Posts Tagged ‘$500 billion’

Hey, ‘Republicans Drove Us Into A Ditch’ Liberals, Put THIS Into Your Pipe and Smoke It: Conservative Economic Principles RULE In Texas

July 5, 2011

This isn’t a piece by conservative Jonah Goldberg saying what all conservatives already know.  This is a piece by a self-identified liberal writing in the Los Angeles Times acknowledging a FACT that is frankly the death knell of liberal economic policy.

43% of ALL jobs created in the United States since June of 2009 have come from a conservative state that represents 8% of the national economy.  And Barack Obama has taken credit for every single one of them even as he demonizes the policies that actually produced all of those jobs.

Now, notice how this liberal tries to give credit to the most successful job-engine in America, and then steal that credit away from the conservatives and the conservative policies that brought that job-engine about.

Texas, the jobs engine
Conservatives hail it and liberals dispute the story, but one thing is certain about the Lone Star State’s employment success: The number is real.

By Rick Wartzman
July 3, 2011

For the last few weeks, I’ve been unable to get a startling statistic out of my head: Since the recession officially ended, Texas has created more than 4 of every 10 new jobs in America.

That’s right, Texas: the reddest of red states, home to gun lovers and school textbooks that openly question whether the Founding Fathers intended for the separation of church and state. I am no ideologue. Still, whenever I get political, I tend to tilt reflexively to the left, making the jobs figure a bit disconcerting at first.

But there’s no escaping it. The number is real. Which means that if you care about putting people back to work at a time when nearly 14 million in this country are unemployed, maybe Texas has something to teach us.

Unfortunately, that’s not the posture many commentators have taken. Instead, when the data from Texas emerged — touted first by Richard Fisher, president of the Federal Reserve Bank of Dallas — conservatives were quick to celebrate, embracing the jobs tally as powerful evidence of the superiority of Republican ideas as well as proof that Texas Gov. Rick Perry would make a good president. But that’s overly simplistic [me: yeah, that’s right.  Let’s keep re-analyzing this until we somehow we make it a victory for Obama liberalism in spite of the fact that Republicans have been running this state at every single political level].

Meanwhile, those on the liberal end of the spectrum immediately set out to shoot the numbers down. MSNBC’s Rachel Maddow, for instance, held up a giant bologna and mocked the notion of a “Texas miracle.” That view, however, is too cavalier.  [Me: yeah, you’ve got a better way to steal credit from conservatives, don’t you, Wartzman?].

So what’s actually happening?

First, the basics. According to the Dallas Fed, Texas generated 43% of the net new jobs in the U.S. from June 2009 through May 2011 — an enormous share when you consider that the Lone Star State accounts for about 8% of the nation’s economy. (Critics, including Maddow, have been quick to note that the unemployment rate in Texas, at 8%, falls in the middle of the pack among the states. Yet total employment is a much more telling and reliable statistic than is the jobless rate.)

Aspects of the Texas economy are unusual, if not unique, and it will be difficult or impossible for other states to replicate them. For example, the energy industry is booming right now, as are agricultural commodities destined for export — a boon for a huge cotton and beef producer like Texas. [Me: Let’s simply ignore the fact that MANY states have abundant oil resources, but THOSE states are refusing to drill for them because they have a particularly nasty species of vermin called “liberals” running them.  Meanwhile, Democrats in California have gutted what had been the most productive agricultural region in the entire world by shutting off their water and protecting a stupid little fish.  It’s as if the other states are cutting their own throats and then pointing out that Texas is only doing so well because it hasn’t cut it’s own throat too].

What’s more, thorny tradeoffs surely exist. Texas is attracting businesses, in part, because it has low taxes. But that, in turn, makes for a smaller safety net, which is one reason Texas has a high incidence of poverty and, compared with every other state, the biggest proportion of its population without health insurance. There are also serious questions about the quality of jobs in Texas. A “right to work” state, it is tied with Mississippi for having the biggest percentage of workers paid at or below the minimum wage.  [Me: I’d rather have a job and make my own way than live off of a welfare state paid by other people’s money until the safety net collapsed.  But that’s just me.  This amounts to another way of saying, ‘Yes, Texas is creating all the jobs; but we want socialism in America, not jobs.  Aside from that, the data shows that Texas shares higher poverty rates with every single other state in the southern region (which shows that poverty is a problem with the entire region rather than a problem with Texas).  But hey, we have to bash Texas for being successful, right?  You need to understand something: Democrats don’t give a DAMN about creating jobs; they only care about leftwing UNION jobs, as what’s going on in South Carolina over a Boeing plant amply demonstrates].

But even with these significant caveats, Texas has long been the most robust jobs engine in the country, and its policies and practices deserve deeper reflection. Some say, for example, that an increase in education funding 25 years ago lifted the quality of the workforce. “That set the table for job expansion,” Fort Worth Star-Telegram columnist Mitchell Schnurman has asserted. (Budget pressures in Texas are now forcing education spending to go in the other direction.).  [Me: you heard right; let’s give all the credit to what Democrats did 25 years ago so we don’t have to give any credit at all to what Republicans have done ever since.  Because liberals must always get the credit no matter how far back you have to go to do it; and conversely, conservatives must always get the blame no matter how far back you have to go to do it].

Also deserving of further exploration are the strict lending guidelines that Texas banks instituted after the S&L crisis of the 1980s. Those standards spurred institutions to keep larger capital reserves and take on fewer problem mortgages than were seen elsewhere in the country. As a result, the state emerged relatively unscathed from the most recent real estate meltdown.  [Me: this is an quick reference to the Democrat-imposed Fannue and Freddie subprime lending policies that were supposed to make home ownership a right for minorities who couldn’t repay their loans.  George Bush tried to reform these policies 17 times, but Democrats – who ran both the House and the Senate when our economy crashed – would have none of these common-sense Republican reforms.  Fortunately conservative Texas passed their own laws to protect them from the Community Reinvestment Act and all the other Democrat horrors].

At the same time — and this, of course, is the tough part for those on the left to swallow — it is clear that the state’s limits on taxes, regulations and lawsuits are contributing to the job machine. “The most important thing I think that’s happened to us is tort reform,” Fisher, the Dallas Fed president, has said. He added that when John Deere and other companies have decided to hire in Texas, they’ve been largely driven by steps the state has taken to cap non-economic damages in medical malpractice suits and to make it harder to bring product liability and class-action cases.

For those whose knee-jerk instinct is to dump on such logic, they would do well here to consider the source. Fisher served in President Carter’s Treasury Department and as a high-ranking trade official for President Clinton, and was a two-time Democratic candidate for the U.S. Senate. Although the former investment banker is certainly not an ardent leftie, he is no right-wing zealot either.

To be sure, Texas is not without lots of problems. And its remarkable employment growth is not without attendant concerns. But for those on the left to dismiss the state’s jobs story out of hand, just because Republicans have embraced it as a showpiece, is counterproductive and foolish.

Counterproductiveness and foolishness are two of the three hallmarks that define the left.  Hypocrisy is the third.

A lot of Californians are whining about the fact that many “Texas jobs” came at California’s expense.  And the whiny liberals are right; many of those employers DID escape from the liberal hellhole known as the People’s Soviet State of California.  But here’s the question: do you want America to be more like California – which among other things features a $500 billion black hole of economic death known as unfunded liabilities from state union pensions – or do you want a job?  Do you want a demagogic excuse for why all the jobs are going elsewhere, or do you want a job?  Do you want to sit on your fat pimply sweaty ass living on welfare until the system crashes and you starve to death, or do you want a system that actually produces something?

If you want the former vote for Obama, vote for Democrats, and then go to hell when you die.  If you want the latter, for God’s sakes, please vote for the Republicans who  are actually creating jobs in America.

Democrats look back at 2008 and blame “failed Republican policies.”  Basically, all they have to point at is the fact that George Bush was president when it happened.  They ignore the fact that Democrats had total control of the House and near total control of the Senate for nearly two years prior to the disaster happening.  They claim that Republicans refusing to regulate was what created the mess.  They ignore the fact that Democrats REPEATEDLY refused ANY regulation whatsover of Fannie and Freddie which had overwhelming control of the housing market that actually caused the meltdown.  Look at the actual facts:

https://startthinkingright.wordpress.com/2010/01/23/aei-article-how-fannie-and-freddie-blew-up-the-economy/

https://startthinkingright.wordpress.com/2010/08/10/barney-frank-and-democrat-party-most-responsible-for-2008-economic-collapse/

https://startthinkingright.wordpress.com/2010/05/11/barney-frank-video-proves-democrats-at-core-of-2008-economic-collapse/

http://hennessysview.com/business/franklin-raines-criminal-enterprise-and-barack-obama-his-accomplice/

http://politicsorpoppycock.com/2008/09/28/franks-fingerprints-are-all-over-the-financial-fiasco/

The last link above refers to a Boston Herald story which has since been scrubbed.  It’s amazing how articles that taint Democrats have a way of “vanishing.”  It’s one of the reasons I blog.  I want to preserve the record of what actually happened to this country.

All this to say that Democrats had a false demagogic narrative based on lies.

But the American people bought those lies in 2008.  And Democrats had dictatorial control of the White House, the House of Representatives and a filibuster-proof Senate for nearly two full years.  And they took their same failed policies which led to the economic collapse of 2008 and expanded them.  And they promised Americans that their godawful stimulus would work.  It not only failed; it completely failed even by the Obama White House’s own constantly-shifting standards.  And it cost us $3.27 TRILLION we didn’t have.

