October 18, 2009
In American politics unintended consequences is a misnomer. The political inclination to take from Peter to pay Paul almost always meets with Paul’s approval, but damages to Peter are generally obscured by complexities of law. When caught red-handed the politicians generally proclaim Peter’s injuries to be unintended consequences. Rather than change the law to redress harm, politicians are prone to make laws even more complicated so that Peter will not become aware that he has been victimized.
Unintended consequences are a misnomer because the eventual outcomes of flawed policies can be perceived and are therefore predictable. The short term results of government sponsored free lunches are the reelection of its sponsors; but, the harm to victims cannot be readily quantified until after the damage is done. The shared power in a two party political system has resulted in a bidding war for votes. The interest of the individual and the nation suffers as a result. In a nutshell political incumbency becomes a higher priority than the national interest that is a contradiction to constitutional restraint.
U.S. tax and welfare laws are stuffed with contradictions and duplicity to make it almost impossible for victims to recover from legalized theft disguised as promoting public well being. For decades, opaque U.S. law has been employed to cover up unjustifiable redistributions of wealth between citizens in violation of the US Constitution.
CAPITALISM hasn’t failed! It hasn’t been given the chance to succeed. Politicians and the Federal Reserve pay lip service to encouraging individual savings by putting up substantial barriers to discourage that practice. DEBTISM, on the other hand, is actively promoted by example (the US government is by far the largest debtor in the universe). Arcane tax laws actively promote private and corporate debt. Savers and investors are penalized and debtors are rewarded by a tax system that is incomprehensible, even to its political creators. The vast majority of politicians have their own returns prepared by professionals.
The government and the banking system are compromising America’s future by accelerating failed policies that promote DEBTISM. Einstein has reportedly stated that compounding interest is the most powerful force in the universe. Were he alive today, I suggest Albert might believe that compounding deficits that produce perpetual debt is of equal or stronger power that insidiously destroys individual initiatives to save and preserve capital. Buy Now, Pay Later is a powerful incentive toward destruction.
According to David Walker, former US Comptroller, (appearing on C-Span October 10, 2009), the national debt including unfunded social insurance liabilities now exceed $63 TRILLION DOLLARS. Rather than tearing up the federal credit card and reducing spending, politicians are expanding entitlement (another misnomer) programs that are mired in financial quicksand.
Sheila Bair, FDIC chairman appearing on CNBC on October 13, 2009 stated that “banks will continue to fail at a pretty good clip through 2010”.
Chronic financial crises provide powerful evidence that the political system is broken and the trends toward a worthless currency and national insolvency are accelerating. The US government is insidiously destroying the republics it was constitutionally created to defend.
I strongly believe the only recourse to avoid irreversible harm to my country is for taxpaying citizens to file class action lawsuits that challenge the Constitutionality of US government tax and welfare laws. I would ante up in a heartbeat if I could gain credible support from others willing to put their money where their mouths are. If Obama’s proposed $250 COLA is approved by Congress, I’ll gladly contribute a multiple of that amount if others will help reclaim the power of an out of control government.
For the record: I am not a victim. I am a 73 year old retired Air Force Master Sergeant who is ashamed to be a part of the generation that bankrupted this great country. Please visit my website USPUBLICPOLICY.COM or google “Getting Ready for Hard Times” and “Principles of a Fair Tax System”.
John T Koraska