Brains Not Included

Cracked Up, Whacked Out and Completely Out of Control

It Just Might Be on Purpose

I hate conspiracy theories and I hate it when commentators try to point to disparate events as proof that some politician is a bad egg.  But I have to say this and I know it’s going to make some of you mad.

It appears to some that the Democrat strategy is to keep the economy down and in the doldrums in order to continue to ‘blame’ the previous administration and keep the country in a state of economic crisis.  I know, it sounds crazy and I can’t even believe I’m writing this but here it goes.

 I believe the President and many on the far left in his party are purposely doing and saying things that keep the American economy in a state of constant flux and instability.  Take the press conferences over the past couple of day.  (01/21/2010)

 In an attempt to strike a populist tone and garner support to the Democrat candidate in Massachusetts, President Obama came out with a speech denouncing corporate bonuses and pay for CEOs.  After the Democrat loss and the exuberance of the electorate he made another speech about limiting the size of banks which practically collapsed the stock market.

If we take Rohm Emmanuel at his word; ‘never let a crisis go to waste.’  Then we have to assume that the left in this country needs us to remain in crisis to pass their agenda.  So I ask; is the President and his party purposely trying to keep our economy down?  Could this be true?  I’m beginning to believe it just might be on purpose.

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Filed under: Economics 101, Smoke Screens, , , , , ,

Where Have All the Americans Gone?

American Flag(Not for the faint of heart…)

There is so much to say that I don’t have a clue where to start.  Some of you may have been wondering where I disappeared to and trust me, I disappeared for what I thought was good reason.  After a little introspection I realize now that FEAR is never a good reason for anything.

Many may remember my post several months ago about my encounter with the IRS and how I ended up in a hospital bed after several days of threats and frustrating interactions with the customer (no)service department.  What you don’t know is that the threats were so vicious that I was truly afraid to continue posting my vociferous complaints about the direction of the country.

 Here’s a brief reminder of what happened…

I received mail at my office from the IRS.  The mail basically said that I owed back payroll taxes from 2005 in the sum of $5790 plus interest and penalties.  Now, I’ve always used payroll companies to prepare payroll and they do the taxes so I knew something was wrong.

I explained that there must be a mistake and the lady said that their records indicated the IRS were correct.  She said if I had paid then the state responsible for forwarding the collection would have notified them.  She said; “thus far, the State of California hasn’t sent us proof that you paid the proper tax.”

 …And that’s when it all started…

Me:  “Oh, well that’s where the mix up is, you see, I’m in Georgia not California.  If you check I’m sure you will see that the State of Georgia has reported and everything will be okay.”

 IRS:  “No sir, your business is registered in the State of California so they have to notify us.”

Me:  “Okay, I understand what you are saying but there must be some kind of mix up, the State of California can’t notify you about my payroll taxes because my business is located in Georgia.”

IRS:  “Sir, our records indicate that your business is registered in California and our investigation tells us that you owe the tax.  If you refuse to pay the tax then the IRS has the right to attach your business checking accounts.  Furthermore, we can also attach your personal accounts and even your home.  If you do not…..”  more threats.

 ….trying to stay calm, hold it together … this is all just a big misunderstanding …

Me:  “I understand.  There is no need to threaten; I’m just trying to clear things up.  Let me ask you this, why do you think my business is in California?”

IRS:  “Because that is where we show the registration in our system.”

Me:  “Do you think that someone could have made a mistake?  Maybe input some data wrong?”

IRS:  “No sir, we are the IRS and we don’t make mistakes.”

…. WHAT!?!  I thought I was going to blow a gasket, but I stayed cool….

Me:  “Okay, but we are all human.  So let’s do a little investigation.  Where do you show me opening my business?  In Georgia in 2002, correct?

IRS:  “Yes”

Me:  “Okay and from 2002 to 2004 and then from 2006 to present you show my business in Georgia as well … correct?

IRS:  “Yes”

Me:  “Don’t you think it’s possible that someone who input the data for my business mistook the GA for a CA when they were registering my company that year?  Heck, I’ve only been to California two times in my life.  That’s a total of about 10 days in 45 years of living.  Does the IRS believe that I really moved my company to California for a few days out 7 years of operation?  Do you see what I’m saying, there has to be some kind of data entry mistake, if you’ll just check your records….”

IRS:  “Sir, the IRS does not make mistakes but if you can prove that you paid the tax then we can start a new investigation.”

My Thought…. “hmmm, So I’m guilty until proven innocent…how very un-American…”

We have a few more minutes of conversation.  I’m so frustrated I read her the riot act about what a customer service agent’s job is.  She’s provided no service, no help of any kind.  I’m frustrated and I hang up the phone and go to work to prove my innocence … I feel like I’ve been tried and convicted without a jury and without a judge.  It’s crazy!

She did say that if I had other evidence that I wanted them to consider I could fax the info in and she gave me two fax numbers….

