who was sickly.  And died in 1782.  Jefferson was at her bedside when she passed.  And he was devastated.  He had promised her he would never remarry.  And he never did.  He later accepted the post as United States Minister to France.  A much greater distance from Virginia.  Which is probably the first time he wanted to be far away from his beloved Monticello.  To escape the desolation of life without his wife.

The Founding Fathers served Reluctantly and didn’t leave Office Richer than when they entered Office

Hamilton and Jefferson hated each other.  They vehemently disagreed with each other’s vision for the United States.  When Jefferson got wind of the Hamilton affair he pounced on it.  Well, not so much him.  But the Republican Party which he was the de facto head of.  And a guy by the name of James Callender.  A pamphleteer and journalist.  And all around scandalmonger.  He made the Hamilton affair public for the Jefferson Republicans.  Who, being men of the Enlightenment, would not sink to such a low level.  But Callender would.  And did.  Who Jefferson helped with some financial support.  But Callender ended up in jail for sedition.  And when he got out he wanted Jefferson to make him post master general of Virginia in return for services rendered.  Jefferson refused.  Then Callender turned on Jefferson.  Revealing that it was him that was bankrolling his journalistic scandal mongering.  And that he fathered children with his slave Sally Hemings.

George Washington was the commanding general of the Continental Army from 1775 until 1783.  And he spent most of that time with his army in the field.  Away from his beloved Mount Vernon.  Just after he returned to civilian life came the Philadelphia Convention.  And a new nation.  The first president of that new nation?  Much to his displeasure it was him.  George Washington.  Who was the only one people were willing to give the powers of the new federal government to.  And after sacrificing so much he did not want to see it all be for nothing.  So he served one term as president.  Then another.  In New York.  A long way from Virginia.  And pretty much hated every minute of it.  Especially the bickering between his ‘children’.  Alexander Hamilton and Thomas Jefferson.  He was never happier than when he left office in 1797.  Sadly, he lived just shy of three years in retirement.

The Founding Fathers hated being in office.  They hated being away from home.  And the long travel time to and from home.  Which meant when they were serving in office they did not see their family and friends.  Unlike today.  Where modern transportation allows career politicians to enjoy the graft in Washington.  While breaking it up with numerous vacations back home.  Without having to endure two weeks of bouncy rides with hemorrhoids.  Or riding horseback in blowing snow.  Being a career politician today is like being part of an aristocracy.  Where you travel first class.  And live first class.  Unlike the Spartan loneliness at the Founding.  And the animus.  Washington’s, Jefferson’s, Madison’s and Hamilton’s lives all got worse from serving.  Washington was cheated out of a long retirement he more than earned.  Jefferson suffered bitter loneliness after losing his wife and probably did turn to the comfort of a slave.  (Sally Hemings had accompanied him to Paris to care for his daughter.  And later was a house servant.  Though he didn’t legally free her and her children from slavery they did live their lives out as free people after he died.  Which was probably a compromise by Jefferson to reconcile his feelings for her while protecting his historical legacy).  Something that blemishes his reputation to this day.  John Adams and Thomas Jefferson went from practically best friends to bitter enemies before they left Washington (though they rekindled their friendship later in retirement).  James Madison was the father of the Constitution and the Bill of Rights.  Believed in a strong federal government and wrote the Federalist Papers with Alexander Hamilton to help ratify the Constitution.  Then he switch sides.  And sided with Thomas Jefferson and fought for limited government.  Then he was president during the War of 1812 and believed in a strong federal government again after struggling through that war with a weak government.  Madison spent his later years rewriting letters and correspondence.  Making large revisions to his historical legacy.  While Alexander Hamilton’s stand on principle ultimately led to his death in a duel with Aaron Burr.

Washington, Jefferson and Madison all returned home after serving as president poorer than when they left for Washington.  That just doesn’t happen today.  Today once you get elected to a federal office in Washington you return home a millionaire.  Because being a professional politician today pays very well.  Which is why there is less standing on principle in Washington and more doing what it takes to remain in power.  Such as lying to the American people.  “If you like your health insurance and your doctor you can keep your health insurance and doctor.”  The Founding Fathers served reluctantly.  And their lives were worse for serving.  But the country was far better off because they did.  And that’s something else that just doesn’t happen today.

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Our Free Press has become an Extension of the Democrat Party instead of Safeguarding Democracy

Posted by PITHOCRATES - January 9th, 2014

Politics 101

Our Free Press embraced the George Washington Bridge Scandal to ignore Robert Gates’ Autobiography

“The price of liberty is eternal vigilance.”  A quote attributed to Thomas Jefferson, Patrick Henry and Wendell Phillips.  To name a few.  John Philpot Curran may have said it first when he said, “The condition upon which God hath given liberty to man is eternal vigilance; which condition if he break, servitude is at once the consequence of his crime and the punishment of his guilt.”

This is why the Founding Fathers gave us the First Amendment.  And freedom of the press.  Which exercises that eternal vigilance.  To safeguard democracy.  By keeping government transparent.  And making it difficult for government to hide things from the American people.  Especially when those in power use their positions of power for self interest.  Instead of the public’s interest.

