LESSONS LEARNED #58: “Presidents with aggressive domestic agendas tend to have inept and naïve foreign policy.” -Old Pithy

Posted by PITHOCRATES - March 24th, 2011

Social Security:  A Fiscal Disaster just Waiting to Happen

FDR’s New Deal programs were an abject failure.  Nothing he tried ended the Great Depression.  Proof positive that Keynesian Economics doesn’t work.  But this Britain infatuated the world.  Many still cling to the teachings of Keynes.  Because he empowered Big Government.  And people in government love that.  But government is pretty inefficient.  And not very good at doing things.  Take Social Security, for example. 

It started as a payroll tax of 1%.  They argued it was a paltry price to pay to help the disabled and retired.  Of course, the actuaries never saw birth control and abortion coming.  So as the population aged, the birthrate declined.  With the boomers starting to retire, the great pyramid inverted.  More people are collecting than paying in.  Today the tax rate is 6.2%.  That’s 6.2 times the FDR rate.  Which is an increase of 520%.  The federal government has increased the rate 20 times to save the program from bankruptcy.  And, guess what?  It’s STILL going bankrupt.  It’s one fifth of the federal budget.  And it keeps getting bigger.  And it’s such a political third-rail that no one will touch it.  Taxpayers will have to pay so much in taxes that they will have to live a very austere life to pay for people they don’t even know who are collecting far more than they ever paid in.  Because, according to the actuaries, people were just living too long.  That’s another thing they never saw coming. 

In 1937, the average lifespan was 60 years.  The retirement age was 65.  So, in other words, the average social security beneficiary would be dead for approximately 5 years before they were eligible to collect Social Security.  Now that’s how you keep a program solvent.  Make sure that most of the people paying into it die before they have a chance to receive benefits.  Today the average lifespan is about 78 years.  The retirement age is 67.  So the average retiree will collect benefits for approximately 11 years BEFORE he or she dies.  The actuaries NEVER envisioned this.  Damn the American health care system and their miracle drugs.  We’ve never lived longer.  Or burdened the government more.

FDR was a domestic policy disaster.  He ruined this country.  Any objective analyst would agree.  But we still love him for getting us through the dark years of World War II.  Of course, much of the world doesn’t for his gift of the Cold War to these oppressed people.

FDR loved Joe Stalin, Joe Stalin walked all over FDR

In the 1930s, there was some serious government tinkering going on with economies.  FDR in the USA.  Hitler in Germany.  Mussolini in Italy.  And Joseph Stalin in the Soviet Union.  FDR was on the same page, especially with Mussolini and his beloved Joseph Stalin.  He loved these guys.  Until they went rogue.  FDR had no problem hating Germany.  He was never a fan of the country.  But when Germany and the Soviet Union entered into a nonaggression pact to divide and conquer Poland, thus launching World War II, it broke his heart.  He and all his New Dealers were devastated.  Uncle Joe was the model they wanted to copy.  They loved this man.  And what he was doing in the Soviet Union.  Acting bold without a pesky Congress hindering him.  They loved him so much that they didn’t try all that hard to hunt down the Soviet spies within the FDR administration.  And there were plenty of them to hunt down.

But then God answered FDR’s prayers.  Hitler launched Operation Barbarossa, a massive invasion of the Soviet Union.  This part of the war became hell on earth.  The Eastern Front.  There cruelty knew no bounds.  Scorched earth policies.  And genocide.  Hitler’s SS did most of these acts of barbarism.  And the dreaded Einsatzgruppen took systematic murder to new heights.  The Eastern Front saw the worst cruelty of man.  But there was a bright spot.  For FDR.  He could welcome Uncle Joe back into the fold.  And did. 

Roosevelt was a master diplomat.  He could charm the pants off of anyone.  He had a gift.  And it filled him with great pomposity and reckless arrogance.  People warned him about Stalin.  And Soviet Communism.  But FDR poo pooed them.  He said he could talk to Uncle Joe.  Reason with him.  Give a lot and ask for nothing.  And he did.  FDR thought Stalin would then ask for nothing more and work with him in establishing world peace.  Just like a typical progressive/liberal.  And how did that work out?  Not only did the Red Army NOT pull out of occupied countries, they tried to occupy more.  Soviet Communism took Eastern Europe, tried to take Turkey and Greece and pushed into Iran.  We pushed some of these pushes back.  But the Cold War was on.  FDR had given so much that the Soviets had control over huge populations, condemning them to the misery of life behind the Iron Curtain.  And suffer they would for 44 long years.