I hang up in frustration and vow to call back the next day with proof in hand.  I call the State of Georgia and within hours I get the proof faxed to me.  Georgia has a wonderful revenue office, highly professional, highly organized and the lady expressed her frustration that she has had a slew of recent calls because of this exact data entry problem.

The next day I attempted to fax my proof 15 times before giving up.  In the end it turns out you can’t fax anything in but this agent and the one that I spoke with the next day both gave me fax numbers.  Not sure if it was some cruel joke of if they really were that clueless!

So, I call the IRS Customer (no)Service department and get a different customer (no)service rep.  I explain the problem, I’m ready to fax my proof that I don’t owe.  Everything will be okay!  I just know it!

IRS agent answers, we exchange formalities.  After a few minutes of explanation about the previous day’s conversation he reads the notes.  He’s reading out loud in a muffled tone, but I can hear what he says.

IRS:  “Mr. Gross claims he doesn’t owe the tax.  He is an agitated right wing zealot who doesn’t believe in paying taxes.  He displayed right wing militant behavior …..”

Me:  “What?!  Is that what she wrote about me?”  I give a brief explanation of the problem and my conversation with the agent the previous day.

IRS:  “Mr. Gross, we have determined that you owe the tax”  then he starts right into the threats without any conversation at all… “If you do not pay with in the next 30 days the IRS has the right to take….”

 Crap, crap, crap!  Here we go again!

 Me:  “Sir, I have proof that I am right, if you will just listen, I can send you…”

I get interrupted…

IRS:  “Mr. Gross, your case has been investigated and no more proof is necessary.  The IRS does not make mistakes, you owe the money and if you do not pay then….” 

Okay, so you get the gist.  I’ve set this up like a real conversation so you can see the lunacy of it all.  I’ve shortened the conversations drastically.  Each call lasted almost two hours and they went back and forth.  It was a true nightmare of epic proportions.

Towards the end of the second phone call I was very frustrated and I felt tightness in my chest, my blood was racing and I felt a little faint.  Then the tell-tale signs of an oncoming heart attack.  Pain in the shoulder, tingling in the fingers, I was in agony.

I dropped the phone and shouted for aspirin!  I needed it fast, I needed it now!  I grabbed a handful shoved the pills in my mouth and chewed and then flew out the door.  I thought if I could just make it to my doctors office …  no more drama, I had had enough.  I didn’t want an ambulance at the office.  My goodness this was all crazy.

As luck would have it I saw a Georgia State Patrol car.  I almost pulled out into the intersection of a red light to get his attention.  He hit the blue lights and followed me into parking lot.  Another lucky break, an EMT was less than a block away on the same busy road. 

Less than a minute later I had nitro under my tongue.  My blood pressure was coming down, it was almost over ….

The Next Day – Unbelievable!

So I was in the hospital for observation.  Thankful that my ordeal was not a full blown heart attack, it was close but the aspirin and the fact that the paramedics were so close is probably what staved off a full blown episode.

So after 8 hours of observation they send me home.  The next day I get up and go to the office and there is a message on my phone.  It’s the IRS.  It’s the same guy I was talking to.  The message went like this:

“Mr. Gross, this is Mr. —— with the IRS.  It sounded looks like you were admitted to the hospital for a heart related episode I just wanted to call and remind you that this issue must still be cleared up.  When you get back you give me a call at 1-80….”

U N B E L I E V A B L E!

So there you have it.  No compassion, no hope you are feeling better, no help what so ever.  Just a “to bad for you buddy” and a “we’re still coming after you!”  So I guess it’s true that the only two things you have to do is die and pay taxes and the IRS customer (no)service department only cares about one of those things!  Making sure you pay taxes.

The Wrap Up

So let me wrap this up.  Trust me the story could go on and on but you’ve already spent enough time reading this rant.  In a nutshell I did finally find a knowledgeable person to help me.  It took me 2 more weeks and a dozen more phone calls but the situation is finally handled AND just as I had told them, I didn’t owe the money!

So why do go on a rant about the IRS in a blog titled Where Have All the Americans Gone?  It’s because my experience is not a solitary one and it’s the exact opposite of what our founders intended.  Everyday thousands of small business people just like me wade through mountains of IRS and Federal Regulatory paperwork. 

Every year we spend billions of dollars on paying people to help us navigate the bloated bureaucracies of our country JUST so we can pay our taxes and keep crap like this from happening. 

Then, just when I have thought that I have heard it all, seen it all, experienced it all, I see the media parade some numbskull around who is stating that they don’t mind having their taxes raised if it means they get health care!  The bozo doesn’t even realize that on his $38,000 per year salary he’s NOT paying any Federal Income Tax anyway!

Furthermore, I hear the mega-wealthy like Warren Buffett (a man whom I greatly admire) say the rich should do more and paying more taxes is ‘American.’  What?  Agreeing to pay more taxes and give more power to the government is the most un-American thing I’ve ever heard of! (remember, giving the government more control and more money is giving AWAY our freedom!)

