On May 15, 2009, TheFundamentals proposed a plan for helping the party out of power (poop) get back into power. It involved a commitment tied to improved representation numbers in congress to start reducing the burdensome debt of the US federal government. Let’s hope someone is listening. (Again these ideas are offered without expectation of compensation to all you high paid political consultants out there.) This plan is a work in process. Here’s more (no charge.)
Poop will make a commitment that if a business or a bank or an insurance company or an automobile company or a state or city or union or pension fund or any organization gets in financial trouble we’re just not going to even consider bailing it out. We will let the federal bankruptcy laws and the federal bankruptcy courts and their thousands of employees and established laws and precedents and rules and procedures and processes do what they have been doing for 200 plus years and that is taking care of business. By the way, bankruptcy is one of the defined “enumerated powers” (see TheFundamentals June 8, 2009 for the list of these powers) extended to the congress in the US Constitution. For some strange reason, “bailouts” are not enumerated in the US Constitution. Once again, without benefit of the Internet, Harvard Law Review or the fabulous leadership of the Austrian weight lifter, the folks who had the job of forming a nation and limiting government powers from the very start got it right.
What a novel idea - using established government processes to do what they do best – creating and cleaning up messes. A form of garbage pickup. Refuse disposal. The new congress could order up an extra large garbage can from a Chinese vendor (or WalMart but that’s redundant), put it down by the curb and in it, place the following damaged and no longer salvageable goods: GM, Chrysler, AIG, Citibank and the states of California, Michigan, Illinois and New York. The bankruptcy courts will probably try to auction the assets of those four states. Hmmnnn. The Fundamentals wonders what are lengthy welfare rolls and bloated public sector union payrolls and pension obligations worth in an open marketplace? Cuba might be interested. We could donate California to the Mexicans but that reverse diaspora may require a modicum of negotiation talent. We could ask Canada to take over Michigan and Illinois and, maybe, even New York. Do you think they could be enticed if we threw in Al Franken and the states of MN and WI? Eh?
By the way, TheFundmentals could care less if the party out of power (poop) makes the commitment to do this and therefore gets back into power or if the party in power makes the commitment to do this and therefore stays in power. The appeal to poop is only logical because the party in power could already be doing this but they seem to be intent on becoming the new poop which is what the previous party in power succeeded in doing with its misguided actions and therefore became poop.
Warning: Do not read the preceding paragraph during or after cocktail hour. In times like these, do not skip cocktail hour. Poop should also endorse cocktail bailouts as an alternative to monetary bailouts. The former USSR has embraced the cocktail culture with a degree of success and has simultaneously solved its old age benefit problem. Now that’s change we can all accept.
Thursday, June 11, 2009
Wednesday, June 10, 2009
Epiphany
TheFundamentals likes to approach these fancy words and concepts which are much over used and much dramatized in the American culture of convenience with a bit of humor.
Anyone watching Oprah experiences numerous epiphanies daily. We liken Oprah epiphanies to sugar highs. The dozen donut solution to your problems. By the way, truth in advertising police, please note that there is a substantial disconnect between the appearance of the live pudgy Oprah and the svelte Oprah who shows up on the brief teaser ads on TV. A few days ago TheFundamentals observed several Obama and Oprah supporters having an epiphany after the community organizer stopped off at a burger joint and ordered up some greasy treats for the fawning folk back at the WH. The community organizer has captured a corner of the epiphany market with his endless appearances and speeches. In a very short time period he has brought his incredible insights to the Middle East situation, racism, world conflict, Islamic stuff and, of course, economic and financial turmoil. The latter has been the focus of the ramblings of this website in that the epiphany of spending more money we don’t have to solve a problem created by spending money we didn’t have may turn out to be an interim epiphany on the road to the only true epiphany that this fella is going to motivate and that is the day we all wake up and realize, “Holy smokes. We’re broke and no one cares.”
