Populist Daily

Politics, Culture and American Life

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    The Grand Illusion, Part II

    September 1st, 2010 · Corporations and Industry, Lobbying, Media, Politics, taxes

    Part II — Who is telling all those lies…and why?

    They met on the mall in Washington, that renowned place for great assemblies. They were baby-boomers and beyond and overwhelmingly white. (Maybe when you call a Liberal African-American President, raised by white grandparents a ‘racist” as Glenn Beck did, you may turn away people of color.)

    Glenn Beck spoke about religion, a subject about which he is eminently unqualified to speak. Sarah Palin, the femme du jour of the Republicans, the failed governor of Alaska, failed Vice Presidential candidate, failed mother…spoke….about….something.

    It will not be long remembered. Most people have forgotten it already. This modest assembly to “restore America” will not be long remembered in a place of so many significant assemblies of concerned citizens. The only person clear on what is being restored is Glenn Beck, and that appears to be his version of some kind of new Christian doctrine. Doctrine may be to complex a word to describe it. “Fantasy” might be better.

    Other marches will continue to be remembered. Coxey’s rag-tag band in 1894, marching from Ohio, after our first really big recession, to protest joblessness and the lack of concern for the People would only set the precedent for other marches. Some would protect economic conditions or wars, others for a variety of reasons, but all meant to dramatize a cause…not to promote a charlatan and a mope.

    Beck’s “Restoring Honor” day will not likely be remembered as long as the assembly in the Spring of 1939, when Marian Anderson held her famous concert after the Daughters of the American Revolution would not allow her to use Constitution Hall because she was black.

    Nor will it be remembered as long as Cox’s Army or the Bonus Army marches of 1932 calling for jobs in the heart of the Great Depression. President Hoover sent General Douglas MacArthur, who brought his adjutant, Major Dwight D. Eisenhower to scatter them and send them on their way.

    Beck’s group will never be remembered in conjunction with the magnificent assembly by Martin Luther King. It might appear somewhere in some obscure footnote to Dr. King’s dramatic March on Washington for Jobs and Freedom, where 250,000 people and a national television audience in the millions watched Dr. King delivered his famous “I Have a Dream” speech.

    Nor will it be remembered as long as the anti-Vietnam War assembly of 100,000 in 1967 that led to the famous march on the Pentagon described vividly in Norman Mailer’s Pulitzer Prize winning non-fiction novel, “Armies of the Night.” Or the subsequent anti-war marches and assemblies at the Lincoln Memorial of half a million people each in 1969 and 1971.

    It will not be remembered as well as those of the March for Life in 1974, or the Solidarity Day march of 1981 or the Million Man march of 1995 or the Promise Keepers of 1997 or the Lesbian and Gay Rights marches of 1979, 1983 or 1997. [Read more →]

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    The Grand Illusion

    August 30th, 2010 · Corporations and Industry, Culture, Lobbying, Media, Politics

    Part I – Looming disaster and how we got here

    The Tea Party Movement is neither a movement nor has it anything to do with the traditions of freedom represented by the American Revolution. It is in fact, ironically, about the impulse of an uneducated and badly led society to permit the restriction of its own freedoms. It is about handing the reins of government to a tiny minority of hugely wealthy Americans.

    The Tea Party Movement is a farcical, phony, billionaire-funded series of publicity stunts and anti-Middle Class parades. They are designed by corporate America to capture the imagination of hundreds of millions of largely ignorant citizens, prompting them to vote for their own personal biases and prejudices and superstitions.

    The goal of these billionaires is to reduce the size of government by dramatically reducing social services. They do so by persuading the so-called Tea Party to create disruptions in society against the current Progressive legislative agenda. These are actions by a segment of the super-rich who fund organizations to prevent the increase or continuance of such things as affordable health, true security, job opportunities, wage increases, and the ability of children and grandchildren for an obtainable college education.

    In the age of total media control by the Neoconservatives, the Tea Party Movement could help bring about a tragic end to representative Democracy, and the beginnings of a new era of oligarchy, thus ending 300 years of opportunity for upward mobility. This could end one of the greatest experiments and successes the world has ever seen, the great American Middle Class…unique among all the countries of the world.

