President Obama gets no Respect from Iran

Posted by PITHOCRATES - March 8th, 2014

Week in Review

President Reagan made a joke once during a sound check before a radio address.  He said, “My fellow Americans, I’m pleased to tell you today that I’ve signed legislation that will outlaw Russia forever.  We begin bombing in five minutes.”  News of this joke leaked out.  And reached the Soviet Union.  And the Soviets did not find it amusing.  Instead, they put the Soviet Far East Army on alert.  You see, our enemies did not think much of Reagan’s comedic abilities.  For with him they did not know when he was joking.  Unlike President Obama (see Iranian general: Obama’s threats are ‘the joke of the year’ by Marissa Newman posted 3/4/2014 on The Times of Israel).

“The low-IQ US president and his country’s Secretary of State John Kerry speak of the effectiveness of ‘the US options on the table’ on Iran while this phrase is mocked at and has become a joke among the Iranian nation, especially the children,” General Masoud Jazayeri said, according to the semi-official Fars News Agency.

Jazayeri was responding to the US president’s interview in Bloomberg on Sunday, in which Obama maintained that the Iranian leadership should take his “all options on the table” stance — including the warning of a potential military strike — seriously…

The Iranian news agency Tuesday published a political cartoon mocking the US president, calling it: “All Options on Table.” This Time for Russia.” In a jab at US non-intervention in Ukraine, the cartoon portrays Obama peering forlornly into an empty paint can with the label “Red Line” while Russian President Vladimir Putin walks away saying, “I think you used it all on Syria…”

Under an interim deal clinched in November, Iran agreed to curb parts of its nuclear program for six months in exchange for limited sanctions relief. The agreement came into effect on January 20.

“The (nuclear) negotiations are going well … I’m hoping by the first deadline (July 20) we will reach an agreement,” Foreign Minister Mohammad Javad Zarif told reporters on the sidelines of an event in New Delhi on February 28…

“I can tell you that Iran’s nuclear program will remain intact. We will not close any program,” he said, according to Reuters.

President Obama is raking up the honors.  A Nobel Peace Prize in 2009.  The Lie of the Year in 2013.  And now the Joke of the Year in 2014.  Pity he hasn’t won some of the awards most Americans want him to win.  The Best Economy of the Year award.  And the Most Respected World Leader of the Year award.  Two awards President Reagan did win.  His outlawing Russia joke was really funny, though, and he should have won Joke of the Year, too.  But here President Obama has him beat.

The Iranians will not close any nuclear program?  If not why then did we lift those sanctions?  It makes no sense.  Unless President Obama is going after yet another award.  The Most Naïve World Leader of the Year award.  Where he’s been a perennial favorite to win every year since 2009.


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Peace through Strength

Posted by PITHOCRATES - March 6th, 2014

Politics 101

Bad Guys won’t open their Can of Whoop-Ass if there is a Chance they’ll get their Ass Kicked

Bullies generally pick on smaller and weaker people.  Smaller and weaker people don’t pick on tough guys.  They don’t walk up to a bully and give him a wedgie.  They’d like to.  But they don’t.  Why?  Because if a small and weak person did they’d get their ass kicked.  That’s why.  And people don’t like getting their ass kicked.  But sometimes it’s the tough guys that save the day.

In the opening scene of V for Vendetta Evey was about to get raped by some government thugs.  Then tough guy V came along and kicked their asses.  Saving Eve from a brutal rape.  In Die Hard the evil Hans Gruber was going to kill everyone in that building until tough guy John McClane happened on the scene.  And started killing the bad guys.  Saving the day.  In the movie Patton everyone wanted him thrown out of the Army after he slapped that crying soldier.  But when the Allies’ drive stalled in the Normandy hedgerow country who did they turn to?  That’s right.  Tough guy General Patton.  Who started kicking Nazi ass big time.  Breaking through their lines and advancing in every compass direction while British General Bernard Montgomery was still struggling o take his D-Day objective.  Caen.

People don’t like getting their ass kicked.  But if they are in danger of a good ass-kicking they’d want someone on their side who can kick ass as good as the next guy.  For even bad guys don’t want to get their ass kicked.  And if there is a chance of that happening they’re going to think long and hard before opening their can of whoop-ass.  Especially when someone else’s can of whoop-ass is bigger.

Only the Military Might of the United States could contain Soviet Expansion

The Roman Empire had one mighty can of whoop-ass.  Something her potential enemies understood.  And feared.  So they didn’t cause any trouble.  Because they didn’t want to get their ass kicked.  Which is why from approximately 27 BC to 180 AD there was relative peace in the world.  Pax Romana.  For the Romans had the mightiest military force in the world.  And if you went up against them you were most likely going to lose.  So they didn’t.  Instead, choosing to live in peace.