Where have all the Americans gone?  The ones who threw the tea in the harbor, the ones who sacrificed everything to throw off the shackles of tyranny, where are they?  Where are the Americans who sacrificed to fight the tide of German aggression, not once but twice … and asked for nothing in return except for the freedom of the ones we helped save?

Where are the Americans that stood strong against communism, who shed blood in Korea, Vietnam and countless other conflicts?  Where are they, the ones that stared down the Soviet Union and demanded that they tear down the wall? 

What happened to the freedom loving people of our nation who would rather scratch out a living from the crusty earth than take a dime from the Federal Government because they realized that dime was taken from their neighbor at the point of a gun?  What ever happened to rugged American Individualism?

So my little experience with the IRS, the power broker and enforcer for our Imperial Federal Government has led me to the question.  Where have all the Americans gone?  Because when all the true Americans are gone there will be no more freedom on this earth.

Filed under: Rants!, , , , , , , ,

Keynesian Kooks – Why Keynesian Theory Doesn’t Work

KeynesianWhose Theory is This?

Keynesian Theory was developed by John Maynard Keynes, a man who would eventually have the royal title of Duke bestowed upon him in England.  Born in 1883, he came to prominence as an economist and philosopher around the time of The Great Depression. 

 His theories were adopted by the government in England in the late 1930’s and were eventually adopted by the Americans towards the end of World War II.  Essentially he believed that government could and should control capital in order to abate the swings in unemployment that can be typical in capitalist economic systems.

His theory basically states that high rates of savings by the population should be discouraged because those rates of savings hamper growth.  He also believed that supply drove demand not the other way around.

One of his largest critics was Milton Friedman who believed there were some basic flaws in Keynes theory.  One of the things that bothered Friedman the most was that much of Keynes economic themes were based on his feelings or his philosophy and had very little to do with actual mathimatical formulaic proof.

Friedman actually disproved Keynes theory that supply created demand and proved mathematically the opposite was in fact true.

What is the Keynesian Theory of Economics?

Simply put, Keynesian theory states that government can place capital more efficiently than the private sector.  When government controls capital and directs its placement through taxation and heavy regulation or through deficit spending, then swings in economic cycles are flattened and full employment is brought into equilibrium for long periods of time.

It further hypothesizes that high savings rates are unsafe and destabilize the economy and that only low savings rates and high rates of spending by the population can sustain growth and fuel stable economic cycles. 

Therefore, when the public is saving in large numbers, the government must encourage spending through regulation and if government cannot encourage spending then it should tax heavily in order to put the saved money to work in the economy.

Why Keynesian Theory is Still a Theory

Keynesian Theory is still a theory because it’s never been proven to work.  While America embraced Keynesian Theory in the lat 70’s under Nixon and Carter, the British were quickly squeezing the vestiges of this failed theory out of their government.

Theories remain theories until they are proven at which time they receive the title of Rule or Law.  We don’t call it a law because the theory’s concepts have failed time and again.  If it worked we would call it a Keynesian’s Law or the Keynesian Rule.

Milton FriedmanCommon Sense Shows Us the Way

Think about the two basic tenants of Keynesian Theory.  1.)  That saving is bad and; 2. )  That capital in the hands of a few (the government) is better than the profit motive of capital in the hands of many.

Instinctively we know that having savings is good.  ‘Save for a rainy day’… ‘Neither a beggar or a borrower be’…  ‘Waste not, want not’…  All of these wise old sayings are telling us something.  SAVE FOR A RAINY DAY!  Saving is a good thing.

Next lets take a look at human nature.  How good would a person have to be if you put millions, billions or even trillions of dollars in their hands and said, this doesn’t belong to you but you have complete control over it? 

Now the rules say this person can’t use their emotions in deciding what to do with the money and they can’t let their personal opinions play on their decisions, but…  How does this person or these few people in control that kind of money keep their own human nature in check? 

They don’t, just look at the Marxist utopia that should have bloomed from the Bolshevik revolution.  Instead of Utopia we got the USSR.  Socialism and Communism are the end result of basic Keynesian Theory.

Friedman Got It Right

Milton Friedman used mathematics to prove his economic theories and to disprove Keynesian Theory.  While Keynesian approached economics from the viewpoint of philosophy first and mathematics second, Friedman comes at from the other side.

While the Keynesian experiment was all the rage in Europe and was being put into practice in the U.S.A., Friedman was being decried by his piers for his opposition to this ‘enlightened’ economic theory. 

But, armed with the mathematical facts and penchant for philosophy himself, Friedman was able to write one of the greatest books of all times.  Capitalism and Freedom is a must read for anyone that wants to understand why Capitalism works and how it creates freedom.

We can try Keynes ideas one more time, but doesn’t make more since to turn to the logical rules that are proven and documented for us by Friedman?  Capitalism may give us some ups and downs in our economy, but it is still the worlds last best chance for strong free societies where people have an opportunity to live free from tyranny and where people are free to live their lives as they see fit!

Filed under: Economics 101, , , , , , , , , , , , , , , , , , , , , ,

Dumb or Smarter Than We Want to Admit?