So the American melodrama plays out. This week the US Treasury is offering for sale $65 billion of its 3 year, 10 year and 30 year notes and bonds (note to SEC – aren’t you supposed to blow the whistle on this kind of paper?) TheFundamentals has suggested that the globe trotting activities of the wonderful NPelosi and the overperfoming TGeithner (they giggled at little Timmy in Beijing when he was pitching his snake oil) along with the epiphany producer himself bowing and curtseying through Arabia may have had a little to do with concern over the outcome of the sale of these valuable pieces of paper. Time will tell. TheFundamentals observes that this auction is analogous to BMadoff reluctantly accepting deposits into his investment accounts. If you can, visualize this scenario. Think of a Hollywood set with the front a beautifully maintained, large white house on Pennsylvania Avenue in Washington DC. The paint is sparkling and the flowers are blooming and important people are arriving and acting serious and important. You knock on the door with your life savings in your hand seeking to buy a US Treasury bond. The door opens, a hand grabs the cash and the door closes. But, in that fleeting second or two, you see behind the door and there is nothing but some WH interns eating burgers and fries.
Now that’s an epiphany.
Anyone watching Oprah experiences numerous epiphanies daily. We liken Oprah epiphanies to sugar highs. The dozen donut solution to your problems. By the way, truth in advertising police, please note that there is a substantial disconnect between the appearance of the live pudgy Oprah and the svelte Oprah who shows up on the brief teaser ads on TV. A few days ago TheFundamentals observed several Obama and Oprah supporters having an epiphany after the community organizer stopped off at a burger joint and ordered up some greasy treats for the fawning folk back at the WH. The community organizer has captured a corner of the epiphany market with his endless appearances and speeches. In a very short time period he has brought his incredible insights to the Middle East situation, racism, world conflict, Islamic stuff and, of course, economic and financial turmoil. The latter has been the focus of the ramblings of this website in that the epiphany of spending more money we don’t have to solve a problem created by spending money we didn’t have may turn out to be an interim epiphany on the road to the only true epiphany that this fella is going to motivate and that is the day we all wake up and realize, “Holy smokes. We’re broke and no one cares.”
So the American melodrama plays out. This week the US Treasury is offering for sale $65 billion of its 3 year, 10 year and 30 year notes and bonds (note to SEC – aren’t you supposed to blow the whistle on this kind of paper?) TheFundamentals has suggested that the globe trotting activities of the wonderful NPelosi and the overperfoming TGeithner (they giggled at little Timmy in Beijing when he was pitching his snake oil) along with the epiphany producer himself bowing and curtseying through Arabia may have had a little to do with concern over the outcome of the sale of these valuable pieces of paper. Time will tell. TheFundamentals observes that this auction is analogous to BMadoff reluctantly accepting deposits into his investment accounts. If you can, visualize this scenario. Think of a Hollywood set with the front a beautifully maintained, large white house on Pennsylvania Avenue in Washington DC. The paint is sparkling and the flowers are blooming and important people are arriving and acting serious and important. You knock on the door with your life savings in your hand seeking to buy a US Treasury bond. The door opens, a hand grabs the cash and the door closes. But, in that fleeting second or two, you see behind the door and there is nothing but some WH interns eating burgers and fries.
Now that’s an epiphany.
Tuesday, June 9, 2009
Truth to Power
What an overused phase. Speaking truth to power. Well, here goes again.
Mr. Obama, the 600,000 jobs you “are saving” are not wealth creating/wealth producing jobs. They are wealth destroying jobs. The jobs you are “creating and saving” require wealth creation in order to be sustained. Government does not create wealth producing jobs. It can only help create an environment in which these good jobs are created. You and your ilk are not creating this environment.
All wealth creating jobs are associated with products and services that are subject to competition and quality comparisons as well as features and cost factors and all the other market based considerations that go into the decision making process of a buyer. You need to consider adding some regular people to your advisory staff. Regular people who have competed in the marketplace and have examined a competitors product or service and who have bid against other competing firms and who have struggled to make a payroll, or hire a good engineer or technician or attended a meeting with a disgruntled customer or worked late into the night completing the release of a new product. These tasks are not taught at Harvard Business School or Columbia Law. They are learned in the workplace and they are learned through mistakes and through the able and dedicated example setting of older, wiser employees and employers who care.