So this is the free press as envisioned by the Founding Fathers.  Is it still that noble institution?  Well, you be the judge.  Recently Robert Gates just published a tell-all memoir putting the Obama administration in a very poor light.  Saying things like Vice President Joe Biden has been wrong on every important foreign policy issue.  That senators Hillary Clinton and Barack Obama voted against the surge in Iraq for political reasons.  What was best for them.  Not their country.  And that as much as Candidate Obama said Iraq was the wrong war while Afghanistan was the right war he never believed in the war in Afghanistan.  He didn’t have any interest in winning.  Only in getting out.  Big news.  But now you don’t hear anything about it because someone in Chris Christie’s administration caused gridlock on the roads leading to the George Washington Bridge.

President Obama sacrificed the Americans in Benghazi for the sake of a Campaign Message

The George Washington Bridge scandal has gripped the media.  It’s all they can talk about.  Unlike those ‘phony scandals’ president Obama complained about that the Republicans were creating out of nothing.  Like the ATF Fast and Furious scandal.  Gunwalking to put thousands of weapons on the street.  So the Obama administration could pick them up after they were used in a crime and say, “See?  We need to pass new gun control legislation.”  In Fast and Furious that meant new controls for multiple rifle sales or long guns.  As explained in Demand Letter 3.  One of these guns killed a U.S. border agent.  And countless people in Mexico.  But that was a phony scandal.  Not a real one like the George Washington Bridge scandal.

The Solyndra scandal funneled money to a maker of solar arrays that was bleeding money.  To delay the bankruptcy until after the 2010 midterm elections the Obama administration promised the largest private investor—and Obama donor—to restructure the loan.  To put him above the taxpayers in any bankruptcy filing.  In violation of Section 1702(d)(3) of Energy Policy Act of 2005.  The Obama administration did.  And the taxpayers’ ate the private investor’s loss.  But that was a phony scandal.  Not a real one like the George Washington Bridge scandal.

With the death of Osama bin Laden President Obama said al Qaeda was reeling.  On the ropes.  On the path to being no more.  And he was going to ride this foreign policy achievement into the 2012 presidential election.  Which is why when Ambassador Stevens requested additional security at the Benghazi mission the Obama administration denied his request.  For how would it look if they were beefing up security in the country they just liberated when the threat from al Qaeda was receding?  The problem was that al Qaeda was resurgent in Libya.  It was so dangerous the British pulled out completely after an attack on their people.  But President Obama sacrificed the Americans in Benghazi for the sake of a campaign message.  And after four Americans died President Obama, Hillary Clinton and Susan Rice blamed their deaths on a spontaneous protest that turned deadly due to an obscure anti-Muslim video no one had heard of in Benghazi.  A spontaneous protest where people had rocket propelled grenades.  And mortars that were pre-sighted on their targets.  Things few people normally carry on them.  The administration lied and they stonewalled Congress over Benghazi.  Hiding the truth.  Of how politics trumped the lives of four Americans.  But that was a phony scandal.  Not a real one like the George Washington Bridge scandal.

Our Free Press is NOT exercising that Eternal Vigilance that safeguards Democracy

CBS correspondent Sharyl Attkisson was one of the few in the media to investigate the Obama administration.  Breaking stories on Fast and Furious.  And Benghazi.  Someone hacked into her computer in late 2012.  Someone sophisticated who was searching for something on her computer.  And knew how to cover their electronic tracks.  Well, almost.  The Obama Justice Department denied any involvement.  But they did spy on reporters at the Associated Press.  And Fox News journalist James Rosen.   Attorney General Eric Holder even personally signed an affidavit naming him a potential criminal for doing his job.  And then lied under oath when asked in Congress.  Saying he didn’t get involved with the prosecution of journalists for doing their jobs.  Even though he had.  But these were phony scandals.  Not a real one like the George Washington Bridge scandal.

And then there was the IRS scandal.  Which targeted enemies of the Obama administration.  Holding up tax-exempt status for Tea Party groups.  Hindering their ability to fund raise and exercise their free speech during the 2012 presidential election.  And conservative donors faced punitive IRS audits.  Dissuading others from donating.  Further hindering fund raising and free speech.  The Obama administration said that those responsible were low-office holders in the Cincinnati office.  But when the head of the tax exempt division, Lois Lerner, appeared before Congress she pleaded the Fifth Amendment.  For the paper trail led to her.  And possibly into the White House.  For she was an active Democrat supporter.  And wasn’t above breaking the law to help her party.  Such as violating Section 6103 of the Internal Revenue Code.  Forbidding her to disclose income tax return information to anyone.  Even another governmental agency.  Which she did.  And now we learn that the Justice Department lead investigator for the IRS scandal is a Democrat donor.  But the IRS scandal was a phony scandal.  Not a real one like the George Washington Bridge scandal.

