China Warns United States: Stop Printing Money; Situation May Cause U.S. Loss Of AAA Rating

I find it very disturbing that major news outlets here in the United States are not following this story more closely. Perhaps because to do so would mean casting Obama and his cronies in a negative light.

The story is that in order to finance the massive debt we are running up (5 times larger than what the Bush Administration ran up) we are prining money at a break-neck pace. And it is causing concern among those who are floating our debt right now, namely, the Chinese government.

From the Telegraph UK:

Richard Fisher, president of the Dallas Federal Reserve Bank, said: “Senior officials of the Chinese government grilled me about whether or not we are going to monetise the actions of our legislature.”

“I must have been asked about that a hundred times in China. I was asked at every single meeting about our purchases of Treasuries. That seemed to be the principal preoccupation of those that were invested with their surpluses mostly in the United States,” he told the Wall Street Journal.

What happens when the Chinese call us on these loans? We won’t be able to pay and our monetary systems collaspses.

More:

Mr. Fisher, the Fed’s leading hawk, was a fierce opponent of the original decision to buy Treasury debt, fearing that it would lead to a blurring of the line between fiscal and monetary policy – and could all too easily degenerate into Argentine-style financing of uncontrolled spending.

I think we are already at the “uncontrolled spending” stage with the Democrats feverishly trying to squander our children’s and grand-children’s future by saddling them with huge debts and liabilities in order to waste money on ear-mark and pork projects now.

The Oxford-educated Mr. Fisher, an outspoken free-marketer and believer in the Schumpeterian process of “creative destruction”, has been running a fervent campaign to alert Americans to the “very big hole” in unfunded pension and health-care liabilities built up by a careless political class over the years.

“We at the Dallas Fed believe the total is over $99 trillion,” he said in February.

“This situation is of your own creation. When you berate your representatives or senators or presidents for the mess we are in, you are really berating yourself. You elect them,” he said.

His warning comes amid growing fears that America could lose its AAA sovereign rating.

Massive spending will not get us out of this. Nor will increasing the size of the government. In fact, those two actions in tandem will cause the situation to get worse and worse which is precisely why the United States is in danger of losing the AAA sovereign rating.

You can access the complete article on-line here:

China Warns Federal Reserve Over ‘Printing Money’
Ambrose Evans-Pritchard
Telegraph UK
May 27, 2009

Great Cartoon!

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Congress Porks Out … Again!

You would think that after the experience with the porkulus/spendulus bill, which enjoyed a favorable rating of over 50% until details of the pork and earmarks attached to it became available after which support fell to barely 37%, that Congress would get the message that we Americans don’t want our hard-earned money to be confiscated away and then given to some pet project that doesn’t benefit us at all.

But, members of Congress (both Democrat and Republican) seem to never learn. According to the New York Post:

Congress went on a pork-a-palooza yesterday, approving a massive spending bill with big bucks for Hawaiian canoe trips, research into pig smells, and tattoo removal – all while the nation faces an economic crisis.

Clearly, they have not learned. But this isn’t all:

The bill also has a whopping 8 percent increase over last year for the numerous federal agencies it funds.

Let’s see, the Obama administration has absolutely no clue as to how it is going to provide oversight for the porkulus/spendulus funding towards the Federal Government and Congress is increasing that money already?

And the fact that 40% of this pork came from Republican lawmakers is not good at all. I hope Michael Steele is paying attention so he knows who not to back in the 2010 elections.

More:

The bill, which critics slammed as larded with pork, has big bucks to combat putrid stenches in the heartland, with $1.7 million for “Swine Odor and Manure Management Research.”

That’s on top of $1.9 million in each of the last two years, or nearly $6 million over the last three years.

The swine research center, at Iowa State University in Ames, got funds through the Agricultural Research Service, and aims to improve the smell of animals and the lagoons where waste is stored.

Well, God knows we can’t live without knowing all there is to know about the smells that come from pigs, now can we?

And this little tidbit, I thought was most telling:

Obama has criticized earmarks and insisted they be kept out of stimulus legislation – a suggestion that drew laughs from Republicans at the president’s address to Congress Tuesday night.

Meanwhile, Obama is set to unveil a proposal today that sets aside $634 billion over the next 10 years for health-care reform.

He plans to pay for it, in part, by capping tax deductions for families that earn more than $250,000 a year.

More socialism that we cannot afford, on top of the pork that we cannot afford.

And Obama’s comment on earmarks? Whom does he think he is kidding? Why did he bother to say anything about that when it is clear to everyone that he has no intention of ever enforcing such a policy?

Obama and Congress are spending our money like drunken sailors on shore-leave. The only thing they will accomplish is destroy an already fragile economy and bankrupt future generations who will have to pay the bill for all of this fiscal foolishness.

