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quote for the week

The status quo is as intellectually bankrupt as it is financially bankrupt. Our 'leadership' (??) cannot conceive of any course of action other than central bank credit creation and expanding state control of the economy and social benefits, paid for with money borrowed from future generations.

Intellectual, Moral and Financial bankruptcy all go hand in hand. There isn't just one storm gathering on the horizon--there are three, each adding force and fury to the other two.

Charles Hugh-Smith

dangerous freedom or peaceful slavery....which do you chose?

central government planning at its finest

central government planning at its finest......creating the chains of bondage through a growing entitlement mentality while devastating our future through gargantuan levels of debt.... 

Food Stamp Program Reform Needed

October 21, 2013

The Supplemental Nutrition Assistance Program (SNAP), the food assistance program formerly known as food stamps, has become America's fastest growing social welfare program, says Michael D. Tanner, a senior fellow at the Cato Institute.

• As recently as 2000, just 17 million Americans participated in the program at a cost of less than $18 billion.
• Today, roughly 48 million Americans receive SNAP benefits, costing taxpayers more than $78 billion per year.
• Yet according to the U.S. Department of Agriculture (USDA), nearly 18 million American households remain "food insecure."

This many households living in hunger has raised significant questions about whether the growth of SNAP has been justified and whether it successfully addresses hunger in America.

• The evidence suggests that much of the increase was due not to the economy but to deliberate policy choices by both federal and state governments, which loosened eligibility standards and actively sought new participants.
• At the same time, evidence that the expansion of SNAP has significantly reduced hunger or improved nutrition among low-income Americans is scant at best.

The time has come to reform the food stamp program by reducing its spending and enrollment and, ultimately, by returning responsibility for its operation to the states.

Source: Michael D. Tanner, "SNAP Failure: The Food Stamp Program Needs Reform," Cato Institute, October 16, 2013.

Too Much Government...

Central government planning is the growing leak in the dam that will continue to erode and eventually totally wash away our freedoms.

'The tragedy of our time is that most of the global political leaders have a narrow and short-term outlook, 

where they seek to maximize their own power at the expense of the governed...'

Too Much Government Causes Sluggish Economic Growth

October 21, 2013

The reasons for the global economic slowdown are not hard to understand and the solutions are obvious. The tragedy of our time is that most of the global political leaders have a narrow and short-term outlook, where they seek to maximize their own power at the expense of the governed. The solution to that problem is not so obvious, says Richard W. Rahn, a senior fellow at the Cato Institute.

• The International Monetary Fund announced recently that it expects world gross domestic product (GDP) growth to be only 2.9 percent this year.
• This is below the 3.2 percent in 2012, which was below the 30-year average of about 3.6 percent, and far below the one-of-the-best recent four-year periods, from 2004 to 2007, when it averaged 5.1 percent.

The differences may seem small, but the rate of GDP growth determines how quickly global poverty declines and real incomes rise.

• From the end of the recession in 2009, real economic growth in the United States has averaged less than 2 percent, which means that it will take around 35 years for real income to double.
• Contrast this performance with the last four years of President Clinton's administration and the four years under President Reagan after the end of the 1981-1982 recession, when growth averaged more than 4 percent per year.
• If those rates had been sustained, real incomes would have doubled in a mere 17 years.

Bigger government has not led to higher growth and more employment, as those of the left continue to preach. In fact, just the opposite has occurred, because all too much of government spending wastes resources and discourages productive economic activity.

Extreme environmental regulation in Europe has led to a sharp increase in energy prices, causing Europeans to pay two to three times as much for electricity as Americans. High energy prices have led to lower growth, more unemployment and virtually no environmental benefit.

The Obama administration, having learned nothing from the European experience, is pushing these same destructive environmental policies in the United States. The new financial regulations spewing from the United States and Europe have reduced cross-border investment, thus misallocating capital from its highest and best use. Most of these regulations have not even met elementary cost-benefit tests.

Source: Richard W. Rahn, "Government Waste Stifling Growth Worldwide," Washington Times, October 14, 2013.