but the citizens need to also. As long as a large group of voters feel it is okay to get something for nothing, and that the real test of their representatives and senators in Congress is did they get more than others, then the problem will never go away. Until individuals start taking responsibility for their own well being, and their actions, then the rest of us will be constantly fighting to keep them from trying to take it all.
It is the nature of government to try to accrue power to itself. Since that power comes from We the People, we have to be the ones to put a check on that power. If we believe that we can merely harness that power for our own selfish ends, we can never break even and will end up being the slaves of the very monster we ourselves created.

I completely agree with Eric and Dave. Without question, our financial crisis will never improve until we take the step of limiting governent. But before this will be effective we must first revoke the Fed’s charter. Until we assume our right to issue our own money, nothing will fundamentally change. We must stop borrowing from the private banking cartel which imputes interest – and start printing our own money for free, as decribed in Article 1, Section 8 of the Constitution. Until then, we remain at the mercy of this criminal monoploy, whose failed policies are self-evident. They have looted us to the brink of societal collapse.

We must stop them – before it is too late…

I urge everyone to join us at www.SUEtheFED.com and let’s stop this thing.

I completely agree with Eric and Dave. Without question, our financial crisis will never improve until we take the step of limiting governent. But before this will be effective we must first revoke the Fed’s charter. Until we assume our right to issue our own money, nothing will fundamentally change. We must stop borrowing from the private banking cartel which imputes interest – and start printing our own money for free, as decribed in Article 1, Section 8 of the Constitution. Until then, we remain at the mercy of this criminal monoploy, whose failed policies are self-evident. They have looted us to the brink of societal collapse.

We must stop them – before it is too late…

I urge everyone to join us at www.SUEtheFED.com and let’s stop this thing.

…of the proposal to allow the 2001 and 2002 tax cuts to continue, at least temporarily. It does after all provide excellent political cover for the Obamatrons to get the lame ducks to do this.

But Dave, you’re right. Only until and unless we the people stop expecting more and more goodies from government will government be able to stop spending. It’s been said that there are two categories of Congressmen/Senators: legislators and appropriators. If we tell the appropriators that they must stop appropriating “for the people,” then and only then will the spendathon truly end – if it’s not already too late.

“I went to the store the other day to buy a bolt for our front door,
for, as I told the storekeeper, the Governor was coming here. Aye,
said he, and the Legislature too. Then I will take two bolts, said I.”

–Henry David Thoreau

First, what is the free market principle behind subsidizing mortgage interest (which I may add rewards bigger mortgages and not home ownership)? Why should we allow the real estate lobby to get its way?

As for the facts of the matter, this would not be a middle class tax increase. Overall, most members of the middle class would likely see a tax cut, as the rates are reduced quite dramatically and the mortgage interest deduction for most members of the middle class (ie that portion of itemized deductions that exceeds the standard deduction) is quite small. What this amounts to is making the tax code more fair and broadening the base, while ending one of the worst subsidies (and that is all the mortgage interest deduction is) our code has. Finally, the mortgage interest tax deduction was a factor in the recent housing bubble/bust, as it obfuscated thew actual cost of homes and actually encouraged people to bid up prices far in excess of reality because of the advantages of the deduction.

but simple things are difficult. Solution: reduce spending.

Social Security: Phase out benefits. Pick a date such as January 1, 2012 and freeze “contributions” to the “trust fund.” Benefits will pay out at the rate of input. For example, if you have paid in 40 (calendar) quarters, you get full benefits. If you have paid 20 quarters, you get half benefits. If you have paid one quarter, 1/40 benefits. It will take a while for it to go away but its extinction will be welcome. This way, nobody can claim they were cheated out of their promise. Funding will be difficult for a while but we will provide a future for our kids.

At the same time, same date, no new cases for welfare should be accepted by the national government (states may continue if they wish). Within eighteen years, no more national welfare (same for food stamps, housing, medicaid, etc.) We save half of the budget with these proposals.

Next, adopt the Enumerated Powers Act and repeal the 17th Amendment. These two proposals will restrict Congressional spending while eliminating unconstitutional activities such as Dept of Ed, Dept of Labor, etc.

Give national parks to the states. The Constitution does not allow for them anyway.

OK, I feel better now. Thanks.

ALSO..that ten cents per gallon tax raise on gas….IS AN ABSOLUTE NO- NO-NO.

Eric I totally agree with your statement above, ” Until Washington admits that it has exceeded the powers given to it under the Constitution the same problems will continue to occur over and over.”

I saw a snipit of Obama’s interaction with the president of S. Korea. It’s clear that he remains determined to push his agenda through. Forget the will of the people!!!!! He and HIS Washington don’t have the ability to realize or admit they have exceeded the powers given to it under the Constitution.