The British Empire was even larger than the Roman Empire.  And had an even larger can of whoop-ass.  Not only did they have armies throughout their empire which was so large that the sun never set on it.  The Royal Navy ruled the seas.  Which meant if you caused any trouble in the world you could expect an ass-kicking.  Either from her mighty military power.  Or her aid to a smaller and weaker country under threat from an aggressive neighbor.  The bad guys learned.  It wasn’t worth it.  If you tried to break the peace you were going to get your ass kicked.  Which is why from 1815 through 1914 when the British Empire ruled the world there was relative peace.  Pax Britannica.

The United States of America had come of age during the 20th century.  Growing even bigger and stronger than the empire that sired her.  The British Empire.  Who went into decline during the 20th century.  But just as Pax Britannica drew to a close and the world became a more dangerous place the United States stepped in.  Allowing the Allies to defeat Nazi Germany.  And Imperial Japan.  She grew to have the biggest can of whoop-ass in history.  And became the world’s policeman.  Pushing back against Soviet expansion.  In Europe.  The Balkans.  The Middle East.  And Southeast Asia.  The Soviets wanted to conquer the world.  And would have if not for America’s mighty military to counter their threat.  Leading to a period of relative peace following World War II.  Pax Americana.  As only the military might of the United States could contain Soviet expansion.

Vladimir Putin feels that he can put the old Soviet Union back together during the Obama Administration

During a sound check before a radio address President Reagan made a joke.  He said, “My fellow Americans, I’m pleased to tell you today that I’ve signed legislation that will outlaw Russia forever.  We begin bombing in five minutes.”  Reagan had a sense of humor and those present laughed.  The joke leaked.  The Soviets heard it.  And they put their Soviet Far East Army on alert.  You see, they had great respect for the awesome military power of the United States.  And they respected Reagan.  They did not like him.  But they respected him.  And if he said he was going to open a can of whoop-ass on them they got nervous.  For President Reagan may have spoken softly.  But he was not afraid to kick ass.

The Soviets had no such respect for Reagan’s predecessor.  Jimmy Carter.  In fact, they had so little respect for him that they developed a nuclear first-strike plan.  For Carter was gutting the military.  And wasn’t a tough guy when it came to foreign policy.  He was a president who wanted to focus on domestic policy.  A sign of weakness the Soviets could smell.   Anyone who gutted the military to pay for more domestic spending would never pull the nuclear trigger.  At least that’s what the Soviets thought.  Which is why they prepared a nuclear first-strike plan during the Carter administration.  Sure they could win a nuclear war against him.  The Soviets thought no such thing during the Reagan administration.  So instead of a nuclear war (which may have happened in a Carter second term) we had peace.  Because of our strength.

Peace through strength.  If you’re a bad-ass people will leave you alone.  Because no one wants to get their ass kicked.  If you’re hell-bent on beating the crap out of your neighbor so you can take her resources and there is a bad-ass in the world that can bring a world of hurt down on you it will make you think.  And pause.  This is why there was a Pax Romana.  A Pax Britannica.  And a Pax Americana.  Because people respect a bad-ass.  And will not incite it.  They may hate the bad-ass.  But they will respect it.  And not piss it off.

President Obama has a strong domestic agenda.  Like Jimmy Carter.  He doesn’t want to deal with foreign policy.  Like Jimmy Carter.  And he is not respected or feared by the world’s bad guys.  Like Jimmy Carter.  Who is far more inclined to make a speech and threaten action.  But is far less likely to open a can of whoop-ass.  Like Ronald Reagan.  Which is why Vladimir Putin feels that he can put the old Soviet Union back together during the Obama administration.  Because he doesn’t fear the wrath of President Obama.  As no one does.  For he is all bark and no bite.  At least, so far.  Apart from killing a bunch of people that can’t fight back.  Drone strikes.  Bombing Libya (that was no threat to American interests).  And killing Osama bin Laden with a SEAL team.  More of an imperial use of force than acting as the world’s policeman to safeguard liberty and democracy.  So Vladimir Putin has little to worry about during an Obama presidency.  Unlike conservatives in America.


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FT211: “Criticizing a woman’s policies doesn’t mean you’re a sexist or are afraid of strong women.” —Old Pithy

Posted by PITHOCRATES - February 28th, 2014

Fundamental Truth

You can call a Man Fatso but not a Woman because of the Double Standard when it comes to being Fat

Back when David Letterman was on NBC and the show was called Late Night with David Lettermen they had an old football player on one night.  I think he was a defensive linesman or a linebacker.  Who played football before there was money in playing football.  Back then it was just guys playing a game hard and then getting drunk afterwards.