    We need a little history lesson to proceed. This sinister plan…and sinister is not to stringent an indictment…has a long record in this country. In fact, this elitist attitude has existed throughout our history. But this version began with Ronald Reagan. [Read more →]

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    Restoring Honor? How About Restoring Sanity?

    August 28th, 2010 · Corporations and Industry, Culture, Media, Politics, Wall Street

    It is probably not a good idea to give any publicity to this inane plan of Glenn Beck’s to hold a “Restoring Honor” meeting at the Washington Mall but it is an appropriate starting point.

    Glenn Beck is probably the most vocal and radical–some, many, say crazy–commentator on the Obama Administration’s policies. He literally has thrown out terms like “Hitler” and “Mussolini” to describe some of the policies of this Liberal and Progressive. The problem is that to any Independent or Moderate Republican, the President is just fine and with many Liberals he is far too far to the Right.

    So all this ginning up of idiotic talk about the Obama Administration bringing Fascism or Communism is clearly a coordinated effect by the Neocon Party to conceal their own motives. Ironically, accusing others if doing exactly what you are doing was a hallmark of Hitler’s propaganda machine. It was an essential element of the “big lie” theory of the Nazis.

    Accusing Barack Obama, certainly the representative of Black America and Poor America and Unemployed America and now what is left of Middle Class America of being a Nazi or a corporatist, is on its face…ludicrous. The people attacking Obama are from the large corporations. The large corporations were not helping the Communists or the Socialists (forget the name “National Socialist” the Nazis were anything but Socialists. In fact, here is the parallel between Hitler and the American Neocon Right Wing Republicans. See if anything sounds familiar. [Read more →]

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    Ric Scott Strikes Again.

    August 26th, 2010 · Culture, Health Care, Politics

    Ric Scott is the Republican nominee for Governor of the state of Florida. We have had times in this country when governors of states were some of the most reprehensible people one could imagine.

    We have had people like Orville Faubus of Arkansas who said that black children would go to school with white children over his dead body. We have had three separate governors of Illinois, Otto Kerner, Dan Walker, and George Ryan who went to prison.

    We had a governor of Alaska who simply resigned in the middle of her term to capitalize on her popularity as a Vice Presidential candidate. She did, in fact, make at least $12 million having a book ghost written for her and making speeches to Right Wing Neoconservative groups.

    We had a governor who had an affair with a Latin American woman, who left on what he told his wife was a hiking trip in the Appalachians and ended up in South America.

    But now we have one of the most bizarre of all situations, in fact, two of them, but one much more outrageous than the other. Ric Scott, a rather wild-eyed, bald man of probably fifty-something, ran a company Columbia-HCA, a hospital company that cheated the government out of very large sums of money. So large were they, that the government fined his corporation $1.7 billion dollars.

    Ric Scott carried on Medicare and Medicaid fraud. But now he is the candidate on the Neocon Party for the governorship of Florida, the state with perhaps the greatest number of Medicare and Medicaid patients per capita in the country. So, the question is…will he somehow try to steal the Medicare and Medicaid funds in Florida? Will he? [Read more →]

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    On Taxes and Coming Out of Recession

    August 24th, 2010 · Capitalism, Economics, Politics, jobs

    This is a short piece about taxes and jobs. One would hope that this blog is not the only place where there is a serious call for all Americans to begin to call, write and even assemble and march to the offices of our elected officials to lobby for for jobs. We need jobs desperately and we can have jobs. All we need to do to restore the economy completely, over the next two years, is to create jobs.

    We need the government to create 5 million jobs over the next 6 months. Of course that raises several questions. The first, of course, is why 5 million? Here is the reason. When we were in the Bush era, at the end of 2007, the speculative era in Wall Street was being cut short by the failure of so many sub-prime mortgages, which had been used as investment vehicles…mostly traded between banks, here and abroad.

    At that time we had about 7 million unemployed. These are rough numbers. By the end of 2008, we had lost something like another 5 million jobs in one year, had a tremendous stock market crash and huge government (still under Bush) interventions to save the financial community from taking us into a full blown Depression. That caused a severe loss of jobs, 600,000 jobs or more a month…the scariest situation that any businessmen over 60 had ever seen…and that means it goes back to the Johnson era. Very scary. That lost us another 3,000,000 jobs before we could get it started. All told:15 million people unemployed, If it is 9.5% of the active workforce, it should be a little less than that…say 13,000,000.

