| View previous topic :: View next topic |
| Author |
Message |
RufusW
Joined: 14 Jun 2008 Location: Busan
|
Posted: Sun Mar 21, 2010 7:17 pm Post subject: |
|
|
| But why does it necessarily lead to bankruptcy? |
|
| Back to top |
|
 |
bacasper

Joined: 26 Mar 2007
|
Posted: Sun Mar 21, 2010 7:17 pm Post subject: |
|
|
| mises wrote: |
http://www.parapundit.com/archives/007040.html
| Quote: |
This bill, which at the time of this writing looks set to pass, will accelerate the coming US sovereign debt crisis. Much higher taxes for the middle class and severe cuts in entitlements lie in our future. This bill represents a high point in the push for ever growing entitlements. The overreach of the US government now has reached a point where a sovereign financial crisis is inevitable. That crisis will make the crisis of 2008 seem small in comparison.
|
I agree with the part in bold. With the European welfare state being exposed as unsustainable and every bit as debt thirsty as the American empire I find it really astonishing that the US government would take the time to add more bills to an already broken bank. This will end. Everything ends. But the fiscal nuthouse we've been living in during the last 70 years will end. It will not end well. And soon, too. The boomers "entitlement mentality" means they didn't save for retirement. They're also fat and unhealthy. They'll completely destroy whatever cash remains. |
Healthcare Bill to Cause U.S. Hyperinflation By 2015
FORT LEE, N.J., March 20 /PRNewswire/ -- The National Inflation Association - http://inflation.us - today issued a warning to all Americans of a potential outbreak of hyperinflation in the U.S. by year 2015 caused primarily by the healthcare bill and rising interest payments on our national debt.
Medicare was created in 1966 at a cost of $3 billion per year and the House Ways and Means Committee estimated in 1966 that in 1990 the cost of Medicare would reach $12 billion per year. Instead, the actual cost of Medicare in 1990 was $107 billion (792% more than what was projected) and today Medicare costs $408 billion annually. In 2003, the White House Office of Management and Budget estimated that the Iraq War would have a total cost of $50 to $60 billion. So far, we have already spent $713 billion on the Iraq War (over 1,000% more than what was projected).
The Congressional Budget Office is estimating that the healthcare bill will cost $940 billion over the next 10 years, but if history is any indication, the actual cost will likely be several trillion dollars. NIA believes the healthcare bill will be the final nail in the coffin of the U.S. economy and will just about guarantee that we will see hyperinflation by the year 2015.
continued at link |
|
| Back to top |
|
 |
Ya-ta Boy
Joined: 16 Jan 2003 Location: Established in 1994
|
Posted: Sun Mar 21, 2010 7:45 pm Post subject: |
|
|
I like how James Fallows puts the importance of the bill:
For now, the significance of the vote is moving the United States FROM a system in which people can assume they will have health coverage IF they are old enough (Medicare), poor enough (Medicaid), fortunate enough (working for an employer that offers coverage, or able themselves to bear expenses), or in some other way specially positioned (veterans; elected officials)... TOWARD a system in which people can assume they will have health-care coverage. Period.
http://www.theatlantic.com/politics/archive/2010/03/why-this-moment-matters/37798/
Kinda makes me feel all warm and fuzzy inside. |
|
| Back to top |
|
 |
mises
Joined: 05 Nov 2007 Location: retired
|
Posted: Sun Mar 21, 2010 7:50 pm Post subject: |
|
|
| bacasper wrote: |
| Healthcare Bill to Cause U.S. Hyperinflation By 2015[/size][/url] |
Hyperinflation will be a political decision. They can dramatically raise taxes and at the same time dramatically cut entitlement (and empire) spending. Or they can inflate the debts away. I don't know how much this increase in entitlement spending will impact the wider scenario other than it likely brings the funding crisis forward a bit.
I strongly empathize with those who want to provide a minimum standard of living for all citizens. There are too many bills to pay now.
Last edited by mises on Sun Mar 21, 2010 7:56 pm; edited 1 time in total |
|
| Back to top |
|
 |
mises
Joined: 05 Nov 2007 Location: retired
|
Posted: Sun Mar 21, 2010 7:55 pm Post subject: |
|
|
| RufusW wrote: |
| mises wrote: |
| The boomers "entitlement mentality"... |
I would think there is an entitlement mentality with any society. i don't see why benefits and social welfare are fundamentally impossible. |
They aren't impossible in general. At the levels in Europe now given her demographics, they will cause extreme pain. The US can't afford it either. The US can't afford her empire either. |
|
| Back to top |
|
 |
Senior
Joined: 31 Jan 2010
|
Posted: Sun Mar 21, 2010 8:00 pm Post subject: |
|
|
| RufusW wrote: |
| But why does it necessarily lead to bankruptcy? |
Oh yea, I forgot. Massively expanding entitlements is "deficit neutral." |
|
| Back to top |
|
 |
Ya-ta Boy
Joined: 16 Jan 2003 Location: Established in 1994
|
Posted: Sun Mar 21, 2010 8:30 pm Post subject: |
|
|
Here's a bit of an article on an aspect of health reform passage that doesn't get talked about here:
But he also knows that his clout abroad depends on his success at home. The linkage matters...
