Surviving the Managed Economy

Government debt currently requires the imposition of low interest rates. The Federal Reserve has increased the money supply by 450% over the past few years and this normally turns into inflation.  High unemployment and declining household incomes are keeping the printed money from becoming inflation.  The velocity of money is low. We saw “stagflation” in the 1970s as government paid off the 1960s debts by debasing the dollar.  Now we have “stagnation”. Moves toward raising interest rates while our federal debt is still high will divert tax dollars and force reduced federal spending or higher taxes. The free market cannot operate under these conditions.

In short, if we don’t reduce federal government spending and pay down our debt now, we will suffer the inflation that will accompany a “recovery”. You won’t enjoy the “recovery”.

Our favorite way to do that is to make the federal government give up all of its unconstitutional activities and send these functions to the States and the People.  Striping down the federal government to its “enumerated powers” will allow us to begin to pay off the national debt. Our states already have departments that duplicate the federal unconstitutional departments. These unconstitutional activities caused the debt in the first place.

State legislatures won’t be anxious to do this, because they are receiving grants to states, federal bribes designed to keep states in tow. These grants are as big as entire state budgets. States will need to figure out what bribes they can afford to do without before pulling the plug on any of them. This needs to be done carefully and in the right order.

Some federal departments are just useless to us.  Energy should close and send its nuclear power oversight back to the DOD.  Education can close if states are ready to give up federal education bribes in trade to shed its bureaucracy. HUD should close because it endangers local zoning rights. The EPA should close because it is using “junk science” to promulgate its regulations. Transportation should close and leave the Interstate to the states. The Interior should close and give federal lands back to the states.  The states should sell this federal land to be put to productive use. Labor should close. We should quit the UN.

HHS will need to dismantle Obamacare after it is repealed. The State Department will need to be cut.  Commerce will need to be cut or removed. Loans from Sallie Mae, Freddie Mac and Fanny Mae will need to be sold to private lending firms. FDA, NIH and Climate grant funders should be closed.

Homeland security should close TSA and let the airlines handle security.  FEMA should close and leave it to the states. All intelligence agencies and border protection should report to the DOD.

All federal grants and subsidies should cease.  All immigration should cease. Immigration will be left with mopping up and deporting those who are not here legally and streamlining the business visa process for fully vetted corporations.

The Supreme Court will be left hearing only cases that involve enumerated powers. Most Federal courts could close. We will need to keep the Fed until the debts are paid, then close it.  The State Supreme Courts will render the final opinions on most cases.

The federal government should plan to exit its involvement in healthcare and education aimed at handing it back to the People.

Campaign finance needs to be reformed so that only registered voters can make contributions and only to those who will be on their ballots. Special interests will need to promote their own agendas on their own websites.

We need to protect industries that are necessary for defense. Trade agreements may need to be amended or cancelled and Tariffs may need to be applied to manufactured goods to ensure that potential defense goods would be available as needed.

The U.S. Constitution (as written) should be adhered to and laws repealed that involve past erroneous Supreme Court interpretations. New law would need to be enacted to clarify the accurate original intent of the Constitution. 

Norb Leahy, Dunwoody GA Tea Party Leader