Tuesday, November 10, 2009

The FAILURE of Government is Becoming More Apparent...

Liberals are misguided for a whole host of reasons, from their penchant for emotion over logic, to their being driven primarily by envy – fearing some “other guy” out there “has too much.” All of that leads Liberals to revile the private sector and its “vile profit motive,” and to embrace government as the “best possible solution to most problems."

Liberalism’s favorite mantra, “People before profits,” in effect turns Reaganism on its head. While Ronald Reagan famously said, “Government isn’t the solution, government IS the problem,” contemporary Liberalism says in effect, “Profit is the problem and government is the cure.”

Unfortunately for Liberals, Reagan’s legacy pretty much proves that wrong. In January, 1981 Ronald Reagan inherited the real "worst U.S. economy since the Great Depression," with rising unemployment and high inflation rates wreaking havoc. When he took office, the Misery Index (the combined inflation and unemployment rates) stood at 21 (20.8) with an inflation rate of 13.6% and an unemployment rate of 7.2%, at the end of Reagan's first year the Misery Index was dropped to 18 (17.97) with an inflation rate of 10.3% and an unemployment rate of 7.6 AND the Supply Side policies that administration brought in continued to drop the Misery Index and improve the economy over the next five years until the Misery Index reached single digits for the first time in 14 years! By 1986, the Misery Index hadn't seen single digits since 1972.

Compare that to the current administration which inherited a Misery Index of 9.61, the highest since 1993 (9.87). The unemployment rate when Barack Obama took office was 7.6%, the highest it had been since September of 1992.

Of course it now stands at 10.2%, the highest its been since April of 1983!

We’re moving in the WRONG direction!

While Reagan’s Supply Side policies improved the economy that first year, the Keynesian policies of the Obama administration have only worsened this one.

Worse yet, the failure of government is looking more and more systemic!

California just ran out of money and added a 10% income tax surcharge to its already punishing tax burden.

Now New York’s Governor David Paterson say that New York State will be bankrupt before Christmas!

If government is “the cure,” it’s certainly looking like a lethal one!

"We're going to run out of cash in four and a half weeks. We are going to run out of money. Unless we do something about it, (it will) threaten generations," Paterson said.

And that statement has triggered a showdown between the Governor and the NY State Legislature.

The governor says $3.2 billion in cuts must be enacted immediately. The cuts he’s proposed range from $500 million in agency spending to over $1 billion in already committed in aid to school districts and hospitals.

"I will mortgage my political career, but I will not mortgage the fate of the State of New York," Paterson said.

The governor has ordered lawmakers into special session Tuesday to close the budget gap. Right now there’s no agreement and he could twist some legislative arms by keeping them here until an agreement is reached. Of course, New York’s ultra-Liberal legislature’s immediate agenda includes bills to legalize gay marriage, toughen drunk-driving laws and reform the state's public authorities.


Anybody HOME???

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