Now, amazingly, the fact that the president happens to be a Democrat – and the fact that that Democrat took bad news and made it far worse – no longer matters.  Now Democrats want to say that it’s the Republicans – who only control the House of Representatives – are blocking economic progress.  Even though it DIDN’T matter that Nancy Pelosi was running the House of Representatives into the ground in 2007 and 2008.  To go along with Harry Reid doing the same thing during the same time period in the US Senate.

Democrats don’t run on facts; they run on demagoguery.  Remember that the man who led Texas into the job-creating machine that it is not only has nothing to do with George Bush, he actually didn’t like Bush as a big spending and compromising “compassionate conservative.”  Because Democrats and their mainstream media propagandists are already starting to tell the demagogic lie that Rick Perry is somehow identical to George Bush simply because the two men were governors of the same state.

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Obama Causes Official End Of The Nation Of Makers

April 4, 2011

This is something that conservatives saw coming from the very fist days of the Obama administration.  From Cato, February 26, 2009:

Cato begins that article with a quote from Obama from a couple of days previous: “As soon as I took office, I asked this Congress to send me a recovery plan by President’s Day… Not because I believe in bigger government — I don’t. Not because I’m not mindful of the massive debt we’ve inherited — I am.”

But like virtually everything else, it was a lie.  Obama’s own proposed massive increase in federal spending proved that.  And since Obama took office, he has spent as no government has ever spent in the history of the human race.

And thus is it utterly no surprise at all to anyone but ignorant fools that we are now here:

APRIL 1, 2011
We’ve Become a Nation of Takers, Not Makers
More Americans work for the government than in manufacturing, farming, fishing, forestry, mining and utilities combined.

By STEPHEN MOORE
If you want to understand better why so many states—from New York to Wisconsin to California—are teetering on the brink of bankruptcy, consider this depressing statistic: Today in America there are nearly twice as many people working for the government (22.5 million) than in all of manufacturing (11.5 million). This is an almost exact reversal of the situation in 1960, when there were 15 million workers in manufacturing and 8.7 million collecting a paycheck from the government.

It gets worse. More Americans work for the government than work in construction, farming, fishing, forestry, manufacturing, mining and utilities combined. We have moved decisively from a nation of makers to a nation of takers. Nearly half of the $2.2 trillion cost of state and local governments is the $1 trillion-a-year tab for pay and benefits of state and local employees. Is it any wonder that so many states and cities cannot pay their bills?

Every state in America today except for two—Indiana and Wisconsin—has more government workers on the payroll than people manufacturing industrial goods. Consider California, which has the highest budget deficit in the history of the states. The not-so Golden State now has an incredible 2.4 million government employees—twice as many as people at work in manufacturing. New Jersey has just under two-and-a-half as many government employees as manufacturers. Florida’s ratio is more than 3 to 1. So is New York’s.

Even Michigan, at one time the auto capital of the world, and Pennsylvania, once the steel capital, have more government bureaucrats than people making things. The leaders in government hiring are Wyoming and New Mexico, which have hired more than six government workers for every manufacturing worker.

Now it is certainly true that many states have not typically been home to traditional manufacturing operations. Iowa and Nebraska are farm states, for example. But in those states, there are at least five times more government workers than farmers. West Virginia is the mining capital of the world, yet it has at least three times more government workers than miners. New York is the financial capital of the world—at least for now. That sector employs roughly 670,000 New Yorkers. That’s less than half of the state’s 1.48 million government employees.

Don’t expect a reversal of this trend anytime soon. Surveys of college graduates are finding that more and more of our top minds want to work for the government. Why? Because in recent years only government agencies have been hiring, and because the offer of near lifetime security is highly valued in these times of economic turbulence. When 23-year-olds aren’t willing to take career risks, we have a real problem on our hands. Sadly, we could end up with a generation of Americans who want to work at the Department of Motor Vehicles.

The employment trends described here are explained in part by hugely beneficial productivity improvements in such traditional industries as farming, manufacturing, financial services and telecommunications. These produce far more output per worker than in the past. The typical farmer, for example, is today at least three times more productive than in 1950.

Where are the productivity gains in government? Consider a core function of state and local governments: schools. Over the period 1970-2005, school spending per pupil, adjusted for inflation, doubled, while standardized achievement test scores were flat. Over roughly that same time period, public-school employment doubled per student, according to a study by researchers at the University of Washington. That is what economists call negative productivity.

But education is an industry where we measure performance backwards: We gauge school performance not by outputs, but by inputs. If quality falls, we say we didn’t pay teachers enough or we need smaller class sizes or newer schools. If education had undergone the same productivity revolution that manufacturing has, we would have half as many educators, smaller school budgets, and higher graduation rates and test scores.

The same is true of almost all other government services. Mass transit spends more and more every year and yet a much smaller share of Americans use trains and buses today than in past decades. One way that private companies spur productivity is by firing underperforming employees and rewarding excellence. In government employment, tenure for teachers and near lifetime employment for other civil servants shields workers from this basic system of reward and punishment. It is a system that breeds mediocrity, which is what we’ve gotten.

Most reasonable steps to restrain public-sector employment costs are smothered by the unions. Study after study has shown that states and cities could shave 20% to 40% off the cost of many services—fire fighting, public transportation, garbage collection, administrative functions, even prison operations—through competitive contracting to private providers. But unions have blocked many of those efforts. Public employees maintain that they are underpaid relative to equally qualified private-sector workers, yet they are deathly afraid of competitive bidding for government services.

President Obama says we have to retool our economy to “win the future.” The only way to do that is to grow the economy that makes things, not the sector that takes things.

Mr. Moore is senior economics writer for The Wall Street Journal editorial page.

California?  Unions?  Consider this from the Los Angeles Times:

California’s $500-billion pension time bomb
The staggering amount of unfunded debt stands to crowd out funding for many popular programs. Reform will take something sadly lacking in the Legislature: political courage.
April 06, 2010|By David Crane

The state of California’s real unfunded pension debt clocks in at more than $500 billion, nearly eight times greater than officially reported.

That’s the finding from a study released Monday by Stanford University’s public policy program, confirming a recent report with similar, stunning findings from Northwestern University and the University of Chicago.

The People’s Republic of Kalifornia was cursed with a R.I.N.O. governor who championed abortion, a $6 porker giveway for stem cell research, gay marriage, and a whole bunch of other liberal crap.  And the legislature is one of the most overwhelmingly Democrat in the country.  And the only things that have changed is that the People’s Republic is now officially under a Democrat Governor (Jerry Brown) and they actually added a Democrat seat in the legislature.

Illinois was described by NBC as having the worst unfunded pension crisis in the country.  Maybe they didn’t know how bad California’s really was when they reported that.  But more likely, they probably had no idea how bad Illinois’ problem truly was and is, either.

The United States is so screwed it is absolutely unreal.  And that is largely due to unions and the Democrats who support those unions in exchange for votes.  It’s an unAmerican scheme that works like this: labor unions give Democrats big campaign donations and provide the muscle and infrastructure for the Democrats’ get-out-the-vote campaign.  And in exchange, Democrats give unions other peoples’ money to the tune of hundreds of billions of dollars.  They don’t give a damn about the 88% of Americans who AREN’T in unions.

Unions are parasites that have sucked the blood out of every industry they have ever seized their vile little talons onto.  Autos, airlines, manufacturing, education government at every possible level – you name it; they’ve ruined it.  And the rest of America is the host that the parasites feed off of.  And Democrats care about the parasites, and not one damn about the rapidly dying host.

And Barack Obama is far and away the most pro-union president ever.  And that was true BEFORE he signed three new hard-core union-agenda executive orders into law.

Obama has just gotten caught red-handed using his ObamaCare to give huge payouts to unions and corporations that advanced his agenda (fascism alert).  Remember that G.E. – one of the corporate beneficiaries of ObamaCare, not only paid zero taxes but actually got money from the taxpayers.

Do you remember Obama’s preacher for over twenty years said, “No, no, no, not God bless America.  God DAMN America.”  And then said that “America’s chickens are coming home to roost”???

You need to understand our actual situation and look at our real debt to understand that AMERICA is the chicken – and Obama has cut its head off and thrown it into a pot of boiling water:

News from globeandmail.com
The scary real U.S. government debt
Wednesday, October 27, 2010

NEIL REYNOLDS

Ottawa — reynolds.globe@gmail.com

Boston University economist Laurence Kotlikoff says U.S. government debt is not $13.5-trillion (U.S.), which is 60 per cent of current gross domestic product, as global investors and American taxpayers think, but rather 14-fold higher: $200-trillion – 840 per cent of current GDP. “Let’s get real,” Prof. Kotlikoff says. “The U.S. is bankrupt.”

Writing in the September issue of Finance and Development, a journal of the International Monetary Fund, Prof. Kotlikoff says the IMF itself has quietly confirmed that the U.S. is in terrible fiscal trouble – far worse than the Washington-based lender of last resort has previously acknowledged. “The U.S. fiscal gap is huge,” the IMF asserted in a June report. “Closing the fiscal gap requires a permanent annual fiscal adjustment equal to about 14 per cent of U.S. GDP.”

This sum is equal to all current U.S. federal taxes combined. The consequences of the IMF’s fiscal fix, a doubling of federal taxes in perpetuity, would be appalling – and possibly worse than appalling. […]

Without drastic reform, Prof. Kotlikoff says, the only alternative would be a massive printing of money by the U.S. Treasury – and hyperinflation.

