Later today, in all likelihood, the monstrous spendulus program will probably pass the Senate courtesy of three foolish Senators who call themselves Republicans. This bill will do little or nothing to stimulate the economy (as reported by the Congressional Budget Office and many others). In fact it will make things worse by simply extending and exacerbating the credit crisis and deepening the current recession.

There is a relatively simple solution to the economic problem we face. The good news is most of Washington knows what the solution is, the bad news is that they won’t implement it because it takes away too much of their power over us.

The solution is called the FairTax. I won’t go into all the arguments for it here, I hope you will read Neal Boortz’s and John Linder’s books on the subject. They are most persuasive. But I do want to point out a couple of key components of the FairTax that would virtually guarantee a quick end to this recession:

First, paying taxes would become truly voluntary. It would be your decision when or if to purchase something and thus incur the tax. You would be able to keep 100% of your income (from any source) because there would be no income tax, no Social Security tax, and no Medicare tax.  Also that income would likely go up across the board because there would be no corporate taxes, dividends can rise, because there would be no company contribution to Social Security, some of that money could pass to employees. Further, competition would force prices down now that the tax component of the cost of goods is removed.

Secondly, the elimination of the current 35% corporate income tax would make the United States the most attractive place in the world to run a business. Studies have shown that TRILLIONS of dollars of new investment would pour into the United States as businesses chose to move here rather than offshore.

So why won’t Congress do this if it is such a great plan? Simple: manipulating the current tax code is the way Congress-critters hand out favors and manipulate the voters. Plus, if the economy is booming and people are in control of their own lives, they won’t want or need big government.

It is an unfortunate truth that Congress has become an oligarchy. Protected by gerrymandering and special interests, Congress has broken faith with the Declaration of Independence and the Constitution and has set its own interests above those of the American people.

To find out more about the FairTax, please click on the logo below.

God Bless America

Barack Obama is unhappy. His Trillion Dollar spending package is being held up by the mean old Republicans in the Senate and he doesn’t like it. Yesterday in an editorial in the Washington Post and in a speech at the energy department he said that the time for talking is over, it is time for action. Actually I think what he meant was “I won, I won, you have to do what I say when I say!”

Mr. President, we are talking about nearly a TRILLION dollars here. That is over and above the $700 BILLION first bailout, and the TWO TRILLION dollar federal budget. If (more likely when) this monstrosity passes, the government will be taking a larger percentage of GDP than at any time since WWII.

The President wants to be seen as “doing something” about the problem. He doesn’t appear to be concerned about whether it is the right thing to do or not. He also doesn’t seem to care if a few extra hundred billion dollars get wasted as long as the bill gets passed.

Had he actually spent time in the Senate rather than on the campaign trail during his brief stint as Illinois’ junior senator, he would recognize that while the House can ram things through quickly, the Senate is more deliberative. When the bill passed the House despite heavy bi-partisan opposition, it was immediately clear that the bill would have to change drastically to get through the Senate and to get past the people who are growing more and more disenchanted with the bill the more they hear about it.

A more experienced leader would have recognized this immediately and taken action to lead the debate to get the best bill possible through. Instead, he has basically stamped his feet and had a temper tantrum.  This, combined with his missteps on his cabinet nominations and the firm rejection of his “open hands” policy by Iran, is not an auspicious start for the young Presidency. While I am not a big fan of Vice President Biden, I think it is time for him to take the President aside and teach him some of the facts of life of Washington before this gets even uglier than it already is. Barack Obama is our president and will be for nearly four more years. He has a lot to learn.

God Bless America

Who'da thunk it? The Republicans in the House united to kill the "stimulus" bill. Oops... they found their stones only a few months late. Maybe if they had had the guts to do this last fall we would be dealing with this crisis and a Congress and President determined to make it worse!

But fear not, we can stop it with a filibuster in the Senate, right?? Au Contraire! You forget the quality of geniuses we put there. Does anyone really believe that George "don't make me cry anymore" Voinovich and Olympia "I thought Republican was Greek for Socialist" Snowe and the other RINOs in the swamp will actually do anything different from what they have done over the past 10 years?

Regrettably, the "slippery slope" to socialism and the destruction of the American economy has now become a $2 Trillion cliff that we are approaching at warp 6. I have little faith in Voinovich, Snowe, et.al. being able (or even trying) to keep us from rushing straight to hell.

It is a very sad time in America.

God Save the United States