We'll be fighting in the streets
With our children at our feet
And the morals that they worshipped will be gone
--The Who
Around the world, socialist programs are driving countries toward bankruptcy. As countries hit the breaking point, proposals of austerity programs aimed at cutting back entitlement programs are being met by riots in the streets. Greece, Spain, Ireland, UK...
The US is not far behind the EU in terms of financial position. Socialist programs here are pushing us toward the abyss. First up will likely be the big states. California, for example, is insolvent as we speak. Muni bonds continue to get smashed.
There is belief that the Federal government will bail out bankrupt states. Instead of legislative relief (less likely with the incoming Congress class), the odds on favorite is a bailout engineered by the Fed. QE for the states...
Any such intervention can produce no lasting results, however. Prosperity cannot be printed. At some point, spending will be cut. It either gets done proactively or gets imposed by market forces.
And when the inevitable austerity measures do hit the US, do people riot in the streets here like they have done elsewhere?
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9 comments:
When the federal government spends more each year than it collects in tax revenues, it has three choices: It can raise taxes, print money, or borrow money. While these actions may benefit politicians, all three options are bad for average Americans.
~Ron Paul
What I find ironic about this post is that these riots are happening because of social programs being cut. People around the world are protesting the elimination or the scaling back of government programs. They don't want their governments overthrown, they want their entitlements.
Ironic? So what happens when riotous people do not get their entitlements as demanded?
I guess I don't understand your point. You seem to be saying that gov't needs to stop spending to stave off street riots. But this is exactly why people are rioting, right?
Correct, people are rioting because govt spending is declining.
My point is that govt spending in the US will inevitably hit the same wall as in Europe. Perhaps soon. And the missive's exit question is, when 'austerity' arrives in the US, will we see riots as well?
Oh, I'm sure we will. But I think what people want is exactly the opposite of what you think is the solution.
Perhaps you should enlighten me. What do you think people want and what do I think the solution is?
People want their entitlements.
You want an end to entitlements.
No?
Not all people want entitlements. Those willing to accept entitlements must enlist government to forcibly take resources from others.
Others believe this is wrong. They believe in having the freedom to pursue their destinies. Viewed thru this lens, govt's role is to protect this pursuit from unwanted intrusion by others.
Regardless of which design you or I favor, the outcomes are governed by economic laws--laws not subject to personal belief systems.
And these laws suggest that, regardless of whether I personally would like to end them or not, entitlements (as we currently know them) will certainly end.
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