As former president Bill Clinton once prematurely said, the era of big government is over. In the coming years, the U.S. will almost certainly be compelled to deconstruct its welfare state.

Prof. Kotlikoff doesn’t trust government accounting, or government regulation. The official vocabulary (deficit, debt, transfer payment, tax, borrowing), he says, is vulnerable to official manipulation and off-the-books deceit. He calls it “Enron accounting.” He also calls it a lie.

Every single one of these massive entitlements that is poisoning America they way Japan’s tsunami has poisoned her nuclear reactors with toxic meltdowns came from the vile minds of DEMOCRATS.  And it is DEMOCRATS who will cause the once mighty America to shortly go the way of the Dodo bird.

Social Security was a ponzi scheme from the outset.  And the only thing that has kept it going was that it is a really, really BIG ponzi scheme.  We find out that FDR – who wanted a massive takeover of the private sector by the federal government – worked hard to kill an amendment offered by a Democrat (Senator Bennett Champ Clark): ” It would have allowed workers to go with the new government system or, if they wished, to have their money put into a private-insurance plan. Either way, the contributions would be mandatory.”  Had that amendment been allowed to pass, it would have forced the government’s filfthy paws off the “trust fund” that they subsequently ripped off for the next seventy years and beyond:

We wouldn’t be saddled with today’s fiscal disaster. Hundreds of billions of dollars that politicians have “borrowed” from the Social Security trust fund for all sorts of pork spending would not have disappeared. Instead, all that capital would have been invested in the economy, leaving us a lot more prosperous. Moreover, the Clark Amendment would have been a model for state pension plans, which are now bankrupting local governments, as well as for other nations.

There was a much better idea from the private sector – but in the end Democrats wouldn’t have it.  They wanted their government fascist control instead.  They didn’t care about the American people; they wanted to be able to raid those retirement funds for their own partisan ideological ends.

Then there was the much more colossal failure known as Medicare.  Ronald Reagan famously warned America about that fraud in 1961:

One of the traditional methods of imposing statism or socialism on a people has been by way of medicine. It’s very easy to disguise a medical program as a humanitarian project. Most people are a little reluctant to oppose anything that suggests medical care for people who possibly can’t afford it.

Medicare now represents the largest share of our unfunded liabilities today.  The private market could have done a much better job at a much lower cost, but again, Democrats wanted socialism, and they were hell bent upon getting their socialism.

Now we face collectivist bankruptcy.  We were previously told that if current trends held, Medicare would go broke by 2017.  But current trends didn’t hold, because Obama robbed Medicare of $500 billion to fund the ObamaCare boondobble that bears his name.

As the Iron Lady Margaret Thatcher famously said, “The problem with socialism is that eventually you run out of other people’s money.”  And voilà, here we are.

When it comes to how John F. Kennedy viewed the socialist redistribution of wealth via “progressive taxation policies,” you will find that Kennedy was solidly on the side of fiscal conservatives today.  As it stands, today’s vile Democrats are fundamentally at odds with the man widely recognized to be the greatest Democrat president.

As we speak, Republicans are trying to cut a tiny fraction of the bloated, totally-out-of-control federal budget.  And Democrats are demonizing them at every turn for it.  Because Democrats have been using government spending to massively pad the coffers of the government-sector unions who make their elections possible.  And to be a Democrat means you don’t give a damn about America’s future; you only selfishly want – to put it in John F. Kennedy’s famous words – “what your country can do for you.”

God HAS damned America in the person of Jeremiah Wright’s parishoner for 23 years.  And the most ignorant generation in America’s history voted for it.

HHS Secretary Sebelius Affirms Obama Administration Double-Counting Same $500 Billion

March 5, 2011

This isn’t the first time we’ve learned this: the Medicare actuary told us this going on a year ago, as the article below points out.

But this display by Health and Human Services Secretary Kathleen Sabelius is just a) incompetent and b) brazen:

Here’s an excellent write-up of this latest Obama Looneytune administration:

obamacare and fuzzy math – finally admitted

Published 4:43 p.m. today
Views: 144

Sebelius: Yes, we’re double-counting Medicare savings

by Ed Morrissey

Rep. John Shimkus (R-IL) pins down HHS Secretary Kathleen Sebelius on one of the most controversial budget tricks in ObamaCare — the $500 billion cut in Medicare that supposedly goes for both cost control and to fund other parts of the program.  Medicare’s own actuary blew the whistle on this sleight of hand in August of last year, which makes this admission by Sebelius a no-brainer:

http://www.youtube.com/watch?v=ukaIZ7pmabo&feature=player_embedded

In her first appearance before the House Energy and Commerce Health Subcommittee since the health-care law passed, Kathleen Sebelius responded to a line of questioning by Republican Rep. John Shimkus of Illinois about whether $500 billion in Medicare cuts were used to sustain the program or pay for the law.

“There is an issue here on the budget because your own actuary has said you can’t double-count,” said Shimkus. “You can’t count — they’re attacking Medicare on the CR when their bill, your law, cut $500 billion from Medicare.”

He continued: “Then you’re also using the same $500 billion to what? Say your funding health care. Your own actuary says you can’t do both. […] What’s the $500 billion in cuts for? Preserving Medicare or funding the health-care law?

Sebelius’ reply? “Both.”

The actuary’s report made this crystal clear last summer:

Bad though all of this is, none of it is actually the worst gimmick in the official report’s advertised improvement in Medicare solvency. That involves the double-counting of Medicare savings. Earlier this year, Congress passed a health care bill containing various new Medicare taxes and constraints on program expenditures. Such savings are assumed in the official report to extend the solvency of Medicare. But Congress chose instead to spend the savings on a new health care entitlement.

The Medicare actuary wrote a memorandum on April 22 of this year calling attention to this “double-counting.” “In practice,” he stated, “the improved Part A financing cannot simultaneously be used to finance other Federal outlays (such as the coverage expansions under the PPACA) and to extend the trust fund, despite the appearance of this result from the respective accounting conventions.”

In other words, money can only be used once. Since the Medicare savings is being spent elsewhere on expanded health care coverage, it is not really being employed to extend Medicare solvency. To claim an improvement in Medicare financing is to mislead about the effects of recent legislation.

Even apart from the double counting, the actuary had little faith in ObamaCare’s ability to deliver the savings claimed by Sebelius in this clip, also noted last summer:

“(T)he financial projections shown in this report for Medicare do not represent a reasonable expectation for actual program operations in either the short range. . . or the long range. . . . I encourage readers to review the ‘illustrative alternative’ projections that are based on more sustainable assumptions for physician and other Medicare price updates.”

These remarkable words are found, in all places, in the “Statement of Actuarial Opinion” in the back of the 2010 annual Medicare Trustees’ Report.

It is difficult to overstate how unusual this development is. The normal process with the annual Trustees’ Reports is for the Trustees to develop and publish the best available projections for the future finances of Social Security and Medicare. The respective Social Security and Medicare actuaries then sign a pro forma blessing of those projections, which is tacked to the back of the report when released to the public.

This year, the Medicare Chief Actuary clearly did not feel he could in good conscience sign such a declaration.

The admission here should prompt the House to demand a new financial accounting of ObamaCare from the CBO in the context of current data, rather than with the rosy scenarios painted by Democrats that ignored both the “doc fix” they later pushed through Congress and the results of this double-counting.

You can either set this half trillion dollars aside to reduce the national debt, or you can spend it on another entitlement program.  You cannot possibly do both.  Unless you’re a Democrat.  Then you can take a dollar and buy your favorite candy bar, and simultaneously take that very same dollar and put it in your piggy bank.  Because you are just that divorced from reality.

At this point, America will probably fiscally implode and go the way of the Dodo bird as it is.  But if ObamaCare manages to survive the fact that it is a blatantly unconstitutional powergrab and is fully implemeted, this country is truly doomed.

The 2,700 pages of ObamaCare will ultimately result in over 200,000 pages that have not been written yet:

The 2,733 pages of the bill are basically an “outline” of the program, and knowledgeable people expect that when all is said and done, the rules and regulations will be over 200,000 pages.

As of now, it will create at least 159 entirely new government bureaucracies:

And here is a list of them via Full Metal Patriot:

Did you know that this new law will create 159 NEW boards, commissions, and other government bureaucracies? Do you know of ANY government administration that is efficient? Is there any reason to believe these new bureaus will be any more caring or competent than the ones we already have? (The actual bill — all 2,490 pages of it — can be viewed here: H.R. 3590)