Of all of these scandals which one are you most familiar with?  Probably the George Washington Bridge scandal.  Because our free press is NOT exercising that eternal vigilance that safeguards democracy.  They have become an extension of the Democrat Party.  Putting politics above the wellbeing of the people.  Helping the Democrats to advance their agenda.  While hiding their scandals.  To destroy what the Founding Fathers gave us.  Liberty.  And expand one-party rule.  Putting us on the road to servitude.  Just as John Philpot Curran warned.

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Invoking the Nuclear Option to Legislate more Easily from the Bench

Posted by PITHOCRATES - November 21st, 2013

Politics 101

Liberals pack the Judiciary with Liberal Judges to Write Law they can’t Write in Congress

Harry Reid and the Democrats went nuclear today.  Changing the Senate rules for the first time since the Founding.  To increase the power of those in the majority.  So they can run roughshod over those in the minority.  Thanks to the poor launch of Obamacare.  And the sinking realization that because the Democrats have so angered the people in the process of implementing the Affordable Care Act (the president and Democrats lied and people are losing their health insurance and doctors) that Democrats up for election in 2014 are going to be thrown out with extreme prejudice.  Turning the Senate over to the Republicans.  Hence the need to go nuclear now.

It’s no secret the left legislates from the bench.  Using judges to write legislation that Congress won’t.  Such as making abortion legal via Roe v. Wade.  That was a law made not by the law-makers.  The legislature.  Congress.  But by liberal judges on the bench.  Who are to interpret law.  Not write it.  But in Roe v. Wade, as in so many other laws that came to be that Congress refused to write, judges wrote law in their legal rulings.  Allowing the liberal minority to make their will the law of the land.

America is a center-right country.  Which means there are more conservatives than liberals.  In fact, only about 21% of the people identify themselves as liberal while about 40% of the people identify themselves as conservative (see Conservatives Remain the Largest Ideological Group in U.S. by Lydia Saad posted 1/12/2012 on Gallup).  Yet this 21% has implemented a lot of their liberal agenda.  How?  Liberal judges.  The key to changing the country against the will of the people.  When you can’t get the people’s representatives to write your laws you turn to the judiciary.  Which is why Harry Reid went nuclear today.  So they can pack the judiciary with liberal judges.  Before they lose the Senate.  So they will be able to write law from the bench that they won’t be able to do after they lose the Senate.

The Filibuster is the Last Line of Defense for the Minority

The filibuster is a stalling tactic.  A tool the minority can use to prevent the majority from running roughshod over them.  To protect minority rights.  For majority rule can be dangerous.  The majority could write law that restricts the rights of the minority.  Don’t like the internal combustion engine?  Well, the majority could write legislation for a costly carbon tax.  Of course, the Democrats don’t have a majority in the House.  But they do have one in the Senate.  Which confirms the president’s judicial appointments.  So if the president stacks the courts with liberal judges the left can get their carbon tax.  By writing regulations for a carbon tax instead of legislation.  And having the courts make that regulation law.  With the left saying that they had that right under their environmental regulatory powers.  And if you don’t like that sue us.

This is why the left wants to stack the courts with liberals.  Who may or may not be actual judges.  For they don’t want judges to interpret law.  They want them to write law that Congress won’t.  If the right sues the government for exceeding their constitutional authority and the case ends up in a court packed with liberal judges the right will lose.  And the unconstitutional regulation will become law.  Despite the Republican-controlled House.

The right has been holding up some exceptionally liberal Obama appointees to the bench.  Frustrating the left.  Because they can’t move their liberal agenda through the Republican held House of Representatives.  While their plan B—stacking the courts—was being blocked by the Republicans because the Democrats did not have 60 Senators in the Senate.  For if they did they could invoke cloture.  End debate.  And force a vote.  Which they would, of course, win.  Making the filibuster the last line of defense for the minority.  For if the judicial appointment only appeals to the 21% of the population the minority can filibuster until they withdraw the appointment.  And appoint someone that doesn’t appeal ONLY to 21% of the population.

When the Democrats were in the Minority they said Opposition to the Republicans was Patriotic

Back when the Republicans held the Senate during the George W. Bush administration the Democrats were holding up Bush appointees.  The Republicans broached the subject of the nuclear option.  And the left attacked Republicans.  Calling it a power grab.  An affront to the Founding Fathers.  The worst thing that could happen to our republic.  Harry Reid, Nancy Pelosi, Hillary Clinton, Barack Obama and other Democrats spoke on the record opposing the nuclear option.  But that was then.  This is now.  After the rollout of Obamacare.  And the very likely possibility that the Democrats will lose control of the Senate in 2014.  Now Harry Reid, Nancy Pelosi, Hillary Clinton, Barack Obama, et al are all for the nuclear option.

Because the Republicans are so partisan the left had no choice.  They simply wouldn’t rubber-stamp the liberal agenda.  So they had no choice but to grab power.  To run roughshod over those in the minority in Congress.  So the minority in the nation can impose their rule on the majority.  When the Democrats were in the minority in Congress they said opposition to the Republicans was patriotic.  That it made the republic healthier.  Locking the Congress into gridlock because they couldn’t get their way was fulfilling the vision of the Founding Fathers.  By preventing one-party rule.

