Landslide on the horizon.

Landslide on the horizon.

I lived through the 1980 election, the fall of the Berlin Wall, and the collapse of the Soviet Union, and I was struck at the time by the fact that next to no one among the political scientists who made a living out of studying presidential elections, communism in eastern Europe, and Sovietology saw any of these upheavals coming. Virtually all of them were caught flat-footed.

This is, in fact, what you would expect. They were all expert in the ordinary operations of a particular system, and within that framework they were pretty good at prognostication. But the apparent stability of the system had lured them into a species of false confidence – not unlike the false confidence that fairly often besets students of the stock market.

There were others, less expert in the particulars of these systems, who had a bit more distance and a bit more historical perspective and who saw it coming. The Soviet dissident Andrei Amalrik wrote a prescient book entitled Can the Soviet Union Survive 1984? Aleksandr Solzhenitsyn predicted communism’s imminent collapse, and Daniel Patrick Moynihan suspected that the Soviet Union would soon face a fatal crisis. They were aware that institutions and outlooks that are highly dysfunctional will eventually and unexpectedly dissolve.

In my opinion, none of the psephologists mentioned above has reflected on the degree to which the administrative entitlements state – envisaged by Woodrow Wilson and the Progressives, instituted by Franklin Delano Roosevelt, and expanded by their successors – has entered a crisis, and none of them is sensitive to the manner in which Barack Obama, in his audacity, has unmasked that state’s tyrannical propensities and its bankruptcy. In consequence, none of these psephologists has reflected adequately on the significance of the emergence of the Tea-Party Movement, on the meaning of Scott Brown’s election and the particular context within which he was elected, on the election of Chris Christie as Governor of New Jersey and of Bob McDonnell as Governor of Virginia, and on the political earthquake that took place in November, 2010. That earthquake, which gave the Republicans a strength at the state and local level that they have not enjoyed since 1928, is a harbinger of what we will see this November.

I agree. However, the author misses one point. There is no guarantee that the American public will vote rationally. Obama might still win. However, the big government welfare state that he and the left believe in is still bankrupt and about to fall apart, no matter what happens in November. The only real question is whether we will honestly face the disaster brewing before us and begin the process of fixing it now, or we will make believe it isn’t there and allow it to overwhelm us in its collapse.

Either way, the federal government is about to go bankrupt, and if we don’t do something about it that bankruptcy will take everything else down with it.

The Democrats in the Senate have passed their tax plan.

The Democrats in the Senate have passed their tax plan, extending the Bush tax rates for families making under $250,000 for one year while allowing the rates for families earning above $250,000 to expire.

The big Democratic claim has been that in order to balance the budget richer people have to pay more of their fair share. Okay, so now they’ve made their point by law. If I were the Republicans I’d accept it, since we all know that this tax increase on higher income taxpayers will do nothing to lower the deficit. We could raise the tax rate for anyone earning more than $250K to 100 percent and we would still have a gigantic yearly deficit.

What will the Democrats next claim when this tax increase fails? It won’t matter. The problem is spending, and the failure of this tax plan will further demonstrate that point. The federal government has to learn to live within its means.

The Social Security Trust Fund will start losing value in 2013.

The day of reckoning looms: The Social Security Trust Fund will start losing value in 2013, not 2020 as claimed.

In 2010, Social Security’s Office of the Chief Actuary projected that this interest income would keep the trust fund growing in real value through 2020. The 2011 projections moved this date to 2018, and the recently released 2012 projections pushed the date to 2012, meaning that the trust fund will start declining in real value next year. After 2013, the trust fund is projected to decline by greater amounts each year until becoming exhausted in 2033.

The House yesterday proposed a spending bill that would cut the EPA’s budget to $7 billion, 17% less than what it received in 2012.

Progress: The House yesterday proposed a spending bill that would cut the EPA’s budget to $7 billion, 17% less than what it received in 2012.

Considering the federal debt, this is a reasonable cut, as a $7 billion budget would be comparable to the EPA’s budget numbers in the early 2000s, and would hardly cripple that agency.