  1. Grant program for consumer assistance offices (Section 1002, p. 37)
  2. Grant program for states to monitor premium increases (Section 1003, p. 42)
  3. Committee to review administrative simplification standards (Section 1104, p. 71)
  4. Demonstration program for state wellness programs (Section 1201, p. 93)
  5. Grant program to establish state Exchanges (Section 1311(a), p. 130)
  6. State American Health Benefit Exchanges (Section 1311(b), p. 131)
  7. Exchange grants to establish consumer navigator programs (Section 1311(i), p. 150)
  8. Grant program for state cooperatives (Section 1322, p. 169)
  9. Advisory board for state cooperatives (Section 1322(b)(3), p. 173)
  10. Private purchasing council for state cooperatives (Section 1322(d), p. 177)
  11. State basic health plan programs (Section 1331, p. 201)
  12. State-based reinsurance program (Section 1341, p. 226)
  13. Program of risk corridors for individual and small group markets (Section 1342, p. 233)
  14. Program to determine eligibility for Exchange participation (Section 1411, p. 267)
  15. Program for advance determination of tax credit eligibility (Section 1412, p. 288)
  16. Grant program to implement health IT enrollment standards (Section 1561, p. 370)
  17. Federal Coordinated Health Care Office for dual eligible beneficiaries (Section 2602, p. 512)
  18. Medicaid quality measurement program (Section 2701, p. 518)
  19. Medicaid health home program for people with chronic conditions, and grants for planning same (Section 2703, p. 524)
  20. Medicaid demonstration project to evaluate bundled payments (Section 2704, p. 532)
  21. Medicaid demonstration project for global payment system (Section 2705, p. 536)
  22. Medicaid demonstration project for accountable care organizations (Section 2706, p. 538)
  23. Medicaid demonstration project for emergency psychiatric care (Section 2707, p. 540)
  24. Grant program for delivery of services to individuals with postpartum depression (Section 2952(b), p. 591)
  25. State allotments for grants to promote personal responsibility education programs (Section 2953, p. 596)
  26. Medicare value-based purchasing program (Section 3001(a), p. 613)
  27. Medicare value-based purchasing demonstration program for critical access hospitals (Section 3001(b), p. 637)
  28. Medicare value-based purchasing program for skilled nursing facilities (Section 3006(a), p. 666)
  29. Medicare value-based purchasing program for home health agencies (Section 3006(b), p. 668)
  30. Interagency Working Group on Health Care Quality (Section 3012, p. 688)
  31. Grant program to develop health care quality measures (Section 3013, p. 693)
  32. Center for Medicare and Medicaid Innovation (Section 3021, p. 712)
  33. Medicare shared savings program (Section 3022, p. 728)
  34. Medicare pilot program on payment bundling (Section 3023, p. 739)
  35. Independence at home medical practice demonstration program (Section 3024, p. 752)
  36. Program for use of patient safety organizations to reduce hospital readmission rates (Section 3025(b), p. 775)
  37. Community-based care transitions program (Section 3026, p. 776)
  38. Demonstration project for payment of complex diagnostic laboratory tests (Section 3113, p. 800)
  39. Medicare hospice concurrent care demonstration project (Section 3140, p. 850)
  40. Independent Payment Advisory Board (Section 3403, p. 982)
  41. Consumer Advisory Council for Independent Payment Advisory Board (Section 3403, p. 1027)
  42. Grant program for technical assistance to providers implementing health quality practices (Section 3501, p. 1043)
  43. Grant program to establish interdisciplinary health teams (Section 3502, p. 1048)
  44. Grant program to implement medication therapy management (Section 3503, p. 1055)
  45. Grant program to support emergency care pilot programs (Section 3504, p. 1061)
  46. Grant program to promote universal access to trauma services (Section 3505(b), p. 1081)
  47. Grant program to develop and promote shared decision-making aids (Section 3506, p. 1088)
  48. Grant program to support implementation of shared decision-making (Section 3506, p. 1091)
  49. Grant program to integrate quality improvement in clinical education (Section 3508, p. 1095)
  50. Health and Human Services Coordinating Committee on Women’s Health (Section 3509(a), p. 1098)
  51. Centers for Disease Control Office of Women’s Health (Section 3509(b), p. 1102)
  52. Agency for Healthcare Research and Quality Office of Women’s Health (Section 3509(e), p. 1105)
  53. Health Resources and Services Administration Office of Women’s Health (Section 3509(f), p. 1106)
  54. Food and Drug Administration Office of Women’s Health (Section 3509(g), p. 1109)
  55. National Prevention, Health Promotion, and Public Health Council (Section 4001, p. 1114)
  56. Advisory Group on Prevention, Health Promotion, and Integrative and Public Health (Section 4001(f), p. 1117)
  57. Prevention and Public Health Fund (Section 4002, p. 1121)
  58. Community Preventive Services Task Force (Section 4003(b), p. 1126)
  59. Grant program to support school-based health centers (Section 4101, p. 1135)
  60. Grant program to promote research-based dental caries disease management (Section 4102, p. 1147)
  61. Grant program for States to prevent chronic disease in Medicaid beneficiaries (Section 4108, p. 1174)
  62. Community transformation grants (Section 4201, p. 1182)
  63. Grant program to provide public health interventions (Section 4202, p. 1188)
  64. Demonstration program of grants to improve child immunization rates (Section 4204(b), p. 1200)
  65. Pilot program for risk-factor assessments provided through community health centers (Section 4206, p. 1215)
  66. Grant program to increase epidemiology and laboratory capacity (Section 4304, p. 1233)
  67. Interagency Pain Research Coordinating Committee (Section 4305, p. 1238)
  68. National Health Care Workforce Commission (Section 5101, p. 1256)
  69. Grant program to plan health care workforce development activities (Section 5102(c), p. 1275)
  70. Grant program to implement health care workforce development activities (Section 5102(d), p. 1279)
  71. Pediatric specialty loan repayment program (Section 5203, p. 1295)
  72. Public Health Workforce Loan Repayment Program (Section 5204, p. 1300)
  73. Allied Health Loan Forgiveness Program (Section 5205, p. 1305)
  74. Grant program to provide mid-career training for health professionals (Section 5206, p. 1307)
  75. Grant program to fund nurse-managed health clinics (Section 5208, p. 1310)
  76. Grant program to support primary care training programs (Section 5301, p. 1315)
  77. Grant program to fund training for direct care workers (Section 5302, p. 1322)
  78. Grant program to develop dental training programs (Section 5303, p. 1325)
  79. Demonstration program to increase access to dental health care in underserved communities (Section 5304, p. 1331)
  80. Grant program to promote geriatric education centers (Section 5305, p. 1334)
  81. Grant program to promote health professionals entering geriatrics (Section 5305, p. 1339)
  82. Grant program to promote training in mental and behavioral health (Section 5306, p. 1344)
  83. Grant program to promote nurse retention programs (Section 5309, p. 1354)
  84. Student loan forgiveness for nursing school faculty (Section 5311(b), p. 1360)
  85. Grant program to promote positive health behaviors and outcomes (Section 5313, p. 1364)
  86. Public Health Sciences Track for medical students (Section 5315, p. 1372)
  87. Primary Care Extension Program to educate providers (Section 5405, p. 1404)
  88. Grant program for demonstration projects to address health workforce shortage needs (Section 5507, p. 1442)
  89. Grant program for demonstration projects to develop training programs for home health aides (Section 5507, p. 1447)
  90. Grant program to establish new primary care residency programs (Section 5508(a), p. 1458)
  91. Program of payments to teaching health centers that sponsor medical residency training (Section 5508(c), p. 1462)
  92. Graduate nurse education demonstration program (Section 5509, p. 1472)
  93. Grant program to establish demonstration projects for community-based mental health settings (Section 5604, p. 1486)
  94. Commission on Key National Indicators (Section 5605, p. 1489)
  95. Quality assurance and performance improvement program for skilled nursing facilities (Section 6102, p. 1554)
  96. Special focus facility program for skilled nursing facilities (Section 6103(a)(3), p. 1561)
  97. Special focus facility program for nursing facilities (Section 6103(b)(3), p. 1568)
  98. National independent monitor pilot program for skilled nursing facilities and nursing facilities (Section 6112, p. 1589)
  99. Demonstration projects for nursing facilities involved in the culture change movement (Section 6114, p. 1597)
  100. Patient-Centered Outcomes Research Institute (Section 6301, p. 1619)
  101. Standing methodology committee for Patient-Centered Outcomes Research Institute (Section 6301, p. 1629)
  102. Board of Governors for Patient-Centered Outcomes Research Institute (Section 6301, p. 1638)
  103. Patient-Centered Outcomes Research Trust Fund (Section 6301(e), p. 1656)
  104. Elder Justice Coordinating Council (Section 6703, p. 1773)
  105. Advisory Board on Elder Abuse, Neglect, and Exploitation (Section 6703, p. 1776)
  106. Grant program to create elder abuse forensic centers (Section 6703, p. 1783)
  107. Grant program to promote continuing education for long-term care staffers (Section 6703, p. 1787)
  108. Grant program to improve management practices and training (Section 6703, p. 1788)
  109. Grant program to subsidize costs of electronic health records (Section 6703, p. 1791)
  110. Grant program to promote adult protective services (Section 6703, p. 1796)
  111. Grant program to conduct elder abuse detection and prevention (Section 6703, p. 1798)
  112. Grant program to support long-term care ombudsmen (Section 6703, p. 1800)
  113. National Training Institute for long-term care surveyors (Section 6703, p. 1806)
  114. Grant program to fund State surveys of long-term care residences (Section 6703, p. 1809)
  115. CLASS Independence Fund (Section 8002, p. 1926)
  116. CLASS Independence Fund Board of Trustees (Section 8002, p. 1927)
  117. CLASS Independence Advisory Council (Section 8002, p. 1931)
  118. Personal Care Attendants Workforce Advisory Panel (Section 8002(c), p. 1938)
  119. Multi-state health plans offered by Office of Personnel Management (Section 10104(p), p. 2086)
  120. Advisory board for multi-state health plans (Section 10104(p), p. 2094)
  121. Pregnancy Assistance Fund (Section 10212, p. 2164)
  122. Value-based purchasing program for ambulatory surgical centers (Section 10301, p. 2176)
  123. Demonstration project for payment adjustments to home health services (Section 10315, p. 2200)
  124. Pilot program for care of individuals in environmental emergency declaration areas (Section 10323, p. 2223)
  125. Grant program to screen at-risk individuals for environmental health conditions (Section 10323(b), p. 2231)
  126. Pilot programs to implement value-based purchasing (Section 10326, p. 2242)
  127. Grant program to support community-based collaborative care networks (Section 10333, p. 2265)
  128. Centers for Disease Control Office of Minority Health (Section 10334, p. 2272)
  129. Health Resources and Services Administration Office of Minority Health (Section 10334, p. 2272)
  130. Substance Abuse and Mental Health Services Administration Office of Minority Health (Section 10334, p. 2272)
  131. Agency for Healthcare Research and Quality Office of Minority Health (Section 10334, p. 2272)
  132. Food and Drug Administration Office of Minority Health (Section 10334, p. 2272)
  133. Centers for Medicare and Medicaid Services Office of Minority Health (Section 10334, p. 2272)
  134. Grant program to promote small business wellness programs (Section 10408, p. 2285)
  135. Cures Acceleration Network (Section 10409, p. 2289)
  136. Cures Acceleration Network Review Board (Section 10409, p. 2291)
  137. Grant program for Cures Acceleration Network (Section 10409, p. 2297)
  138. Grant program to promote centers of excellence for depression (Section 10410, p. 2304)
  139. Advisory committee for young women’s breast health awareness education campaign (Section 10413, p. 2322)
  140. Grant program to provide assistance to provide information to young women with breast cancer (Section 10413, p. 2326)
  141. Interagency Access to Health Care in Alaska Task Force (Section 10501, p. 2329)
  142. Grant program to train nurse practitioners as primary care providers (Section 10501(e), p. 2332)
  143. Grant program for community-based diabetes prevention (Section 10501(g), p. 2337)
  144. Grant program for providers who treat a high percentage of medically underserved populations (Section 10501(k), p. 2343)
  145. Grant program to recruit students to practice in underserved communities (Section 10501(l), p. 2344)
  146. Community Health Center Fund (Section 10503, p. 2355)
  147. Demonstration project to provide access to health care for the uninsured at reduced fees (Section 10504, p. 2357)
  148. Demonstration program to explore alternatives to tort litigation (Section 10607, p. 2369)
  149. Indian Health demonstration program for chronic shortages of health professionals (S. 1790, Section 112, p. 24)*
  150. Office of Indian Men’s Health (S. 1790, Section 136, p. 71)*
  151. Indian Country modular component facilities demonstration program (S. 1790, Section 146, p. 108)*
  152. Indian mobile health stations demonstration program (S. 1790, Section 147, p. 111)*
  153. Office of Direct Service Tribes (S. 1790, Section 172, p. 151)*
  154. Indian Health Service mental health technician training program (S. 1790, Section 181, p. 173)*
  155. Indian Health Service program for treatment of child sexual abuse victims (S. 1790, Section 181, p. 192)*
  156. Indian Health Service program for treatment of domestic violence and sexual abuse (S. 1790, Section 181, p. 194)*
  157. Indian youth telemental health demonstration project (S. 1790, Section 181, p. 204)*
  158. Indian youth life skills demonstration project (S. 1790, Section 181, p. 220)*
  159. Indian Health Service Director of HIV/AIDS Prevention and Treatment (S. 1790, Section 199B, p. 258)*