On this episode of Late Night this football player was telling a story about one game.  It was late in the fourth quarter.  The score was already decided.  Nothing could happen to change who was going to win the game.  But the other team was still playing hard.  Trying to win.  So after one play he wandered over and entered the other team’s huddle and said something like, “Come on, guys.  Let’s just wrap this up and go get some beers already.”  At which point one of his teammates yelled over to him from the other huddle, “Hey fatso!  You’re in the wrong huddle.”

“Hey fatso!  You’re in the wrong huddle.”  It’s funny.  For that’s the way guys are.  They hurl insults at each other.  And if you were a heavy guy there was nothing wrong with calling you ‘fatso’.  It’s the way men joke around.  It doesn’t work with women, though.  If you have an overweight female coworker and you address her as fatso you’ll find yourself in sensitivity awareness training.  Or fired.  Because there is a double standard when it comes to being fat.  You can call a man fatso.  But not a woman.

Anyone espousing Keynesian Policies should be Criticized for they are doing Harm to the Economy

The political opposition and the main stream media treat President Obama with kid gloves.  They will not attack him.  Or even criticize his policies.  Because President Obama is the first black president.  And the political opposition and the mainstream media are terrified that someone will call them racist if they do.  They fear that so much they’d rather see the economy collapse from his Keynesian economic policies than risk being called a racist.

President Obama is a Keynesian.  Like most people in Washington making policy are.  Which is a shame.  As the historical record clearly shows these policies fail.  But our politicians still manipulate interest rates.  And spend money.  Believing in the fallacy of demand-side economics.  Which didn’t work to end the Great Depression.  It only made the stagflation of the Seventies worse.  It created a dot-com bubble and a dot-com recession.  And it created a housing bubble and a subprime mortgage crisis.  Giving us the Great Recession.  And further Keynesian policies on top of these past failed policies have given us the worst economic recovery since that following the Great Depression.

So anyone espousing Keynesian policies should be attacked and criticized.  For they are doing harm to the economy.  And the country.  Which is why the Democrats love President Obama.  (Well, at least before Obamacare threatened their reelection chances).  Because they can have him do all the things they want to do.  Manipulate interest rates.  Keep them near zero.  By printing money.  And then borrow even more money at those near-zero interest rates.  Allowing the government to go on an orgy of spending.  That’s why they love President Obama.  (Well, at least before Obamacare threatened their reelection chances).  For if anyone criticizes this reckless and irresponsible policy they can just label them a racist.  And they immediately shut up.  Just knowing this keeps people from speaking up in the first place.

It’s easier to Lie when you can Scare away Criticism with Charges of Racism or Sexism

But the political opposition and the mainstream media have no problem calling Governor Christie a fat man.  Christie is not black.  A woman.  Or a Democrat.  So he’s fair game.  They can make the most vile fat slurs with him and it’s okay.  Fatso.  Fat-ass.  Whatever.  They don’t call it hateful.  They just laugh.  And pile on.  They’ll even go so far as to call him a fat elephant on the cover of Time Magazine.  Putting a very large profile of him that takes up most of the cover and call him the elephant in the room (a GOP reference).  Because it’s okay to call him fat-ass and every other possible fat slur you can think of.  But do you know who you can’t call fat?  Hillary Clinton.

Should Hillary Clinton run for president again the political opposition and the mainstream media will treat her with kid gloves.  They won’t call her fatso.  Or fat-ass.  Because that wouldn’t be nice.  It’s okay to use those invectives against Governor Christie.  (Just take the Christie fat slurs and replace his name with hers and see the kind of reactions you get).  But if you dare use that tone with Hillary Clinton they will label you a sexist.  Accuse you of being afraid of strong women (but not so strong as to be able to put up with fat jokes like Governor Christie).  Proof that there is a Republican war on women.  And should she win the presidency there will be little criticism of her policies.  Because no one wants to be labeled a sexist.  Or be accused of being afraid of strong women.  Especially with the first female president.  So she will get a pass on most everything she does.  Like President Obama.  Despite being as deserving of attacks and criticism.  For she is a Keynesian, too.

With only 23% of the nation identifying as liberal the left has trouble passing their liberal policies.  So they lie, of course.  A lot.  And it’s easier to lie when you can scare away criticism with charges of racism.  Or sexism.  Which is why they like President Obama so much.  (Well, at least before Obamacare threatened their reelection chances).  He was the first black president.  Which made it harder for some to criticize him.  Which helped make the lying easier.  So they will most likely try to follow this strategy.  Perhaps with Hillary Clinton.  Who may be the first female president.  Following that with other ‘firsts’.  Until the opposition and the mainstream media learn that criticizing a woman’s policies doesn’t make you a sexist.  Or afraid of strong women.  It just means you’re criticizing a person with bad policies who happens to be a woman.  Just as they will be able to criticize a black president one day.


