Friday, December 28, 2012

The Ten Year Plan



The Ten-Year Plan
Charlie Earl

By now you have detected that every proposed scheme for avoiding a fiscal collapse in the United States includes a long-term plan. They vary from the rather swift ten-year version to the more gradual 40-year solution. You also realize that the long-term proposals have been suggested and submitted for several decades. The logical conclusion is that long-term fiscal plans are obviously written on vapor. No meaning, no integrity….no matter…just ignore them because chicken lips have more value. You should know by now that if you truly value your life, you will never allow a politician to design your residential fire-escape plan. It would take up too much time, wouldn’t work and would lead you back into the inferno.

One of the advantages of being as old as I am is that I can remember the so-called glory days of the Soviet Union. The Politburo and the apparatchiks (bureaucrats) would set production goals for every sector of the Soviet economy, and would issue them in 5-year and ten-year plans. Those of us who lived in the prosperous land of the free would sneer at those plans because we knew they would be “revised.” We also understood that the plans were merely internal propaganda by the Marxist overlords to pacify the people. The plans and the production quotas were as bogus as their national leadership. Same as here in 21st Century U.S.A.

No Congress can bind the budget of a later one, therefore any plan or proposal for “getting to balance,” “deficit reduction,” or “debt retirement” is a scam. By 1990 many in the Soviet system had discovered that their political masters were blowing smoke, so how long will it take until the majority of Americans realize the Congressional/Administration budgets are mere illusions? Maybe they already sense it which may explain the massive rush to drain the treasury. They may have surmised that as the private sector dwindles in numbers and productivity, their rides on the gravy train will become less frequent. Their thought processes may go something like this: “Do the gettin’ while the getting’s still good.”

The government apologists and trained monkeys (sorry, government economists) claim that a too rapid decrease in government spending would volcanically affect the economy. In other words…fewer federal dollars would be flowing to government contractors, subsidized enterprises and entitled citizens thereby vastly decreasing the dollars circulating in the economy. In addition, they surmised, the radical displacement of government workers would place a greater stress on the unemployment and assistance services, thus accelerating the out flow of federal obligations. They may be right, but the gradual increase in government spending, the continual addition of new government employees, and the inexorable growth of government’s share of the economy will have the same long-term effect. The major difference is that with the instantaneous reduction, we may be able to preserve our liberties. The long-term method guarantees that our freedom will diminish. It’s a no-brainer for me, but if it’s a toss-up for you, then we have a problem, and I submit that YOU ARE the problem.

In my humble view our fiscal mess screams for the abrupt solution rather than a series of artificial plans and steps that lead to the same inevitable result but with ever-greater government power. Some things should be done slowly so one can savor the resulting product. Fiscal disaster, economic chaos and erosion of liberty are not on my short list of lingering outcomes. Other things should be completed quickly to minimize the pain and avoid their ultimate destruction. While there may be hypochondriacs among us, medical experts caution us about ignoring danger signals that could indicate potentially severe problems. The economic and prosperity of a nation are similar because to ignore the clues and avoid remedies could prolong the illness and place the life of the patient in jeopardy. Open wide and take your medicine….now!

Charlie Earl
  

No comments:

Post a Comment