*Section 10221, page 2173 of H.R. 3590 deems that S. 1790 shall be deemed as passed with certain amendments.

Another inconvenient truth; none of those new bureaucracies include the 12,000-16,500 additional employees and agents which will be added to the IRS to administer and enforce the new mandate.

We are doomed if this thing becomes law.  Our economy will crash and our entire way of life will be reduced to servitude.

Latest ObamaCare ‘Oopsie’: HealthCare Destruction Act Already Killing People

December 16, 2010

It’s too expensive…so we’re going to let you die.” – Robert Reich, lifelong Democrat “expert”

A program that saves young people produces more welfare than one that saves old people” – Obama Regulatory Czar Cass Sunstein

At least we can let doctors know — and your mom know — that you know what, maybe this isn’t going to help. Maybe you’re better off, uhh, not having the surgery, but, uhh, taking the painkiller.” – The Hussein himself, informing a woman that it’s basically time to let her mother die.

ObamaCare Factoid: Access To Health Care Doesn’t Mean Squat When Hospitals, Doctors And Pharmacists Bail” – Title of article by Michael Eden now factually demonstrated to have been completely right.

Before I provide the article of the day, allow me to show you some things that I posted/wrote nearly a year ago:

This is nothing compared to what might happen under Democratic health overhaul plans, which would slash Medicare spending by nearly $500 billion over 10 years. As Medicare actuaries recently pointed out in understated fashion, such cuts “may be unrealistic.” But, if Congress actually carried them out, about one in five hospitals, nursing homes and home care agencies could lose money, they warned in their report. As a result, such providers could drop Medicare, leaving seniors with less access.

[…]

Don’t think for a second that this isn’t directly related to the disaster known as ObamaCare.  Democrats are gutting Medicare reimbursements and blocking the essential “doctor fix” from their bill to create the contrived and bogus illusion that their boondoggle will provide “deficit neutrality.”  They are playing all kinds of games and gimmicks, such as taxing for ten years and only providing benefits for five, to support that illusion. It will fail, and a lot of people will die.

[…]

And so, what do you think will happen when Democrats cut the reimbursement rates?  People who have commons sense know: hospitals and doctors will begin to see fewer and fewer Medicare patients, as a matter of simple economic necessity.   That isn’t a “reform,” but a disaster.

And this stuff is why the dean of the Harvard Medical School gave ObamaCare a failing grade.  It’s why the California Medical Association recently came out strongly against the bill.  It’s why more and more state governors – Democrats as well as Republicans – are beginning to scream that ObamaCare merely turns Medicaid into a giant deficit-creating unfunded mandate on the states (again, to create the illusion of being “deficit neutral”).

And, now, without further delay, the article of the day’s latest demonstration that the Democrat Party is the political arm of the devil and Barack Obama is leading America into ruin not seen since the last time socialism devastated Europe when our grandparents were young kids…

It is somehow ironically fitting that this destruction of our health care system would be described in Obama’s hometown.

Medicaid cuts: teeth pulled, transplant called off
By The Associated Press
Posted Dec 15, 2010

CHICAGO —

In Illinois, a pharmacist closes his business because of late Medicaid payments. In Arizona, a young father’s liver transplant is canceled because Medicaid suddenly won’t pay for it. In California, dentists pull teeth that could be saved because Medicaid doesn’t pay for root canals.

Across the country, state lawmakers have taken harsh actions to try to rein in the budget-busting costs of the health care program that serves 58 million poor and disabled Americans. Some states have cut payments to doctors, paid bills late and trimmed benefits such as insulin pumps, obesity surgery and hospice care.

Lawmakers are bracing for more work when they reconvene in January. Some states face multibillion-dollar deficits. Federal stimulus money for Medicaid is soon to evaporate. And Medicaid enrollment has never been higher because of job losses.

In the view of some lawmakers, Medicaid has become a monster, and it’s eating the budget. In Illinois, Medicaid sucks up more money than elementary, secondary and higher education combined.

“Medicaid is such a large, complicated part of our budget problem, that to get our hands around it is very difficult. It’s that big. It’s that bad,” said Illinois Sen. Dale Righter, a Republican and co-chairman of a bipartisan panel to reform Medicaid in Illinois, where nearly 30 percent of total spending goes to the program.

Medicaid costs are shared by the federal and state governments. It’s not just the poor and disabled who benefit. Wealthier people do, too, such as when middle-class families with elderly parents in nursing homes are relieved of financial pressure after Medicaid starts picking up the bills.

Contrary to stereotype, it’s the elderly and disabled who cost nearly 70 cents of every Medicaid dollar, not the single mother and her children.

In California, Medicaid no longer pays for many adult dental services. But it still pays for extractions, that is, tooth-pulling. The unintended consequence: Medicaid patients tell dentists to pull teeth that could be saved.

“The roots are fine. The tooth could be saved with a root canal,” said Dr. Nagaraj Murthy, who practices in Compton, Calif. “I had a patient yesterday. I said we could do a root canal. He said, ‘No, it’s hurting. Go ahead and pull it. I don’t have the money.”’

Murthy recently pulled an elderly woman’s last tooth, but Medicaid no longer pays for dentures.

“Elderly patients suffer the most,” Murthy said. “They’re walking around with no teeth.”

States can decide which optional services Medicaid covers, and dental care is among cutbacks in some places. Last year’s economic stimulus package increased the federal share of Medicaid money temporarily. But that money runs out at the end of June, when the federal government will go back to paying half the costs rather than 60 to 70 percent. So more cuts could be ahead.

During the Great Recession, millions of people relied on the Medicaid safety net. Between 2007 and 2009, the number of uninsured Americans grew by more than 5 million as workers lost jobs with employer-based insurance. Another 7 million signed up for Medicaid.

Just when caseloads hit their highest point, the nation’s new health care law required states not to change the rules on who’s eligible for Medicaid. That means states can’t roll up the welcome mat by tightening Medicaid’s income requirements.

So states have resorted to a variety of painful options.

In Arizona, lawmakers stopped paying for some kinds of transplants, including livers for people with hepatitis C. When the cuts took effect Oct. 1, Medicaid patient Francisco Felix, who needs a liver, suddenly had to raise $500,000 to get a transplant.

The 32-year-old’s case took a dramatic turn in November when a friend’s wife died, and her liver became available. Felix was prepped for surgery in hopes financial donations would come in. When the money didn’t materialize, the liver went to someone else, and Felix went home. His doctor told him he has a year before he’ll be too sick for a transplant.

