Thursday, August 25, 2011

Our National Debt

Here's a link to a very interesting summary of our national debt. http://www.businessinsider.com/to-whom-does-the-us-government-really-owe-money-2011-3 The heart of this article is the pie chart showing to whom the debt is owed.



 Notice first that 68% of the debt is owed to Americans in one form or another. The largest category by far is American individual and institutional investment in America. Much of this investment is through private retirement funds.

But one of the most interesting figures is the 17.9% owed to the Social Security Trust Fund. That fund is fed by the Social Security taxes levied against American incomes. Why should the US owe money to that Fund. The answer, of course, is that the Bush Administration borrowed from the Fund in order to finance wars. So is Social Security really the problem? Basically, the money was stolen from you and I and now the conservative side of our government doesn't want to pay it back.

Thursday, August 18, 2011

For Those Who Hate the Federal Government

First of all, it's just way too easy to blame all our problems on the Federal government. It's the one big thing out there that you can easily throw stones at. But if you succeed in shrinking it to oblivion, will you be happy? I doubt it very much.

One of the oft-sited reasons is just wanting government off our backs. We want to do things ourselves. All of that is very dubious however. Do we really have the time (ourselves) to supervise drug and food safety, to help states finance highways and bridges, to monitor aircraft? The true answer must be that we just don't want any of these things done. 

If we do want things like this done, the haters of Federal government always turn to the idea that the states would do a better job. By what evidence do we really believe the states would do a better job? Every state I have lived in has embodied the age-old conflicts between rural interests and urban interests. It's the same old situation, government on top of us, dictating what will be done. Fleeing to the states is not the answer.

Fleeing to the states is the answer in only one important way for some haters of Federal power. It means that in their specific state environment they will be able to get more of what they want. If you hate the EPA, then you can hope that your own state will have nothing to do with environmental protection. Or you can hope that your own state will look the other way when it comes to your company's production of toxic chemicals for agricultural use. Or you can hope that your own state will have no interest in civil rights for minorities. If these people get their way (and they seem to be making remarkable progress), there will be nothing left of what we might call a national identity. Forget about seamlessly traveling from one state to another. You will have to be aware of every state's disposition toward A, B, or C. Kinda makes you want to stay at home.