Excerpts from the
Declaration of Independence
July 4th, 1776
The Rally for Our Cause!
"When in the Course of human events, it becomes necessary for one people to dissolve the political bands which have connected them with another . . . We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain unalienable Rights, that among these are Life, Liberty and the pursuit of Happiness. That to secure these rights, Governments are instituted among Men, deriving their just powers from the consent of the governed . . . That whenever any Form of Government becomes destructive of these ends, it is the Right of the People to alter or to abolish it, and to institute new Government, laying its foundation on such principles and organizing its powers in such form, as to them shall seem most likely to effect their Safety and Happiness . . . But when a long train of abuses and usurpations, pursuing invariably the same Object evinces a design to reduce them under absolute Despotism, it is their right, it is their duty, to throw off such Government, and to provide new Guards for their future security."
Are we not at such a crossroads in our country once again?
No one wins elections on raising taxes on the majority of the electorate. During the Clinton administration we had higher tax rates at all income levels and a booming economy that resulted in a temporary surplus. With the "Internet Bubble" bursting and 911 ensuing soon thereafter, the nation was in economic trouble. President Bush's tax cuts across the board took effect to initiate the beginning of the massive run up of runaway deficit spending. Even after the economy recovered and came to another boiling point as a result of the housing boom peaking from 2005-2007, we still were in a deficit spending pattern due to the tax breaks. That being said, the Federal Spend in 2006 was just 2.66 trillion and just 6 years later our Federal Government will spend an estimated 3.8 trillion in 2012. That's a a 43% increase! But it is what ensued thereafter that revealed what was the root cause of what was going on behind the scenes and is what caused our economic and governance woes.
In late 2007 the "Housing Bubble" burst and by 2010 homes values had dropped up to 50% in value. So what inflated the bubble?
On the surface it may have appeared to be a free market reaction to unsustainable and unprecedented rise in housing prices of 10-20% per year for several years, but the inflation of the bubble was extended and extorted in several ways. First, "Stated Loans" or loans requiring little to no proof of actual income were being issued at unprecedented levels. Second, mortgage brokers, real estate agents and banks all profited off the system in place that provided a rich payoff in 30 - 45 days, all with little to no risk. This same system is still in place minus the stated loans. There is not necessarily anything wrong with this, but it is was the stated loans paired with a third, unseen factor, Credit Default Swaps that contributed to our national debt and wreaking of havoc on our economy.
This all reminds me of the movie "Envy" with the product "Vapoo Rise." The product in the movie worked by simply spraying dog poop and the poop would instantly evaporate into the air. In the movie, people loved the product and sales soared, but then people began to ask "Where's the poop go?" This also reminds me of a neighbor of mine that rather than pick up poop in the living room they sprayed it with Lysol! They would not even take the dog out to go! Well, poop happens as does loss in real estate loans and values. But this tangent does have a point and end as it exposes the stinky poop that was going on behind the scenes that was employed by the banks and SuperRich investors.
For the real estate boom to continue and not burst, loan bundles were sold off in packages of 1000's. This is where the "Vapoo Rise" of mortgage loans came into play. Credit Default Swaps were insurance on these toxic bundles of mortgage loans. But when the poop hit the fan in late 2007-2008, the money was not there to insure the avalanche of defaults. In fact the credit default insurance never had any real chance to cover the losses that normal insurance policies have in place. This was a case where GREED HAD RUN WILD AND GONE A BIT CRAZY AS WELL!
So finally, perhaps the BIGGEST PYRAMID SCHEME OF MODERN HISTORY came to and end as it was exposed. But rather than those that bilked billions to trillions from the scheme being held accountable, they got BAILED OUT, to the tune of 700 Billion!
But beyond the 700 Billion Dollar Bailout, all this rocked the entire economy to the core. Homes prices dropped by 30-50% in 2-3 years and the unemployment rate rose from 5% to over 10% by 2010. The government reaction was to raise Federal spending by 27% (2008 - 2012). All this was done with tax revenues declining, thus creating the record deficit spending run of 1.3-1.4 trillion per year.
So the SuperRich, banks and politicians supposed to be protecting us from such corruption all got off with not much more than a hand slap. But why now do we still give our trust in our banks, the SuperRich and politicians that got us into this mess? Do we really think anything has changed? The Fiscal Cliff debacle is real and valid proof that nothing has changed and nothing is about to change.
POLITICS AS USUAL AND UNCHECKED, UNREGULATED, DEVIOUS AND DANGERROUS BEHAVIOR BY THE SUPERRICH AND POWERFUL MUST END!
Solving our biggest problems will require an engine overhaul and a recasting of staff to do the work. Leadership of the future must adhere to serving the goodwill of a government as it was intended to be "Of the people, by the people and for the people."
IF WE THE PEOPLE CONTINUE TO ENABLE THIS DYSFUNTIONAL BEHAVIOR, OUR COUNTRY IS CERTAIN TO COLLAPSE DUE TO SUCH COMPROMISES!
CNN Money
View chart displaying public debt of the United States 1990 - 2012 (in billion U.S. dollars)
AND/OR
Now more than ever!
We need to be a
NATION OF INNOVATION!
THE STATUS QUO MUST GO!
COMPROMISE & CORRUPTION
BLOCK the very INNOVATION
WE NEED to solve our problems.
A conservative, smaller, reformed and innovative government.
Our National Debt is a Threat that must be Met!
Why fret about our national debt?
> Minting money by the FED devalues the dollar!
> Our government spends more on interest and less on serving citizens!
> If our debt level rises much further our credit rating could go higher!
All of this robs MOST, while enriching and benefiting only those that have BIG MONEY to leverage it. Who does this? BIG banks, corporations and BIG MONEY!
The FED must eventually ease stimulus and when it does we may see 2009 again!
So how in the world did we reach this point of insolvency?
Site founded by Randy Smith with the purpose of sparking REAL CHANGE thru REAL SOLUTIONS. All rights reserved, 2013.
CNBC - The Santelli Exchange, September 25, 2013
watch video or read transcripts below:
Harry Reid on the debt limit
March 16, 2006
“Any objective analysis of our country’s fiscal policy history would have to conclude this administration & this rubber stamping Republican Congress are the most fiscally irresponsible in the history of our country.”
New York Times
Rick Santelli: "Not Just the Democrats . . ."
Grassley on the debt limit
March 16, 2006
“. . . an increase in the debt limit to 8.97 trillion was essential to preserve “the full faith & credit of the federal government.”
New York Times
Rick Santelli: "What are they saying now? Hypocrisy on both sides of the aisle."
Senator Coburn on the debt limit
March 16, 2006
“We don’t have too little money
“We don’t have too little money in the government. What we have is not enough will to cut spending or reform the programs.”
New York Times
Rick Santelli: “You know what I like consistency. Right now we have Cruz still talking. Whether you think it’s going to make a difference. Whether you think it’s theatrics. One thing I think it is. At least we know where he stands. He’s standing on principle whether you agree with him or not. And one final note . . .
Moody’s on the debt limit
September 24, 2013
“ . . . a debt ceiling impasse & a government shutdown are unlikely to affect the U.S. sovereign rating because the agency is focused on the long-term debt outlook.”
Reuters
CitizensReUnited
"A Game of Politics and Blame vs. Focus on Solutions and Root Causes of Problems"
Also watch Santelli's September 19 video below look at 'wimpy' economy and perspective of the national debt per person.