Until Christmas the narrative had gone largely his way: his first year saw a huge stimulus package passed, a bank bailout succeed, military strategy in Afghanistan transformed, a car industry restructured, big investments in green energy, an unwinding of the legacy of George W Bush and Dick Cheney in foreign affairs. It was not without struggle or failure: Guantanamo remained open, Iraq stayed unstable, recovery was slow and health reform kept slipping from his grasp. But the narrative was his.
That changed in January with the freak Massachusetts Senate byelection...
The conventional wisdom � he should have gone right instead of left; he�s weak when he should be strong; he should have done financial reform before healthcare ... well, you�ve heard it all before. The truth is: he was losing the narrative.
This is not unnoticed in foreign capitals. A presidency failing at home only undermines Obama abroad. Dmitry Medvedev knows this as he negotiates with Washington over Iran; Binyamin Netanyahu knows this as he stays on the phone with Washington�s neoconservatives, who are promising that if he holds on they can destroy Obama for him; Ayatollah Khamenei and Mahmoud Ahmadinejad know this as they assess whether they can outlast this frustrating leader of the Great Satan; the Saudis know this; China knows this. A new president always has a steep learning curve in foreign affairs, especially when confronting massive problems at home, and so most seasoned allies and enemies take their time to make assessments. But the most powerful assessment comes from home...
Imagine the narrative shift if this bill is passed. Obama will not have imposed this monstrosity on the country from on high; he will have ground it through the bloggers, and the pundits will declare a resurrection. The narrative will be about his persistence and his grit, rather than his near-divinity and his authority. And suddenly it will appear � lo! � as if this lone figure has not just rescued the US economy from the abyss, but also passed the biggest piece of social legislation in decades.
There is only one story better than Icarus falling to earth; and it�s Icarus getting back up and putting on some shades. The media will fall for it. The public will merely notice that the guy can come back and fight. Even when they don�t always agree with such a figure on the issues, they can admire him.
http://www.timesonline.co.uk/tol/news/world/us_and_americas/article7069622.ece
It's not a bad face to wear when dealing with foreign governments--open to negotiation, willing to compromise, but persistence in pursuit of the goal. |
|
| Back to top |
|
 |
bacasper

Joined: 26 Mar 2007
|
Posted: Sun Mar 21, 2010 11:14 pm Post subject: |
|
|
| mises wrote: |
| bacasper wrote: |
| Healthcare Bill to Cause U.S. Hyperinflation By 2015 |
Hyperinflation will be a political decision. They can dramatically raise taxes and at the same time dramatically cut entitlement (and empire) spending. Or they can inflate the debts away. I don't know how much this increase in entitlement spending will impact the wider scenario other than it likely brings the funding crisis forward a bit.
I strongly empathize with those who want to provide a minimum standard of living for all citizens. There are too many bills to pay now. |
Didja see this part?
| Quote: |
| We are now at a point where if the U.S. government taxed Americans 100% of their income, the tax receipts generated would not be enough to balance the budget. Likewise, if the U.S. government cut 100% of its spending including defense, but kept paying Social Security, Medicare and Medicaid, we would still have a budget deficit. NIA believes it will be impossible for the U.S. to have a balanced budget ever again. |
|
|
| Back to top |
|
 |
RufusW
Joined: 14 Jun 2008 Location: Busan
|
Posted: Sun Mar 21, 2010 11:20 pm Post subject: |
|
|
| mises wrote: |
| RufusW wrote: |
| mises wrote: |
| The boomers "entitlement mentality"... |
I would think there is an entitlement mentality with any society. i don't see why benefits and social welfare are fundamentally impossible. |
They aren't impossible in general. At the levels in Europe now given her demographics, they will cause extreme pain. The US can't afford it either. The US can't afford her empire either. |
Well, hopefully people won't give up their health care to sponsor another war abroad, so squeezing the budget and pushing it towards things that are far more tangible is good for your cause. |
|
| Back to top |
|
 |
caniff
Joined: 03 Feb 2004 Location: All over the map
|
Posted: Sun Mar 21, 2010 11:24 pm Post subject: |
|
|
| bacasper wrote: |
| mises wrote: |
| bacasper wrote: |
| Healthcare Bill to Cause U.S. Hyperinflation By 2015 |
Hyperinflation will be a political decision. They can dramatically raise taxes and at the same time dramatically cut entitlement (and empire) spending. Or they can inflate the debts away. I don't know how much this increase in entitlement spending will impact the wider scenario other than it likely brings the funding crisis forward a bit.
I strongly empathize with those who want to provide a minimum standard of living for all citizens. There are too many bills to pay now. |
Didja see this part?
| Quote: |
| We are now at a point where if the U.S. government taxed Americans 100% of their income, the tax receipts generated would not be enough to balance the budget. Likewise, if the U.S. government cut 100% of its spending including defense, but kept paying Social Security, Medicare and Medicaid, we would still have a budget deficit. NIA believes it will be impossible for the U.S. to have a balanced budget ever again. |
|
I fear it'll get to the point where military superiority is all the U.S. will have left.
Reset button is where? |
|
| Back to top |
|
 |
|