Tuesday, January 01, 2013

Three Thoughts On The Fiscal Cliff Settlement

... illustrated by links to friends' blogs. But first ...

Happy New Year!

I rarely do holiday posts, I'm not sure why. In any case, there's your New Year's happiness wish. You may treasure it or discard it as you please.

Thought 1: I was surprised at how totally the Senate Republicans capitulated. There's not even a fig leaf for them in this deal. It's just a straight-up pointless class warfare victory for the Peronists. WC Varones has an awesome post describing it.
To summarize, Congress is going to keep running trillion-dollar deficits as far as the eye can see, and Zimbabwe Ben is going to coincidentally monetize almost exactly a trillion dollars of debt per year. Got gold?
I don't have gold, WC, I'm more a fan of rental property.

Thought 2: This was an unserious conclusion for very serious times and yet the press doesn't seem to understand it at all. Just for myself, if I were a journalist - a profession with a very poor future even without fiscal calamities - a financial deal that left us monetizing a trillion dollars a year of government spending would have me looking into new careers and in a big, BIG hurry. Yet they don't seem to be bothered by any of this at all.

Going back to the WC Varones well one more time, we have this awesome post on the collaboration of the Fourth Estate with the Peronist fascists taking us straight down into the abyss.
The print and broadcast media still dominate the national dialogue, and have succeeded in downplaying to outright non-coverage of everything damning to the Obama regime. It's as if Woodward and Bernstein helped Nixon cover up Watergate, and outed and smeared Deep Throat as a subversive crank.
I dig the whole cover-for-your-political-allies thing, but at some point, personal survival has got to trump party loyalty. The only conclusion I can come to is that they really are as stupid as they look. I'm open to other suggestions.

Thought 3: In many ways, the whole fiscal cliff / debt thing is irrelevant. Longtime Feline Theocraticians No Pasaran have blogged this gem about the linkage between moral and financial decay.
(T)he social issue of marriage, and its importance to our society, has become a tremendous fiscal issue. The problem of marriage absence is now costing the taxpayers even more than national defense.
Children from broken homes are doing well if they graduate from high school and avoid prison and drugs. Even if the budget were balanced and the debt was zero, that kind of workforce isn't going to lead us to a glorious, new future.

So where does that leave us? How about here?

Eventually, being electrocuted won't seem so bad any more and we'll be able to talk like grown ups about the budget and social mores. Or maybe we'll just go full Athens/Madrid and riot.


Tim Eisele said...

"I was surprised at how totally the Senate Republicans capitulated."

I can't say that I was surprised. I've long been of the opinion that the Republicans' "commitment" to fiscal responsibility is fraudulent. They don't care any more about balancing the budget than the Democrats do. Maybe less.

For example, our supposedly "Tea Party" representative[1] has come right out and said that he has zero intention of doing anything to control Medicare or Social Security expenditures. And as far as I can see he hasn't even hinted at any intention of doing anything about Medicaid or military spending. Since those are the four main drivers of our debt, and he's also said he won't support tax increases, to me this basically means he intends to do nothing.

[1] Dan Benishek. Elected after Bart Stupak retired.

K T Cat said...

Tim, your model of the situation appears to be pretty accurate right now. The thought had occurred to me, too - it's all a sham.

W.C. Varones said...

Thanks for the link!

Rental properties are a good idea in an environment of global competitive devaluation, as are equities.

But everyone should have a little gold. All it takes is a few coins and you have your share.

Erik said...

Thanks for the link…

See also this related story, from Richard A. Viguerie:


The breakdown of the family drives government spending because you and I then pay the bills for welfare, after school programs, and a host of other expensive (and unsuccessful) federal efforts to replace the nuclear family

K T Cat said...

Erik, thanks for sharing that one. Clearly, I need to visit No Pasaran more often!