So, as you blunder through another “creating and savings jobs” exercise, know this: The US of A is in a death struggle with other countries and other workers and other companies who care little about your PR schemes and made for TV announcements and political shenanigans. These people are capturing the technical capability of producing high quality products and services with advanced processes and materials and selling them to markets around the world. They are not worried about whether a labor union will object to a wage cut or pension cut or factory closing or the manner in which a production line is diagramed.
All you have done is support non competitive voters in various union jobs around the country. You have provided UAW and AFSCME members with the false prophecy of your schemes. You have provided countless non productive bureaucrats and government employees of all forms with a few more paychecks. You continue to kick the can down the road. The destination is not hope; not audacity; not good times and, most certainly, not wealth creation.
You are wasting the public treasury for feel good schemes that will only accomplish the temporary fix of your limited objectives of “saving or creating jobs.” You need to stop wasting the public treasury and help America get back its competitive energy; its wealth creation machine and that means you need to embrace real change.
Mr. Obama, the 600,000 jobs you “are saving” are not wealth creating/wealth producing jobs. They are wealth destroying jobs. The jobs you are “creating and saving” require wealth creation in order to be sustained. Government does not create wealth producing jobs. It can only help create an environment in which these good jobs are created. You and your ilk are not creating this environment.
All wealth creating jobs are associated with products and services that are subject to competition and quality comparisons as well as features and cost factors and all the other market based considerations that go into the decision making process of a buyer. You need to consider adding some regular people to your advisory staff. Regular people who have competed in the marketplace and have examined a competitors product or service and who have bid against other competing firms and who have struggled to make a payroll, or hire a good engineer or technician or attended a meeting with a disgruntled customer or worked late into the night completing the release of a new product. These tasks are not taught at Harvard Business School or Columbia Law. They are learned in the workplace and they are learned through mistakes and through the able and dedicated example setting of older, wiser employees and employers who care.
So, as you blunder through another “creating and savings jobs” exercise, know this: The US of A is in a death struggle with other countries and other workers and other companies who care little about your PR schemes and made for TV announcements and political shenanigans. These people are capturing the technical capability of producing high quality products and services with advanced processes and materials and selling them to markets around the world. They are not worried about whether a labor union will object to a wage cut or pension cut or factory closing or the manner in which a production line is diagramed.
All you have done is support non competitive voters in various union jobs around the country. You have provided UAW and AFSCME members with the false prophecy of your schemes. You have provided countless non productive bureaucrats and government employees of all forms with a few more paychecks. You continue to kick the can down the road. The destination is not hope; not audacity; not good times and, most certainly, not wealth creation.
You are wasting the public treasury for feel good schemes that will only accomplish the temporary fix of your limited objectives of “saving or creating jobs.” You need to stop wasting the public treasury and help America get back its competitive energy; its wealth creation machine and that means you need to embrace real change.
Monday, June 8, 2009
Enumerated Powers
The Constitution of the United States specifically limits the Congress to certain enumerated powers as stated in Article I, Section 8. The Constitution of the United States does not empower government; it limits government to stated activities. This section is very important in defining and differentiating our country and is presented below. All Americans should be familiar with the stated powers. All other powers belong to the people and the states. Further, the first ten amendments to the Constitution specifically limit governments ability to infringe upon the rights of the people. These latter issues will be covered in a subsequent posting.