Sarah is back in the news! You all know Sarah, Sarah Palin, the plain spoken Alaskan that would be Vice President if McCain would have been elected. The women that was interviewed by CNN, Fox and ABC while she was fishing for Salmon over the 4th of July weekend, come on, you know her …the ‘Dumb’ one that David Letterman, John Mahr and others make fun of ….. right?

Joe Bidden was back in the news! You know Joe, good ole Joe. The one that was an ‘also ran’ until he was picked by Obama to be VP. The one they call the Gaff Master. The one that rode AmTrack all those years and had breakfast ‘every morning’ at place that had been closed for more than 20 years. Yes, that Joe! Good Ole Joe!

Both sides say these people are dumb. Dumb as rocks and noone can seem to understand why they are on the public stage. Watch the bloggers, they tear these people apart. ABC, NBC, et-al rip Sarah Palin apart. “She’s naïve,” “She’s inexperienced,” why…”She didn’t even go to an Ivey League school!”

Then there the bloggers on the other side of the aisle that say Biden doesn’t know when to shut up. They are not sure if he’s honest, or stupid or just to backwards to know when to be honest or play dumb.

Well here’s what I think, and you knew this was coming….

Whether it’s George W Bush (43) or Jesse Ventura (Wrestler that made it to governor), or whether its Al Franken (former comedian turned Senator) or Arnold Schwarzenegger (nuff said), these people are not dumb! So they mispronounce words, have accents or seem to take simpler views of what the media claims are complex problems. So what, maybe they have a different perspective and maybe it’s time we all sat up and listen.

Here’s my proof and my point that they are not stupid. Becoming the Governor of a State in the USA makes you the leader of what amounts to a small country. Some states are in the top 10 economies in the world beating out even advanced nations in Europe.

Becoming number two in line for the presidency is no small task. There is a lot of maneuvering that goes on to obtain that goal and becoming president is an even harder task. Some will argue that it’s other people’s smarts that propel these ‘dummies’ to those levels, but I have to ask, who’s smarter? The one who hired the smart people to perform the appointed task or the people doing the work?

The answer is simple. The one doing the hiring is the smart one. They are smart enough to understand their strengths and leverage them. They are smart enough to understand their weaknesses and hire others to overcome them …. and watch …. in some cases you’ll see they are smart enough to even use their weakness to their own advantage.

I believe these people are smarter than we all know. If you think you are smarter than say Sarah Palin, I challenge you to accomplish what she has. An 86% approval rating for a Governor is virtually unheard of, how smart do you have to be? Pretty damn smart.

As for her recent move to resign as governor, watch, read and learn. It was a smart move. As it turns out, the state of Alaska has an ethics law that is the toughest in the land. Any one can bring an ethics complaint for any reason. Also, it is an ethics violation for an elected official in Alaska to use government time and resources to promote a National agenda that benefits themselves.

(of course the talking heads on TV that ‘say’ the news don’t do any investigative reporting any more so something as simple as this will never be reported!)

That’s why she quit, she was so busy defending frivolous ethics claims and had so many offers to be on the National stage that she HAD to quit. It was a SMART decision and it was an ethical decision. Doubtful that the mainstream media will ever get that.

And there in lies another great point about her intelligence. She’s smart enough to know that the media won’t get it and it will keep her in the news. She has manipulated the media from day one and has stayed in the spot light. She even knocked the death of MJ off the front pages for a day!

Palin dumb? Biden dumb? ‘W’ et-al …. Dumb? They don’t mind if you or I think they are because it works to their advantage. How smart is that?!

http://www.marketwatch.com/story/sarah-palin-is-smarter-than-the-media-think

Filed under: Rants!

Up In Smoke! Picking Winners & Loosers Again…

There is not doubt in my mind that there are winners and losers in every aspect of life and a person’s free will and ability to choose can determine whether they are a winner or a loser. We all have a choice. There is a point when we grow up and we can choose to good or bad, right or wrong, left or right.

I believe that the reason America is so strong is because our government was designed to allow this free will to exist. You can choose good and be rewarded or you can choose poorly and be punished.

That punishment can come in many forms. Some choices mean that you, the individual making the choice, are left out of the social or economic growth experienced by others. For instance, choose to sleep in every day and show up to work late and you’ll be unemployed. Bad!

However, choose to get up early, get to work on time and be productive and you will be rewarded! Good!

Choose to break a law and go to jail, choose to do the right thing and stay out of jail. I think you get my point and here’s where I’m going with all of this. It seems that lately we Americans have lost sight of the fact that allowing a winners and losers to be created in society through free will is much better than having a nanny state determine who the winners and losers are.

Now we seem to applaud the government for their daring efforts to save the banks. We MUST save the auto industry and now we’ve done it again. In an attempt to save people from themselves and their choices we have finally instituted stricter regulations on tobacco products.