“They are taking away his opportunity to live,” said his wife, Flor Felix. “It’s impossible for us or any family to get that much money.” The family is collecting donations through a website and plans a yard sale this weekend, she said.

The choices are difficult for states that have already cut payments to doctors and hospitals to the bone.

“If we don’t see an economic recovery where state revenues rebound, they’re really going to be very strained on how they can make ends meet,” said Diane Rowland, executive director of the Kaiser Commission on Medicaid and the Uninsured.

States may consider lowering payment rates to nursing homes or home health agencies or further reducing payments to doctors, Rowland said.

“The problem here is the program is pretty lean, and payment rates are pretty low,” she said. Patients can’t find care because fewer doctors accept the low payments.

Prescription drug coverage in states is an optional benefit, another possible place to cut, Rowland said. “But if you cut back on people’s psychotropic drugs, is that penny-wise and pound-foolish? Do they end up in institutions where Medicaid pays more for their care?”

In Illinois, late payments became the rule.

Tom Miller closed his pharmacy in rural southern Illinois this summer and is going through bankruptcy, largely because the state was chronically late making Medicaid payments to him. Most of his former customers are in the program.

With the state sometimes months behind in payments, he couldn’t pay his suppliers. Five workers lost their jobs when his business closed.

“You can only fight it for so long,” said Miller, 54. He now works as a pharmacist in a hospital. He misses his old clients, the families he grew to know.

“I was in my third generation. I’ve had moms who had kids. I saw the kids raised, and they had their own children,” he said. As a neighborhood pharmacist, “you’re their friend. You’re family.”

The death panels are right around the corner.  To the extent that they’re not already here right now, as with the case of Francisco Felix, who is being denied life by being denied a liver by Medicaid.

Francisco Felix never stood in front of a death panel; but bureaucrats don’t need you wasting their time with bothersome questions when they decide to let you die a slow and agonizing death due to medical neglect (or maybe you’re fortunate enough to get that pain pill from Obama?).

We told you so.  We told you soWe told you soWE TOLD YOU SO.

As one speaking from the lofty vantage point of one having a one-thousand percent batting average, let me forewarn you Democrats yet again: Someday, when you’re burning in hell for all eternity for your direct participation in the murder of 52 million innocent human beings in America alone through abortion, realize that God is going to turn up the fires a few billion extra degrees for the coming horror that is going to come to this country as a result of your ObamaCare disaster.

How Should Democrats Eat The Half-Trillion $ Monsters Fannie And Freddie? One Bite At A Time

May 14, 2010

The truth is finally starting to come out in spite of the media.  After a mountain of Democrat-media complex lies buried so many inconvenient truths.

First it was Barney Frank’s admissions on tape before the economy went to hell caused by his horrendous liberal policies.

And now this little exchange:

CNBC’s Rick Santelli Rips Key Democrat For Ignoring Fannie/Freddie Reform
Dems’ Financial “Reform” Leaves Taxpayers on the Hook for Government Mortgage Giants

Washington, May 11 Follow @GOPLeader on Twitter for updates.

Democrats still don’t get it, and they refuse to reform Fannie Mae and Freddie Mac, the government mortgage companies that sparked the meltdown by giving high-risk loans to people who couldn’t afford it.   Standing up for American taxpayers, CNBC’s on-air editor, Rick Santelli teed off on Rep. Paul Kanjorski’s (D-PA) claim that Democrats’ couldn’t reform Fannie & Freddie in their financial regulation bill because it was “too complicated,” asking: “It’s too complicated?  You think taxpayers that go to work to pay the money you are subsidizing, it will end up a half a trillion, do you think they think complicated is an excuse?

The exchange couldn’t have come at a worse time for Rep. Kanjorski and Congressional Democrats, because Fannie and Freddie simply won’t go away.  As the Financial Times reported today:

“Fannie Mae said on Monday it would need an additional $8.4bn in aid, as the US government-controlled mortgage finance company continued to suffer heavy losses on its bad loans…Fannie Mae’s appeal for help comes on the heels of a similar plea last week by smaller rival Freddie Mac, which asked for an additional $10.6bn cash infusion.  The latest requests for aid bring the total amount of taxpayer dollars drawn down by these companies to $148bn since the 2008 government-led bail-out.

“Anthony Sanders, a senior scholar at the Mercatus Center at George Mason University, called Fannie and Freddie ‘our own Greek tragedy.’  Mr. Sanders estimated that total taxpayer liability was about $8,000bn for the combined companies, including public debt and loan guarantees.”

But the unlimited bailout that the Administration has bestowed on Fannie and Freddie doesn’t seem to bother Democrats, though the latest giveaway may come at an “inconvenient time,” as the New York Times noted today:

“Fannie Mae’s request on Monday for another $8.4 billion in federal aid comes at a politically inconvenient time for the Obama administration, which is pressing to pass sweeping financial legislation without resolving the company’s future…. Democrats want to defer an overhaul of federal housing policy until next year, after the midterm elections. But Republicans have seized on the continuing losses to argue that a plan for the two companies should be a priority of the current legislation.”

Republicans have been pressing for an end to bailouts that would get the government out of the mortgage business once and for all.  But Democrats are not only unwilling to reform Fannie and Freddie, they are doubling down on the failed government mortgage companies – burning through hundreds of billions of taxpayer dollars in the process.  As the Washington Post noted in a report today: “Under the terms of the government’s 2008 emergency takeover of Fannie and Freddie, the Treasury must pump money into either firm whenever its worth, as measured by assets minus liabilities, goes into the red. Late last year, the Obama administration pledged unlimited backing.”

For years, Republicans raised red flags about Fannie and Freddie’s financial condition and proposed responsible reforms only to be thwarted by Democrats who have deep political ties to the worst offenders.  These same powerful Democrats are now pushing for a financial reform bill that doesn’t even address the need to fix these government mortgage companies.  As the Wall Street Journal wrote last week, “reforming the financial system without fixing Fannie and Freddie is like declaring a war on terror and ignoring al Qaeda.”

House Republicans’ plan would phase out taxpayer subsidies of Fannie Mae and Freddie Mac over a number of years and end the current model of privatized profits and taxpayer losses.  Find out more by clicking HERE.

For the record, “8,000 billion” is another way of saying $8 TRILLION DOLLARS.  That’s what Fannie Mae, Freddie Mac, and the Democrat Party have cost us.

The biggest problem with Fannie Mae and Freddie Mac has always been that it was a social welfare institution disingenuously masquerading as a financial institution.  The giant GSEs were packaged and sold under entirely false pretenses.

It was Democrats who established Fannie Mae and Freddie Mac.  It has been Democrats who have controlled the staffing of both agencies for decades.  It was Democrats – and particularly it was Barack Obama – who took more campaign money from Fannie Mae and Freddie Mac than ANYONE.  It was Democrats who refused to regulate Fannie Mae and Freddie Mac when George Bush and later John McCain repeatedly pleaded for such regulation and reform of the out-of-control agencies.  It was Democrats like Franklin Raines who were running Fannie and Freddie when all the policies that led us down the road to hell were imposed, just as it was Democrats who were running Fannie and Freddie when the fecal matter started hitting the rotary oscillator.

It was a Democrat who said that everything was fine with Fannie and Freddie less than TWO MONTHS before they completely collapsed:

REP. BARNEY FRANK, D-MASS, July 14, 2008: I think this is a case where Fannie and Freddie are fundamentally sound, that they are not in danger of going under. They’re not the best investments these days from the long-term standpoint going back. I think they are in good shape going forward.

And I think that anybody who respects what you think is a deluded and deranged dumbass, Mr. Frank.

Fannie Mae and Freddie Mac are now in control of 96.5% of all mortgages, for those who don’t think they’re all that important in their role of creating the mortgage meltdown.  It was Fannie and Freddie that bundled all the bad mortgages into mortgage-backed securities and then sold the mortgage-backed and debt securities to domestic and international capital investors under the illusion that they were guaranteed by the federal government.

Fannie and Freddie were a $5 trillion wasted boondoggle BEFORE things got even worse.  They exist only to help liberals and lose money.  And there’s no end in sight.

How bad is it???

Just how bad is the news at Fannie/Freddie? On Friday morning, Moody’s downgraded their outstanding preferred stock 5 notches from A1 to Baa3 (a slight gradation above junk) and their Bank Financial Strength Ratings (BSFR) to D+ from B- (one/half notch above D, which is reserved for companies in default). […]

When the Treasury peels back the onion, I believe they will find a hornet’s nest. I think we will see an initial bailout of $100 billion or so, with 2/3-3/4 going to Fannie (as it is a larger organization). The scenario I foresee however, just as happened at Merrill Lynch, Lehman Brothers and Morgan Stanley, is that they came to the financing window expecting to have borrowed enough, but then find they have to keep coming back repeatedly until the buyers go away or until “We The People” have thrown at least $500 billion at Fannie/Freddie to get them back on their feet again. This will also likely take an Act of Congress to raise the Treasury’s Debt ceiling quite dramatically

The United States used to be the greatest nation in the history of the world; now we’re more like a chicken that has had its head cut off, but is too disconnected from reality to know that it’s already dead.

Our deficits are now four times as high as they were a year ago, and they are twice as high as Obama said they would be in the very worst case scenario.

We’re screwed.  Frankly, America voted to be screwed when it elected Barack Obama and Democrats.

