Spend and Spend, Then Cry for Help

This AP story http://www.breitbart.com/article.php?id=D94EQHOG0&show_article=1 today informs us that several cities, including Phoenix, where I live, are bellying up to the taxpayer feed trough for handouts:

Three big city mayors asked the federal government Friday to use a portion of the $700 billion financial bailout to assist struggling cities.

The mayors sought help with their pension costs, infrastructure investment and cash-flow problems stemming from the global financial crisis.

The mayors—Michael Nutter of Philadelphia, Shirley Franklin of Atlanta and Phil Gordon of Phoenix—made their request in a letter to Treasury Secretary Henry Paulson.

[Emphasis added.]

Perhaps if these cities restricted themselves to their only legitimate role, that of securing our rights from violation, they wouldn't need any bailouts. Instead, they pay hordes of public bus drivers $20+ per hour, and here in Phoenix, build a shiny new Light Rail system, for a cool $1.4 billion - so far. There are extensions planned. http://en.wikipedia.org/wiki/METRO_Light_Rail_(Phoenix) That's why they've gone begging to Uncle Sam, who will gladly steal it from the taxpayers across the country to pay for Phoenix's unjustified extravagances.

The solution is a return to a legitimate form of government, which has no role beyond the protection of individual rights. Not more bailouts and stealing from taxpayers.

The Election

There was no good candidate for President this year, as there hasn't been for many years. Not surprisingly, the candidates get worse with every passing year. There are many causes for this, but the one that sticks out for me is public education.

Public schools are a propaganda arm of the government. They teach the "virtues" of statism, of the welfare state, of political correctness, and of environmentalism, while they demonize capitalism and Western Civilization. Is it any wonder that the products of this so-called education elect statists and environmentalists, and become such candidates themselves?

This gradual decay from freedom to the paternalistic state would be an interesting phenomenon to study in historic archives, or in some other nation. Unfortunately, it is happening here, in the United States, and we have to live through it. We have to watch freedom being tossed overboard, in favor of the all-encompassing state as daddy and mommy, since we poor, helpless children cannot take care of ourselves. We cannot be trusted with freedom. We aren't strong enough, we aren't intelligent enough. We are simply pathetic morons who need to be cared for by our betters.

There have been a few periods of American history with sudden plunges down the road to serfdom. FDR's New Deal, LBJ's Great Society, were two of them. George Bush's addition of prescription coverage to medicare, and his colossal bailout of Fannie Mae, Freddie Mac, and the other hundreds of billions he is throwing to private financial institutions, with government strings attached, is a third.

Now we will see what Obama's contribution will be. Having a Democratic majority in both houses of Congress will surely pave the way for further erosions of freedom. Will he inflict socialized medicine on us? We're already more than half way there.

Maybe the Republicans, having been trounced in the elections, will learn to support laissez-faire capitalism, and will obstruct all of Obama's attempts to further undermine American freedom.

But I doubt it. They're too far gone. They don't even know what capitalism is anymore, or individual rights. And they are undercut by their religious morality, which sees altruism as the ideal, and selfishness as evil. No such people can ever support capitalism morally. Until they learn the necessity of the separation of church and state, they will remain hopelessly unable to defend capitalism.

The moral of the story? Public education must be abolished, razed to the ground, the earth underneath it salted, so that it is never allowed to blight the land - and the minds of American children - again.

When the Government Intervenes in the Economy: Unmerciful Disaster Follows Fast and Follows Faster

Until now I haven't written about the sudden, precipitous descent into socialism that America is undergoing. But with every failed attempt to "stabilize" the economy, the government has pushed further and further into the mire of socialism, until one day I woke up and found the financial system--which was already strangled by regulations--nationalized. These actions are to be "limited and temporary." Naturally. If there is one thing government is good at, it is maintaining power, once it has acquired it.

According to an article on WashingtonPost.com
http://tinyurl.com/4oawvg
banks are being coerced into accepting the government's "limited and temporary" assistance:

The opposition [to the plan] suggested that the government may have to continue to press banks to participate in the plan. The first $125 billion will be divided among nine of the largest U.S. banks, which were forced to accept the investment to help destigmatize the program in the eyes of other institutions.

[Emphasis added.]

Here we see the government openly admitting the immorality of this scheme, such that they must force banks to pretend to like it, in order to get other banks to like it. Faking reality, in broad daylight.

"We will encourage institutions to apply," said John C. Dugan, the comptroller of the currency, who oversees most of the nation's largest banks.

In return for its investments, Treasury will receive preferred shares of bank stock that pay 5 percent interest for up to five years. After that, if the companies haven't repaid the government's initial investment, the interest rate goes up to 9 percent.

Participating banks cannot increase the dividends they pay to shareholders without federal permission, they must accept some limitations on compensation for their executives, and Paulson said the government would press companies to limit mortgage foreclosures.

[Emphasis added.]

As if government interference with the mortgage process hadn't been disastrous enough, already. And the friendly element of government "encouragement." How does the government encourage anything? Persuasion? Or force? Telling banks what dividends to pay, what salaries to pay, not to foreclose mortgages: it all adds up to socialism, of the fascist variety.

Also yesterday, the Federal Deposit Insurance Corp. said it will create, essentially, two new insurance programs.

The basic insurance program still guarantees all bank deposits up to $250,000. A new supplemental program guarantees all deposits above $250,000 in accounts that don't pay interest. The program basically covers accounts used by small businesses.

Some European governments had already guaranteed deposits, creating a competitive advantage for banks in those countries. Banking regulators also were concerned that small businesses were transferring deposits from community banks to larger institutions perceived as less likely to fail. Finally, small businesses contributed to the failure of Washington Mutual and the collapse of Wachovia by pulling uninsured deposits from those banks.

[Emphasis added.]

This is a textbook example of the government causing problems, and then blaming them on the free market. What caused the failure of Washingtonn Mutual and Wachovia was not small businesses pulling out their deposits. It was the government's decision to insure other banks that ruined the uninsured banks. How can any business compete with the limitless power and money (the printing press) of the federal government? Either toe the party line, i.e., take government protection (kind of how the mafia works, isn't it?), or try to compete with the omnipotent state. It can't be done.

If this trend continues, how will America be better than any other country? How can I support any military action the US might take, when we aren't any better than whatever country we might do battle with? That is how desperately bad these measures are, if they stick.

If they don't stick, they will merely have been a colossal injustice to all the taxpayers who were forced to bailout all the banks and other companies that failed due partly to their own incompetence, but mainly due to government interventions in the economy.