Who Gets the Loot?

A quick post to get back into posting...

The extreme polarity that so many keep labeling the U.S.'s two dominant parties is a facade foisted on the American citizen to keep them focused on other things while the proverbial fox is plundering the chicken coop.  The sad truth is that, when it comes to fiscal responsibility, the real difference between the Democrat and Republican parties has nothing to do with the level of spending, only where the money will go.

Ron Paul says it like it is: "you can't have a budgetary solution if you don't change what the role of government should be. As long as you think we have to police the world and run this welfare state, all we are going to argue about is who will get the loot."

RNC Threatens Ron Paul

RNC Preempts Ron Paul Win in Nevada, Threatens to Shut Delegates Down

From the Las Vegas Sun....

RNC to NV GOP: Don’t let Ron Paul delegates take over national convention slots or don’t bother coming to Tampa

In a letter delivered Wednesday to GOP Chairman Michael McDonald, the RNC's chief counsel said if Ron Paul delegates are allowed to take too many slots for the national convention, Nevada's entire contingent may not be seated in Tampa.

Drone Use Takes Off on the Home Front

Awesome!  We have been looking for the next craze that will propel the economy out of our currenty bleak and dire circumstances and into a stage of unmitigated and steady growth...AND HERE IT IS. 

Yes, ladies and gentlemen, all the way from our own multi-trillion dollar military industrial complex, you wanted it, you got it, developed and perfected in all other countries to help with "security," the long awaited (sing to the tune of Born in the U.S.A. by Bruce Springsteen):

Drones in the U.S.A.
We got, Drones in the U.S.A.

http://online.wsj.com/article/SB10001424052702304331204577354331959335276.html

From the Wall Street Journal:

The University of North Dakota uses drones in connection with an undergraduate degree program in unmanned aircraft systems it started in 2009. Al Palmer, a university official involved in the program, said about 78 students have declared majors in the field and that graduates have found jobs with drone manufacturers or operators.

Wow, they even have majors in the field.  See!  Spying is good for the economy - "graduates have found jobs with drone manufacturers or operators."

And, don't forget, drones don't require the hassle of those non-sensical warrants.  See:

Drones Moving From War Zones To The Home Front

From NPR:

"public navigable airspace" were fair game, were not violations of the Fourth Amendment and didn't require a warrant.

So, get ready to be observed everybody...and remember, if you see something, say something.

Buffet Rule Ridiculousness

It is a sad state of affairs when the media is not even interested in fact-checking anything that comes out of the President's mouth.  OBFUSCATION, OBFUSCATION, OBFUSCATION!  That is all this is... "Let's focus on the 'rich' rather than telling everyone what the real problem is."  SPENDING!

From the Washington Times

The legislation would require people with incomes of more than $1 million to pay at least 30 percent in federal income taxes. It’s named for billionaire investor Warren Buffett, who says it’s not fair for him to pay a lower percentage of taxes than his secretary.

On the face of it, somehow this seems legitimate, especially with the Omaha billionaire tying his name to it.  But, let's look slightly beyond the surface... that is usually all it takes.

So, at 30%, if this legislation was to pass, let us compare the increased tax revenue to the current deficit.  Remember boys and girls, a deficit is the amount that was spent over and above what was generated through tax revenue.  In other words, we (United States) spent more than we made.

Here you can see that lo and behold, at 30% there is very little impact to that killer of economic viability, the deficit.

Let's see what happens if we taxed them (evil millionaires) at 50%.

Huh?  Not much impact at all.  The deficit (over spending) still appears to be greater than 1.2 trillion dollars.

How about at 75%... I know that is ridiculous, who would give 75% of their income to taxes?  Actually, during the Great Depression, the highest tax rates were for people making over $200k - they were taxed at a whopping 94%!!!  Additionally, it wasn't until the late eighties that the tax rate got down into the 30s.  Compare that with the first personal income taxe that was put into place under the Revenue Act of 1861/1862 - 3% for incomes over $600 and 5% for incomes over $10k - these were rescinded just 11 years later. (heavy sigh) Oh, the good old days. 