Despite the fiscal carnage and world misery FDR left in his wake, he is still loved and adored by those on the Left.  People as pompous, arrogant and naïve as he.  Who still want to do things the Roosevelt way.  Despite the unmitigated disaster the FDR way turned out to be. 

Mismanaging Medicare/Medicaid and the Vietnam War

We can best describe LBJ‘s Great Society as doubling down on FDR’s New Deal.  And it was as big a disaster as the New Deal was.  LBJ was going to end poverty and racial injustice.  And pour federal money into education to make it better.  He failed.  Based on the Left’s attacks on the Right, we’re still beset by poverty and racial injustice.  (Even though we elected a black president.  Go figure.)  And that the teacher unions are constantly going on strike to get more money.  For the kids, of course.  And if we still have these problems it can only mean one thing.  The Great Society failed.

Included in the Great Society were Medicare and Medicaid.  Health insurance for the elderly and the poor, respectfully.  Currently, this is another 1/5 of the total federal budget.  And it has the same problems as Social Security has.  A declining birthrate and a growing elderly population that is living longer.  The actuaries crunched their numbers before the explosion of birth control and abortion.  So their projections are just as bad as FDR’s were.  The tax rate went from 0.35% to 1.45%, and increase of 314%.  Unlike Social Security, the death rate never ran in the black for Medicare/Medicaid.  From the get-go people were living 3 years beyond the average retirement age, consuming health care benefits.  Now the average American is living 11 years into retirement.  And a lot of them aren’t doing that by a healthy diet and exercise.  They’re doing it by consuming vast amounts of health care benefits.   LBJ took the problems of the New Deal and multiplied them by ten.  The cumulative effect of these two programs crashed the economy into stagflation and misery in the 1970s.  And if that wasn’t bad enough, he pushed the nation close to civil war by his mismanagement of the Vietnam War.

JFK got us into Vietnam.  But Johnson expanded our involvement.  And tried to manage it from Washington.  With the Whiz Kids left over from JFK.  A bunch of poindexters who tried to run a war by looking at numbers in columns.  Body counts.  And restrictions on the rules of engagement.  It was a horrible way to run a war.  It just prolonged it.  Created more American casualties.  And empowered our enemy.  Can’t bomb the North.  Can’t bomb their supply routes (i.e., the Ho Chi Minh Trail).  We did everything we could to help the enemy by giving them safe sanctuaries up the ying-yang.  And when we had a chance to deliver a knockout punch after the failed Tet Offensive, we did NOTHING.  Partly because Walter Cronkite said the war was lost.  Partly because of the hippies protesting on our college campuses.  And, of course, the race riots.  LBJ couldn’t understand it.  He had given so much with his Great Society and yet people didn’t love him.  All because of that damn war in Vietnam.  JFK’s war.  How he wished they never went there.  It was a distraction to his beloved Great Society.  And it was a bitch to pay for. 

Bad Domestic Agendas, Bad Foreign Policy

Unlike FDR, LBJ could not win his war.  Of course, FDR didn’t have hippies who hated their country protesting against him.  Just a bunch of communists in his administration who were simpatico with his Big Government view.  Because of Vietnam, though, the Left would never have the same fond feelings for LBJ as they do for FDR. 

Their foreign policy has made the world a less safe place.  FDR gave us 44 years of Cold War.  And LBJ weakened the United States by his failure in Vietnam.  Made us a paper tiger.  Made our enemies not fear us anymore.  They started taking chances.   Doubting our will to respond to their aggression.  Or, if we did, they figured we would just cut and run after a few casualties.  And that has been their strategy since.  Not to win.  But to make us quit.  By making us bleed.

