GOING OVER THE CLIFF

I am not sure of the ramifications of “going over the cliff” but I can assume that the results are not something that cant be corrected retroactively.  Politicians seem to like to scare us in to believing that the job they do is one of much difficulty, requiring massive brain power and only able to be performed by wizards.  I do not believe that for a minute.  I know there are many people in Washington for all the really good reasons but there are more than enough up there who are just interested in getting their back patted and their pockets lined. 

We have been told that unless a deal is made by 12/31/12 then we are facing massive tax increases, devastating scheduled spending cuts and unemployment. Lets dissect those a little bit.  For a family with total income of 50k to 75k the taxes will be increased by about $ 2400.00.  Most of this is simply a return to the level of social security taxes that were being withheld just a couple of years ago.  I know this may be a lot for some people but it can’t be something that people can’t live with.  They were doing it prior to the decrease.  Massive spending cuts?  Pleeeze.  Someone please tell me how massive spending cuts by the federal government is going to be a bad thing.  Is it possible that such spending cuts would cause a decrease in the amount of taxes they need to collect?  No, that will never happen.  Once they have started collecting a tax, well it is there forever.  We are all aware of that little truism.  Unemployment?  Maybe they think a politician will be put out of a job?

Here is the simplistic approach to the solution to these problems.  Lets cut government spending by enough to balance the budget.  Then lets put together a budget that is 10% less.  Cut spending by 10% more.  This will automatically cause us to start looking at bigger spending cuts and could lead to tax decreases.  Lets cut the military budget.  We have to keep a strong force to prevent countries from kicking sand in our faces.  Bull droppings.  We need to tell the third world countries that they need to leave us alone, live with us peacefully or take a real good look at what a Walmart parking lot looks like.  We have the ability to turn their country into one of those, all we would have to do is to paint the parking stripes on after the smoke clears.

Unemployment.  We reinstate the civilian conservation corps., a really good organization from the depression era.  If you have ever been to a national park you have probably seen some of their work.  This puts millions of young people to work, teaches them a trade, provides the country with improved roads, bridges, parks, national monuments while providing these workers with money, insurance and uniforms while they are becoming tax paying citizens.  The abosolute best of all worlds.  It could also require the employment of some of us old retired guys who have a talent that could lend to the project.  Would beat being a Walmart greeter.  We might not be able to haul rocks but we would make damned good foremen, time keepers or records clerks.  We could also be role models for young men who may have missed some fatherly advice while growing up.  I can’t see a downside to this plan.

I for one am willing to “go over the cliff” if it somehow makes us take a good look at ourselves, maybe pull up our big people panties and get on with some type of program that is positive for our country and our grandchildren.  Dorothy told me today that I got a $ 15.00 raise in social security.  Well, they can have that back if it will help any at all.  However, I think the solution is more about them finding a way to cut out the fat, trim the budget and get the tax basis expanded.

Chuy the problem solver

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