An unintended consequence of this regulation is that it will establish one company above all others as the leader in the industry and may solidify them in that position for ever. As a matter of fact, Phillip Morris (the company destined to hold the top spot) actually lobbied FOR the regulation! http://www.marketwatch.com/story/under-fda-rule-big-tobacco-could-get-bigger?link=kiosk

So now we have the Government choosing winners and losers again! When does it all stop? If you think this is a good thing then ponder this. What happens when the government decides that the company that competes with the one you work for is more important than yours? What happens when you are on the losing side and you get laid off or see your sales drop so drastically that the company is shut down?

In the end having a government that chooses winners and loser can only lead to ruin. Look at the Soviet Union, Facist/Socialist eras in France and other Eastern European states during the 80’s. Is that what we want America to become? I thing not … and if it does, anyone up for sharing a plane ride to Australia?

Filed under: Rants!

Tom Petty Knew

Song lyrics politics. No I haven’t been drinking this morning, but maybe I should be . Right now is the perfect time for a Bloody Mary and a shot of bourbon.…

I was talkin’ with a friend of mine,
Said a woman had hurt his pride.
Told him that she loved him so,
And turned around and let him go.
Then he said, “You better watch your step”
Or your gonna get hurt yourself
Someone’s gonna tell you lies,
Cut you town to size

Don’t do me like that,
Don’t do me like that,
Baby, baby, baby,
Don’t do me like that.

So, there I was reading the morning news, baffled and befuddled by the seemingly unrelenting hypocrisy that spills form the headlines on a daily basis and then this song popped in my head. Tom Petty and the Heartbreakers are one of my all-time favorite bands so it’s only natural that I could associate the words of this song with the politics of our times.

Imagine you are the narrator in the song, the guy doing the talking and now imagine you are talking with your friends. Let’s say they are ultra conservative and every time you talk to them they warn you about the government and the hypocrisy of our politicians. No replace the ‘woman’ in the lyrics with any government official. Bingo, it’s the perfect warning.

What has me so riled up this time? Well it’s Ben Beranke, the Fed Chairman. I read in the paper today that he is now warning congress and the government that they need to immediately start creating plans to reduce the deficit or we’ll face huge problems down the road.

ARE YOU KIDDING ME! Now he’s saying this crap? What? When he’s been right at the forefront of printing money to buy our own debt essentially the creator of the ‘money for nuthin/’ scheme that has gotten us in the situation.

Talk about hypocrisy! Do these guys forget what they say from day to day? Isn’t Bernanke part of the old Three Stooges (Bush, Paulson & Bernanke) and the new Three Stooges (Obama, Geihtner, Bernanke) that said what we need to do is spend our way out of this recession and then set our government on a course to do just that!

Unbelievable! That’s all I have for you today, just freaking unbelievable.

I was talkin’ with a friend of mine,
Said the politicians had hurt his pride.
Told him that they loved him so,
And then they turned around and let it blow.
Then he said, “You better watch your step”
Or your gonna get hurt yourself
You guys gonna tell you lies,
Government’s power will cut you town to size

Don’t do me like that,
Don’t do me like that,
Obama, Giehtner, Bernanke,
Don’t do me like that…..

At least we still have the music, they can’t take that away can they? Can they? What? Oh Nooooo!

Filed under: Rants!

The GM Affect

Interest rates have gone haywire the last couple of days. You won’t hear it reported in the media though. Why? Because it would look bad for certain economic positions and actions taken by the current Administration …at least that’s my take on it…

The problem is that the bond markets are upset about the way the Obama Administration has handled the bond holders for Chrysler and fear the same will happen with GM. At the administrations urging, the judge in the Chrysler bankruptcy case forced the bond holder to take on more risk.

Usually bond holders are the first to be protected in a bankruptcy but this time it was other interests that were protected first. (think Unions) The bond holders took a back seat to almost every other concern.

Before you go saying those ‘evil’ bond holders (lenders) deserve it, think about this. Bond holders invest in companies by making loans to them because they are risk adverse. Investing in normal stocks is to risky for these investors. There reason? They are investing money from pension funds and insurance companies. This money needs to be invested in areas with very little volatility and steady returns with low risk to the money. (think about your pension, you want safety right?)

The way these bond holders are being treated is a huge change from how large restructuring like this normally takes place. And this sets a dangerous precedent going forward. So with a bankruptcy from GM looming on the horizon, the bond market got very, very nervous and everyone backed out of the market in one day!

I’m calling this The GM Affect because it was so awful. We saw rates jump 1% in less than 24 hours ….by the way… That is completely unheard of!

Rates have come back down today, but I don’t know how long that will last. Rates jumped up to 5.5% from a low the previous day of 4.5%. Rates today are back down to 5% but no one knows for how long.

With a very scary economic report just out about a 5.7% decline in GDP the first quarter of this year and about companies slashing inventories and jobs (approximately 2,000,000 more jobs lost) I’m not sure how much longer rates can stay this low.