Now, let's get back to 75% of income.

Holy credit-crunch Batman!  If every person that made over $1 million paid 75% of their income in Federal taxes, we would still have a deficit (over spending) of about $1 trillion.

What about at 100%?  What if we said, "Hey, all you rich and privileged, above average, good looking, jet-setters... we want you to sacrifice this year.  You know that you can live off of savings alone... so, we want you to pay every dollar that you make to the Federal Government."

Jimminy Cricket!  WTH?!!!  This is insane!  The problem isn't millionaires being greedy!  The problem is over spending!  Isn't it obvious?  Never mind the facts - let's get on with creating a common enemy through class warfare!

Thanks to Global Economic Analysis for posting the widget for exploring the "Buffect Effect".

Debt Growing Faster Than GDP

Seriously, who did not see this coming?  Does it take a freaking financial genius to understand that if you spend more than you bring in... umm.... gee, I wonder what "surprises" are coming: (think Greece, Spain, Italy, Portugal...)  Perhaps, it just requires a complacent people to allow those who are in-the-know to violate and financially sodomize them into interest-bearing enslavement.  I see more shirts and bumper stickers declaring "Free Payton" than "$ Free America $."  Just sayin...

The U.S. is #1

This is an interesting little ditty by The Washington Examiner:

We’re No. 1: In highest corporate taxes

Quote:

Sen. John Barrasso, R-Wyo., chairman of the Senate Republican Policy Committee, has also been pressing for action on the tax rate. “Even Russia, at 20 percent, and China, at 25 percent, have lower rates than America does. The difference in tax rates means American companies are trying to compete with one hand tied behind their backs,” he said.

Now, I am not one to point the finger at any particular political party on this issue; I don't want to debate how this came about.  On the other hand, I often repeat this in discussions with people when discussing "corporate taxes," - CORPORATIONS DO NOT PAY TAXES.

I know what you are saying, "What?!!! What a dolt!!!  Of course they pay taxes - the article states they are paying more taxes than in any other nation."

But, I repeat, CORPORATIONS DO NOT PAY TAXES.  The focus on the source of funds is completely skewed - and with good reason.  If the Government can convince you that it is good to make these evil examples of capitalism pay their "fair share," then they don't have to reveal what pea the shell is under.

The truth of the matter, which should seem painfully obvious, is that it is not this independent entity that pays taxes, it is every citizen, business, and/or municipality that buys goods and/or services from the corporation that pays taxes.  Every tax on a corporation is reflected in the price of the good or service that is produced.

What the politicians don't want you to realize is that when they raise taxes on corporations (sometimes at the behest of the people) they are actually raising the prices of the goods sold and/or reducing outlays in dividends, R&D, hiring new employees, expanding operations, etc. 

Let's go to the man on the street:

Unassuming little guy: "Yeah!  Get those evil oil corporations for 'raking in the profits' like they do - that is not even fair."
Media talking head: "And this week in the news, gas prices up again."
Unassuming little guy: "What the... how come it costs so much to fill the tank?"

No, I am not suggesting that rising gas prices are only because of hiking taxes; it is just an analogy (don't get your undies in a wad).  The point is that companies exist to make money.  When their taxes go up, that impacts their bottom line and they raise prices for goods and services sold to account for the cost of doing business.

Bottom line: CORPORATIONS DO NOT PAY TAXES; PEOPLE PAY TAXES.  So, get mad!  Because, when they talk about taxing corporations, they are really talking about raising taxes on you!

FBI Suspcious Activity

The Feds are not only watching you, but they want you to watch others too.  Since the launch of the See Something, Say Something campaign by our Homeland Security, a series of flyers have been developed for particular genres of business.  These flyers provide bullet points on what is deemed "suspicious activity" for the genre of business in which they are directed.

