Economists at the International Monetary Fund (IMF) warned of U.S. government finances in disarray and out-of-control entitlement spending in a report published earlier this month, predicting a bleak future of significantly higher taxes for Americans even with less government spending.
With the turmoil in the Middle East and the catastrophe in Japan, it is easy to be distracted from the power plays of the global elite. But this week’s ruling by the World Trade Organization declaring $5.3 billion in U. S. government subsidies to Boeing Corporation illegal is a significant episode in the 15-year effort of the WTO to wrest trade sovereignty from the nations of the world and consolidate it under a global authority.
Harvard Professor Gregory Mankiw (picture, left), in writing a hypothetical speech in the New York Times for the President in the year 2026, thinks politicians can kick the entitlements can down the road for another 15 years. His opening could come from any politician’s current teleprompter:
It used to be one of the great cities of a great nation, a thriving, prosperous metropolis humming night and day with the machinery of America’s industrial superiority. In 1950, individuals and families were still streaming to Detroit to work in the ever-growing automotive industry, and as the U.S. Census Bureau crunched the numbers that year they found the Motor City had grown to an astounding population of 1,849,568 people, with the city fathers predicting two million and beyond in the coming years.
Politically astute viewers of the Glenn Beck program know that he is sounding more like Ron Paul and less like a neoconservative every day. Regular viewers also know that Friday’s episodes tend to be a break from the monotony of current events, with a greater focus on foundations, whether it be the founding of this nation, or the foundations of progressivism, etc. The Friday, March 25, episode of the Glenn Beck program focused on one of the foundations of America’s economic woes: the Federal Reserve.
When Reuters and CNBC.com announced the awful housing numbers from February, most observers were surprised. The housing market appeared to have found a bottom last fall, and many economists were expecting small but predictable improvements every month.
When the Congressional Budget Office’s preliminary analysis of the Obama Administration’s 2012 budget was announced last week, observers were shocked — shocked! — to learn that deficits over the next 10 years would be nearly $10 trillion, almost $2½ trillion more than the administration’s estimate.
Claiming that granting a “tax holiday” for her company (and other large multinationals) would be beneficial to the United States, Oracle President Safra Catz said that such a holiday would allow earnings sitting in idle accounts abroad to be “repatriated” and freed up for better use here in the United States. “It’s an absolute no-brainer,” she said. If the money flows back to the United States, “it will create jobs.” If it stays where it is, it will wind up “funding everybody else’s economies and banks.”
Food prices are rising quickly around the world. Part of the problem is weather. The winter wheat crop in China has been poor. Australia has suffered floods, while Russia has undergone a drought. The earthquake and tsunami in Japan, no doubt, will hammer the very intensive agricultural production of the limited arable land on that archipelago.
While the mainstream media have jumped at the opportunity to report on possible nuclear meltdowns in Japan, alerting Americans on the west coast to beware potential radiation (and are also likely to use the opportunity to push an anti-nuclear energy agenda), they have wholly ignored the more critical impending meltdown: that of the Japanese bond market, which would have a severe impact on the American market.
If it sometimes feels like almost everyone is on the government dole except you, there may be a reason for that sensation: According to a recent study one-third of all income in the United States comes in various forms of “social welfare benefits.”