Over the long term, there is going to be a major financial crisis and a global economic breakdown. This will have repercussions upon central governments of nations worldwide. Some governments will fall apart. Some may become or attempt to become more repressive. Here in the States, we are in a fragile equilibrium based on the massive increases in the balance sheets of the Federal Reserve – whose greenish debt instruments are in our pockets – and the increasingly burdensome load of federal government debt and deficit spending.
The bi-partisan budget deal that passed the House this week does nothing to address the impending threat, a threat significantly greater in terms of the impact on individual Americans than things that dominate the news like Islamic terrorism, Middle East wars, illegal drugs, or nuclear proliferation.
Essentially the House budget deal restores cuts made to the budget through the sequestration process without doing anything to address the revenue gap. There is supposed to be $43 billion in cuts in future years not covered by the budget. Not only is that insignificant against a trillion dollar deficit, it is never going to happen because it is not actually in the budget. It’s a “gentlemen’s agreement” to minimal reductions made by men and women without the slightest hint of integrity.
Meanwhile, the media is busy pumping up animosity against anyone who opposes the agreement. By accident, I happened to watch last night’s broadcast of NBC’s 30 minutes of propaganda with Brian Williams. Speaker Boehner was allowed to express his frustration with the uncompromising conservatives of the Tea Party wing that can’t seem to understand how Washington works. There was no counter-argument from anyone on the right giving what I think are very compelling reasons for criticizing the deal.
Like Obama and the Democrats on Obamacare, Boehner and the establishment Republicans really do not care about the will of their constituents or the good of the country. They want to stay in power. And this is precisely why there will be a worldwide crisis with a myriad of unintended consequences. Politicians, for the most part, are far less interested in doing what is right than in making sure they survive the next election cycle. Entitlements, education funds, and bureaucracies can’t be cut because that would hurt sure votes for the Democrats. Taxes can’t be raised, and there can be no cuts in defense spending, farm programs and other corporate welfare schemes because that would suppress Republican votes.
I’m pretty well done with worrying about what these idiots do. I’ll do what I can to educate, equip, and train my grandkids for the collapse that will certainly happen within their lifetimes.