Following World War II we had great prosperity.  Peace.  And happiness.  The 1950s.  Following Vietnam, we had stagflation and misery.  High crime rates.  Drug infestation and abject poverty in our big cities.  Abortion and birth control.  The 1970s.  All this despite the programs of LBJ’s Great Society that were to end all those woes.  And with the declining birthrate, the fiscal problems would only get worse.

Their domestic programs are pushing the nation ever closer to bankruptcy.  There appears to be no solution to the damage they’ve done.  Or will do.  Social Security and Medicare/Medicaid will either bankrupt the country.  Or ignite civil unrest as benefits are slashed.  Neither will be good for the country.  But this is what we get from presidents with aggressive domestic agendas.  Fiscal crises.  Domestic unrest.  And an unsafe world.

www.PITHOCRATES.com

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LESSONS LEARNED #31: “Islam and guns are a lot alike. And yet when something bad happens, we try to ban one and forgive the other.” -Old Pithy

Posted by PITHOCRATES - September 16th, 2010

PEACE IN OUR TIME

What do you know about the Goths?  The Visigoths?  The Ostrogoths?  The Vandals?  The Franks.  Do you even know who these people are?  The Romans did.  And they were a pain in their ass.

The Great Migration of Huns from Asia into Europe displaced these European Germanic tribes.  Which brought them into contact with the Roman Empire.  The Romans then brought some into the empire.  First into the legions that were protecting the frontier against these displaced Germanic tribes.  Then some Germans commanded these legions.  Then the Romans built entire legions from these Germanic people.  Germans faced Germans on the frontier.  Loyalties tugged between empire and blood.  When the empire began to crumble, blood often won out.  And when the Western Roman Empire fell, these Germanic tribes stepped into the void.  Picked up the Roman banner and became the Holy Roman Empire.  Some of the Germanic tribes founded nations.  Spain, France and England.  But not Germany.  Not yet.

 It took the Franco-Prussian War (1870) to unite the German people into a nation.  And into the dominate Central European power at that.  That dominance ended in 1919 with the Treaty of Versailles.  Germany lost Alsace-Lorraine (which they took during the Franco-Prussian War).  She lost territory that became a reconstituted Poland (which separated her from East Prussia).  She had to take sole responsibility for causing World War I (which was unfair to say the least).  And pay reparations to the victors that would take forever and a day to pay.  The German people were not happy.  As was a decorated army corporal.  Adolf Hitler.

Hitler made it clear that he was going to restore the German empire.  The third in the line of empires.  A Third Reich.  Successor to the Holy Roman Empire.  And it would last a thousand years.  He established the official Nazi ideology (racial purity and the Master Race).  He renounced portions of the Versailles Treaty.  Began to rearm.  These actions worried the Allies.  But Hitler assuaged their worries in a speech given 5/21/1935.  He said Germany wanted peace.  And only peace.  The Allies breathed a collective sigh of relief.  Then he remilitarized the Rhineland.  Annexed Austria.  Then came Munich.  Great Britain’s Prime Minister, Neville Chamberlain, met with Hitler, concerned.  Hitler assured Chamberlain that this was his last territorial grab.  After all, Germany wanted peace.  And only peace.  So those at Munich gave the Czechoslovakian Sudetenland to Germany.  (Incidentally, the Czechs weren’t at Munich).  Chamberlain returned to England announcing they had attained “peace for our time.”  Soon thereafter, Germany took the rest of Czechoslovakia.  And one non-aggression pact with the Soviet Union to partition Poland later, Hitler invaded Poland, starting World War II.  So, no, they did not have peace in for their time.

FROM STETTIN IN THE BALTIC TO TRIESTE IN THE ADRIATIC AN IRON CURTAIN HAS DESCENDED ACROSS THE CONTINENT

Franklin Delano Roosevelt loved Joseph Stalin.  He liked what he was doing in the Soviet Union.  Now there was some Big Government doing big things.  Just like he was doing.  Only on a grander scale.  Then that non-aggression pact with Nazi Germany just broke his heart.  But the gods were smiling down on FDR.  Hitler turned on Stalin and invaded the Soviet Union.  Killed some 20 million Soviets.  FDR was elated.  He could embrace Uncle Joe again.