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For an Idea of what National Health Care would be like just ride Metro-North

Posted by PITHOCRATES - February 23rd, 2014

Week in Review

People don’t want national health care.  Which is why President Obama lied when he said “If you like your health care plan, you can keep it.”  Because if he told the truth and told people they would lose the health care plans and doctors they liked and wanted to keep they would have opposed the Affordable Care Act (aka Obamacare) with a passion.  For they would have seen the Affordable Care Act as nothing but a prelude for national health care.  A health care system run by government.  And we know how well government runs things (see The Perils of Metro-North by Lynnley Browning posted 2/20/2014 on Newsweek).

The high-profile trains, run by the state of New York entity Metro North Commuter Railroad, convey middle-class commuters but also a sizable chunk of the 1 percent, all along a 74-mile stretch between New Haven, Conn., and New York City — to hedge funds in Connecticut and to global banks, consulting, design and advertising firms in Manhattan. But these days, the rail’s increasingly delay-plagued service to one of the planet’s largest metropolises seems less an odd contrast of Third World and First World and more a taste of Dante’s Inferno…

Epic frustration and stress have reached an inflection point for the estimated 136,600 weekday riders on Metro-North’s New Haven Line, the transportation lifeblood of America’s monied and professional class living in Connecticut and working in New York (though some riders reverse commute to hedge funds in Greenwich and banks in Stamford). Long plagued by outdated cars, sketchy, aging tracks and accusations of mismanagement, the commuter rail has seen its dwindling reputation tarnished further in recent months by mishaps and delays, some lasting hours in freezing, unheated cars…

The entire line needs $3.6 billion in urgent repairs, according to the Regional Plan Association, an independent think tank.

Trash and piles of metal parts line many tracks. Smelly cars dating to the 1970s shake passengers in stiff seats from side to side like livestock. Floors are perpetually grimy, and train cars are in short supply. Expensive equipment sits idle. “One day the toilet flooded and the water was just seeping into the vestibule,” recalls Noelle Villanueva, a trader at First New York Securities who commutes from Fairfield, Conn., a large commuter town.

Engineers – the people driving the trains – occasionally “overshoot” their stops and, if the tracks allow it, have to back up, leaving commuters like Lamorte to wonder if the people behind the wheel are asleep, or drunk. Trains come in unannounced on the wrong platform, sending riders to scamper like voles across crumbling overhead passageways to the correct platform. A 117-year-old bridge spanning the Norwalk River, in Norwalk, Conn., sports gaping holes beside the tracks. “They have a rescue boat, but the guy’s usually 1,000 feet away, fishing, so you’ll be dead by the time he gets to you,” says Bill, an ironworker for Metro-North. (He declined to give his last name, citing a fear of retaliation…)

Commuters are increasingly wondering when someone else might die. Late last July, as temperatures soared near 100 degrees, a train near Westport broke down in the afternoon, leaving passengers, including several pregnant women, trapped in unairconditioned cars whose doors and windows would not open…

The lack of communication – think digital signs at stations that almost uniformly announce “Good service” – irks riders, some of whom pay $400 a month and more.

Passenger rail is a horrible economic model.  The costs are so great that it is virtually impossible for it to work without government subsidies.  But in places like the island of Manhattan there are few viable transportation options.  For though costly it can move a lot of people into and out of a very congested city.  But the problem with passenger rail in big cities is all the other big city problems that come with it.  Unions, lack of competition, corruption, etc.  It’s so bad that even when some of the 136,600 weekday riders pay $400 a month (the equivalent of a car payment) the money is so mismanaged that wear and tear adds up on the system over time to the tune of $3.6 billion.  Which is why people don’t want national health care.  They don’t want a health care system operated like Metro-North.  Which is why they are so mad at President Obama for his lie about Obamacare.  And taking away the health care plans and doctors they liked and wanted to keep.


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President Obama is no Captain James Tiberius Kirk

Posted by PITHOCRATES - February 22nd, 2014

Week in Review

Captain James T. Kirk didn’t command the Enterprise because of his political connections.  No.  He commanded the Enterprise because he was the best damn captain in Starfleet history (see Five Leadership Lessons From James T. Kirk by Alex Knapp reposted 2/23/2014 (originally posted 3/5/2012) on Forbes).

In his many years of service to the Federation, James Kirk embodied several leadership lessons that we can use in our own lives. We need to keep exploring and learning. We need to ensure that we encourage creativity and innovation by listening to the advice of people with vastly different opinions. We need to occasionally get down in the trenches with the members of our teams so we understand their needs and earn their trust and loyalty. We need to understand the psychology of our competitors and also learn to radically change course when circumstances dictate. By following these lessons, we can lead our organizations into places where none have gone before.

