Sunday, October 17, 2010

German Premier Calls Multiculturism A Total Failure | AHN

And so, under Geithner and Bernanke, students of the Depression of the 1930's and the Japanese two decades of zero growth, the US and it's allies are set to pursue the policies of protectionism which protracted the depression, and quantitative easing which has doomed the productivity of two generations of young Japanese. How many generations will it take to recover from the orgy of federal spending embarked upon at the end of WWII. Will it take a third world war to clean out the rot that has taken over our society, the transfer of payments from those who work to those who don't in the form of public sector retirement packages and and various and asundry other entitlements including SS, SSI, Medicaid and Medicare.

The US is in a unique position of being the printer of the world's reserve currency and the strongest country both economically and militarily. The current deficit spending curve cannot be maintained without subjecting the entire world to US rule. There will be pressures to consolidate power in a one world government. Yet, this is exactly the wrong solution brought about as a fix for a wrong policy. The correct policy is to reduce deficit spending and cut taxes on the middle class, while maintaining a check on the private sector. Corporations find it cheaper to buy votes in congress than pay their fair share of taxes.

Without cutting spending and taxes, the US has no other choice than to pursue an expansionist policy of appropriating of the resources of other countries. The level of resistance to the acceptance of fiat currency in return for hard goods will determine the length of time the US deficit spending curve can continue to rise. Is there a limit? I believe the ultimate result will be inflation, which will mean the value of goods and services will float with respect to one another. This is basically how the US economy operates today, then the only obstacle is the willingness of the rest of the world to becoming vassal states of the US.

German Premier Calls Multiculturism A Total Failure | AHN

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