Richardcyoung.com

The Online Home of Author and Investor, Dick Young

  • Home
  • How We Are Different
  • About Us
    • Foundation Principles
    • Contributors
  • Investing
    • You’ve Read The Last Issue of Intelligence Report, Now What?
  • Your Survival Guy
  • The Great Reset
  • COVID-19
  • My Rifles
  • Dividends and Compounding
  • Your Security
  • The Swiss Way
  • Dick Young
  • Debbie Young
  • Key West
  • Paris
  • Dick’s R&B Top 100
  • Liberty & Freedom Map
  • Bank Credit & Money
  • Your Survival Guy’s Super States
  • NNT & Cholesterol
  • Work to Make Money/Invest to Save Money
  • Your Health
  • Ron Paul
  • US Treasury Yield Curve: My Favorite Investor Tool

Out of Control Government

January 19, 2011 By Richard C. Young

The FreedomWorks team, headed by former House Leader Dick Armey and FreedomWorks President Matt Kibbe are out in force making some suggestions as to what programs Congress should consider cutting in their drive to decrease government spending. An obvious and somewhat forgotten suggestion that the two gentlemen make is removing the “temporary” stimulus from the budget. In 2009 a supposedly temporary stimulus was added to the budget, blowing it out of the water. That stimulus hasn’t been cut, and if it were it could reduce the deficit by $177 billion according the Armey and Kibbe. That’s a lot of money, considering the House GOP leadership is targeting a measly $100 billion in cuts for 2011.

Armey and Kibbe go on to recommend many other cuts, like a return to the 2007 budget baseline (a $374 billion savings), repealing Obamacare ($898 billion saved over 10 years), reducing the number of federal government employees to 2008 levels ($38 billion in savings), and the list goes on and on. These things add up and that’s not even including cuts to sacred cows like Medicare, Medicaid, and Social Security.

As the spending battle heats up on Capitol Hill, the first obstacle to a true solution is the upcoming vote on whether or not to raise the debt ceiling. Senator Pat Toomey of Pennsylvania has cut through all the misinformation surrounding the increase of the debt ceiling with an op-ed in today’s Wall Street Journal. Toomey points out, and rightly so, that the debt ceiling in no way affects America’s ability to pay its debts. It only allows America to continue spending on other things while using more borrowed money to refinance the debt ad infinitum.

Toomey will introduce legislation that will codify the government’s priorities to fund the interest payments on America’s debts if the ceiling were not to be raised. Coupled with a denial of an increase in the debt ceiling, the legislation will force Congress to make cuts elsewhere in the budget, a very good goal indeed.

Senator Toomey hedges his bets a bit on the issue by saying that a failure to increase the debt ceiling would lead to a disruptive shock to government, and that may be so, but he is going to use any increase in the debt ceiling to force Congress to cut spending. Raising the debt ceiling may be a stinker that conservatives will have to hold their nose and accept today, but it had better come with serious spending cuts or the newly minted freshmen in the House and Senate will surely be looking for new jobs come 2012.

The first target for congressional conservatives today is Obamacare. Take a look at the 1,968 new powers that were given to Health and Human Services secretary Kathleen Sebelius as part of Obamacare’s implementation. The chart at the website of the Center for Health Transformation is absolutely mind blowing, with explanations of the HHS powers to intercede in every facet of America’s health care industry. I don’t think you’ll find any of these in Article I Section 8 of the U.S. constitution!

Herbert Pardes writes that with baby boomers reaching the age of 65 at the rate of 10,000 a day, the country will shortly be running out of doctors to handle all of their medical needs. You see, Medicare creates a shortage for doctors on the one hand by limiting the amount of remuneration doctors receive for some services (price controls). So to remedy the problem of a doctor shortage the government supplies money to train new doctors. The problem is that the amount of money paid to train new doctors has decreased substantially since 1996 and is slated to decrease further. It’s not hard to see the problem here: more patients, fewer doctors, longer waits, more deaths. Obamacare must be repealed, and some common sense must be applied to America’s healthcare system.

If you’re willing to fight for Main Street America, click here to sign up for my free weekly email.

Related Posts

  • Downsizing Government
  • Shutdown Government?
  • Nauseating Government Thuggery
  • Author
  • Recent Posts
Richard C. Young
Richard C. Young
Richard C. Young is the editor of Young's World Money Forecast, and a contributing editor to both Richardcyoung.com and Youngresearch.com.
Richard C. Young
Latest posts by Richard C. Young (see all)
  • Get Well Soon Taki - March 21, 2023
  • A Cashless Society Is A Debacle for Americans - March 21, 2023
  • How about Hiring Erik Prince to Crush the Drug Cartels? - March 21, 2023

Dick Young’s Must Reads

  • Your Best State on Guns, Plus the 8th Wonder of the World
  • My Key West Garden Office
  • “The Goal”: Strong Families, Resilient Faith, Thriving Middle Class.
  • California’s Progressive Liberals Have Created a Monster
  • You May Be Surprised by America’s “Least Woke City”
  • The Common Ground of Democracy is Sinking Beneath Americans’ Feet
  • Hillsdale College: What College Is Meant to Be
  • Yes, Your Children Are Listening to You
  • SVB – There’s Panic in the Air
  • Rich States, Poor States this State is Dominant Once Again

Disclosure

RSS Youngresearch.com

  • Are You Fairly Wealthy? I’m Listening
  • Treasury Studying How to Increase Deposit Insurance
  • Your Survival Guy’s BEST Insider’s Guide to Key West
  • For Whom Is Your Portfolio Serving?
  • Who’s to Blame for Banking Vulnerability?
  • Mortgage Market Not Expected to Settle Down Soon
  • Are You Living Your Best Life?
  • Were Silicon Valley Bank’s Motivations for Taking Losses Pure?
  • Will the Black Swan Usher in Digital Dollars?
  • Major Rail Merger Gets Approval

RSS Yoursurvivalguy.com

  • Are You Fairly Wealthy? I’m Listening
  • How Long Is Your Water Supply Chain?
  • Your Survival Guy’s BEST Insider’s Guide to Key West
  • Be Wary of Those Who Wrap Themselves in Capes
  • For Whom Is Your Portfolio Serving?
  • ESG: Are Markets Ready for “A Needed Dose of Reality?”
  • Was Silicon Valley Bank a Victim of ESG?
  • Are You Living Your Best Life?
  • March RAGE Gauge: Will the Black Swan Usher in Digital Dollars?
  • Gretchen Whitmer Reviving Forced Unionization in Michigan

Who’d be Nuts Enough to Have Put Money into SVB?

Are You Fairly Wealthy? I’m Listening

Get Well Soon Taki

A Cashless Society Is A Debacle for Americans

How about Hiring Erik Prince to Crush the Drug Cartels?

Key West’s Best Burger

Copyright © 2023 | Terms & Conditions | About Us | Dick Young | Archives