President Obama is no Captain James Tiberius Kirk.  President Obama is a committed ideologue.  And will not consider exploring and learning other knowledge.  For this committed Keynesian will not even consider learning the classical economics that made the U.S. the number one economy in the world.  He will not work with the Republicans.  When it came to the stimulus he shut them out completely with the statement that he won the election.  And elections have consequences.  After his “If you like your health care plan, you can keep it” lie of the year (2013) he’s not earning much trust and loyalty these days.  His foreign policy has made Iran and Russia stronger.  As well as emboldened militant Islam.  So he doesn’t understand our competitors.  At all.  Finally, the Affordable Care Act (i.e., Obamacare) has been a disaster.  But is he radically changing course?  No.  He’s exceeding his Constitutional authority by rewriting the Affordable Care Act to try and push the more painful parts of Obamacare past the 2014 midterm elections.  To make people less angry at him and the Democrats when they vote this fall.

Captain James T. Kirk never put himself or his agenda ahead of the mission.  Which is why he was a great leader.  Whereas President Obama is beholden to an ideology.  And will sacrifice anything for that ideology.  Our economy.  Our health care system.  Even our leadership position of the free world.  Something Captain Kirk would never do.  Because he was not beholden to an ideology.  Which made him a great leader.  Unlike President Obama.


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The BLS Employment Situation Summary for January 2014

Posted by PITHOCRATES - February 17th, 2014

Economics 101

The Unemployment Rate is 13.6% when you count all Unemployed Workers

The economy is getting better and better.  There are more new jobs.  And the unemployment rate continues to fall.  According to the Bureau of Labor Statistics (BLS).  But this is little succor for the 10,948,000 who have lost their job since President Obama began trying to make the economy better.  No matter what the BLS says (see the Employment Situation Summary posted 2/7/2014 on the Bureau of Labor Statistics).

Total nonfarm payroll employment rose by 113,000 in January, and the unemployment rate was little changed at 6.6 percent, the U.S. Bureau of Labor Statistics reported today.  Employment grew in construction, manufacturing, wholesale trade, and mining…

Among the major worker groups, the unemployment rates for adult men (6.2 percent), adult women (5.9 percent), teenagers (20.7 percent), whites (5.7 percent), blacks (12.1 percent),and Hispanics (8.4 percent) showed little change in January. The jobless rate for Asians was 4.8 percent (not seasonally adjusted), down by 1.7 percentage points over the year. (See tables A-1, A-2, and A-3.).

The number of long-term unemployed (those jobless for 27 weeks or more), at 3.6 million, declined by 232,000 in January. These individuals accounted for 35.8 percent of the unemployed. The number of long-term unemployed has declined by 1.1 million over the year.  (See table A-12.)

Once again there are more new jobs and the unemployment rate fell.  Further proof the Obama administration says that their policies are working.  But the low unemployment rate is misleading.  As there are 91,455,000 people who are no longer in the labor force (see Table A-1. Employment status of the civilian population by sex and age).  An increase of 10,948,000 since President Obama entered office.  The BLS doesn’t count these unemployed people as unemployed in their calculation of the official unemployment rate.  If you did that would raise the unemployment rate to 13.6%.  Which is a lot higher than the official 6.6%.  And better reflects public sentiment on the economy.

Ironically, the people hurt most by the Obama economic policies—teenagers, blacks and Hispanics—are also the biggest supporters of the president.  Which tells us they obviously support him for reasons other than the economy.  And apparently put those reasons above having a job.  At least based their respective unemployment rates.

If we count all Unemployed and Underemployed the Current Economic Recovery would take more than 20 Years

Of the people they actually count as unemployed about a third of them have been unemployed for 27 weeks or more.  So a large percentage of the unemployed are not suffering from frictional unemployment.  That brief period of unemployment between jobs.  No.  These people have lost their jobs.  And can’t find new ones.  While others can find only part-time jobs.

The number of persons employed part time for economic reasons (sometimes referred to as involuntary part-time workers) fell by 514,000 to 7.3 million in January. These individuals were working part time because their hours had been cut back or because they were unable to find full-time work. (See table A-8.)

In January, 2.6 million persons were marginally attached to the labor force, little changed from a year earlier. (The data are not seasonally adjusted.) These individuals were not in the labor force, wanted and were available for work, and had looked for a job sometime in the prior 12 months. They were not counted as unemployed because they had not searched for work in the 4 weeks preceding the survey. (See table A-16.)

If you add the people up who want a full-time job but can’t get one that’s 9,900,000 who can’t find a full-time job.  If we only add 113,000 jobs a month it will take over 87 months to get these people the full-time jobs they want.  Or more than 7 years.  If we count the last 5 years of the Obama presidency it will take the economic recovery out to 12 years.  If we add the people who have left the labor force to the underemployed (the part-time workers looking for a full-time job) that would extend the economic recovery to 244 months.  Or more than 20 years.  Which is longer than the length of the economic recovery following the Great Depression.