All Immoral Democrat Gimmicks Aside, Senate Bill Funds Abortions

January 8, 2010

The Democrats’ deceit on health care is the most appalling thing I have ever seen.

They slash half a trillion dollars from the Medicare budget; dishonestly dodge the “Doc-fix“; force people to buy insurance in a flagrant abuse of the Constitution; raise taxes on people Obama REPEATEDLY SWORE he would not raise taxes on; and massively raise taxes in what amounts to an unfunded mandate for states across the board (well, except for Nebraska.  You get to pay their tab).  Not to mention they play every gimmick imaginable to create the illusion that the bill is “deficit neutral” so they can get a favorable CBO score.

Obama and Democrats – who demonized Republicans – promised that they would have the most open and transparent administration in history.  But they have been the most closed and opaque administration in history.  Obama promised he would put the health care care debate on C-SPAN for all to watch:

President Obama, “But what we will do is, we’ll have the negotiations televised on C-SPAN, so that people can see who is making arguments on behalf of their constituents, and who are making arguments on behalf of the drug companies or the insurance companies.”

Mind you, as Democrat National Committee Chairman Howard Dean pointed out, insurance companies have recently received all kinds of benefits from the Democrats behind closed doors.  Obama’s Democrats have become the people that Obama most fearmongered us about while on the campaign trail.

And in fact this has been such a secretive, closed-door, underhanded process that even many senior Democrats have publicly acknowledged being kept in the dark.

And we’ve literally got the chief executive of C-SPAN begging to cover the debate even as Democrats burrow the process even deeper into the underground sewers where they seem to live now.

These are fundamentally dishonest people who want to seize control of your ability to make medical decisions for yourself and your loved ones.

And we find out that even the “good” or “moderate” Democrats are bad.  Ben Nelson sold his vote – to the red-faced outrage of his own state – while dishonestly claiming he had protected taxpayer funds from being used to fund abortion.

And we find that that’s a lie, too.  Abortion IS funded by this bill, as even Democrats are openly acknowledging now (at least now that they got the vote they wanted).  Everything these Democrats are telling us is lies.

Kathleen Sebelius Admits, Covers Up Abortion Funding in Health Care Measure

by Steven Ertelt
LifeNews.com Editor
December 22, 2009

Washington, DC (LifeNews.com) — HHS Secretary Kathleen Sebelius is getting attention for an interview yesterday in which she essentially admits that the American public would be forced to pay for abortions under the Senate health are bill and then relies on accounting gimmicks to suggests that’s not the case.

Sebelius spoke with BlogHer interviewer Morra Aarons-Mele yesterday and praised the new abortion language the Senate adopted in Harry Reid’s manager’s amendment.

The language, submitted by Sen. Ben Nelson in conjunction with Sen. Bob Casey and pro-abortion Sens. Barbara Boxer and Patty Murray, opens the door to massive abortion funding.

“I would say that the Senate language, which was negotiated by Senators Barbara Boxer and Patty Murray, who are very strong defenders of women’s health services and choices for women, take a big step forward from where the House left it with the Stupak amendment,” the pro-abortion Obama administration official said.

Sebelius said she thinks the language does a “good job making sure there are choices for women, making sure there are going to be some plan options, and making sure that while public funds aren’t used.”

She added: “That would be an accounting procedure, but everybody in the exchange would do the same thing, whether you’re male or female, whether you’re 75 or 25, you would all set aside a portion of your premium that would go into a fund, and it would not be earmarked for anything, it would be a separate account that everyone in the exchange would pay.”

“It is a bit confusing, but it’s really an accounting that would apply across the board and not just to women, and certainly not just to women who want to choose abortion coverage,” Sebelius concluded.

Ed Morrissey, a HotAir blogger, noticed the interview and pointed out how Sebelius essentially admitted everyone would pay into the exchange but denied that public funds would be used for abortions.

“What constitutes the notion of ‘public funds?'” he asked. “If the government forces us to pay into a fund, and then controls the distribution of those funds, are those funds not ‘public?'”

“Sebelius praises the abortion-funding language in the Reid bill, as it maintains a flow of funds for abortion coverage that everyone — and she means everyone — supplies,” Morrissey adds.

Morrissey says the health care bill’s system of government funding of abortion is “only confusing if you bought Ben Nelson’s dodge that Reid had changed the abortion-funding language in any significant way.”

“If the government forces it citizens to pay into premium exchanges and then controls the distribution of that money, then it becomes a public fund in any interpretation. That’s especially true if its intent is to be a slush fund for bureaucrats to apply to whatever purpose they see fit,” he concludes.

Sebelius could eventually play a major role in abortion funding because of the Mikulski amendment, which makes it so the Obama administration can define abortion as “preventative care” and force insurance companies to pay for them.

So that’s how the Democrat’s prevent public funding to pay for abortion.  They dishonestly, with clear malicious intent, lie and hide behind bureaucratic gimmickry to not just use public money to pay for abortions while denying their doing it, but to go for broke in forcing public money in for abortions in the guise of “preventative care.”

Abortion is an incredibly important subject.  And how it is treated is vital to the entire health care process.  And to dishonestly pretend one thing while doing another is a glaring demonstration of how profoundly deceitful and disingenuous Democrats have become.

This outrage violates the American spirit and is yet another liberal fascist tyranny.

Thomas Jefferson put it best:

“To compel a man to subsidize with his taxes the propagation of ideas which he disbelieves and abhors is sinful and tyrannical.” –Thomas Jefferson

I believe abortion is a moral crime.  I believe that abortion results in the unjustified homicide of an innocent human being.

And to go even further, I believe this health care bill constitutes the socialist statist takeover of the most important and sacred 1/6th of our economy.  I believe that this bill will all-too soon result in medical rationing, and the death by medical neglect of millions of innocent human beings to resolve the next budget crisis.

And according to every single major poll, most Americans agree with me.

But it doesn’t matter to Democrats.  They see an opportunity to redefine America and make it something more far more akin to Karl Marx and Chairman Mao than to George Washington and Thomas Jefferson.

Mayo Clinic Realizes ObamaCare A Total Disaster, Stops Accepting Medicare

January 1, 2010

What we have here is a very cute and clever title for a very disastrous development.

Mayo Says: Hold The Medicare
By Ed Carson
Thu., Dec. 31, ’09

The Mayo Clinic will stop accepting Medicare patients at one of its primary care clinics in Arizona. Why? The government doesn’t pay enough:

More than 3,000 patients eligible for Medicare, the government’s largest health-insurance program, will be forced to pay cash if they want to continue seeing their doctors at a Mayo family clinic in Glendale, northwest of Phoenix, said Michael Yardley, a Mayo spokesman. The decision, which Yardley called a two-year pilot project, won’t affect other Mayo facilities in Arizona, Florida and Minnesota.

Obama in June cited the nonprofit Rochester, Minnesota-based Mayo Clinic and the Cleveland Clinic in Ohio for offering “the highest quality care at costs well below the national norm.” Mayo’s move to drop Medicare patients may be copied by family doctors, some of whom have stopped accepting new patients from the program, said Lori Heim, president of the American Academy of Family Physicians.

This is nothing compared to what might happen under Democratic health overhaul plans, which would slash Medicare spending by nearly $500 billion over 10 years. As Medicare actuaries recently pointed out in understated fashion, such cuts “may be unrealistic.” But, if Congress actually carried them out, about one in five hospitals, nursing homes and home care agencies could lose money, they warned in their report.

As a result, such providers could drop Medicare, leaving seniors with less access.

This is now only going on at one Mayo clinic – but it is going to spread.

Don’t think for a second that this isn’t directly related to the disaster known as ObamaCare.  Democrats are gutting Medicare reimbursements and blocking the essential “doctor fix” from their bill to create the contrived and bogus illusion that their boondoggle will provide “deficit neutrality.”  They are playing all kinds of games and gimmicks, such as taxing for ten years and only providing benefits for five, to support that illusion.

It will fail, and a lot of people will die.

Alan B. Miller, an expert in the field of health care, wrote:

Medicare reimbursements to hospitals fail to cover the actual cost of providing services. The Medicare Payment Advisory Commission (MedPAC), an independent congressional advisory agency, says hospitals received only 94.1 cents for every dollar they spent treating Medicare patients in 2007. MedPAC projects that number to decline to 93.1 cents per dollar spent in 2009, for an operating shortfall of 7%. Medicare works because hospitals subsidize the care they provide with revenue received from patients who have commercial insurance. Without that revenue, hospitals could not afford to care for those covered by Medicare. In effect, everyone with insurance is subsidizing the Medicare shortfall, which is growing larger every year.

As much as Obama and the Democrats have demonized private insurance (before co-opting them in the current version of ObamaCare – what is it, ObamaCare version 6.0 by now?), the higher prices paid by private insurance have been all that has allowed doctors and hospitals to continue to accept Medicare and Medicaid at a loss.

And so, what do you think will happen when Democrats cut the reimbursement rates?  People who have commons sense know: hospitals and doctors will begin to see fewer and fewer Medicare patients, as a matter of simple economic necessity.

That isn’t a “reform,” but a disaster.

And this stuff is why the dean of the Harvard Medical School gave ObamaCare a failing grade.  It’s why the California Medical Association recently came out strongly against the bill.  It’s why more and more state governors – Democrats as well as Republicans – are beginning to scream that ObamaCare merely turns Medicaid into a giant deficit-creating unfunded mandate on the states (again, to create the illusion of being “deficit neutral”).