Article I, Section 8
The Congress shall have Power To lay and collect Taxes, Duties, Imposts and Excises, to pay the Debts and provide for the common Defence and general Welfare of the United States; but all Duties, Imposts and Excises shall be uniform throughout the United States;
To borrow Money on the credit of the United States;
To regulate Commerce with foreign Nations, and among the several States, and with the Indian Tribes;
To establish an uniform Rule of Naturalization, and uniform Laws on the subject of Bankruptcies throughout the United States;
To coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures;
To provide for the Punishment of counterfeiting the Securities and current Coin of the United States;
To establish Post Offices and post Roads;
To promote the Progress of Science and useful Arts, by securing for limited Times to Authors and Inventors the exclusive Right to their respective Writings and Discoveries;
To constitute Tribunals inferior to the supreme Court;
To define and punish Piracies and Felonies committed on the high Seas, and Offences against the Law of Nations;
To declare War, grant Letters of Marque and Reprisal, and make Rules concerning Captures on Land and Water;
To raise and support Armies, but no Appropriation of Money to that Use shall be for a longer Term than two Years;
To provide and maintain a Navy;
To make Rules for the Government and Regulation of the land and naval Forces;
To provide for calling forth the Militia to execute the Laws of the Union, suppress Insurrections and repel Invasions;
To provide for organizing, arming, and disciplining, the Militia, and for governing such Part of them as may be employed in the Service of the United States, reserving to the States respectively, the Appointment of the Officers, and the Authority of training the Militia according to the discipline prescribed by Congress;
To exercise exclusive Legislation in all Cases whatsoever, over such District (not exceeding ten Miles square) as may, by Cession of particular States, and the Acceptance of Congress, become the Seat of the Government of the United States, and to exercise like Authority over all Places purchased by the Consent of the Legislature of the State in which the Same shall be, for the Erection of Forts, Magazines, Arsenals, dock-Yards, and other needful Buildings;--And
To make all Laws which shall be necessary and proper for carrying into Execution the foregoing Powers, and all other Powers vested by this Constitution in the Government of the United States, or in any Department or Officer thereof.
Article I, Section 8
The Congress shall have Power To lay and collect Taxes, Duties, Imposts and Excises, to pay the Debts and provide for the common Defence and general Welfare of the United States; but all Duties, Imposts and Excises shall be uniform throughout the United States;
To borrow Money on the credit of the United States;
To regulate Commerce with foreign Nations, and among the several States, and with the Indian Tribes;
To establish an uniform Rule of Naturalization, and uniform Laws on the subject of Bankruptcies throughout the United States;
To coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures;
To provide for the Punishment of counterfeiting the Securities and current Coin of the United States;
To establish Post Offices and post Roads;
To promote the Progress of Science and useful Arts, by securing for limited Times to Authors and Inventors the exclusive Right to their respective Writings and Discoveries;
To constitute Tribunals inferior to the supreme Court;
To define and punish Piracies and Felonies committed on the high Seas, and Offences against the Law of Nations;
To declare War, grant Letters of Marque and Reprisal, and make Rules concerning Captures on Land and Water;
To raise and support Armies, but no Appropriation of Money to that Use shall be for a longer Term than two Years;
To provide and maintain a Navy;
To make Rules for the Government and Regulation of the land and naval Forces;
To provide for calling forth the Militia to execute the Laws of the Union, suppress Insurrections and repel Invasions;
To provide for organizing, arming, and disciplining, the Militia, and for governing such Part of them as may be employed in the Service of the United States, reserving to the States respectively, the Appointment of the Officers, and the Authority of training the Militia according to the discipline prescribed by Congress;
To exercise exclusive Legislation in all Cases whatsoever, over such District (not exceeding ten Miles square) as may, by Cession of particular States, and the Acceptance of Congress, become the Seat of the Government of the United States, and to exercise like Authority over all Places purchased by the Consent of the Legislature of the State in which the Same shall be, for the Erection of Forts, Magazines, Arsenals, dock-Yards, and other needful Buildings;--And
To make all Laws which shall be necessary and proper for carrying into Execution the foregoing Powers, and all other Powers vested by this Constitution in the Government of the United States, or in any Department or Officer thereof.
Wednesday, June 3, 2009
House of Saud meet the House of Cards
Why is BHO going to Saudi Arabia?
Why are Nancy and Timmy in Beijing?
Why isn’t Joe going anywhere?
What do they have in China besides lots of people and American Dollars to lend?
What do have in SArabia besides lots of sand, oil and American Dollars to lend?
What do the two places have in common?