But all that changes when they are in the majority.  And those in the 21% are fine with it.  Those in the mainstream media.  Hollywood.  Late-night television.  Even the audiences of the late-night television shows.  Who are all for debate when they are out of power.  But are fine with one-party rule when they are in power.  Because they believe that their side is the only side that matters.  Which is decidedly NOT what the Founding Fathers envisioned.  The left believes everyone should think like they think.  And if they don’t there should be laws to compel people to act like they (the left) think they should act.  Even if it requires violating the Constitution.  Like Obamacare forces people to buy something against their will for the first time in the history of the republic.  But expecting people to pay for their own birth control instead of forcing others to pay for it?  Why, that’s an affront to the Founding Fathers.  Making any law-violating power grab acceptable.  As long as it’s the left doing the law-violating and the power-grabbing.  For the left believe the end justifies the means.  Just like the Nazis did.  The communists.  And other tyrannical regimes have throughout time.

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The French boo Socialist François Hollande because of High Taxes and a Bad Economy

Posted by PITHOCRATES - November 16th, 2013

Week in Review

The Founding Fathers gave us a republic because they feared democracy.  Or mob rule.  In a republic you elect responsible people to represent you in government.  In a democracy it’s majority rule of the people.  Often when they are agitated or angered about something.  Which can trample on minority rights.  If the mob is angry over a group of immigrants working for a lower wage the mob can vote a ban on those immigrants.  Round them up.  And send them home.  Or imprison them.  This is the danger of a true democracy.  Anything the majority agrees on can become law.  Which is why the Founding Fathers gave us a republic.  And prayed that only wise men who shared their Enlightenment views would enter government.

Another danger of a true democracy is that once the people understand that they can vote themselves the treasury they will.  While responsible representatives won’t.  Until people start looking at government as a way to get rich.  And become professional politicians.  Instead of the part-time representatives the Founding Fathers envisioned.  Which transformed the republic into a democracy.  Only it’s our representatives that have descended into mob rule.  As professional politicians buy votes by giving the people generous government benefits that the state will soon be unable to afford.  Which is what is happening in France now (see French president booed at WWI ceremony posted 11/11/2013 on the Associated Press).

France’s unpopular president ignored jeers by protesters as he laid flowers at the tomb of the unknown soldier during a ceremony marking the end of World War I…

Shouts of “Hollande resign!” rang out and some demonstrators wore the red caps that have come to symbolize an anti-tax movement that has caused violent protests in Brittany in recent weeks…

Hollande’s popularity has sunk to record lows amid growing dissatisfaction over weak economic growth, high taxes and rising joblessness.

The French people voted the socialist into office because they wanted more free stuff.  Or wanted not to lose the free stuff they already had.  Courtesy of their social democracy.  Which promised cradle-to-the-grave government benefits.  But declining birthrates led to a falling population growth rate all over Europe.  Such that the number of people receiving those government benefits is growing while the number of people paying for those benefits is not.  French president Nicolas Sarkozy tried to be responsible.  While socialist presidential challenger François Hollande (the guy the French now hate) said the problem was that they weren’t taxing the rich enough.  And the other usual socialist claptrap.  Well, the socialist won.  He raised taxes.  The economy tanked as expected.  And now the French people hate him.

This is exactly what the Founding Fathers feared about democracy.  The French republic devolved into mob rule.  And tried to vote themselves the treasury.  Which leads to only higher taxes.  Or cut benefits as the state can no longer afford to pay for these benefits.  Which is where the French are now.  And the Americans will soon be.

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The Petulant President scolds Republicans, Conservatives and Anyone Else who dares to Oppose Obamaism

Posted by PITHOCRATES - October 17th, 2013

Politics 101

The government shutdown is over. And we avoided defaulting on the national debt  Or so they say.  So who won and who lost?  Well, at this point in time it looks like the Democrats lost less than the Republicans.  But it is the American people who lost.  For they are stuck with Obamacare for the time being.  And President Obama can raise the national debt to a new record high.  But it gets worse.  This morning the president gave a petulant, God-awful speech scolding the Republicans, the Tea Party, talk radio, the blogosphere and pretty much anyone else who dares to oppose Obamaism (see Transcript of Obama Remarks on End of Standoff posted 10/17/2013 on The Wall Street Journal).

Good morning, everybody.  Please have a seat.

Well, last night, I signed legislation to reopen our government and pay America’s bills.  Because Democrats and responsible Republicans came together, the first government shutdown in 17 years is now over.  The first default in more than 200 years will not happen.  These twin threats to our economy have now been lifted.  And I want to thank those Democrats and Republicans for getting together and ultimately getting this job done.

There was never a risk of default.  With $2.45 trillion in annual revenue coming into the treasury from the taxpayers there was never a risk of the $415.7 billion annual interest payment on the debt going unpaid.  Lying about it just helped a petulant child get his way.  Waaa.

Now, there’s been a lot of discussion lately of the politics of this shutdown.  But let’s be clear:  There are no winners here.  These last few weeks have inflicted completely unnecessary damage on our economy.  We don’t know yet the full scope of the damage, but every analyst out there believes it slowed our growth.