The Obama administration still blames George W. Bush for causing the Great Recession.  But one thing they do say over and over is that it was the worst economic disaster since the Great Depression.  So they are saying that the Great Depression was worse than the Great Recession.  Yet the current economic recovery is on track to last longer than the economic recovery following the Great Depression.

President Obama’s Economic Recovery is on Course to be the Worst Economic Recovery in U.S. History

The Great Depression and the Great Recession share something in common.  In both the government used Keynesian economics to try and pull the nation out of the economic crisis.  With huge government stimulus spending.  You can see evidence of the FDR spending today.  Such as the Hoover Dam.  But you can see little evidence from President Obama’s stimulus spending.  For there are no Hoover Dams anywhere.  Just a lot of empty buildings that housed failed green energy industries.  With no new jobs to show for it.  Such as those good-paying jobs in the green energy industry that President Obama promised his stimulus spending would produce.  But, alas, it did not.  In fact, that’s just one thing this administration is not good at.  Creating jobs.  Even the jobs they created appear suspect.

Employment in manufacturing increased in January (+21,000). Over the month, job gains occurred in machinery (+7,000), wood products (+5,000), and motor vehicles and parts (+5,000). Manufacturing added an average of 7,000 jobs per month in 2013.

In January, wholesale trade added 14,000 jobs, with most of the increase occurring in nondurable goods (+10,000).

Mining added 7,000 jobs in January, compared with an average monthly gain of 2,000 jobs in 2013…

Employment in other major industries, including transportation and warehousing, information, and financial activities, showed little or no change over the month.

These numbers don’t make sense.  Much like Keynesian economics.  The economy created jobs in manufacturing (machinery, wood products, motor vehicles and parts).  Wholesale trade added jobs.  Mining added jobs.  But this new economic activity required no new financing.  Which is odd.  For it takes money to make money.  Also, there were no new jobs in transportation and warehousing.  Which begs the question.  What did they do with all the stuff they made from all those new manufacturing jobs?  Did it ever leave these factories?  Or is there another explanation?  Did the people who entered the labor force just replace people who left it?  For no net change?  Perhaps.

The manufacturing workweek declined by 0.2 hour to 40.7 hours, and factory overtime edged down by 0.1 hour to 3.4 hours.

Or perhaps this explains how they could add jobs in an industry that required no additional financing, transportation or warehousing.  Hiring new workers while shortening the workweek and cutting back on overtime.  Or a combination of this and people leaving the labor force to net out any economic gain from these new jobs.  Whatever the explanation is one thing is certain.  The economy is not improving.  And President Obama’s economic recovery is on track to be the worst economic recovery in U.S. history.  Despite the glowing jobs reports showing new job creation month after month.  And a continuing falling unemployment.  Things they can only show by not counting the 10 million or so who are no longer employed.


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Obamacare will require more Tax Revenue just as it Shrinks the Tax Base

Posted by PITHOCRATES - February 9th, 2014

Week in Review

President Obama’s economic policies have given us the worst economic recovery since that following the Great Depression.  With some of the greatest economic carnage coming from the Affordable Care Act.  Obamacare.  The great hiring dissuader.  Because of the high cost of compliance for employers.  And now people will even be choosing to leave the labor force.  For it will be less costly for them not to work and collect subsidies for their costly Obamacare (see Obamacare will push 2 million workers out of labor market: CBO by Stephen Dinan posted 2/4/2014 on The Washington Times).

Obamacare will push the equivalent of about 2 million workers out of the labor market by 2017 as employees decide either to work fewer hours or drop out of the job market altogether, according to estimates released Tuesday by the Congressional Budget Office.

The analysis set off a furious debate in Washington. The White House argued that the reduction is positive because it means Americans will forgo jobs or extra work to stay home with their children or strike out on their own as entrepreneurs…

“This is one of the perverse incentives in this terrible law. It actually encourages able-bodied people to not work,” said Sen. John Barrasso, Wyoming Republican. “We should be doing all that we can to increase labor force participation. The health care law actually pushes it in the opposite direction.”

Taking the budget as a whole, the CBO said Congress has made substantial headway on cutting spending and raising taxes, which will reduce the deficit to $514 billion this year and $478 billion in 2015.

But it will rise by 2016 and steadily grow to more than $1 trillion in 2022.

If these people choose not to work and become entrepreneurs who will they hire if others like them choose to leave the labor force?

People choosing not to work is a very bad thing for a big-spending government.  Because government taxes workers to pay for all of that spending.  And if people are leaving the workforce leaving fewer workers in the workforce to pay the taxes government needs that can mean only one thing.  Higher taxes on those with jobs.  To help offset the loss in tax revenue as people leave the labor force to spend time with their kids.  Or become entrepreneurs.

