Government is the problem, not the solution!

Too many pundits and politicians are totally clueless about business, profits, taxes, entitlements, and jobs.


The Founding Fathers denied the federal government any authority to tax Citizens because politicians can't be trusted with that authority. Our current crop of corruption in DC is excellent proof.

We now have one of the most business and economics-ignorant presidents in our long history. We are straddled with an incompetent, corrupt, and incorrigible Congress that has no interest beyond misappropriating as much wealth for their individual members as possible. Both moronic groups think they can confiscate all private wealth and miraculously expand it to do the impossible as public wealth (while first taking their generous cut of course).

Government is incapable of creating worthwhile jobs because all such spending will be directed to the personal interests of the most powerful decision-makers. Government can only establish an environment where meaningful private sector jobs can be created. However, in order to do so they must give up power and control, which those in government will almost never willingly do.

The US in the 1950s and 1960s when so much of our existing infrastructure was built was a much different land than now. We dominated global manufacturing without real competition; meaning we had excellent high paying jobs generating taxes that could fund internal improvements. That US no longer exists and will never return.

Insatiably greedy politicians; and industry-destroying unions have seen to that. Socialist programs and Political Correctness (Affirmative Action, Minority set-asides, high minimum wage, Welfare, never-ending industrial and agricultural subsidies, protected classes etc) have driven competition and excellence out of our industries, our schools, our businesses and our government.

When the Interstate highway system was originally built, every penny came back in to the US economy to spur growth in support and service industries. Today, whatever we spend to restore our infrastructure, more than 50% will leave America as immigrant laborers send their wages home. No new labor pool will be trained because itinerant illegals (most with forged documents) will be around only as long as the job lasts.

Deficits must first be eliminated before there can be jobs. Entitlements don’t create jobs or employment, they destroy them. Every dollar confiscated by the government is a dollar that will never see productive use. Government jobs can’t create revenue, they can only consume revenue.

As we look at public sector employment that pays 40% more than the private sector; as we look at federal employment that pays 75% more than the private sector we see a real problem: how can the private sector, the only source of revenue, possibly pay more for government employment than they pay for their own employment? Can the allowance you pay your children be more than you make?

Only unfettered competition is capable of continuous quality improvement and cost reduction. Government can’t because corrupt politicians always take their cut first, and distribute the rest to keep themselves in power: they have no motivation to innovate or improve productivity. When was the last time a government job or program was eliminated as unnecessary or ineffective?

The so-called Stimulus program did nothing beyond continue to fund government jobs (federal, State, and local) in the absence of tax revenue that evaporated with the brutal contraction in the private sector (caused entirely by government interference in the free market). This creates a situation where we are paying a 40%~75% premium to maintain revenue-consuming jobs at the complete expense of restoring revenue-generating jobs.

Government can’t create “green jobs”. Only market demand can create any real jobs. When the government manipulates the allocation of resources by adding non-value-added expenses like Cap and Trade taxes (or any tax), EPA restrictions and regulations, forced unionization (which are always non-value-added) it serves only to drive innovation and the jobs thus created elsewhere. We certainly have ample proof of that.

FDR didn’t bring America out of the Depression, the explosive industrial expansion required to support World War II did that. With industrial capacity destroyed by the war everywhere but America; and with America having fine-tuned manufacturing proficiency by the war effort it is no wonder that we had unimaginable prosperity for the 20 years following WWII. Those days are gone and will never return. The free spending and outrageous social spending that enabled is equally gone, not to return.

If America is to survive, it will only be with a massive reduction in government and government spending. Unfortunately we have a president who is too dumb to understand that; too arrogant to learn it; and a Congress too corrupt to allow it.

Reagan was right: Government isn’t the solution, it’s the problem!