So while the Administration rolls our their latest campaign touting the ‘good’ that the stimulus package has done and while they roll out the parties for the supposed 150,000 jobs that were created, our economy has had the second largest contraction since 1981. (By-the-way, only about $11 million of the $45 Billion that has hit the economy was for worthwhile make- work projects. The rest was for one-time payments for welfare and Medicare and for the extension of unemployment benefits.)

I know that this sounds like political commentary and I apologize because it is truly not meant to be a political view point. I’m commenting on my concern about the numbers The numbers don’t lie, and since they don’t lie, then someone or something else is lying. Could that something be the government, maybe both parties? Some will point back to the Bush administration as an excuse to support Obama’s actions. Guess what? Bush was wrong as well!

All the economic tricks and gimmicks being tried today have been attempted before. We did here in the late 70’s to early 80’s. and it didn’t work. Heck countries all around the world have tried what we are doing and they will tell you it doesn’t work.

Call it Keynesian Theory, call it Social Democratization, call it whatever you want but understand this. If it is illegal for you to ‘kite’ checks to cover your debt, then why do we allow the government to do it? (Kiting a check is when you deposit a check from one of your own checking accounts into another and then from that account back into the original account in a never ending circle just to cover checks that you right elsewhere, at some point it will catch up to you.

So why are we allowing our government to do a thing that we would be put in jail for doing? Because of some ‘theory’? Does this make sense to anyone?

At some point we will not be able to print enough money to buy our own bonds to fund our bloated and bureaucratic government. I’m hoping for the best and preparing for the worst. Here’s a link to a great article with the bad news/good news that can help you make up you own mind. http://www.marketwatch.com/story/us-gdp-revised-to-57-decline-in-first-quarter

Filed under: Economics 101

Contradiction & Accountability

As I watch the swirling controversy over Nancy Pelosi and her constant changing of positions about what she knew about water boarding and other interrogation techniques used on the animals that committed the horrible act on 9/11, I am struck by the level of contradiction in her statements.

Another thing that strikes me as odd is that her colleagues don’t seem to be willing to hold her accountable for her obfuscations. Also, I think it is interesting that many (some in the press even) want to talk about former VP Cheney and attempt to take the focus off of what Speaker Pelosi is doing.

It seems that history has proven one thing time and again. Those who can be defined as Liberal have a close political resemblance to many of the worst actors on the world’s political stage when it comes to double standards.

What I mean here is that those that espouse a belief in conservative values appear to be lambasted for the same hypocrisies committed by those that embrace liberal views. The liberal appears to be able to contradict themselves while avoiding accountability for their hypocrisy.

The Cult of Personality

I’ve come to understand why this is so. I once heard a song by the band Living Color. The song was Cult of Personality and it talked about how ordinary people would blindly follow leaders with dynamic personalities.

What history has shown us is that Dictators, Communist and Socialist use the Cult of Personality to cover their own contradictions and to avoid accountability. They force the populous (you and I) and their political opponents to adhere to one standard while they adhere to another.

This sounds crazy right? But it’s not just the ramblings of a right wing blogger (which I’m not by the way, more of a libertarian/independent thinker type)….anyway, I digress… The way that Liberals use Contradiction and Accountability (or the lack of it as it applies to themselves and application of it as it applies to their political opponents) is spelled out in a strategy written back in the 60’s and 70’s by a political organizer and author named Saul Alinsky.

Rules for Radicals

Alinsky was quite a fellow. His most famous book; Rules for Radicals is basically a play book for causing political change. What is interesting is that the book itself is filled with contradictions, rules for accountability and rules for hiding ones true purpose in order to reach political change.

According to Wikipedia ( http://en.wikipedia.org/wiki/Saul_Alinsky ) Alinsky begins his book with this tribute: “From all our legends, mythology, and history (and who is to know where mythology leaves off and history begins – or which is which), the first radical known to man who rebelled against the establishment and did it so effectively that he at least won his own kingdom – Lucifer.” That’s right, his book uses the Devil as one of it’s sources for how to rebel.

Not withstanding any religious beliefs, let’s not go down that slippery slope; let’s say we believe the bible to be a book of mythology. As in intellectual observation, it is odd that this author would choose to emulate the ‘evil’ force rather than use the ‘good’ forces for his examples.

He goes on to say; “Organization for action will now and in the decade ahead center upon America’s white middle class. That is where the power is. … Our rebels have contemptuously rejected the values and the way of life of the middle class. They have stigmatized it as materialistic, decadent, bourgeois, degenerate, imperialistic, war-mongering, brutalized and corrupt. They are right; but we must begin from where we are if we are to build power for change, and the power and the people are in the middle class majority.”

The Middle Class as a Pawn

It’s not hard to miss the hypocrisy here. Essentially what Alinsky is saying is that he doesn’t like the middle class. However, the political power lies with these masses and if the rebels want to succeed, then the middle classes must be convinced to align with the rebels.