What growth?  Since coming to office the president’s policies have lost approximately 9,966,000 jobs through the September jobs report.  That’s just shy of 10 million jobs he’s lost.  So what recovery?  Or is he just setting the stage to blame the worst economic recovery since that following the Great Depression on this 16 day shutdown?  And not the lost economic activity from those 10 million or so lost jobs?  Of course he is.  Because what are 10 million jobs when he can stick it to the Republicans?

We know that families have gone without paychecks or services they depend on.  We know that potential homebuyers have gotten fewer mortgages, and small business loans have been put on hold.  We know that consumers have cut back on spending, and that half of all CEOs say that the shutdown and the threat of shutdown set back their plans to hire over the next six months.  We know that just the threat of default — of America not paying all the bills that we owe on time — increased our borrowing costs, which adds to our deficit.

Yes, pity the government bureaucrats who had to go 16 days without reporting to work.  Even though they will be paid for those 16 days they missed.  Yes, pity the government bureaucrats.  And not the 10 million who have disappeared from the labor force since President Obama assumed office.  I mean, what are 5 years without a paycheck compared to missing 16 days of work?  Which the taxpayers will still pay them for?

Businesses cut back on spending and hiring because of the great uncertainty of a 16-day shutdown?  Are you sure it wasn’t the regulatory requirements of Obamacare that is forcing employers with close to 30 ‘full time’ employees (30 hours or more per week) to not hire any more workers?  Even pushing full-time workers to part time?  Are you sure this isn’t the reason why they’re not hiring?  Especially with the cost of health insurance going through the roof now that it must cover everything under the sun (such as pediatric care for a couple whose children are now grown adults) as well as pre-existing conditions?  Where someone can walk in off the street who was just diagnosed with cancer and buy an insurance policy for the first time in their life?  Are you absolutely sure it’s the 16-day shutdown and not Obamacare?   If so someone needs to attend a high school economics class to learn the first thing about economics.

And, of course, we know that the American people’s frustration with what goes on in this town has never been higher. That’s not a surprise that the American people are completely fed up with Washington.  At a moment when our economic recovery demands more jobs, more momentum, we’ve got yet another self-inflicted crisis that set our economy back.  And for what?

Again, are you sure it was the 16-day shutdown and not the 4 years or so of Obamacare?

There was no economic rationale for all of this.  Over the past four years, our economy has been growing, our businesses have been creating jobs, and our deficits have been cut in half. We hear some members who pushed for the shutdown say they were doing it to save the American economy — but nothing has done more to undermine our economy these past three years than the kind of tactics that create these manufactured crises.

The last fiscal year ending deficit while George W. Bush was president was $498.37 billion (adjusted for inflation).  At the end of the first fiscal year with President Obama in office the deficit soared to $1.539.22 trillion.  An increase of 208.9%.  It is this deficit number that he cut in half.  The one he exploded with his near trillion dollar stimulus that did not stimulate anything but unions and the president’s cronies on Wall Street and in Big Business.  Especially Big Green Business.

And the president had something else preventing him from spending as much as he did during his first term.  Sequestration.  Which the Democrats hate with a passion and want to get rid of.  So they can turn on the spending spigot once again.  Like they did during his first term.

And you don’t have to take my word for it.  The agency that put America’s credit rating on watch the other day explicitly cited all of this, saying that our economy “remains more dynamic and resilient” than other advanced economies, and that the only thing putting us at risk is — and I’m quoting here — “repeated brinksmanship.”  That’s what the credit rating agency said.  That wasn’t a political statement; that was an analysis of what’s hurting our economy by people whose job it is to analyze these things.

Really?  Brinkmanship?  You don’t think adding $6.2 trillion to the national debt during your presidency had anything to do with the credit rating agency’s concern about our debt paying ability?  A high school economics student can understand that the greater your debt is the greater your debt-paying problem.  Funny how you don’t, Mr. President.

That also happens to be the view of our diplomats who’ve been hearing from their counterparts internationally.  Some of the same folks who pushed for the shutdown and threatened default claim their actions were needed to get America back on the right track, to make sure we’re strong.  But probably nothing has done more damage to America’s credibility in the world, our standing with other countries, than the spectacle that we’ve seen these past several weeks.  It’s encouraged our enemies.  It’s emboldened our competitors.  And it’s depressed our friends who look to us for steady leadership.

I thought it would have been your bad foreign policy that did all those things.  Starting with the Green Revolution in Iran.  An uprising of the people against the Islamist and oppressive government of Iran.  The precursor to the Arab Spring.  Where you did nothing.  Leaving the good Iranian people with that oppressive Islamist government.  Which is currently working to produce a nuclear bomb.  Then there was the Arab Spring and you telling our friend and ally and anchor to peace and stability in the Middle East, Hosni Mubarak, that he had to go.  Turning Egypt over to the anti-Western Muslim Brotherhood.  And then there was Libya.  Another ally in the War on Terror, Muammar Gaddafi (who joined the fight against terrorism after our invasion of Iraq), that he had to go.  Turning Libya over to radical Islamists.  Who killed four Americans in Benghazi.  Then there was the red line fiasco with Syria.  If you cross that red line I will hem and haw and stammer.  Then I might say something else.  Then Vladimir Putin steps in and saves the day for their Syrian ally.  Russia.  Who suspended all adoptions to Americans to spite America.  Who are also helping the Iranians with their nuclear program.  All the while laughing at President Obama who they see as weak.  Who couldn’t get one nation to join him for military strikes against Syria.  If you want to talk about our prestige on the world stage you gave that up long ago.  For today no one fears the wrath of the United States these days.  With some nations seeing the United States becoming irrelevant in the world.  Especially Russia and China.  As well as radical Islam.