American Dollars to lend.
Now you know why they are there.
But why now?
What could possibly motivate the "leader of the most powerful nation" to show up on the doorstep of SArabia now? Does he want to bow a bit lower this time? Is he looking to try on a robe and turban? That would be a great photo opportunity.
What’s with the beard of stopping off in Egypt?
Here’s a transcript of a recent call between the White House (WH) and the King (SA):
WH: Hey King, how about we get together and chat a bit about the price of oil and the fact that we don’t have any money?
SA: Sure, you’re always welcome here.
WH: Well, we were thinking of sending Joe or maybe you could come here.
SA: Joe who?
WH: Okay. We’ll send Nancy as soon as she gets back from Beijing. Or, maybe you could swing by in the next 48 hours because our treasury auctions are not going very well.
SA: (silence)
WH: Okay. Let me free up some schedule time. How about tomorrow?
SA: Make it next week and practice your curtseying. The bowing was a bit silly and it appeared that you may have been doing something else. And stop off in Jordan or Egypt or Somalia and make it appear that you are not so desperate. We’re getting a lot of grief around here about why we always bail you out. And don’t be bringing those silly boys (Diplomatic aside - this terminology is now the accepted label for Messrs. Geithner, Bernanke and Orszag) with you this time.
WH: Sure thing. Anything you say. See you next week. Hey, do you need a few Cadillac’s? They are going to be a lot smaller in the future so you may want some that accommodate your size. (BHO aside - "Uh oh, I probably shouldn’t have said that.") I can get you a deal.
WH: Hello... hello. What’s going on? I should probably be reading from a teleprompter from now on. Hello. (Assistant aside – “They hung up a few minutes ago.”)
Why are Nancy and Timmy in Beijing?
Why isn’t Joe going anywhere?
What do they have in China besides lots of people and American Dollars to lend?
What do have in SArabia besides lots of sand, oil and American Dollars to lend?
What do the two places have in common?
American Dollars to lend.
Now you know why they are there.
But why now?
What could possibly motivate the "leader of the most powerful nation" to show up on the doorstep of SArabia now? Does he want to bow a bit lower this time? Is he looking to try on a robe and turban? That would be a great photo opportunity.
What’s with the beard of stopping off in Egypt?
Here’s a transcript of a recent call between the White House (WH) and the King (SA):
WH: Hey King, how about we get together and chat a bit about the price of oil and the fact that we don’t have any money?
SA: Sure, you’re always welcome here.
WH: Well, we were thinking of sending Joe or maybe you could come here.
SA: Joe who?
WH: Okay. We’ll send Nancy as soon as she gets back from Beijing. Or, maybe you could swing by in the next 48 hours because our treasury auctions are not going very well.
SA: (silence)
WH: Okay. Let me free up some schedule time. How about tomorrow?
SA: Make it next week and practice your curtseying. The bowing was a bit silly and it appeared that you may have been doing something else. And stop off in Jordan or Egypt or Somalia and make it appear that you are not so desperate. We’re getting a lot of grief around here about why we always bail you out. And don’t be bringing those silly boys (Diplomatic aside - this terminology is now the accepted label for Messrs. Geithner, Bernanke and Orszag) with you this time.
WH: Sure thing. Anything you say. See you next week. Hey, do you need a few Cadillac’s? They are going to be a lot smaller in the future so you may want some that accommodate your size. (BHO aside - "Uh oh, I probably shouldn’t have said that.") I can get you a deal.
WH: Hello... hello. What’s going on? I should probably be reading from a teleprompter from now on. Hello. (Assistant aside – “They hung up a few minutes ago.”)
Tuesday, June 2, 2009
Just the facts, ma'am
Some time ago there was a TV cop series set in Los Angeles starring Jack Webb in the role of Detective Joe Friday. Joe’s favorite line, when questioning witnesses about a crime, is noted in the title to this essay.
Keeping with Joe’s no-nonsense approach to dealing with crimes and criminal activities, TheFundamentals brings to you some very important facts as reported by USA Today on May 29, 2009.