Of course anyone becoming an entrepreneur in this economic climate is a glutton for punishment.  For President Obama has created a very anti-business environment.  Higher taxes, more costly regulatory policies and lest we forget, the Affordable Care Act.  To quote Jed Clampett in the Beverly Hillbillies when he asked cousin Pearle if he should move to Beverly Hills after discovering oil on his property.


Jed, how can you even ask? Look around you. You live eight miles from your nearest neighbor. You’re overrun with skunks, possums, coyotes, and bobcats. You use kerosene lamps for light. You cook on a wood stove, summer and winter. You’re drinkin’ homemade moonshine, and washin’ with homemade lye soap. And your bathroom is fifty feet from the house. And you ask should you move!?


Yeah, I reckon you’re right. Man’d be a dang fool to leave all this.

This is how a lot of people feel today about the Obama economy.  “Man’d be a dang fool to” try and be an entrepreneur in this economy.  Especially with the Obamacare Sword of Damocles hanging over their heads.  So those 2 million people plus leaving the economy is not a good thing.  It is a very bad thing.  Which will require some large tax increases.  Or massive cuts in government benefits.  Because federal tax revenue will fall if people leave the tax base.  It’s just that simple.


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With every Increase of the Debt Ceiling we get Closer to Third-World Status

Posted by PITHOCRATES - February 8th, 2014

Week in Review

George W. Bush’s last deficit was $498.37 billion.  President Obama’s deficits were $1,539.22 billion, $1,386.92 billion, $1,350.31 billion, $1,120.16 billion and $680 billion, respectively.  President Obama has taken the national debt from $12,973,669,938,453 to $16,738,183,526,697.  And increase of $3,764,513,588,244 (29%).  Or the amount added to the national debt from 1791 through 1985.

So President Obama did in 5 years what his predecessors did in 194 years.  Putting the U.S. dollar in great peril.  For the only reason why the United States hasn’t become a third-world economic basket case is because the U.S. dollar is the world’s reserve currency.  But once the world loses confidence in the American dollar they may choose another reserve currency.  And if they do all of that printing and borrowing will hit the U.S. economy hard.  Making the inflation of the stagflation Seventies seem like child’s play.

We can’t keep printing and borrowing money.  For we are approaching a tipping point.  Yes, having the power to print money can forestall the inevitable.  As long as people still have confidence in your currency.  But if they don’t there is nothing to prevent the U.S. from spiraling down into third-world status just as every other nation that destroyed their economy with out of control printing and spending.  Making these debates over increasing the debt ceiling more than Kabuki Theater (see All’s Fair in Love, War and Government? by Robert Schlesinger posted 2/3/2014 on US News and World Report).

The way that the approach to the debt ceiling has changed – going from a rhetorical opportunity and classic round of Kabuki Theater where lawmakers feign outrage and denounce the debt ceiling increase they know they’re going to vote for anyway to a genuine threat to the economy – illustrates a larger trend in Washington: the movement away from certain accepted norms in our governance. As I’ve written before, there used to be unwritten rules which helped keep the governance train on its rails – they limited the use of the filibuster to rare issues, they made the notion of deliberately shutting down the government in order to extract policy concessions out of bounds and the same with the idea of intentionally harming the economy by not raising the debt ceiling.

Those norms have increasingly been replaced with an ends-justifies-the-means view that the pursuit of power makes anything OK. That’s a real problem for our democracy.

The ends-justifies-the-means in the pursuit of power?  Yes, that is a problem for our democracy.  Such as passing the Affordable Care Act on partisan lines with back room deals.  Causing people to lose the health insurance and doctors they liked and wanted to keep.  Higher insurance premiums and higher deductibles.  A cost that went from just under $1 trillion over ten years to over $1 trillion each year (if our health care is anything like Canada’s health care).  And prolonging the worst economic recovery since that following the Great Depression.  Even telling the Lie of the Year.  Horrible things for our Democracy.  All in the pursuit of power.  In the left’s quest for the holy grail of power.  National health care.

With our huge debt weighing down our democracy we are fast approaching the tipping point.  And raising the debt ceiling may not be the best thing to do.  So someone should be trying to get some spending cuts before agreeing to raise the debt ceiling.  To save our democracy.  Before it’s too late.  Thanks to the Democrats’ pursuit of power.  Where ‘the ends-justifies-the-means’.  Even if it turns the country into a third-world nation.


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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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Victimization + Demonization + Emotion = Democrat Votes

Posted by PITHOCRATES - February 6th, 2014

Politics 101

Politicians Lie because they will Lose Elections if they Tell the Truth

Politicians lie.  Why?  Simple.  Politicians lie when telling the truth won’t help them win an election.