On a more depressing note, the Senate is moving forward on a bi-partisan deal to pass a massive farm bill, loaded with pork that would spend almost a trillion dollars over the next decade.

The debt of the federal government is projected to be nearly twice the size of the U.S. economy by 2037, the Congressional Budget Office (CBO) announced Tuesday.

The day of reckoning looms: The debt of the federal government is projected to be nearly twice the size of the U.S. economy by 2037, the Congressional Budget Office announced Tuesday.

This CBO report actually supposed to be encouraging, as it indicates that the day of doom has been pushed back a whopping two years! Yowza! Let’s pop the corks on the champagne bottles and start celebrating!

Sadly, the article also has this ridiculous quote:

CBO’s latest prediction is similar to its 2011 report despite the $2.1 trillion in budget cuts enacted in last August’s debt-ceiling deal between the White House and Congress.

Nothing was cut by that deal. All they did was trim the rate of growth. For any journalist to continue to participate in this fraud is sickening.

Using the budget balancing rules Congress imposed on private companies, the federal deficit turns out to be five times greater than the official but fake numbers Congress normally publishes.

The day of reckoning looms: Using the budget balancing rules Congress imposed on private companies, the annual federal deficit turns out to be five times greater than the official but fake numbers Congress normally publishes.

The big difference between the official deficit and standard accounting: Congress exempts itself from including the cost of promised retirement benefits. Yet companies, states and local governments must include retirement commitments in financial statements, as required by federal law and private boards that set accounting rules.

The deficit was $5 trillion last year under those rules. The official number was $1.3 trillion. Liabilities for Social Security, Medicare and other retirement programs rose by $3.7 trillion in 2011, according to government actuaries, but the amount was not registered on the government’s books.

Four Princeton physicists received over $1.5 million in lodging subsidies from the Department of Energy while on “temporary” assignment to other labs, even after living at that assigment for as much as 14 years.

The work is good if you can get it: Four Princeton physicists received over $1.5 million in lodging subsidies from the Department of Energy while on “temporary” assignment to other labs, even after living at that assignment for as much as 14 years.

The above story, from Science, takes a more sympathic view of this misuse of government funds. The Washington Post is more blunt:

Four high-ranking federal lab workers found a way to turn “per diem” funds for a temporary assignment into a steady flow of extra income — at taxpayers’ expense. The overpayments, discovered in an inspector general’s audit, boosted the annual pay of some of the employees by as much as $64,000.

The Department of Energy paid the four scientists roughly $1.8 million for daily lodging and “inconvenience” during assignments away from home. But these scientists were paid as if they were on temporary duty for up to 14 years — long after most had permanently relocated to job sites.

The problem with this story is that it isn’t an exception but the rule. Right now the wolves are guarding the chicken house, and they are raiding it routinely for as much cash as they can get. Consider for example last week’s story about the NIH study that has spent a billion dollars without even getting off the ground.

You give someone the equivalent of a blank check, and they will make no effort to do things efficiently, or even to do what you hired them for.

Only 65% of the political class and only 61% of Democrats are aware that federal spending has gone up in the past ten years.

Pitiful: Only 65% of the political class and only 61% of Democrats are aware that federal spending has gone up in the past ten years.

Interestingly, 85% of the general public knows this basic fact, which might explain why the intellectual elites of our country — from both parties — are continually being blindsided by the rise of the tea party movement and its continued success in elections.

The Obama administrations Treasury Secretary admitted Wednesday that the federal government’s debt is “unsustainable,” but then added that solving the problem shouldn’t be a top priority, because the government still needs to “do things.”

Modern doublethink: The Obama administration’s treasury secretary admitted Wednesday that the federal government’s debt is “unsustainable,” but then added that solving the problem shouldn’t be a top priority, because the government still needs to “do things.”

Geithner’s refusal to confront what he admits is a looming disaster illustrates for all to see the normal operating policies of this administration.

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