This is the big ‘Elephant’ or ‘Jack Ass’ in the room that the Main Stream Media is not giving adequate coverage to . Pay attention because this, in conjunction with HCR, destroyed private business sector and all of the bailouts…is a biggie!
Yours in Truth ;-) Shelly
Posted 06/14/2010 07:03 PM ET
'Stimulus': The president has sent a letter to congressional Democrats asking for a $50 billion bailout for "teachers, police and firefighters," all to support economic recovery. When is this shell game going to end?
Calling it an "emergency," President Obama urged lawmakers to approve the new chunk of cash as quickly as possible. Inaction will surely lead to layoffs that would slow the recovery. But even Democrats aren't buying it. House Majority Leader Steny Hoyer, no doubt thinking of November, rather accurately noted that his chamber has a bad case of "spending fatigue."
Fact is, Congress already shoveled out $787 billion in federal stimulus spending supposedly to "save" the jobs of all these teachers, police officers, firefighters and, more to the point, bureaucrats and regulators who've bloated the public payrolls and driven cities and states to insolvency.
Hot Air blogger Ed Morrissey observes that the president is essentially saying, "We need to save the same jobs again with $50 billion more in state bailouts." Given these were the jobs "created or saved" with the first stimulus, the word for this is "unsustainable."
Just look at the figures: The Department of Education, which supposedly serves teachers and their bureaucrats, has been slated for $86 billion of stimulus grants, loans and contracts and has since blown $43 billion, according to data compiled by ProPublica.
The Department of Justice, which supposedly serves the police bureaucracy, gets $4 billion, and has so far spent almost $2 billion. The Department of Health and Human Services (read: welfare bureaucracy) was set for $87 billion and has flushed away $66 billion.
Now the president wants more for the same profligate city and state governments without any credible plan for cutting the fat. The White House seems to think government spending fuels economic recovery. This has the look of more patronage for cronies in the public employee unions ahead of elections in November.
We've got news for the president: The private sector creates the jobs that are going to fuel a recovery. But business has gotten nothing but abuse from the Obama administration, instead seeing taxes raised, markets shut off and resources for investment dwindle.
Every borrowed penny spent by government reduces some share of capital that can be used more productively by the private sector. Only after some value is created can business then contribute to the tax base. But with government spending before the capital can even form, all we have are public employee unions with their hands out until the U.S. becomes Greece. As Keynes said, anything that can't go on, won't.