Sunday, February 12, 2017

Of Governance and Truthfulness

The 7 Biggest Lies of the Conservatives and the G.O.P.
By Pastor Paul J. Bern



One of the Ten Commandments is, “You shall not lie”. (Exodus 20, verse 16) It says still more about dishonesty in government in chapter 23, verse 8 of that same book of the Bible: “Do not accept a bribe, for a bribe blinds those who see and twists the words of the righteous.” While I'm not about to accuse anyone in the new US presidential administration of accepting bribes, I am dismayed at the barrage of confusing signals coming from the Trump administration. First, we were going to have a travel ban on Muslims because president Trump made it a campaign promise. Predictably, the courts have shot it down. The travel ban was unconstitutional right from the start. President Trump should have known that. The US Constitution has a system of checks and balances written into it so that none of America's 3 branches of government will gain too much authority over the other two. I think it is highly commendable that our system of government still works so well, even after all these years.


The debacle of president Trump's travel ban, combined with the large public protests against his administration, is morphing into a new Occupy or “We are the 99%” movement. The beginning of the end of the American political machine, the Republican-Democrat paradigm, has already begun. The Occupiers on Wall Street, at Standing Rock, South Dakota and elsewhere, combined with the various anti-government and antiwar protesters, can’t become a national movement for a more equitable society unless more Americans know the truth about the economy. Everything revolves around the economy because we all need money to survive. America's trade imbalance, social, environmental and economic issues all revolve around a debt-based economy. This economic paradigm is coming to an end, and I'm going to list 7 reasons why.

1.) Tax cuts for the rich trickle down to everyone else. In actuality, quite the reverse is true. Ronald Reagan and George W. Bush both sliced taxes on the rich and what happened? Most Americans’ wages (measured by the real median wage) began flattening under Reagan and has been dropping since George W. Bush. Trickle-down economics is a cruel joke. In reality, “trickle down” means “piss on” the poor, minorities and people of color, the disabled and the elderly.

2.) Higher taxes on the rich would hurt the economy and slow job growth. False. From the end of World War II until 1981, the richest Americans faced a top marginal tax rate of 70 percent or above. Under Dwight Eisenhower it was 91 percent. Even after all deductions and credits, the top taxes on the very rich were far higher than they’ve been since. Yet the economy grew faster during those years than it has since. Why are the country's wealthiest families being allowed to skate on by the IRS while the rest of the country gets hammered by falling wages?

3.) Shrinking government generates more jobs. Wrong again. It means fewer government workers – everyone from teachers, fire fighters, police officers, and social workers at the state and local levels to safety inspectors and military personnel at the federal. And, fewer government contractors would employ fewer private-sector workers. On the contrary; to create more jobs and economic prosperity, raise the minimum wage to a realistic level! More money in people's pockets equals more spending, which generates more economic activity, which creates more jobs and business start-ups. Plus, the additional spending and jobs create more tax revenue that ultimately makes its way back into the communities it serves.

4.) Cutting the budget deficit now is more important than boosting the economy. Whose lame-brained idea was this? Probably someone from within the Federal Reserve, since the Federal Reserve owns America's budget deficit. Every time America makes a payment on our “national debt”, the money goes to the Federal Reserve! With so many Americans out of work or working part time instead of full time, additional budget cuts now will shrink the US economy even further. They’ll increase unemployment and reduce tax revenues. That will worsen the ratio of the debt to the total economy. The first priority must be getting jobs and growth back by boosting the economy. Only then, when jobs and growth are returning vigorously, should we turn to cutting the deficit.

5.) Medicare and Medicaid are the major drivers of budget deficits. Wrong. Medicare and Medicaid spending is rising quickly, to be sure. But that’s because the nation’s health-care costs are rising so fast. One of the best ways of slowing these costs is to use Medicare and Medicaid’s bargaining power over drug companies and hospitals to reduce costs, and to move from a fee-for-service system to a fee-for-healthy outcomes system. And since Medicare has far lower administrative costs than private health insurers, we should make Medicare available to everyone. All America has to do is take everyone who is signed up for Obama-care, Medicaid, the VA hospital system, plus all government employees, and roll them over into Medicare. Then we'll just eliminate Obama-care and Medicaid by de-funding them both, saving over $1 trillion in the first year alone.

6.) Social Security is a Ponzi scheme. No way! Social Security is solvent for the next 26 years just as it is. It could be solvent for the next century or more if we raised the ceiling on income subject to the Social Security payroll tax. That ceiling is now $106,800. Raising that amount to $250,000 will do the job very nicely! All it takes is a little common sense, something that seems to be in short supply inside the Beltway these days.

7.) It’s unfair that lower-income Americans don’t pay income tax. This is patently ridiculous. In a worst case, it criminalizes the poor. In truth, there’s nothing unfair about it. Lower-income Americans pay out a larger share of their paychecks in payroll taxes, sales taxes, user fees, and tolls than everyone else especially when compared to the top 1%.

Demagogues through history have known that big lies, repeated often enough, start being believed — unless they’re rebutted. These seven economic deceptions are just plain wrong. Make sure you know the truth – and spread it around to everyone you meet!

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