When President Obama lied the Lie of the Year he lied for a reason.  People didn’t like the Affordable Care Act (aka Obamacare).  They did not want national health care.  And they believed that Obamacare would put them onto the path to national health care.  To allay their concerns President Obama said, “If you like your health care plan, you can keep it.  Period.”  The statement that became the Lie of the Year.  Because a lot of people lost the health care they had and wanted to keep.  In fact, they wrote the Affordable Care Act to make sure that would happen.  As they need to herd as many of the young and healthy into Obamacare as possible to make the thing work.  People who would pay into the program while not collecting any benefits.  So they could subsidize the old and sick.

Had the president told the people that they would lose the health care plan that they liked and wanted to keep there would have been a lot more opposition to the Affordable Care Act.  With constituents pressuring their representatives to vote against it or they would vote against them in the next election.  This is why politicians lie when they do things against the will of the people.  Because they will lose elections if they tell the truth.

Having Victims is No Good unless you have someone to Blame for their Victimization

Democrats lie a lot.  Because their policies have a long history of failure.  Especially their economic policies.  And that’s because Democrats embrace Keynesian economics with a religious fervor.  Despite Keynesian economics giving us the Great Depression, the stagflation of the Seventies, the dot-com bubble recession and the Great Recession.  No, these Keynesian disasters don’t give Democrats any reason to doubt their faith.   Because at the heart of Keynesian economics is an activist government in the private sector economy.

Democrats like to fault capitalism.  Saying unfettered capitalism is unfair.  Unfeeling.  Cruel.  And just plain mean.  So they involve themselves in the private sector economy to even the playing field.  To unrig the rigged game.  To remove the unfair, unfeeling, cruel and mean elements of unfettered capitalism.  By fettering capitalism.  And the first thing they do is identify victims of capitalism.  A secretary who pays a higher tax rate than her boss.  Warren Buffet.  Minimum wage workers who can’t earn a living wage.  And, of course, people who live in fear of losing everything because they don’t have health insurance.

Of course having victims is no good unless you have someone to blame for their victimization.  Such as the 1% who are extremely wealthy but don’t pay their ‘fair share’ of taxes.  Even though they pay over a third of all federal income taxes while totaling only 1% of the population.  Greedy business owners who’d rather pocket millions while depriving their workers from earning a living wage.  Even though most business owners are not millionaires and probably could earn more by working for someone else.  And evil corporations who force people to work against their will or lose their health insurance and other benefits.  Even though people tend to work where they receive the best pay and benefit package their skill and experience can get.  And will leave one job in a heartbeat for a job with a better pay and benefit package elsewhere.

The Affordable Care Act is an Economic Model that cannot deliver on its Promise

Once they have their victims and their villains all they need to do is pull on the heartstrings.  To generate sympathy for the victims.  While getting these same people angry at the villains.  Which they do by avoiding facts.  Instead, they tune in to people’s emotions.   Victims are sad.  And we should do something to help them from their victimization.  Villains are bad.  And we should do something to punish them.  So they demonize these villains.  Getting the people to believe that punishing them, say, with higher taxes will somehow improve their lives.  Which it won’t.  In fact, they could take all the wealth away from the 1% and imprison them but it won’t make a difference in the lives of the 99%.  For if the 1% are no longer creating wealth they would be unable to pay over a third of all federal income taxes anymore.  Requiring higher taxes on the 99%.  Or a drastic cutting of government benefits.

If people understood sound economic principles (and not the Keynesian nonsense our power-hungry politicians favor) they would not be so emotionally manipulated.  In fact, if people had a solid understanding of history they would never vote for anyone attacking capitalism.  As unfettered capitalism is the only economic system that allows people without privilege to be as successful as anyone else in the country.  Whereas the most anti-capitalistic countries have had the greatest poverty and human rights abuses.  Such as the former Soviet Union, the People’s Republic of China, the former Eastern Bloc countries, North Korea, Cambodia, Cuba, etc.  So for emotional manipulation to work they need a not so educated public. Which is why the Democrats control public education and our universities.  And champion pre-K.  To get control of our kids as soon as possible.  To dumb them down.  And program them into good Democrat voters.

This is the formula the Democrats use to win elections.  Victimization + Demonization + Emotion = Democrat Votes.  For they can’t win by telling the truth.  Or having informed voters.  So they use their control of our educational system to make more emotionally pliable voters.  Ones that are easier to lie to.  And that they can sway with fiery rhetoric.  Which is why we have Obamacare today.  Because the Affordable Care Act is an economic model that cannot deliver on its promise.  To provide a higher quality health care to more people while costing less.  Which is impossible.  Just as it is impossible to draw a square circle.  It’s either a square.  Or a circle.  It cannot be both.  Ditto for the promise of Obamacare.  Which is why to get people to believe that it was possible to give them more for less required telling a lie so big that it was voted the Lie of the Year.


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