Now, the good news is we’ll bounce back from this.  We always do.  America is the bedrock of the global economy for a reason.  We are the indispensable nation that the rest of the world looks to as the safest and most reliable place to invest — something that’s made it easier for generations of Americans to invest in their own futures.  We have earned that responsibility over more than two centuries because of the dynamism of our economy and our entrepreneurs, the productivity of our workers, but also because we keep our word and we meet our obligations.  That’s what full faith and credit means — you can count on us.

And today, I want our people and our businesses and the rest of the world to know that the full faith and credit of the United States remains unquestioned.

There is a difference between economic investment and buying our bonds.  Any money that buys government bonds is money pulled out of the economy.  Investing in government bonds doesn’t create economic activity.  It actually destroys economic activity.  And the only worry the rest of the world had was what you were going to do, Mr. President.  Would you not pay the interest on the national debt out of spite to attack the Republicans?  That’s what they were worried about.  For even they knew we had the money to pay our debt without new borrowing.  They just don’t trust you.

But to all my friends in Congress, understand that how business is done in this town has to change.  Because we’ve all got a lot of work to do on behalf of the American people — and that includes the hard work of regaining their trust.  Our system of self-government doesn’t function without it.  And now that the government is reopened, and this threat to our economy is removed, all of us need to stop focusing on the lobbyists and the bloggers and the talking heads on radio and the professional activists who profit from conflict, and focus on what the majority of Americans sent us here to do, and that’s grow this economy; create good jobs; strengthen the middle class; educate our kids; lay the foundation for broad-based prosperity and get our fiscal house in order for the long haul.  That’s why we’re here.  That should be our focus.

Strong words coming from a professional activist.  For he was a community organizer.  And taught activism.  Funny how there are two types of activism.  The good kind in his world.  When it advances a liberal agenda.  And the bad kind in his world.  The kind based in conservatism.  The president hates conservative activism, otherwise known as a government of the people, by the people and for the people, and believes it should be silenced and replaced with one-party rule.

Now, that won’t be easy.  We all know that we have divided government right now.  There’s a lot of noise out there, and the pressure from the extremes affect how a lot of members of Congress see the day-to-day work that’s supposed to be done here. And let’s face it, the American people don’t see every issue the same way.  But that doesn’t mean we can’t make progress.  And when we disagree, we don’t have to suggest that the other side doesn’t love this country or believe in free enterprise, or all the other rhetoric that seems to get worse every single year.  If we disagree on something, we can move on and focus on the things we agree on, and get some stuff done.

And the Democrats calling the political opposition terrorists, arsonists, hostage takers, the Taliban, etc., how is that coming together to focus on the things we agree on?  To get some stuff done?  Well, Mr. President, it is obvious you believe compromise is the Republicans caving and becoming your bitch.  This is not a government of the people, by the people and for the people.  This is a government of, by and for you.

Let me be specific about three places where I believe we can make progress right now.  First, in the coming days and weeks, we should sit down and pursue a balanced approach to a responsible budget, a budget that grows our economy faster and shrinks our long-term deficits further.

At the beginning of this year, that’s what both Democrats and Republicans committed to doing.  The Senate passed a budget; House passed a budget; they were supposed to come together and negotiate.  And had one side not decided to pursue a strategy of brinksmanship, each side could have gotten together and figured out, how do we shape a budget that provides certainty to businesses and people who rely on government, provides certainty to investors in our economy, and we’d be growing faster right now.

The last time we did this little dance it was the same.  You want to raise taxes and cut no spending.  That’s your idea of a balanced approach.  Oh, you’ll promise spending cuts after we raise some taxes.  But those spending cuts will never come.  Democrats just don’t cut spending.  Unless they get themselves stuck in a sequester.  And that’s not even real spending cuts.  It’s only smaller increases in future spending.

Now, the good news is the legislation I signed yesterday now requires Congress to do exactly that — what it could have been doing all along.

And we shouldn’t approach this process of creating a budget as an ideological exercise — just cutting for the sake of cutting.  The issue is not growth versus fiscal responsibility — we need both.  We need a budget that deals with the issues that most Americans are focused on:  creating more good jobs that pay better wages.

Can the nation afford anymore of your job creation?  After losing some 10 million jobs we should just cut our losses.  And refuse anymore of your ‘help’ with the economy.