    But here’s the point. We need to create 5 million jobs just to get back to normal high-unemployment levels. But that would be ok in this instance because we would be doing so with momentum. We live in a service economy. That is, 80.6% of our jobs are service jobs. They don’t originate anything, they merely provide services to other service workers…the flower shop owner who comes into the coffee ship for coffee. So, some people will say that, once these jobs are gone…5 million jobs, each for one year…those people will be out of work. That may be true, but in the meantime, business will be up, (we are a service economy remember), new jobs in the private economy will be started, banks will do some lending, and the tax picture will begin to close up the deficit a little. And the cost? [Read more →]

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    Creating Jobs in the United States

    August 22nd, 2010 · Capitalism, Corporations and Industry, Economics, Health Care, Labor, Media, Politics, jobs

    There are several problems with the current jobs situation and those are in addition to the fact that one out of approximately 8 people you see walking down the street is either unemployed or has only a part-time job. Of course, for some people, the idea of a part-time job is difficult to imagine, as these kinds of permanent part-time jobs did not exist 30 years ago.

    But now, with a largely service economy and contract workers in major corporations–two tier employment–we have these precarious employment situations. The good news is that at least two of these problems can be alleviated by electing a new and stronger Democratic Senate and House of Representatives than we have now.

    The first problem is outsourcing of jobs. The United States employs roughly 130 million non-farm workers. Approximately, 12% are government workers. So that leaves 115 million in the workforce. Of those, 80% are in service jobs. That leaves 25 million manufacturing, construction, and other non-sandwich-slinging jobs available to the market place.

    That is not enough jobs in this country, good domestic jobs, to fuel a recovery or to sustain our current lifestyle over the next 20 years let alone the next 100 years.

    You can survive for a long time on service industries, but eventually someone has to make something or find some resource that can be mined, drilled or otherwise transferred from its natural state into something of added value. It is not enough for someone to rid your house of pests and you pay him and he goes to the bank and then takes out cash and buys a meal at your restaurant. It all starts with someone, somewhere who created the initial income from which the pest control, the bank and the restaurant are derivative beneficiaries.

    A strictly service economy is an economy in decline. Unless you want to go into a very extensive analysis, or a philosophical treatise on why we are now a service economy…suffice to say we need to restore manufacturing to the domestic economy or we will continue to slide into economic oblivion. [Read more →]

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    Disciples of Fear

    August 20th, 2010 · Culture, Media, Politics

    Beware of the Age of Fear.

    Not the dark, unreasoning fear, the fear of the unknown, the fear of poverty, destitution and calamitous disaster. No, not that fear. Not even one, all-encompassing fear—not the phobic kind of fear that paralyzes every movement.

    No…we are not talking about that age-old, traditional fear…the fear of hell fire and damnation loosed somehow on us after death or in some similar form of punishment while we are still in our mortal state.

    This is something else. Beware of new fears…American fears. They are manufactured fears. They are fears brought to you for public consumption, riding along on every news cycle. They are the fears constructed by the propagandists of the new era of Republicanism. They are the fears brought to you by the New Disciples of Fear…the Neocons.

    Oh, yes, we have had our fear mongers before. When religion met radio, fear of hellfire and brimstone was the principal player in their melodrama. When politics met television fear found its eternal match, beginning with Communists behind every couch, from Senator Joe McCarthy. And when television found Ronald Reagan, fear in politics became entertainment…the “Evil Empire” and ultimately George W. Bush’s “axis of evil.” [Read more →]

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    The Rich Are Winning

    August 18th, 2010 · Culture, Media, Politics

    When we look at the past year and a half since President Obama and his staff have come to office, we can only shake our heads and wonder.

    We wonder whether the United States of America is headed for its final hour, for an era of disgrace and shame and stupidity beyond the fall of any great society in history.

    Why would we say such a thing and what is happening that would indicate such a great collapse? Well, first of all, it is not the Recession, which now seems almost certain to turn into a Depression. Let’s say a word about that before moving on to the more serious matters…which may sound strange…but there are things more serious than the Recession.

    The Neocons have been using the stimulus as a political football, simply lying about the results and distorting the real results, which are there on the recovery.gov website for anyone to see. Some of the contractors, who are not hotshots when it comes to the Internet, have sent in wrong ZIP codes when they reported the jobs completed or jobs undertaken, but the fact is that the numbers are correct. But every reputable economist has said that about 1.8 million jobs were created.