Enough with illusions.  This bill is absolutely terrible.  It’s more than 2,000 pages long, nobody understands it, and it has changed again and again, yet actually seems to be getting worse and worse.

Current Democrat Health Plan Following Script To Socialist Single-Payer System

December 14, 2009

The Democrats have a cherished dream in which the American people have a similar health care system to that of their ideological counterparts in North Korea.

The generally left-leaning Washington Post says that the

last-minute introduction of this idea within the broader context of health reform raises numerous questions — not least of which is whether this proposal is a far more dramatic step toward a single-payer system than lawmakers on either side realize. […]

The irony of this late-breaking Medicare proposal is that it could be a bigger step toward a single-payer system than the milquetoast public option plans rejected by Senate moderates as too disruptive of the private market.

Far too many Democrats want a socialist single-payer system, and liberals like Democrat Representative Anthony Weiner think the current Senate Democrat proposal is just the ticket to take us there:

New York Rep. Anthony Weiner, an outspoken backer of the public option, hailed the expansion of Medicare as an “unvarnished” triumph for Democrats, like himself, who have been pushing for a single-payer government-run health care system. “Never mind the camel’s nose; we’ve got his head and his neck in the tent.”

Barack Obama is one of the foremost liberals seeking a socialist single-payer system.  Speaking at SEIU’s New Leadership Health Care Forum on March 24, 2007, Obama said:

My commitment is to make sure that we have universal healthcare for all Americans by the end of my first term as President. […]

I would hope that we could set up a system that allows those who can go through their employer to access a federal system or a state pool of some sort. But I don’t think we’re going to be able to eliminate employer coverage immediately. There’s going to be potentially some transition process.

Most Americans like their employer coverage and would very much like to keep what they have.  But Obama does not want them to be allowed to keep what they have.

In 2003 at an AFL-CIO Civil, Human and Women’s Rights Conference, Obama stated:

I happen to be a proponent of a single payer universal healthcare plan…That’s what I’d like to see.

And what we’re seeing is that – in spite of the American people’s repeated rejection of this blasphemy to American capitalism and the American way of life (let’s just start with the federal government being empowered to force citizens to purchase something whether we want it or not) – Barack Obama is continuing to impose something he hopes will lead to his beloved socialist system:

But, interestingly, it would seem that this idea of expanding Medicare may not have originated with Senator Reid.  It may, in fact, have been Barack Obama’s plan all along to use an expansion of Medicare to push the country toward a single-payer health care system.

In this regard, Breitbart.tv, in conjunction with its regular contributor “Naked Emperor News,” has posted a revealing video that shows Barack Obama’s plans to expand Medicare to get to a single-payer health care system.  At the 34 second mark in the video from a February 2004 radio broadcast in Urban, IL, Barack Obama states the following:

At the Federal level, what I’m looking at is a very specific proposal that would provide health care coverage for all children who need it all across the United States, would allow 55 to 64 year olds to buy into the Medicare system, and I think that if we can start with children and uh those persons 55 to 64 that are most vulnerable, then we can start filling in those holes and, ultimately, I think uh move in the direction of a universal health care plan.

As recently as April of 2007 from an appearance in Portsmouth, NH (see the 17 second mark of the video), Barack Obama was recorded saying:

Uh, let’s say that we, let, let’s say that I proposed a plan that uh moved to a single-payer system.  Let, let’s say Medicare-plus, essentially everyone can buy into Medicare for example.

As the video points out at the beginning, Obama met with Senate Democrats on December 7, 2009, and then two days later (on December 9, 2009) Senator Reid announced his compromised solution of expanding the Medicare system.

The Breitbart.tv/Naked Emperor News video asks if this has been President Obama’s plan all along.

This bill that Obama has submitted through his lackey Harry Reid is such a dead skunk that it can only be foisted on the American people if it is kept in the dark, behind closed doors, in secretive sessions:

Sen. Durbin says he’s ‘in the dark’ on possible healthcare reform compromise
By Eric Zimmermann – 12/11/09 12:33 PM ET

The 10 Democratic senators who crafted a healthcare compromise are keeping its details a secret, says Majority Whip Dick Durbin (D-Ill.) said Friday.

Responding to a complaint by Sen. John McCain (R-Ariz.) that Republicans haven’t been told what’s in the new bill, Durbin, the No. 2 Democrat in the Senate, responded that he’s in the same position.

“I would say to the senator from Arizona that I’m in the dark almost as much as he is. And I’m in the leadership,” Durbin said on the Senate floor.

Stop and think.  The Democrats want to cut nearly $500 billion (that’s half a trillion dollars!!!) from Medicare, even as they dramatically expand its enrollment by adding those from 55-64 to the roles.

Hopefully you’re not stupid.  You have to see that this is a train wreck in the waiting.  Liberals are thinking, “We’ll get our socialized system in the door, and then when the whole system collapses we’ll be able to socialize everything.”

This plan will slash the Medicare budget, sharply reduce benefits for some senior citizens, jeopardize access to care for millions of other citizens, and will prove so costly that to hospitals and nursing homes that many will stop taking Medicare altogether:

From the Washington Post:

A plan to slash more than $500 billion from future Medicare spending — one of the biggest sources of funding for President Obama’s proposed overhaul of the nation’s health-care system — would sharply reduce benefits for some senior citizens and could jeopardize access to care for millions of others, according to a government evaluation released Saturday. The report, requested by House Republicans, found that Medicare cuts contained in the health package approved by the House on Nov. 7 are likely to prove so costly to hospitals and nursing homes that they could stop taking Medicare altogether.”

Can any liberal explain why any of this is a good thing?  Please?

And this fiasco will not even lower costs.  To the contrary, it will increase the overall cost of health care.

Consider this:

Fifty-six percent (56%) of U.S. voters now oppose the health care plan proposed by President Obama and congressional Democrats. That’s the highest level of opposition found – reached three times before – in six months of polling.

The latest Rasmussen Reports national telephone survey finds that just 40% of voters favor the health care plan.

Perhaps more significantly, 46% now Strongly Oppose the plan, compared to 19% who Strongly Favor it.

And yet again and again, Democrats have been determined to foist a dead skunk on us.  This is a naked attempt to simply take over and socialize one-sixth of the U.S. economy, torpedoes be damned, full speed ahead.

Democrats do not seem to care what the American people want.  They keep trying to impose naked socialism on a nation that does not want it.  And what they are doing is going to create suffering and even death for millions of Americans.

We have to vote these Democrats out and put and end to their majority before they destroy us.

China Fears ObamaCare Causes Economic Cancer

November 17, 2009

The Chinese have a little different medical philosophy than Western doctors.  But when it comes to dollars and cents, Chinese math and Western math are very much alike.

The Chinese are looking at the numbers of dollars (trillions of dollars, mind you) of ObamaCare.  And they do not like the rapidly growing economic cancer that they see.

From Reuters:

James Pethokoukis
November 16th, 2009
China questions costs of U.S. healthcare reform

Guess what? It turns out the Chinese are kind of curious about how President Barack Obama’s healthcare reform plans would impact America’s huge fiscal deficit. Government officials are using his Asian trip as an opportunity to ask the White House questions. Detailed questions.

Boilerplate assurances that America won’t default on its debt or inflate the shortfall away are apparently not cutting it. Nor should they, when one owns nearly $2 trillion in assets denominated in the currency of a country about to double its national debt over the next decade.

Nothing happening in Washington today should give Beijing any comfort or confidence about what may happen tomorrow.  Healthcare reform was originally promoted as a way to “bend the curve” on escalating entitlement costs, the major part of which is financing Medicare and Medicaid. That is looking more and more like an overpromised deliverable.

For instance, a new study from the U.S. government’s Centers for Medicare and Medicaid Services finds that the healthcare reform bill recently passed in the House of Representatives would increase healthcare spending to 21.3 percent of GDP by 2019 compared with 20.8 percent under current law. That’s bending the curve the wrong way. The study also questions the “long-term viability” of the $500 billion in Medicare cuts meant to help pay for expanded insurance coverage.

In addition, the CMS study gives a clearer cost estimate than the one provided by the Congressional Budget Office. According to the CBO, the 10-year cost of PelosiCare is $894 billion. But that analysis includes early years with little government spending, According to the CMS, the House approach would cost $1 trillion from 2013-2019, or some $140 billion a year when fully put into effect.

Few realists in Washington think any of the current reform plans make a significant dent in the long-term healthcare cost to government. Indeed, the Senate Budget Committee recently held hearing about creating a bipartisan commission to find solutions to America’s entitlements problems.

If healthcare reform really bent the curve, there would be a no need for such a commission to do Healthcare Reform 2.0.

The Chinese might want to keep up the questioning
.

Think about the $894 billion estimate, versus the new $1.4 trillion estimate ($140 billion times 10 years) which has based on more accurate information (The CBO estimate was based on the Democrats’ warped claims and figures).  The difference is $506 billion – stacked right on top of that $894 billion.  We’re talking about an increase of 56.6%.  That’s a rather huge difference.

I’m glad that the Chinese are smart enough to realize that playing games with numbers isn’t going to get the job done.  I wish the American people would be that smart.

It is frankly amazing that Obama is literally to the left – and WELL to the left at that – of a communist country when it comes to attempting to forge a big government monopoly over yet another 1/6th of the economy of a once-great capitalist nation.

China is worried about the United States imploding under the weight of its own indebtedness, and therefore being unable to pay them back or buy their products in the future.  If we have any wisdom left, we would be worried about the same thing.