Cutting for the sake of cutting?  What, we don’t have a debt crisis that requires our debt ceiling to be raised again and again?  We’re spending too much.  Hence the need to keep raising our debt ceiling.  And Obamacare only makes this worse.  A lot worse.  Hence that 16-day government shutdown.  Or did he miss that?

And remember, the deficit is getting smaller, not bigger.  It’s going down faster than it has in the last 50 years. The challenges we have right now are not short-term deficits; it’s the long-term obligations that we have around things like Medicare and Social Security.  We want to make sure those are there for future generations.

Oh, you are devious, Mr. President.  The deficit is going down faster than in the last 50 years only because you raised it to record highs in your first year in office.  Your smallest deficit is still larger than George W. Bush’s last deficit.

Medicare?  You cut Medicare spending so you can spend that money on Obamacare.  And Social Security?  The Social Security Trust Fund has no cash in it.  It’s stuffed with government IOUs.  Because the government is spending so much money that they have to raid the Social Security Trust Fund to pay for it.  And even that’s not enough to prevent deficit spending.  So they’re robbing Peter to pay Paul.  This out of control spending is why Medicare and Social Security may not be there for future generations.

So the key now is a budget that cuts out the things that we don’t need, closes corporate tax loopholes that don’t help create jobs, and frees up resources for the things that do help us grow — like education and infrastructure and research.  And these things historically have not been partisan.  And this shouldn’t be as difficult as it’s been in past years because we already spend less than we did a few years ago.  Our deficits are half of what they were a few years ago.  The debt problems we have now are long term, and we can address them without shortchanging our kids, or shortchanging our grandkids, or weakening the security that current generations have earned from their hard work.

More on education?  That’s to shore up the teachers’ underfunded pensions.  Infrastructure?  That’s just pork-barrel spending.  Building airports where no one wants to fly.  Or high-speed rail that requires constant government subsidies.  Money that buys votes in Congress to pass huge spending bills.  Like Obamacare.  Which passed only by buying off Democrats with the Cornhusker Kickback, the Louisiana Purchase, the Florida Flim Flam, etc.

So that’s number one.  Number two, we should finish fixing the job of — let me say that again.  Number two, we should finish the job of fixing our broken immigration system.

There’s already a broad coalition across America that’s behind this effort of comprehensive immigration reform — from business leaders to faith leaders to law enforcement.  In fact, the Senate has already passed a bill with strong bipartisan support that would make the biggest commitment to border security in our history; would modernize our legal immigration system; make sure everyone plays by the same rules, makes sure that folks who came here illegally have to pay a fine, pay back taxes, meet their responsibilities.  That bill has already passed the Senate. And economists estimate that if that bill becomes law, our economy would be 5 percent larger two decades from now.  That’s $1.4 trillion in new economic growth.

There’s a reason why people hire illegal aliens.  So they can pay them less than legal citizens.  So once these illegals become legal they’re not going to work for illegal wages anymore.  So it will raise labor costs.  Forcing businesses to lay off some workers.  Creating no net economic benefit.  But the Democrats don’t care.  Because it’s not about the economy.  It’s about all those new Democrat voters.  To turn the nation, like they turned California, Democrat.

The majority of Americans think this is the right thing to do.  And it’s sitting there waiting for the House to pass it.  Now, if the House has ideas on how to improve the Senate bill, let’s hear them.  Let’s start the negotiations.  But let’s not leave this problem to keep festering for another year, or two years, or three years.  This can and should get done by the end of this year.

Really?  A majority of people want immigration reform?  And because of that we should pass it?  Well, the majority of people want to repeal Obamacare.  So perhaps this is a negotiation the Republicans and Democrats can agree on.  To please the majority of people.  Exchange immigration reform for the repealing of Obamacare.

Number three, we should pass a farm bill, one that American farmers and ranchers can depend on; one that protects vulnerable children and adults in times of need; one that gives rural communities opportunities to grow and the long-term certainty that they deserve.

You know, it was a farm bill that helped precipitate the Great Depression.  Price parity.  Increasing the price of farm goods so they were closer to the price of nonfarm goods.  In response to their increased productivity due to the mechanization of the farm that produced bumper crops.  Increasing supply beyond demand.  Causing the price of farm goods to fall.  So Hoover passed legislation raising the price of food.  Making it harder to put food on the table for the average American.  An example of the unintended consequences of government intervention.  Such as requiring gasoline to include a portion of the corn crop.  Thus raising the price of corn.  And everything in the food chain downstream from corn.  Like beef, chicken, milk, eggs, etc.  No, the last thing consumers need who are trying to put food on the table is another farm bill.

Again, the Senate has already passed a solid bipartisan bill.  It’s got support from Democrats and Republicans.  It’s sitting in the House waiting for passage.  If House Republicans have ideas that they think would improve the farm bill, let’s see them.  Let’s negotiate.  What are we waiting for?  Let’s get this done.

So, passing a budget; immigration reform; farm bill.  Those are three specific things that would make a huge difference in our economy right now.  And we could get them done by the end of the year if our focus is on what’s good for the American people. And that’s just the big stuff.  There are all kinds of other things that we could be doing that don’t get as much attention.

