Thursday, December 30, 2010

Here are the results of the deficit hawks' proposals

When Social Security retirement is stolen to pay for the tax cuts for the rich and for their interminable wars (wars always benefit the wealthy but are fought by the not-so-wealthy) the end result is going to be poor houses. Glenn Beck specifically proposes them.

What will get us there? The bankers and wealthy big business owners are gambling on stock market and bond market speculations. When they lose, they will again demand that the tax payers bail them out because their services are all that will be keeping the economy out of the next Great Depression. The result? Look at Ireland. This is Digby's blog. Here are the pictures of unrest from Ireland.

I really don't want to see that happen here, but the only thing stopping it is the fact that the U.S. dollar was and remains the world currency and will remain so as long as the federal government does not default on its treasury bonds - at least not to foreign banks. Defaulting to the Social Security trust funds is fine. What is being proposed right now is an internal default. Lower Social Security benefits so that the government does not have to pay back the Social Security trust funds the money they have borrowed in order to fight two unnecessary wars and to pay the outlandish tax cuts for the wealthiest Americans. .

By lowering Social Security benefits, the federal government will then only be faced with raising taxes enough to pay back the Chinese, Japanese and Middle Eastern Oil Magnates who own the rest of the bonds. All the government has to do is keep on over-taxing the workers for Social Security and the wealthy and the bankers will do quite well. The only people who will be hurt are future retirees.

The working class is being taxed so that their tax money can make the wealthy better off. That's what the talk of cutting Social Security benefits to lower the deficit is about. But Social Security has never run a deficit, nor will it. .The deficit has come from wars and unnecessary tax cuts on the already under-taxed wealthy Americans.

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