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alstry (35.17)

Houston....We Have A Really Big Problem

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March 13, 2010 – Comments (5)

Over 21,000,000 people work for government....many of them have very high incomes and pay significant taxes.

Over 20,000,000 million people work in health care.....and many of these people also have very high incomes.

Millions more work for defense/other contractors and also receive very substantial incomes.

IF YOU ADDED UP THE TAXES PAID BY SIMPLY THE ABOVE, THEY PROBABLY MAKE UP THE MAJORITY OF THE INCOME TAXES PAID TO GOVERNMENT.

40,000,000 Americans stand in digital food lines receiving food stamps.

Over 15,000,000 Americans receive unemployment checks.

Over 40,000,000 more receive Social Security/Medicare/Medicaid

Plus millions more receive other forms of welfare

If we added up the spending of the over 100,000,000 million Americans receiving government aid.....we probably account for a significant amount of WalMart's, Drug Manufacturers, Health Care, Grocery and other sales in our economy.

NOTICE WHAT IS MISSING????????

That is right.....NONE OF THE ABOVE contemplates the private sector that is not in the stream of government payments.

Without government spending massive amounts of money....we really don't have much of a consumer and even less of an economy.

By cutting off the private sector from credit.....REVENUES TO GOVERNMENT HAVE EVAPORTED AND NOW GOVERNMENT IS RUNNING OUT OF MONEY.  We are at the point where states can't afford to pay its workers, keep hospitals open, and CAN'T EVEN PAY TAX REFUNDS.

STATES MAY HOLD TAX REFUNDS FOR MONTHS...

Now comes the real issue...why should government and Wall Street bankers have access to credit and not private citizens?  The primary reason government functions is because it borrows...not because of tax receipts as Federal borrowing exceeds tax receipts....and the outlook for revenues is deteriorating.

It is strange, how so many otherwise intelligent people, still consider the current situation a recession.  Not only is this the most serious financial crisis in American History (with over 1/3 of the nation relying on government aid), aside from  the Civil War, we could be facing the most important Constitutional confrontation ever.

When we only loan to certain citizens...NOT BECAUSE OF MERIT OR MARKET JUSTIFICATION, but simply identity.........WE BECOME A NATION WHERE ALL MEN(and women) ARE NOT CREATED EQUAL and the rule of law degenerates.

We are now at the point where REVENUES to government have dropped so low that EVERY government payment will be questioned.....as more and more private sector workers lose jobs and incomes and ability to obtain credit(become zombulated).........expect anger and frustration to reach levels our nation has never seen before.

Vegas jobless rate hits all-time high of 13.1%...

Without a private sector, our nation primarily generates revenues from government spending......at this point, without government spending, we really don't have much of an economy.

Without an economy, most of our assets are worthless.....thus, since our collective incomes are so low, is the only solution to tax all of our assets, especially those benefitting from government spending, so the government can keep spending?

If we don't address this issue as a nation NOW.......the issue will be addressed for us...GUARANTEED.

Remember, you are being told this is a recovery....is that so government and bankers can borrow so the citizens don't get really upset while they can't?

.....with tax refunds being withheld.....we are now not too far from the end......the end of the world as you know it.

5 Comments – Post Your Own

#1) On March 13, 2010 at 9:14 AM, alstry (35.17) wrote:

Record Advance in S&P 500 Index Futures Shows Confidence in U.S. Economy

Does it really?

What if it is simply the product of people too afraid to sell holdings because they have no place else to invest?...not in a business or in real estate.

What if those holding are essentially worthless.....remember, Lehman was worth billions before the fraud was exposed.

What are the assets of a nation worth when its governments can't even afford to keep schools and hospitals open or pay tax refunds?  When we came here, goverhment gave us 40 acres and a mule.....is it time for government to take it back?

Time to wake up.....the end is almost here....NOT THE END OF THE WORLD....simply the end of a world as you know it.

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#2) On March 13, 2010 at 10:20 AM, 100ozRound (29.44) wrote:

I reduced my witholding so that they wouldn't issue me an IOU this year.

Hmmm...maybe I'll send CA an IOU for my tax payment this year....

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#3) On March 13, 2010 at 10:32 AM, alstry (35.17) wrote:

When a nation systematically breaks down the rule of law that was the foundation for the creation of the nation....pretty soon the outcome for all is Zombulation and frustratioin.

CIA drone attacks produce America's own unlawful combatants

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#4) On March 13, 2010 at 11:13 AM, Chromantix (97.63) wrote:

Alstry,

I usually like your stuff and even rec it when you make a viable point.  However, I do the math and, even if your numbers are correct, here's how they look:

Over 21,000,000 people work for government +

Over 20,000,000 million people work in health care+

Millions more work for defense/other contractors+

40,000,000 Americans stand in digital food lines +

Over 15,000,000 Americans receive unemployment +

Over 40,000,000 more receive Social Security/Medicare/Medicaid =

138,000,000 people you've listed.  Of which  43,000,000 are paying a significant amount of taxes, leaving 95,000,000.  But wait: Unemployment is taxable income! And Social Security (if it worked) would be Americans getting back what they paid in - no tax burden.  The fact that SS is broken didn't seem to be part of your point, though I agree it's definitely a BIG problem.  Medicare/caid is the same thing 

 

So I'm not sure what your point is. Or why you've left out the other 200,000,000  Americans (the majority of which work and pay taxes).

 

 

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#5) On March 13, 2010 at 12:51 PM, alstry (35.17) wrote:

I listed a lot more than 138,000,000 factoring OVER on social security and welfare.... and then add in children.

Our workforce is approximately 150,000,000 people.

Of that, approximately 1/3 work directly for the government or health care which derives most of its most of its revenues from government.  That one third are some of the highest paid workers in the nation.  The top 10% of tax payers pay 80% of the taxes.......so what percentage do you think the 1/3 of income  earners referenced above pay?

That does not even include education, defense contractors, technology contractors, and other high paid contractors and contracting companies...and those that pay taxes from the success of these areas.

What you will soon realize is that over the past 20 years....practically our entire economy has become dependent on massive government spending to function....and the only way we could drive revenues to  government was blow bubbles.

The last bubble infected the entire industrial economy with a mathematically impossible debt to repay.....and it was simply possible by the issuance of credit default swaps.

In simple terms, our entire nation is now bankrupt and primarily functioning by fraud and government's ability to borrow.....once Wall Street cuts off government from borrowing......game over.

I leave you with this quote from Abe Lincoln:

"I have two great enemies, the Southern Army in front of me and the financial institutions in the rear. Of the two the one in my rear is my greatest foe."

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