I understand we will not suddenly agree on everything now that the cloud of crisis has passed.  Democrats and Republicans are far apart on a lot of issues.  And I recognize there are folks on the other side who think that my policies are misguided — that’s putting it mildly.  That’s okay.  That’s democracy.  That’s how it works.  We can debate those differences vigorously, passionately, in good faith, through the normal democratic process.

And sometimes, we’ll be just too far apart to forge an agreement.  But that should not hold back our efforts in areas where we do agree.  We shouldn’t fail to act on areas that we do agree or could agree just because we don’t think it’s good politics; just because the extremes in our party don’t like the word “compromise.”

When the Republicans wanted to add tax breaks for small business in the stimulus bill President Obama refused to listen.  Because he won the election.  And elections have consequences, he said.  And to the winner goes the spoils.  When the Democrats had the House, Senate and the White House they had no interest in compromise.  And didn’t.  But when they don’t have all the power they expect the other side to compromise.  And give them what they want.  That’s their idea of compromise.  Unconditional surrender.

I will look for willing partners wherever I can to get important work done.  And there’s no good reason why we can’t govern responsibly, despite our differences, without lurching from manufactured crisis to manufactured crisis.  In fact, one of the things that I hope all of us have learned these past few weeks is that it turns out smart, effective government is important.  It matters.  I think the American people during this shutdown had a chance to get some idea of all the things, large and small, that government does that make a difference in people’s lives.

We hear all the time about how government is the problem.  Well, it turns out we rely on it in a whole lot of ways.  Not only does it keep us strong through our military and our law enforcement, it plays a vital role in caring for our seniors and our veterans, educating our kids, making sure our workers are trained for the jobs that are being created, arming our businesses with the best science and technology so they can compete with companies from other countries.  It plays a key role in keeping our food and our toys and our workplaces safe.  It helps folks rebuild after a storm.  It conserves our natural resources.  It finances startups.  It helps to sell our products overseas.  It provides security to our diplomats abroad.

Really?  You want to go there?  Security of our diplomats?  The administration that let 4 Americans die in Benghazi on its watch?  Despite ample warnings?  Warnings so serious that the British pulled out of Benghazi?  Before our four diplomats were killed?  But there was an election, wasn’t there?  And we just couldn’t have trouble with terrorists during an election, could we?  Not for the president that won the War on Terror with the killing of Osama bin Laden.

So let’s work together to make government work better, instead of treating it like an enemy or purposely making it work worse.  That’s not what the founders of this nation envisioned when they gave us the gift of self-government.  You don’t like a particular policy or a particular president, then argue for your position.  Go out there and win an election.  Push to change it. But don’t break it.  Don’t break what our predecessors spent over two centuries building.  That’s not being faithful to what this country is about.

The Founding Fathers created LIMITED government.  What we have today is far from limited.  The progressives/liberals have destroyed what the Founding Fathers gave us.  Today we have a big, fat, bloated bureaucracy.  And the Republicans would like to change it by winning elections.  Which isn’t that easy when the Obama administration suppresses the vote by turning the IRS loose on the Tea Party.  Limiting their fundraising ability.  Causing their turnout to be less than it was in the 2010 midterm election.  When the Tea Party stirred the people to vote the House of Representatives back to the Republicans.  Which they weren’t going to let happen in 2012.  Hence using the IRS to suppress the Republican vote.

And that brings me to one last point.  I’ve got a simple message for all the dedicated and patriotic federal workers who’ve either worked without pay or been forced off the job without pay these past few weeks, including most of my own staff: Thank you.  Thanks for your service.  Welcome back.  What you do is important.  It matters.

You defend our country overseas.  You deliver benefits to our troops who’ve earned them when they come home.  You guard our borders.  You protect our civil rights.  You help businesses grow and gain footholds in overseas markets.  You protect the air we breathe and the water our children drink.  And you push the boundaries of science and space, and you guide hundreds of thousands of people each day through the glories of this country. Thank you.  What you do is important.  And don’t let anybody else tell you different.  Especially the young people who come to this city to serve — believe that it matters.  Well, you know what, you’re right.  It does.

And those of us who have the privilege to serve this country have an obligation to do our job as best we can.  We come from different parties, but we are Americans first.  And that’s why disagreement cannot mean dysfunction.  It can’t degenerate into hatred.  The American people’s hopes and dreams are what matters, not ours.  Our obligations are to them.  Our regard for them compels us all, Democrats and Republicans, to cooperate, and compromise, and act in the best interests of our nation –- one nation, under God, indivisible with liberty and justice for all.

Thanks very much.

The majority of people want to repeal Obamacare.  But the president doesn’t care about these American people.  Because they don’t share his vision of expanding government power in our lives.  People who would prefer to keep the health insurance they have.  And the doctors they have.  As well as not paying more for their health insurance.  But what they want isn’t as important to President Obama as what he wants.  So there is no compromise.  No cooperation.  Or acting in the best interest of the United States.  For this may be one nation, under God, indivisible with liberty and justice for all.  Where all Americans are equal.  Only some are more equal than others.  Like those who share President Obama’s vision.

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