The reference to ‘our rebels’ is to the rebels that have brought about populist social justice themes and are adherents to socialist democracies or so-called Democratic Socialism which in and of itself is another contradiction in terms. How can one have a Democracy aligned with Socialism, it doesn’t work…

Alinsky also felt that the Liberalism of his time was a farce. He saw that movement as docile and weak. His goal was to radicalize the movement in order to bring about his definition of social change ….Socialism…

Examples of his Words in Action

When we look around the world and delve into mankind’s history we see the works and words of Alinsky in practice. Some practiced his words before he even wrote them. Just look at the movements headed by Stalin, Hitler, Mao Tse-tung. Some practiced his words even while he wrote them, look at Ches Guevara, Castro, Qaddafi, Pol Pot and some practice his words today. Just look at Kim Jong-il, Chavez and other Socialist Dictators.

Now comes the billion dollar statement, the one that will get me in a huge amount of trouble with many who read my blogs. The power structures that currently run the Democrat party were educated in the principles of Alinsky and while they may not actively refer to the writings of Alinsky, they instinctively use his teachings to control the political spectrum whether they realize it or not.

Proof is All Around Us

My proof is evidenced in the way that Contradictions and Accountability are handled by many Liberals and some in the media. There is one standard for those perceived to be Liberal and a completely different standard for those perceived to be anything else.

Right or wrong is not the question here, the facts are the facts and they are visible for anyone who chooses to ‘un-bias’ themselves so that they can see clearly. The truth is that Liberalism today has been hijacked by the activist-rebellious-Socialist of the late 60’s and early 70’s and the truth is that they despise the middle class and look down upon them.

The elites who head the Democrat party see their continuants as dupes and morons. They revel in the realization that they (the leaders of the party) have finally learned how to control this vast and powerful middle class bastion and now the party will use this control to completely change the face of America.

So what are you? A dupe and a moron? Or are you a free thinker, an independent citizen? How do you view your own contradictions and how do you hold yourself accountable. Shouldn’t our politicians be held to the same standards we hold ourselves?

Alinsky didn’t think so. Contradictions were to be used to frame debate in a way that would not allow for rebutal and Accountability was to be used as a club to bludgeon opponents with, requiring them to hold fast to a standard which nobody could meet.

Think about it… and while you do, here’s a short list of the current day politicians that learned and actively used Alinsky’s teachings to organize communities and run campaigns.
Obama; Clinton (Hillary); Carville; (there are others, simply watch their actions and see how they deal with Contradictions and Accountability). Can we add Pelosi and Reid to the bunch? I don’t think that would be a stretch.

These are not the ramblings of a right-wing zealot, moreover they are the thoughts and research of a center-right realist. After you’ve done the research, I’d love not know your thoughts. Respectfully, thank you for reading.

Filed under: Cons & Contradictions

In Wonderland

Sometimes when I watch the news I feel as if I’m Alice and I just fell through the rabbit hole.

As I arrived home from another stressful day of barely scratching out a living and working 12-14 hour days just to do it, I was greeted with our President and Secretary “Dodgy The Tax Dodger” Geihtner announcing a new corporate tax program.

As I watched …in disbelief I might add… Secretary Geihtner actually had the gall to admonish corporations who use LEGAL tax loopholes to lower their taxes. He then had the unmitigated nerve to state that the new law would give government the ability to collect back taxes owed by these corporations and wealthy individuals.

Now wait just one cotton pickin’ minute! Is this the same guy that didn’t pay his fair share until he was caught? Isn’t this the same guy that didn’t pay all of his back taxes owed because the statutes of limitation had run out on some of it?

Do we really live in a world where the Sec. Treasury who is supposedly the ‘brightest financial mind’ of our nation can’t even use Turbo Tax to properly file his taxes but is the one lecturing others on the tax responsibilities? Will the hypocrisy never end?

Making American Companies Less Competitive

But let’s look beyond the hypocrisy to the stupidity. While this idea seems to be a good one on its surface and will play well with the ‘class warfare’ types, you know the ones that want to crush the rich and curse the evil corporations, the whole thing will never work.

Here’s why. The rework of the tax code is supposed to ‘punish’ corporations that ship jobs over seas and ‘reward’ companies that create jobs at home. However the tax rate on corporations in our country is confiscatory. We have one of the highest corporate tax rates in the world.

Companies will just choose to move their operations completely out of the U.S. rather than be subjected to further government interference. On top of the regulations on CEO pay and other socialistic policies, more capital and more companies will leave our shores not stay here!

We Pay Anyway

But that’s not the real point is it? In my usual fashion I’d like to take the conversation to where it belongs and it’s a direction that you are not likely to hear from any normal news cast.

No matter how much corporation is taxed they never pay it. The cost of the tax is just reflected in the retail cost of the goods when they are brought to market. That’s right; we pay the tax, not the corporation.
Higher taxes and tightening loopholes will only lead to more companies leaving our shores. It will lead to less jobs here and it will lead to higher prices on everything. We pay anyway.

Evil Corporations!

Now I know that many of you know that I am self employed and as such I am ‘part of the problem’ in this country. After all, I don’t conform, I’m ambitious, I work hard and I’m independent. You can’t fit me a box so I must be ‘dealt’ with.