FDR said he could talk to Stalin.  Turn on the old FDR charm.  So he tried.  At the Yalta Conference where the Big Three (FDR, Churchill and Stalin) discussed the post-war world.  His plan was bold.  Give Stalin everything.  Ask for nothing.  And then Uncle Joe will work with him in establishing world peace and democracy.  He had a hunch it would work.  I mean, once he turned on that FDR charm, well, FDR got what FDR wanted.

But his administration was full of Soviet spies.  He stayed in the Soviet embassy (to show his trust of Stalin).  They bugged it.  The Soviets knew everything.  Not a strong negotiating position.  For FDR and Churchill, that is.  It was a very strong position for Stalin.  He could whisper whatever sweet nothings FDR wanted to hear.  Lie through his teeth.  In the end, he got Eastern Europe.  Instead of a Nazi occupation, it would now be a Soviet occupation.  Some saw Stalin for who he was.  Winston Churchill, for one.  Later, in 1946, he tried to warn us about Stalin.  He came to America and spoke at Westminster College in Fulton, Missouri.  He said:

“From Stettin in the Baltic to Trieste in the Adriatic an iron curtain has descended across the Continent. Behind that line lie all the capitals of the ancient states of Central and Eastern Europe. Warsaw, Berlin, Prague, Vienna, Budapest, Belgrade, Bucharest and Sofia, all these famous cities and the populations around them lie in what I must call the Soviet sphere, and all are subject in one form or another, not only to Soviet influence but to a very high and, in some cases, increasing measure of control from Moscow.”

The old warhorse was right.  Stalin had no visions of democracy.  He wanted to conquer.  To spread communism.  And he did.  In Eastern Europe.  Wherever the Red Army was at the end of World War II the Red Army stayed.  Where they weren’t he tried to use the local communist parties (i.e., the Fifth Columns) in their stead.  To stir up trouble.  Eat away the nations from within.  To gradually convert them to communism.  Sometimes he used blunt force.  As in the coup d’état in Czechoslovakia.   American aid helped Western Europe, Greece and Turkey to rebuff Stalin’s advances there.  West Berlin, inside of East Germany behind the Iron Curtain, was a thorn in his side.  So he tried to blockade it.  Which we relieved with the Berlin Airlift.  Our guy in China (Chiang Kai-shek) lost to Mao Tse-tung in the Chinese Civil War making most of Asia communist.  This was the Cold War.  East vs. West.  Communism vs. Democracy.  The Soviet Union vs. the United States.  The Cold War at times got hot.  As the two superpowers fought each other by proxy.  In Korea.  Cuba (the Bay of Pigs was the hot part.  The more dangerous part was the cold part, playing nuclear chicken).  Vietnam.  The Iran-Iraq War.  Nicaragua.  And in a place called Afghanistan.

MR. GORBACHEV, TEAR DOWN THIS WALL

The Soviet Union supplied a lot of military hardware that killed a lot of Americans in the Vietnam War.  We returned the favor in Afghanistan.  And helped liberate the Afghanis from the Soviet Occupation.  The Soviet mechanized army and their Hind attack helicopters fought an impoverished and ill-equipped force.  The Mujahedeen.  Who soon got international support.  And U.S. antiaircraft Stinger missiles.  And the Soviet Union had their Vietnam.

Ronald Reagan grew weary of the Cold War.  He wanted to end it.  He understood collectivism.  And he knew history.  Capitalism worked.  Collectivism didn’t.  So he would turn up the pressure.  While the Soviets bled money in Afghanistan, he modernized our nuclear forces.  Proposed the Strategic Defense Initiative.  Spent money on defense.  And gave America an unprecedented decade of prosperity.  The Soviets tried to keep pace.  But couldn’t.  They couldn’t even feed their own people.  On June 12, 1987, in front of the Berlin Wall, at the Brandenburg Gate, Reagan said:

“We welcome change and openness; for we believe that freedom and security go together, that the advance of human liberty can only strengthen the cause of world peace. There is one sign the Soviets can make that would be unmistakable, that would advance dramatically the cause of freedom and peace. General Secretary Gorbachev, if you seek peace, if you seek prosperity for the Soviet Union and Eastern Europe, if you seek liberalization, come here to this gate. Mr. Gorbachev, open this gate. Mr. Gorbachev, tear down this wall!”