It is time we remembered what Margaret Thatcher said: “The trouble with socialism is that eventually you run out of other people’s money.” The way Obama and Congress are spending, that day will be coming much sooner than later.

Obama and congress seem to have no problem spending our money, but I am sure that they take care of themselves pretty well.

You can access the complete story on-line here:

Congress’ Porky Pols Pig Out On Fine $wine
Geoff Earle and Daphne Retter
New York Post
February 26, 2009

Obama’s Lies About Deficits

Okay, how many of you were doubled over with laughter after President Obama made the following remark yesterday:

“We’re not going to be able to fall back into the same old habits,” Mr. Obama said. “The casual dishonesty of hiding irresponsible spending with clever accounting tricks, the costly overruns, the fraud and abuse, the endless excuses.”

This, coming from a President who forced a piece of legislation, crafted behind closed doors and without the input of the opposition party, through Congress and even broke his own promise of openess, transparency and a five-day window for the public to review legislation before he signs it into law.

And how about that “fraud and abuse” part. Did he not see the earmarks going to ACORN, the notorius voter fraud organization? Did he not notice other pork and wasteful spending in his porkulus package? And now, he expects us to believe that he is fiscally responsible? His next spending plan has over 9,000 earmarks in it!

How dumb does Barack Obama think were are? Only the most brain-washed partisan Democrats would believe Obama’s remarks.

Here’s some more idoicy from a man who graduated from an Ivy League school:

“If we confront this crisis without also confronting the deficits that helped cause it, we risk sinking into another crisis down the road,” the president warned, promising to cut the yearly deficit in half by the end of his four-year term. “We cannot simply spend as we please and defer the consequences.”

And yet, he had no problem signing into law a package that will have to be paid off by our children and grandchildren. Again, how stupid does he think we are?

More:

“We are paying the price for these deficits right now,” Obama said, estimating the country spends $250 billion — one in every ten dollars of taxpayer money — in interest on the national debt. “I refuse to leave our children with a debt that they cannot repay.”

But that is precisely what the President is doing. He is simply trying to lay the blame at someone else’s feet. I don’t buy it. After that porkulus/spendulus bill passed, the Dems now own this economy. They have no one to blame but themsleves and they know it. That is why Obama and the Dems are scrambling to pass the buck so that their popularity doesn’t take too much of a hit.

They say that actions speak louder than words. Right now, Obama’s words are being drowned out by his actions and the actions of his socialist allies in Congress. He is lying to us and the Dems are hoping that you and I will buy it hook, line and sinker.

I’m not that blind. I see what is really happening and no amount of spin or lies from the Oval Office and the Democrat controlled Congress will ever change the truth.

You can access the complete article on-line here:

Obama Pledges Decrease In Deficit — After Increase (More Than Doubling It)
Associated Press via NewsMax.com
February 23, 2009

Democrat Chuck Schumer: “Americans Don’t Care About Pork”

Yep. He really said that. He also referred to those of us criticizing the pork in this spending bill as “the chattering class” that focuses on the pork.

Yes, Chuck, we do focus on things that, especially when we have two-month-old children who are going to have to work to pay off your efforts to reward to your political allies.

From the New York Post:

“And let me say this to all of the chattering class that so much focuses on those little, tiny, yes, porky amendments, the American people really don’t care,” Schumer said on the Senate floor.

I’ll make sure my son remembers this as he enters the work force in eighteen years so that he can pay off his share of a debt that he had no hand in creating.

You can access the complete article on-line here:

Senator Charles Schumer: Americans Don’t Mind A Little Pork
Post Staff Report
New York Post
February 10, 2009

Obama Breaks Another Promise

Obama Bans Earmarks From Stimulus Package
84rules
January 6, 2009

Well, it didn’t take long for Obama to break that promise. Or maybe he forgot to tell the Dems who control Congress that pork was banned. Here is a listing of what this pork-laden, useless spending bill contains:

– $1 billion for Amtrak, which hasn’t earned a profit in four decades.

– $2 billion to help subsidize child care.

– $400 million for research into the junk science of global warming.

– $2.4 billion for projects to demonstrate how carbon greenhouse gas can be safely removed from the atmosphere, another junk science project.

– $650 million for coupons to help consumers convert their TV sets from analog to digital, part of the digital TV conversion.

– $600 million to buy a new fleet of cars for federal employees and government departments.

– $75 million to fund programs to help people quit smoking.

– $21 million to re-sod the National Mall, which suffered heavy use during the Inauguration.

– $2.25 billion for national parks. This item has sparked calls for an investigation, because the chief lobbyist of the National Parks Association is the son of Rep. David R. Obey, D-Wisc. The $2,25 billion is about equal to the National Park Service’s entire annual budget. The Washington Times reports it is a threefold increase over what was originally proposed for parks in the stimulus bill. Obey is chairman of the House Appropriations Committee.

