SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?


To: TobagoJack who wrote (66066)9/15/2010 5:10:56 AM
From: elmatador  Respond to of 217645
 
20% or more cuts recently announced by America’s key European allies, Admiral Mullen said the Pentagon only had a limited time in which to act before similar changes would be imposed upon the country, given the sharply rising level of US national debt

20% or more cuts recently announced by America’s key European allies, Admiral Mullen said the Pentagon only had a limited time in which to act before similar changes would be imposed upon the country, given the sharply rising level of US national debt.

Peace is upon us...

I can imagine those Arabs, (not to mention that neighbor of them near Jordan) without hired guns protecting them. I can guess they will become peaceful people immediately.

US military chief warns on spending
By Edward Luce and Daniel Dombey in Washington

Published: September 15 2010 02:12 | Last updated: September 15 2010 02:12

The Pentagon needs to take prompt action to bring its spending under control to stave off the kind of “drastic” defence cuts afflicting Britain and Germany, according to Mike Mullen, the most senior US military official.

Referring to the 20% or more cuts recently announced by America’s key European allies, Admiral Mullen said the Pentagon only had a limited time in which to act before similar changes would be imposed upon the country, given the sharply rising level of US national debt.

ft.com



To: TobagoJack who wrote (66066)9/15/2010 5:12:39 AM
From: elmatador  Respond to of 217645
 
Video defense spending unsustainable. video.ft.com



To: TobagoJack who wrote (66066)9/15/2010 9:36:38 AM
From: Joe S Pack3 Recommendations  Read Replies (1) | Respond to of 217645
 
1 in 5 or 1 in 2 (as in the current Demopulican duopoly) does n't matter.

Here is one of the fundamental problems, a manifestation of this current corrupt wallstreet enslaved duopoly.

Courtesy FallenM from Yahoo comments.


Gubmint and How Gubmint Works

Once upon a time the government had a vast scrap yard in the middle of a desert. Congress said, "Someone may steal from
it at night." So they created a night watchman position and hired a person for the job.

Then Congress said, "How does the watchman do his job without instruction?" So they created a planning department
and hired two people, one person to write the instructions, and one person to do time studies.

Then Congress said, "How will we know the night watchman is doing the tasks correctly?"
So they created a Quality Control department and hired two people. One to do the studies and
one to write the reports.

Then Congress said, "How are these people going to get paid?" So they created a time keeper and
a payroll officer, then hired two people.

Then Congress said, "Who will be accountable for all of these people?"
So they created an Administrative Section and hired three people,
an Administrative Officer, Assistant Administrative Officer, and a Legal Secretary.

Then Congress said, "We have had this command in operation for one Year and
we are $18,000 over budget, we must cutback overall cost." So they laid off the night watchman.

NOW slowly, let it sink in.

Quietly, we go like sheep to slaughter.

Does anybody remember the reason given for
the establishment of
the DEPARTMENT OF ENERGY.....
during the Carter Administration?

Anybody?

Anything?

No?

Didn't think so!

Bottom line. We've spent several hundred billion dollars in support of an agency...
the reason for which not one person who reads this can remember!

Ready??
It was very simple...and at the time, everybody thought
it very appropriate.

The Department of Energy was instituted on
8-04-1977, TO LESSEN OUR DEPENDENCE ON FOREIGN OIL.

Hey, pretty efficient, huh???

AND NOW IT'S 2010 -- 33 YEARS LATER -- AND THE BUDGET FOR THIS "NECESSARY" DEPARTMENT
IS AT $24.2 BILLION A YEAR. THEY HAVE 16,000 FEDERAL EMPLOYEES AND
APPROXIMATELY 100,000 CONTRACT EMPLOYEES; AND LOOK AT THE JOB THEY HAVE DONE!
THIS IS WHERE YOU SLAP YOUR FOREHEAD AND SAY, "WHAT WAS I THINKING?"

33 years ago 30% of our oil consumption was foreign imports.
Today 70% of our oil consumption is foreign imports.

Ah,
Yes -- good ole bureaucracy.

AND,
NOW, WE ARE GOING TO TURN THE BANKING SYSTEM, HEALTH CARE,
AND THE AUTO INDUSTRY OVER TO THE SAME GOVERNMENT?!!!

HELLOOO! Anybody Home?



To: TobagoJack who wrote (66066)9/15/2010 12:40:21 PM
From: benwood3 Recommendations  Read Replies (1) | Respond to of 217645
 
I would guess that roughly 1/4 of the increase in homes receiving benefit checks is because there are many more retirees now than 30 years ago; 1/4 is caused by the stratification of compensation in which nearly all the gains in the economy have gone to the top 10%, most of that to the top 0.4%; and 1/4 caused by the balloon in unemployment.

Oh, and the other 1/4 to an increase in benefit programs.

It's funny how people make so little money they don't pay Federal tax, and the problem is viewed as one in which people are getting away with something, when in reality, they'd gradually slid down the pay ladder until they were in the muck.

Sure, it's all unsustainable. If it weren't for the benefit checks -- the payoff by the elite -- then heads already would be rolling down the street. But these checks are cut with money from those same sap's grandchildren, who, when born, will reject the future that was laid out for them.



To: TobagoJack who wrote (66066)9/15/2010 5:42:08 PM
From: energyplay  Read Replies (2) | Respond to of 217645
 
Let's look at the parts -

Social Security, Veterans benefits, and other major entitlement programs are set up to TRAIL the inflation which is underestimated by the Consumer Price Index. With a fixed percentage for social security, and a progressive income tax, even modest inflation will help cover these expenses.
However, right now there is little or no movement of prices upward.

The entitlements and non-discretionary spending are large, however there are still large areas that can be cut -

See this for details -
en.wikipedia.org

Discretionary -

1a) Defense
Room to cut here, and cuts have already been made in the F-22 program, for example. Also submarines, helicopters, etc.

1b) Iraq and Afghanistan Operations Afghanistan can be wrapped up and becoming part of China's expanding sphere of influence and responsibility. ;-)

2) Health and Human Services This excludes social security, and includes various welfare schemes. There are about 20 million illegal aliens (not just 13 million). Many of them can be pushed off these programs or caused to leave the US.

The rest of the people receiving welfare vote very little.
(the Social Security / Veterans people vote heavily)

So a large piece of this can be cut. The demand for these services will also drop with lower unemployment from even a modest economic recovery.

3) Stimulus Money A lot of this should be one time, GM should not need another bail out. Political will needs to be exerted to keep these hand outs from becoming permanent.

4) All the rest of the Federal government - another 300 Billion slice of pie, that can be trimmed about 15 Billion or more. Probably cut Housing since we have plenty of houses ;-)

With these cuts, the deficit could go from 1,200 Billion down to about 500-400 Billion. Selective additional tax increases could cut this down to around 300 billion, which can be easily financed. The rest of the world has an appetite for about 300 billion in US Debt each year.

When the deficit goes below 200 Billion, it will be harder to raise US interest rates, and the USD will have a tendency to appreciate as overseas money crowds into USD debt.

Another way of looking at the Deficit -

en.wikipedia.org