In time he did.  Or, rather, stopped trying to prevent it from happening.  And Reagan consigned the Evil Empire to the “ash heap of history.”  Which left the Mujahedeen well armed, well financed and without a fight.

TO THE VICTORS GO THE SPOILS

The Western Roman Empire fell to the Germanic tribes but the Eastern Empire held on for a few more centuries.  It wouldn’t be the Germans causing her ultimate demise.  No.  The Eastern Empire fall to the Arabs.  Islam spread west from the Arabian desert into Egypt and across North Africa and up into Spain.  Saladin (revered Islamic hero) wrested the Holy Land from the Christians and then fought off the Christian Crusades when they tried to take it back.  Islam advanced across the Bosporus and into the Balkans before the European Christians finally stopped them.  A good chunk of the Christian Roman Empire was now Muslim.  And remained so for centuries.  Until World War I.  When Ottoman Turkey was on the losing side of the Great War.

After the war, Great Britain occupied some of the former Muslim lands.  Protected the Suez Canal for her shipping lanes to India and the Far East.  And to her oil interests.  Also, the League of Nations designated that Great Britain should administer the territory comprised of Palestine and Transjordan.  This British Mandate also included a provision for a future Jewish homeland in the Palestine territory.  Long story short, that happened in 1947 when the United Nations General Assembly voted to partition these territories into Jewish and Arab states.  The following year, May 14, the day before the British Mandate expired, the state of Israel came into existence. 

The Arabs didn’t agree to that deal.  Of course, the Jews didn’t like the Roman occupation.  And the Christians didn’t like the Muslim occupation of the Holy Land.  But to the victors go the spoils.  Not enjoying being on the loser’s side, they wanted Palestine back.  In fact, they want all of the land that used to be Muslim back.  Lands they gained by military conquest but later lost to military conquest.  They want to re-conquer lost land.  And conquer new.  One man in particular.  A Saudi who joined the Mujahedeen.  Osama bin Laden.  Who would lead his unemployed freedom fighters into a new line of work.  In a new organization.  Al Qaeda.

WORLD CONQUEST ISN’T NEW

The Romans conquered the known world.  Hitler had ambitious plans to do the same.  Ditto for Stalin.  (Even Mussolini wanted to restore the Roman Empire.)  And on 9/11/2001, that’s what Osama bin Laden was trying to do.  His devastating attack on the U.S. was to cause a spontaneous uprising by Muslims throughout the world.  There was none.  He failed.  He would be no Saladin.  He would rule little more than a network of caves on the Afghanistan/Pakistan border.  And be remembered as just another terrorist.  But his dream is shared by others.  And they’ve no doubt learned a lot from the Nazis.  And the Communists. 

There are elements within Islam, the so-called few who pervert this great religion of peace, that want to see bin Laden’s vision realized.  They’re using force.  Lying.  Trying to convert from within.  And turn to our constitution whenever anyone confronts them.  But these ambassadors of peace won’t condemn terrorist organizations or recognize the state of Israel.  They demand that everyone accommodate Islam while Islam accommodates only Islam.  They say that the U.S. was responsible for 9/11.  Even that the U.S. orchestrated 9/11 and blamed it on the Muslim world.  There is cause for concern.

A FEW IS ENOUGH

Not all Germans were Nazis but we still fought Nazi ideology.  We fought the communist ideology because it called for the conquest of western capitalism.  Ideology counts.  Not all Muslims are ‘the few who pervert’ but we should, at least, be on our guard against Islam.  Because how do we know who is lying?  If we err on the side of caution, all Americans (including Muslim Americans) are safe.  If we don’t, Americans can die.  Including Muslim Americans.

History has shown that the descendents of empire want to restore empire.  That people who lost land want to get that land back.  And ideological purity kills people.  That tells me we should be wary of a highly ideological people who once had an empire and desperately covets land.  And if we can’t know who those few are, it would be irresponsible not to be on our guard against anyone who might be one of those few. 

www.PITHOCRATES.com

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