Wednesday, September 5, 2012
The DNC Redux
Yeap, I watched the entire Democratic convention from the women who want abortion on demand at any stage of life to the elegant Michelle Obama who certainly knows how to deliver a speech, but I have heard it all before in 2008. I certainly understand why the faithful like her. But, it scared me in 2008, and it scares me more even now should Barack be reelected.
Reagan once said, "Government is not the solution, it is the problem". And his policies set off two decades of economic growth. Barack has become the antithesis of Reagan, and it seems liberals have become even more brazen in their views with Obama as the head of the party than any other leader. We heard a lot about investment. Investment in liberal speak is just another term for "more government spending."
Liberals (and I have many friends who are liberals) don't think deficits really matter. The 16 trillion deficit mark was reached last night during the DNC but not one word was mentioned. Before the dot-com crash, pundits were saying valuations don't matter. Before the housing crisis, pundits were saying house prices would never go down, Valuations always matter and bubbles always burst. So too, the deficit will come back to haunt us.
Pay attention to what is going on in Europe. In Spain after prolific spending and disastrous policies, the entire leftist party was thrown out on its rear end. It has reached the point in Spain that no matter who is in office he or she will be despised because the country has almost reached the point of no return. Capital and Employers are leaving Spain for fear the country might return to the Peseta. Unemployment has reached a staggering 25%, 50% among the youth. There is even a station I watch RTVE from Spain which is a government station that has been subsidized by the government since the days of Franco, and now they had to delay much of its better programming due to a 200 million Euro cut. Its austerity measures have also included cuts to its social safety nets, but we sit blindly by and watch it happen while we head down the road of the same fate. Grant it we will not return to another currency, but the unintended consequences of this debt will be disastrous if nothing is done. And, we may see throngs of people in the street rioting just like we see in Spain.
In a wealthy nation such as the United States we should be able to provide for the elderly, the disabled, the temporarily unemployed, and the temporarily impoverished. But, the error is assuming that government is the answer for every ill of society. Reagan had it right. This country will cease as a nation if we can't get our fiscal house in order. So, while we shower accolades over a failed president, discuss why government should be paying for contraception, debate why killing the unborn is such a necessity, and argue about a contrived war on women, we are headed towards a fiscal cliff from whence we may not be able to return.