    But the stimulus has not been enough. The Bush team really did a number on this country. The economy was losing half a trillion dollars a year before the Recession. And so how do you think things should look now—in a deep Bush Recession…with 15 million people unemployed? We lost 8 million jobs in just a few months at the end of the Bush Administration and it was getting worse until President Obama got the stimulus through within only about 60 days…and no Republican help. [Read more →]

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    No Cuts to Social Security

    August 17th, 2010 · Capitalism, Politics, Populism, taxes

    Since 1980, the Republican Party has been made up of Conservatives and since Bush the First’s term made up of Neoconservatives. In the early 1980s they received a gigantic tax cut, reckless and foolish in the extreme…from a top rate of 74% down to a top rate of 28%.

    That set off a huge conspiracy of sorts. The idea which became so popular was to say that we can have our cake and eat it with frosting and ice cream. The Conservative wing of the Republican Party, which had been frozen out because they were, frankly, kind of nutty had been thrust into power because of Reagan’s ability to act the part of a President on television. He looked and acted like a President, so people believed him.

    The fact is, however, that he had a rather silly economic policy that proved disastrous. By the end of his two terms, the national debt had gone from $800 billion to $3 trillion. It was astonishing. But the problem was that, while there was strong economic proof that the economics were voodoo, leading to deficits, the Conservative Republicans continued the lie, which continues to this day, that deficits don’t matter.

    Of course if you don’t care whether there is an American federal government or whether soldiers get paid, or widows and orphans and elderly and veterans…why would you care? The Conservative deficit-spending plan was good for the very rich, who were making an additional $125,000 per million and corporations who had 35% tax rates but were paying zero in taxes because of Conservative loopholes. [Read more →]

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    The “R” Word

    August 14th, 2010 · Capitalism, Human Rights, Media, Politics, Populism

    In 1917, after generations of serfdom, oppression, starvation and genocide, the people of Czarist Russia took matters into their own hands. Vladimir Ilyich Lenin, transported through Eastern Europe into Russia on a sealed train brought the remedy to the problems of all the peasants…organization and force. He brought a system of organization to establish a collection of groups into one, dynamic, violent, active political entity called the Communist Party. The single goal of the Communists, one on which they focused with ultimate intensity was the overthrow of the Czarist government of Russia.

    The oldest and most entrenched political system in the world, the Russian nobility, would soon become victims of the inexorable force for change called Communism.

    The antithesis of a Communist leader is a Libertarian. And a pal of the Libertarian is the anarchist. Today we have many who say that they would prefer no government. They would rather be free to pursue failure or success on their own. There are others, the anarchists, who would destroy anything positive that arose from any success of Libertarians if it somehow formed into a society that needed governance.

    Those are the extremes and in the middle is the monarchist, the oligarch, the plutocrat, the Liberal, the Conservative, the Progressive, the Populist, the Socialist and the Moderate. Now we have also something called the Neo-conservative. [Read more →]

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    How to Fix Social Security and Balance the Budget

    August 12th, 2010 · Economics, Politics, Populism

    Michael Hiltzik’s August 6 column in the LA TIMES was pretty thought-provoking on the current Social Security dialogue. And it leads to some rather interesting points that should be raised about Social Security solvency, Medicare, Medicaid, and the future of entitlement programs.

    It also brings up some questions on taxes. We will show exactly how we can get out of this economic mess while not touching a dime of Social Security. But the big boys won’t like it because it is true and it is easy.

    Hiltzik also spoke indirectly to the complaints among the columnists and electronic media commentators, like Charles Krauthammer, Ann Coulter, Limbaugh, Hannity and Beck among others who are the door knockers and pilot fish for the rich.They complain constantly on behalf of the billionaire oil men and merchandisers and health industry CEOs that they are being taxed only to help the poor. The intimation is that the poor are basically lazy or stupid.

    In rebuttal to the latter point, about the–you know–stupid–is that Sarah Palin has made $12 million this last 12 months and she still thinks she can see Russia from her porch.

    Let’s be clear up front. There is no reason…none at all…to tamper with Social Security delivery as it is right now, with one small exception. In other words, we need not worry at all about changing any part of it, except perhaps to raise the disability segment from about .8% of total funds to 1.1% and that, according to the SSI actuaries will fix disability—the costs of which have gone up a little. That would fix it for a long, long time.