Here are the facts:
Each household in the US of A is responsible for debt totaling $668,621.00. Of that debt, each household is personally responsible for $121,953.00 in the form of their mortgages, consumer debt and other obligations. The remaining and bulk of the debt is $546,668.00 and yes, you guessed it, you may thank the wonderful geniuses in Washington, DC for your households portion of commitments for Medicare, Social Security, Federal Debt, Military and Civilian retirement programs and other commitments. Read the entire story at http://www.usatoday.com/news/washington/2009-05-28-debt_N.htm
TheFundamentals refers to this situation as promiscuous financial behavior. Just as promiscuous sexual behavior will lead to ruined lives because of both physical and emotional consequences so will promiscuous financial behavior lead to ruined lives. No one; no family; no household; no business; no government, even with the ability to print currency, can withstand the burden of this level of debt.
What to do about it?
The government of Germany is about to pass a constitutional amendment that will, for all intents and purposes, ban deficit spending. If government insists on continuing promiscuous financial behavior it will be forced to collect taxes necessary to pay the bills. Otherwise, unless the politicians wish to commit political suicide, they will be forced to curtail spending to levels set in the constitutional amendment.
The party out of power in the US of A needs to employ a German translator ASAP. The party out of power needs to introduce and start the mechanisms necessary to passing a constitutional amendment that outlaws deficit spending in the US of A.
Those are the facts. Add up the value of your households assets. If they are less than $668,000.00, your household is insolvent, at least from the viewpoint of a lender. You may or may not be concerned about this situation but a lender is quite concerned about the situation. Whenever you hear a politician or a bureaucrat describing the “credit crisis” they are misleading you. There is no credit crisis. Lenders just are not about to make loans to insolvent households.
You now have the facts. And, you now have the solution.
Keeping with Joe’s no-nonsense approach to dealing with crimes and criminal activities, TheFundamentals brings to you some very important facts as reported by USA Today on May 29, 2009.
Here are the facts:
Each household in the US of A is responsible for debt totaling $668,621.00. Of that debt, each household is personally responsible for $121,953.00 in the form of their mortgages, consumer debt and other obligations. The remaining and bulk of the debt is $546,668.00 and yes, you guessed it, you may thank the wonderful geniuses in Washington, DC for your households portion of commitments for Medicare, Social Security, Federal Debt, Military and Civilian retirement programs and other commitments. Read the entire story at http://www.usatoday.com/news/washington/2009-05-28-debt_N.htm
TheFundamentals refers to this situation as promiscuous financial behavior. Just as promiscuous sexual behavior will lead to ruined lives because of both physical and emotional consequences so will promiscuous financial behavior lead to ruined lives. No one; no family; no household; no business; no government, even with the ability to print currency, can withstand the burden of this level of debt.
What to do about it?
The government of Germany is about to pass a constitutional amendment that will, for all intents and purposes, ban deficit spending. If government insists on continuing promiscuous financial behavior it will be forced to collect taxes necessary to pay the bills. Otherwise, unless the politicians wish to commit political suicide, they will be forced to curtail spending to levels set in the constitutional amendment.
The party out of power in the US of A needs to employ a German translator ASAP. The party out of power needs to introduce and start the mechanisms necessary to passing a constitutional amendment that outlaws deficit spending in the US of A.
Those are the facts. Add up the value of your households assets. If they are less than $668,000.00, your household is insolvent, at least from the viewpoint of a lender. You may or may not be concerned about this situation but a lender is quite concerned about the situation. Whenever you hear a politician or a bureaucrat describing the “credit crisis” they are misleading you. There is no credit crisis. Lenders just are not about to make loans to insolvent households.
You now have the facts. And, you now have the solution.
Monday, June 1, 2009
Taxing Times
Free at last…
There is an outfit called the Tax Foundation that produces some very interesting numbers about taxes. You can visit them at www.taxfoundation.org
Spend some time there and you will learn about your country and its addiction to increasing the tax burden on its citizens. Their statistics go back to the beginning of the 20th century. In 1909 we learn that an American had to work 19 days in order to earn enough to pay their taxes. So, the tax freedom day in 1909 was January 19. After that date Americans workers were working for themselves and their families. Back then, Americans were paying 4.9% of their income for taxes. That percentage is the lowest recorded in the last 109 years.