For example, if you are the owner of a martial arts studio and someone comes in displaying:

• Interest in learning offensive moves in a confined space
• Interest in learning the use of hidden weapons

...then, according to the FBI, these are cues that this person is "suspicious" - you may want to say something. I'm going out on a limb here, but doesn't this describe 90% of people that decide to go to a martial arts class?  Aren't they interested in defending and protecting themselves in a confined space or the use of hidden weapons?  Oh, geez!

Hopefully, the FBI has already screened these:
Get Serious - Krav Maga
Russian Martial Arts - Confined Space Defense

 

Indeed, this looks very suspicious.

Perhaps, the FBI would be happier if we were all more like these guys:

Other types of businesses on the "Threat Areas" list include:

• Internet Cafes
• Tattoo Shops
• Paintball
• Hobby Shops

I guess displaying an interest in Psychiatry in the Military was not a consideration for the list.

Here is a link for the full list of 25 flyers that were sent out.  Take the dare and see if you find yourself somewhere on the list.  Do you refuse to have a credit card and insist on paying cash?  You are suspicious!

Bove on the $25 Billion Foreclosure Settlement

In what amounts to basic common sense, yet somewhat cynical, in our surreal Big Gov. and increasingly disconnected citizenry, Dick Bove comments on the $25 billion bailout pass-through to voters:

Link to ZeroHedge.com:
Dick Bove On The Foreclosure Settlement: There Is No Sanctity Of Contracts; Only Fools Meet Their Financial Commitments

"There is no sanctity of contracts in the United States. Only fools meet their financial commitments. The non-payers are the truly enlightened."

The Non-tax Tax: (Free) Cell Phones?

As with many Big Gov. implemented solutions to non-problems, billions are being spent on "free" cell phones to those that seemingly need them and cannot afford them by those that seemingly have them and can afford them.  Along with housing, food programs, welfare, unemployment, health care, tax "incentives" - Big Gov. is on a mission to make every citizen a needy recipient of an unending supply of handouts. Food, water, and shelter... ok... but, a cell phone?  Really?

As Time Magazine reports:

Last year, a federal program paid out $1.6 billion to cover free cell phones and the monthly bills of 12.5 million wireless accounts. The program, overseen by the FCC and intended to help low-income Americans, is popular for obvious reasons, with participation rising steeply since 2008, when the government paid $772 million for phones and monthly bills. But observers complain that the program suffers from poor oversight, in which phones go to people who don't qualify, and hundreds of thousands of those who do qualify have more than one phone.

Of course, as with everything else, ain't nothing in life that's free.  Along with other hidden taxes through fees and surcharges, this one will soon be raised for those that can seemingly afford it.  The slight-of-hand, where's-the-pea shell game of corporate taxes that we play, at first glance appears to be laid upon the backs of the big evil corps.  But, when the layers of obfuscation are peeled away and we shut off the drone of streaming media, we soon come to realize that corporations do not pay taxes - only people pay taxes.  Individuals always pay the taxes: through higher rates of services and increased prices of goods.

A tax or fee levied upon a corporation hurts no one but the consumer.  We need to stop the shell game and wake up.

On another note, I wonder how many "free" cell phones contributed to the unnecessary deaths
of citizens by people who were distracted while using it.  Just wondering... I doubt that Big Gov. will do a study on that.  Though, I'm sure fees for "free" cell phones are about to go up so that we can provide hands free devices for those that can't afford them.

Hands free cell phone usage recommended

Mortgage settlement could bring billions in relief - Feb. 9, 2012

Mortgage settlement could bring billions in relief - Feb. 9, 2012

Another facade to conceal the Big 5 banks to Fed to Treasury to Fannie and Freddie scam. "Oh, look everybody! We are putting our Big Govt. foot down to help the ignorant, delusional, prostrate people. Don't forget who pressured these evil corps come November. Super Pac? Uh... what is that... that video game from the 80s?"