    That’s what you have to know and the rest is about why that is true and why Hiltzik’s column was significant. [Read more →]

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    The Great Neocon Budget Hoax

    August 9th, 2010 · Capitalism, Economics, Lobbying, Politics, Populism, Wall Street, taxes

    Representative Paul Ryan, Neocon-Republican of Wisconsin, has laid out an economic plan for the future of the country. The problem with his plan, however, is that it makes several flawed assumptions.

    First of all it assumes that the American People will never figure out that tax cuts for those in brackets from over $350,000 a year up to a billion will provide monetary benefits to them but that those benefits will never return in any measurable way to the economy. The bi-partisan Congressional Budget Office, truly non-partisan, has demonstrated and issued a report, under a former Bush Republican boss, that tax cuts do not pay for themselves. Tax cuts remove revenues and do not replace them. Simple as that.

    In that report, the CBO says that–at most–they could generate 1% more than they cost in revenue to the government. As far as recovering their actual costs, the most we can get back for every dollar we give away to the richest Americans is 22 cents.

    That is why Alan Greenspan, now after decades of making assumptions and running the Federal Reserve based on those assumptions, when asked if tax cuts pay for themselves, said: “No. They do not.” Period.

    So why would Paul Ryan as the front man and the rest of the Republicans come out with such an outrageous falsehood? Well, first of all, the entire Reagan revolution was based on the idea that tax cuts will stimulate the economy and pay for themselves many times over. This was an idea, still held by many, especially those stalwart economists, Rush Limbaugh and Glenn Beck, first promulgated by an economist named Arthur Laffer, not particularly highly estimated, but given credibility through the support of Nobel-prize winner Milton Friedman.

    It was the theory that if you cut taxes it would stimulate the economy and the more you cut the better it would be for the economy. Well, it was tried through Reagan, Bush I, Clinton (to some degree) and Bush II. And the result was a cumulative $13 trillion deficit…all of it caused by the very people Paul Ryan is fronting for…the Neocons. So where did the money go? [Read more →]

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    A Populist Plan to Restore the Economy

    August 7th, 2010 · Capitalism, Economics, Politics, Populism, jobs

    This will short and to the point. This is a simple plan to handle a simple problem.

    Yes, it is not as complicated by a factor of 1000 as the Neoconservative Republicans in Congress and all their Right Wing radio commentators and corporate-sponsored lobbying “think tanks” like Cato, Heritage, AEI and others too numerous to list…would have you believe.

    First of all—the problem. We have an economy that is performing at half speed. This means that a very large number of people are out of work and others are barely getting bye and still others have literally fallen from middle class wage earners into poverty in a matter of less than 24 months.

    Let’s be very clear about what caused it, because it is very clear, almost transparent. George W. Bush and Dick Cheney took office, were appointed by Cheney’s friend Judge Antonin Scalia, and immediately made it known that they would do at a minimum four things. They would:

    1. cut taxes for the rich and corporations,

    2. take care of oil men by raising gasoline and other energy prices;

    3. hire Halliburton and similar by invading Iraq; and

    4. help all large corporations, including mining companies, natural gas companies, logging companies, pharmaceutical and health industry companies and Wall Street by firing and restricting activities of as many supervisors of government regulations as possible.

    What did they tell the people? They said that taxes were too high. Of course it was a lie. They said that we needed an energy plan. What they didn’t say was that it was a plan for the oil and energy companies, not the People. They said that Saddam Hussein (whom most people did not know from Osama Bin Laden) was going to attack us. A lie.

    And finally they said that government was overbearing and the corporations could not make money and would cut jobs. As big a lie as was ever told. Corporations were making more money than at any time in our country’s history during the Clinton years. That’s just a fact.

    All those things, promulgated by shrewd, very greedy and somewhat evil men (if you feel that a deliberate plan to impoverish the American Middle Class is evil) caused the collapse of the economy, the huge national debt and the misery of at least a full ten percent of the people in America. Another ten percent spend every day worrying about tomorrow because their outlook, their financial prospects, range from bleak to downright death-threatening. If some people lose their jobs, health insurance, homes…those with certain illnesses could die. Statistics say that about 45,000 annually do.