By 1918 the percentage of income paid in taxes had risen to 10% and it stayed in that range until 1929. Then it started to move upward big time. It seems that government uses periods of economic turmoil to take even more money from their citizens. And, it also seems that once it gets the money, it keeps taking the money at the higher rate. What is it about politicians and bureaucrats that cause them to want more and more of our money? Is it a disease? Is it a syndrome? Is it a psychological failing? Something that happened in their early years? Is it chromosomal? Is it a chemical imbalance? Is it a form of criminal tendency? Is it like animals in the zoo? What can explain this phenomenon?
By WWII the percent had risen to 20.9% in 1942 and 24.9% by 1947. Now we’re getting into the contemporary tax burden experience. In 1962, the percentage was 27.7% and it rose to 30.8% in 1969 and reached an all time high of 33.6% in 2000. In 2000, the average American worked until May 3 to pay their taxes. Slipped back in the last few years to the low 30’s and you can guess where it is headed. By the way, the report points out that in 2009 Americans will pay more in taxes than they spend on food, clothing and housing combined. What the heck has happened to our common sense? TheFundamentals wonders what the percentage paid by the colonists in 1775 was that upset them enough to upset the scheme of things? 30%? Doubt it!
Click on http://www.taxfoundation.org/files/sr165.pdf to see the entire report. If you are prone to depression TheFundamentals suggests that you avoid this site. In any event, TheFundamentals cannot accept any responsibility for your mental/physical state after reviewing the document.
Thank you to the Tax Foundation for their work in documenting this sad tale of governmental abuse and citizenry subjugation.
Free at last. NOT.
There is an outfit called the Tax Foundation that produces some very interesting numbers about taxes. You can visit them at www.taxfoundation.org
Spend some time there and you will learn about your country and its addiction to increasing the tax burden on its citizens. Their statistics go back to the beginning of the 20th century. In 1909 we learn that an American had to work 19 days in order to earn enough to pay their taxes. So, the tax freedom day in 1909 was January 19. After that date Americans workers were working for themselves and their families. Back then, Americans were paying 4.9% of their income for taxes. That percentage is the lowest recorded in the last 109 years.
By 1918 the percentage of income paid in taxes had risen to 10% and it stayed in that range until 1929. Then it started to move upward big time. It seems that government uses periods of economic turmoil to take even more money from their citizens. And, it also seems that once it gets the money, it keeps taking the money at the higher rate. What is it about politicians and bureaucrats that cause them to want more and more of our money? Is it a disease? Is it a syndrome? Is it a psychological failing? Something that happened in their early years? Is it chromosomal? Is it a chemical imbalance? Is it a form of criminal tendency? Is it like animals in the zoo? What can explain this phenomenon?
By WWII the percent had risen to 20.9% in 1942 and 24.9% by 1947. Now we’re getting into the contemporary tax burden experience. In 1962, the percentage was 27.7% and it rose to 30.8% in 1969 and reached an all time high of 33.6% in 2000. In 2000, the average American worked until May 3 to pay their taxes. Slipped back in the last few years to the low 30’s and you can guess where it is headed. By the way, the report points out that in 2009 Americans will pay more in taxes than they spend on food, clothing and housing combined. What the heck has happened to our common sense? TheFundamentals wonders what the percentage paid by the colonists in 1775 was that upset them enough to upset the scheme of things? 30%? Doubt it!
Click on http://www.taxfoundation.org/files/sr165.pdf to see the entire report. If you are prone to depression TheFundamentals suggests that you avoid this site. In any event, TheFundamentals cannot accept any responsibility for your mental/physical state after reviewing the document.
Thank you to the Tax Foundation for their work in documenting this sad tale of governmental abuse and citizenry subjugation.
Free at last. NOT.
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