by Ron Paul
As the year draws to an end, America faces yet another Congressionally-manufactured crisis which will likely end in yet another 11th hour compromise, resulting in more government growth touted as “saving” the economy. While cutting taxes is always a good idea, setting up a ticking time bomb with a sunset provision, as the Bush tax cuts did, is terrible policy. Congress should have just cut taxes. But instead, we have a crisis that is sure not to go to waste.
The hysteria surrounding the January 1 deadline for the Budget Control Act’s spending cuts and expiration of the Bush tax cuts seems all too familiar. Even the language is predictably hysterical: if government reduces planned spending increases by even a tiny amount, the economy will go over a “fiscal cliff.” This is nonsense.
This rhetoric is based on the belief that government spending sustains the economy, when in fact the opposite is true. Every dollar the government spends is a dollar taken from consumers, businessmen, or investors. Reducing spending can only help the economy by putting money back in the hands of ordinary Americans. Politicians who claim to support the free market and the lower and middle-class should take this to heart.
The reality is, however, that neither Republicans nor Democrats are serious about cutting spending. Even though U.S. military spending is exponentially larger than any other country and is notorious for its inefficiency and cost overruns, Republicans cannot seem to stomach even one penny of cuts to the Pentagon’s budget. This is unfortunate because this is the easiest, most obvious place to start getting spending under control. The military-industrial complex and unconstitutional overseas military interventions should be the first place we look for budget cuts.
Similarly, Democrats are digging in their heels on not cutting any welfare or entitlement spending and instead propose to fix the deficit by raising taxes on the rich, even though the U.S. Government already has a progressive tax code and the rich already pay more than their fair share. Furthermore, these higher taxes would fall on small business owners, investors, and entrepreneurs—in other words, the source of economic growth and new jobs!
The truth is that there is no excuse for government spending being as high as it is, nor for taxes being as high as they are. Even the God of the Old Testament only asked for 10% as a tithe and offering, and Americans revolted against the King of England for taxes that amounted to less than five percent. Yet so many people today complain about “loopholes” for the rich that lower their actual tax rate to “only” 13% in some instances. Even that is a criminal amount to pay for a wasteful, abusive, unconstitutional government.
We are indeed headed to a fiscal cliff and have been long before this latest hysteria cropped up. But it is not cuts to spending or reduced government “revenue” that will send us over the cliff, it is continued government spending that will. Until the federal government limits itself to its Constitutionally-mandated role, spending and taxation will remain out of control.
Look for a “bipartisan” compromise in late December, with Republicans giving in to tax increases and settling for phony spending cuts that actually grow government, and Democrats caving on defense cuts in exchange for tax increases. This is how the government has always grown: both sides will sacrifice their pro-liberty, small government stances in certain areas in order to grow the government where they prefer.
Liberty always loses in the 11th hour.
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I hope he continues with these somehow after he leaves office.
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And all this printing money has to be paid back with Interest !
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The truth can be demoralizing. Luckily, liberty is the only possible route as lies wilt when faced with truth, and you cannot build a foundation out of lies. The only real question is how much suffering the American people will put themselves through before embracing the truth.
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Makes scent .
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Isn’t the excessive militarism the only thing perpetuating the bubble of American supremacy?
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NONSENSE.The fiscal cliff is a mirage.Visit http://www.understandingmoney101.com and take back the MONEY POWER!
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Hard choices should be made by both Democrats and the GOP when it comes to spending cuts. The Democrats should be able to supports cuts on entitlement programs that is about 62% of the Federal Budget while the GOP should be able to support defense spending cuts that is about 18% of the Federal Budget.Both parties have to think of the country and not of their political party.
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Hard choices should be made by both Democrats and the GOP when it comes to spending cuts. The Democrats should be able to supports cuts on entitlement programs that is about 62% of the Federal Budget while the GOP should be able to support defense spending cuts that is about 18% of the Federal Budget.Both parties have to think of the country and not of their political party.
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It’s sad, almost sounds like he’s giving up by the end of this. Furthering the cause of liberty sometimes feels like an impossible goal..
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Ron Paul – Correct as usual. Democrats/Republicans – Lying as always.
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LINDSEY GRAHAM EXPOSED —————> watch?v=1vuLGoMjlZ0
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Government VS The Private Sector. Who wins?
See home page video to find out
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A great man! I hope he’s not the last of a dying breed in Congress or Gov’t for that matter.
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I look to Ron Paul as the president of the United States. He speaks truth and defends liberty. The sad part is I have to ignore and live my life with the people in the current administration since they don’t do anything to cut spending and reducing big government.
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3:54 brought me down……
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Modern day economic terrorism.
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the government is doing what we are allowing them to do, , but we just keep on allowing it so they will keep on doing it
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With great sadness I await Dr. Paul’s final “Texas Straight Talk,” in which I sincerely hope he utters the simple words “Awww… Fuck it.”
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Tell it like it is…
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RP just made the gummint his bitch!
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RP just made the gummint his bitch!
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This is depressing
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This is depressing
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Its only a matter of time before many of this mans predictions will come true, thank you very much for preaching the values of liberty.
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Its only a matter of time before many of this mans predictions will come true, thank you very much for preaching the values of liberty.
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I think we need to go off the fiscal cliff.
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Federal spending is out of control, because the Federal Government is out of control!
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“…even the language is predictably hysterical…” Absolutely nails it. They like to use words like “financial armageddeon”, “fiscal cliff” etc. for bailout justifications and the like. Neurolinguistics. Thanks for all you do, Ron Paul. Speaking the truth always.
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I easily understand and have seen that. I am though even if there is little logic in it an optimist by nature. I however still would love to see and know of more individuals within the governing bodies in the States like Dr. Paul.
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I have a playlist called “Ron Paul being a boss”
just sayin..
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Ron Paul, your vote will be missed in congress.
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Ron Paul, your vote will be missed in congress.
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BUT NOT OUR PRESIDENT
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Nov. 15th = Bill of Rights day.The United States of America is, after all, a “tax farm,” meaning the productivity of the working people is harvested by the government to be used for whatever nefarious schemes the corrupt bureaucrats have in mind: Endless wars, creating economic dependence through welfare, giving money to their crony insider crooks, and so on.
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This fiscal cliff was devised while we weren’t controlling and using a sound monetary system. This is why the American founders instructed gold and silver be used, because it’s much harder to manipulate and people can’t make it out of thin air. Accept digital currency and you will suffer.
»crosslinked«
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