    So let’s just say that there is extensive evidence for all of this and it is not some political excuse to beat up on a guy who would otherwise probably be someone beloved rather than hated by many in society. [Read more →]

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    Neocons and National Debt

    August 5th, 2010 · Capitalism, Economics, Lobbying, Politics, taxes

    Income taxes were first levied to pay for the Civil War. After the Civil War, personal income taxes were abolished and there were basically no income taxes from 1868 to 1913. Taxes on liquor and tobacco were the chief sources of revenue for the Federal government.

    To fund the U.S. participation in World War I, Congress raised taxes from one percent to two percent and raised the tax on million-dollar annual incomes to 15%. By 1918, when the U.S. was heavily involved in the war, the tax rates had been raised to 6 % for the lowest incomes and 77% for those incomes over $1.5 million. On the other hand, only 5% of Americans actually paid income taxes in those days.

    During World War II, our national debt actually grew to 120% of GDP. If that were to be the case today, current national debt would be $20.4 trillion instead of $13 trillion.That is neither desirable nor even thinkable. We need to reduce our national debt. We did it after World War II by paying taxes and cutting government.

    So how do we do it today? Our tax revenues as a percentage of GDP are now so low that they are the same as they were in 1950, when we had a third of the population we have now. So how do you do it? How do you bring down the debt and raise government revenues? One way you don’t do it is more tax cuts.

    The Senate is ready to punt on retiring the Bush Tax Cuts. It is of course a cowardly act on the part of any Democrat who votes for it and villainy on the part of the Neocons. Retiring the Bush Tax cuts would mean that we would put another $3 trillion into government coffers or continue to subtract that amount. It is the same question as the one about the Bush tax cuts themselves. Should we have voted them down? If we had, all else being equal, we would have an approximate $2.6 trillion budget deficit today.

    The fact is that we need to retire those tax cuts for the wealthy and go in the opposite direction. We must go back to tax levels prior to Bush the Second, and prior to Reagan. We need to make a few exceptions, namely to raise the exemption for multi-millionaire heirs to the 2009 rate of $3.5 million and then hit them with 35% on everything above that.

    But we need a top marginal rate right now of something like 55% or more or we will have to cut our social safety network for everyone. It will not hurt the economy and here’s why. [Read more →]

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    The Neocons

    August 2nd, 2010 · Culture, Health Care, Lobbying, Media, Politics, Science & Technology, Wall Street, taxes

    When the current American Right Wing propaganda machine heats up it is very difficult to sift through the lies and the deliberate distractions to go directly to the facts. There are a dozen obfuscations along the way. And not merely for the overview of the last ten years, but for each single affront to American life.

    We have previously discussed the horrific damage to the economy that George W. Bush caused–the swing of $6 trillion in government revenues from the tax cuts. In other words, if we had used the $3 trillion Bush gave away in tax cuts for debt reduction instead, our debt would have gone down to $2.6 trillion. But because we added it to the debt, the result was an increase in the debt to $8.5 trillion just from the tax cuts. But it didn’t stop there. He then added $3 trillion in wars. So then our debt became $11.5 trillion. But then he didn’t stop there.

    Many people think he deliberately ignored warnings about 9/11. We know for sure that he ignored a specific report about potential hijackings of domestic aircraft less than two weeks before the Twin Towers terrorist attacks. So whether by ignorance, or inattention or merely successful concealment by the terrorists, we had a catastrophe that set off a recession.

    But instead of addressing it, Bush launched his tax cuts anyway…and two major wars. Those two wars cost us as much as the tax cuts. And they were not paid for by other cuts or taxes…so we went another $3 trillion into debt. And we’re still in both wars 8 years. But then he left us a deep recession or mild depression…you can classify it yourself depending on your situation.

    And after all this…plus Enron, plus the other corporate scandals, we still face an intractable group of pro-Bush hangers-on. We are now affronted by this group that we call Neocons. They are an ideological propaganda group, a political party dedicated to totalitarianism. And if you ask: why…why would anyone in the middle or lower classes participate in such a disastrous policy…a policy that will become more disastrous for them the more it succeeds….there is an answer.

    It is disaffection and ignorance. Disaffection because they see society as overbearing. They see a society that will live free within majority rules as one that will dash their cherished hopes. And now you must hold your nose for a bit while we state what those “cherished hopes” are. [Read more →]

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