That’s right, I’m a CEO and I own an evil corporation. But I’d like to say something here. As a dumb hick from the Southside of Atlanta with a high school education, I’ve worked hard. I’ve taught myself and I’ve put a lot of sweat into what I do.

Over the past two years I’ve endured a huge amount of sacrifice and worked 60, 70 and 80 hour weeks without earning a single dime! I’m barely holding on, but I’m holding on. And when things turn around I deserve to make an unlimited amount of money because of my sacrifice. Who has the right to tell me otherwise?

The IRS and The Hospital

Well it seems that the IRS has the right to tell me otherwise. After years of paying my taxes on time, paying 7.5% of other peoples taxes (BTW – that’s what employers do, they pay 7.5% of someone’s wages to the Federal government for the privilege of having an employee, oh yeah, and don’t forget the additional 15% we pay on ourselves. Sound crazy? It is!)

….sorry, I digress…. I received a letter form the IRS saying that I owed back taxes called FUTA taxes for employee payroll from 2005. When I called I found out there was more, they believed that I operated my business out of California even though I’ve only been to that state once in my life, I could not get them to understand otherwise.

So what’s my point? My point is that the way I was treated was so unprofessional and so harsh that the stress sent me into a tail spin and I ended up in the hospital (that story will come soon, I’m writing it now so stay tuned).

You see, I am to be ‘dealt’ with as far as this administration is concerned. So for those of you who think I’m some conservative hack and guys like me need to be dealt with, watch what you wish for. I’m sure that when the government is finished with guys like me, they’ll turn on you.

Remember, government does not create wealth and at some point those that wish to redistribute wealth will run out of other people’s money, that’s when they’ll come after yours.

BTW – I don’t owe the tax and I have proof. Do you think that matters to the IRS? The answer was and is a resounding …NO!…

Stay tuned for the unbelievable TRUE story of what happened when I called into IRS Customer Svc…. “Coming Soon”

Filed under: Economics 101, Rants!

Swine Flu

As I sit here today with my hospital mask over my face dodging the swine flu something occurs to me. We as Americans allow ourselves to be led around by the nose like a pack of wild animals.

Every time 4 people get sick from the same thing the media starts talking about a pandemic. While that is ridiculous enough on its own we believe it and start strapping on our masks. What is wrong with us?

As most of you are reading my writing for the first time I will tell you a little about myself. I am middle aged, conservative, a little crabby, and not very smart. That’s probably all you need to know I am a good counterbalance to my good friend and the very smart Michael Gross.

While Mike and I have had many discussions about many different subjects the one that always ends the evening is the media. We as Americans believe anything that is told to us.

While the majority of Americans are pretty smart one on one it has always amazed me how dumb we can be as a group. The swine flu is just an example there are many more. Let’s take the current market conditions in my opinion we were on the edge of a slippery slope waiting for a push.

The media started preaching the end of time is near what are we all going to do and us as a group stopped spending money. Well my friends sometimes things can be a self fulfilling prophecy.

For instance a middle income family the husband works for IBM the wife works at Lowes. Every weekend the two do projects around the house they go to Lowes and spend $100.00 a weekend on materials for their projects.

They can afford this 2 nice incomes well planned budgets they are doing well. All of a sudden the news comes on and says we are circling the drain hide the women, children, and cash.

So they do they stop spending the $100.00 a weekend and so do there neighbors because everyone fears they is going to be layoffs. Well Lowes has lost a big customer base and guess what the wife gets laid off now they can’t afford a mortgage and so on.

While I do believe the market is affected by profit forecasts and corporation decisions I also believe that in a capitalist society the markets are affected the most by capital and the ability to create it.

Capitalism is simple land, labor, and capital we have got lazy and the only thing we look at is capital. We have sent the land and the labor out of the country all we look at is capital. What is wrong with us?
Where is the entrepreneurial spirit that once had us starting lemonade stands, cutting grass and babysitting. Has anyone tried to get a kid to cut your grass lately they want $50 it’s all about capital.

In my opinion all we need to turn this economy and the country around is to stop looking for hand outs. Stop sending our jobs out of the country. Stop being scared every time chicken little runs by screaming the sky is falling.

Take our country back from the liberal’s who are taking us down the path of socialism. What business does the government have in GM, Chrysler, Bank of America, JP Morgan, and many others? The strong survive, it’s just a fact and it is better overall for the consumers to let it happen.

It might hurt for a minute but if we as a country need something there is always a new entrepreneur waiting to fill that need. So to end my little rant here whenever you hear something in the media instead of just running with the flock stop think about it, develop your own opinion and go with your gut.

As a matter of fact, what makes this country great is you can be an individual! Don’t allow yourself to be hearded with the masses. If we would all do this imagine how great our country could be.

Guest Author: Jason Ganzel – My brother-in-arms, cousin and compadre! Hope he didn’t offend anyone! LOL Mike.

Filed under: Media Bias!

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