US Facing is Financial Ruin

We are facing financial ruin because we abandoned the free market and individual and family responsibility to adopt socialist policies.  The US government actually “had it made” before it decided to go socialist and take over everything. 

In the past, citizens were responsible for self-support and their families provided financial support when needed.  Churches and Charities provided education, hospitals and special services.  Government was responsible for limited functions like defense, courts, roads, bridges, sewer treatment and water supplies.  The individual citizen, family and free market were responsible for everything else.  The federal government followed the US Constitution (as written) and it worked. We had become the most prosperous country in the history of the world.

The genesis of these socialist policies started in the 1870s, when the federal government violated the Constitution by seizing land for National Parks rather than letting the States handle nature preservation. Now the federal government thinks it owns 1/3 of the US land mass. 

In 1913 the Congress created the Federal Reserve System and gave it authority over the money supply and interest rates to impose a managed economy. 

In the 1930s, the federal government imposed more controls designed to expand government authority over functions that were unconstitutional.  The free market and the family as the primary economic unit began to seriously unravel after 1950. The federal government began to usurp all powers that had previously resided with the States and the People.

In 1950, the US GDP was $300 billion and the federal government budget was 23% of GDP, but in 2014, the US GDP was $17.3 trillion and the federal government budget was 36% of GDP.

America 2020 by Porter Stansberry, in Part I of the book addresses Three Great Corruptions that are destroying America. They are the Corruption of Politics, the Corruption of Debt and the Corruption of Currency. Then he identifies the result: The Mutiny on the Dollar.

The Corruption of Politics shows how politicians have purchased votes by providing tax dollars for welfare programs and special interest subsidies and the crippling results of those policies. 

The Corruption of Debt shows how the federal government has overspent since 2000 to increase the US National Debt from $5 trillion to $18 trillion.

When bankers run the economy, they will make sure that they will have lots of revenue from debt and will remain unregulated while gambling at the derivatives and credit default swap gaming tables. The result is “trickle-up” redistribution of wealth.

The Corruption of Currency shows how the federal government unpinned the US dollar from gold and silver and abandoned “sound money” for a currency with no exchange value. Federal Reserve has debased the US dollar by increasing the money supply by 450% since 2008.

The Mutiny on the Dollar describes how other currencies are replacing the US dollar as the world’s reserve currency and sets up the US for a dollar crash.

Conclusions

Our high debt needs to be reduced to demonstrate that the US has an alternative to the sovereign debt default and dollar crash that will surely follow if we don’t show we can reduce our debt.

We need to prepare to export all the oil and natural gas we can to increase our exports by at least $500 billion a year.

We need to prepare for the financial “bubbles” to burst in the bond market and stock market that have been caused by excessive money printing by the Federal Reserve since 2000. 

We need to pay attention to the Greek sovereign debt default to see what’s in store for us unless we reverse our suicidal overspending.

Norb Leahy, Dunwoody GA Tea Party Leader