– $335 million for treatment and prevention of sexually transmitted diseases.

– $50 million for the National Endowment for the Arts.

– $44 million to renovate the headquarters building of the Agriculture Department.

– $32 billion for a “smart electricity grid to minimize waste.

– $87 billion of Medicaid funds, to aid states. This earmark amounts to the first installment of a Socialized Health Care system just like the disasters that have a hold of Canada and Great Britain.

– $53.4 billion for science facilities, high speed Internet, and miscellaneous energy and environmental programs.

– $13 billion to repair and weatherize public housing, help the homeless, repair foreclosed homes.

– $20 billion for quicker depreciation and write-offs for equipment.

– $10.3 billion for tax credits to help families defray the cost of college tuition.

– $20 billion over five years for an expanded food stamp program.

Not to mention the potential $5 billion for ACORN to commit more voter-fraud.

The ACORN Slush Fund: An Example Of Dems Paying Back The Street Thugs

The current spending bill (mis-named as a “stimulus” package) went through the House of Representatives along party lines. Not one single Republican voted for it. Not one. But, eleven Democrats voted agaqinst it it.

It’s a good thing that the Republicans acted in unison on this. That means that the Dems will completely own this bill and whatever results from its passage.

One of those results is handing billions of taxpayer’s dollars to the voter fraud organization known as the Association of Community Organizations for Reform Now or ACORN.

We already know how ACORN routinely engages in voter fraud schemes in order to get leftist candidates (Democrats) elected.

ACORN Voter Fraud Uncovered In Michigan

ACORN Submits Faked Voter Registration Forms

ACORN Voter Fraud Is Widespread

Even More ACORN Voter Fraud

ACORN Tries To Register Mickey Mouse

More Voter Fraud From ACORN

But, they have other activities to keep themselves occupied with as well.

Writing for Town Hall, Michelle Malkin has the following:

ACORN, you may recall, is the left-wing activist group with longtime ties to community organizer-turned-President Barack Obama. The nonprofit, which now takes in 40 percent of its revenues from American taxpayers after four decades on the public teat, has a history of engaging in voter fraud, corporate shakedowns, partisan bullying and pro-illegal immigration lobbying. The Democrats’ stimulus proposals could make the group — and its lesser known but even more radical ideological allies — eligible for upward of $5 billion in new public cash.

Talk about subsidizing failure. These are the same activists that helped sow the seeds of the subprime meltdown. They aggressively played the race card and pressured banks to loosen standards, throw out down payments and lend to some of the nation’s riskiest borrowers. Now, these mobs protest across the country, disrupt foreclosure auctions, threaten bank executives and accuse lenders of, yep, racism for lending to those riskiest of borrowers.

Talk about Orwellian logic. First, ACORN helps to apply pressure to banks to make bad loans and then accuses the bank of racism for making such loans. This is what the Dems in Congress want to subsidize with billions of your dollars?

More:

Under the stimulus bill, as nonprofit watchdog Matthew Vadum points out, the middlemen would be eliminated — “making it easier to get Uncle Sam’s largess directly into the hands of the same people who run ACORN’s various vote fraud and extortion rackets.” Moreover, Vadum reports, “the legislative package provides these funds without the usual prohibition on using government money for lobbying or political activities.”

So, the Dems don’t want ACORN to be under the same lobbying rules as everyone else. Didn’t Barack Obama campaign on restricting lobbyist access to the legislative process? Why is he breaking that promise with ACORN?

Next in line for the stimulus windfall is the Massachusetts-based Neighborhood Assistance Corporation of America (NACA). Founder Bruce Marks proudly calls himself a “bank terrorist.” As I reported last spring, Marks threatened to march into the neighborhoods of bank executives and bully their children. He’s done it for years, all under the guise of “social justice” and “neighborhood stabilization.”

Marks’ agenda is blatantly political and personally lucrative. NACA — with dozens of offices across the country — has a no down payment, no closing costs, low interest rate policy for low-income minority borrowers and takes a hefty fee for each transaction. NACA loan applicants are then required to attend workshops that indoctrinate them in the group’s protest thuggery.

Nazi Brown Shirts. That’s all these people are. They do not deserve to stick their snouts in the public trough, especially when so many Americans are lacking basic necessities. The Dems seem to be okay with denying those necessities while handing monetary payouts to political allies.

This pork spending bill needs to be stopped. The Republicans in the House were right to all vote “Nay.”

You can access the complete article on-line here:

Stimulus Slush Fund For Housing Entitlement Thugs
Michelle Malkin
TownHall.com
January 30, 2009