I’m not quoting here because I can’t remember his words exactly but he implied that “we the people” are incapable of understanding his policies and that we must grow in order to get out of debt. He also implied that if Congress was unwilling to work with him, the deficet would continue to grow. It seems he continues to spew the same demeaning of the U.S. on this trip as he has all the others!!

He still dosen’t GET IT!! We the Peoples idea and his idea of how to grow and get out of debt are entirely differen’t and that the will of majority of the people should superceed his socialist agenda.

How can we stop this radical in the White House (I refuse to call him President) from Getting his agenda through??? We vote, contact our Senators and Reps, sign petetions, donate (even if we really can’t afford it) to conservative causes. What else can we do??? If anybody knows, please let me know…

I’m to the point of feeling we should waterboard Obama and all his minions until they admit their socialist agenda and turn us into a third world country then agree to resign from office (PUBICALLY). Of course we would have a physican on stand by in case they experienced real difficulty during waterboarding. HA!!

I’m being as respectful as possible, please don’t ban me..

As much as there is an unwillingness to take care of one’s self by so many, so also is there a race to see who can use the federal purse for “compassion”. The social programs which continue to grow and metastasize are put there to, as advertised, “help” a certain group of people. If money is sitting there on the table, a person would be a bonehead in some sense not to take it and run. I have to admit, my own human nature, in a period of distress, would likely take it.

What we end up with, however, is a dependence on the allowance which, to roll back, is considered un-compassionate. But to maintain the “compassion” it’s friend in the government, “coercion”, is required. How else do you transfer the work-product of one group (i.e. the people actually working) to another group (i.e. the people not wanting to work)? We seem to be morphing into taxes as a moral code….the state requires you to care, and to show you care you must be taxed, because you must not care if you don’t give your tithes to the government. Whatever it is, it’s ain’t liberty for all.

the members of the commision became obsolete before they could issue their report…

dems and rinos who all would have been swept away a week ago. their report is completely meaningless.

Debt Panel: Cut Social Security, Medicare…
End Tax Deduction for Mortgages…
Raise Retirement Age…

DEBT COMMISSION 2010…ANGRY LESSONS
Once upon a time there was a country where its leaders were cowards, where they bought votes for decades and went into 13 trillion of debt. The inept arrogant leaders quickly looked for a way to avoid blame. The country (called America) then appointed a few political stooges instead of business leaders to “make suggestions”.

Then the arrogant elite leaders could breathe a sigh as they avoided wrath. The voters had already struck a blow for fiscal sanity by voting out a record number of democrats (known as the leading tax and spend lovers for decades). The dismal democrat record even includes putting Social Security into the general fund then later taxing it! Also 70-120 billion in Medicare/Caid waste and fraud remains unaddressed. Now this group of socialist-loving cowards wants to remove YOUR key tax deductions as if YOU passed all those horrible bills.

What I want to see up front is a 3 year freeze on federal salaries (the number of them making 150k has 2x the past 2 years!). The newly-elected Republican group has suggested the 2011 federal budget be at 2008 levels. Three cheers!
Did you know its a sure 4-12% bump up every year (regardless) as far as the government departments?
You mean we had a spending problem? A growth of government problem? No kidding!
NPR and PBS, regardless of the savings level, are long past the time of being funded by taxpayers.
Both the federal government and its budget MUST be reduced. That means done 1st.

Anyone remember the Grace Commission around 1984? They essentially worked free and over 200 efficiency recommendations were enacted to save millions. Who was that REPUBLICAN President? You see any efficiencies in this Commission?

Its the SPENDING STUPID, that means leftover STIM and the whole ball of wax down to the lavish Pelosi plane.
Did I mention the new Republican speaker will fly commercial?

Just watch how the demo-socialists line up on the “tax you more and hit you hard side” instead of the “spending and reduce government side”. Just watch. They never ever learn. Congress IS THE PROBLEM.

http://theconservativecrawfish.wordpress.com

….the solution presented by the progressives is to cut from teSeniors. Cut medicare, cut Social Security. If the oldies have any money in the bank, take it,
Of course the Republican Establishment will sign on because it’s “entitlements”, right? In the meantime, we still have the Department of Education, the Department of the Interior, the EPA and allthe rest of it; i.e., we’ll still have BIG GOVERNMENT, won’t we? and we still have PROGRESSIVISM front and center and we’re going to continue THOSE entitlements because we can’t be mean to women, children adn the environment, right? Might make us look bad. But old people, well, they’re just old.

Drill our own oil. It will add 350 billion to our economy and take away the same from terrorist countries.

Drill our own oil. It will add 350 billion to our economy and take away the same from terrorist countries.

I think your post raises, but does not answer, the question of what things the federal government is currently doing that, in your view, exceed Congress’ limited power under Article 1 section 8. Depending on one’s view Social Security itself might well be a prime example of Congress’ reach exceeding its lawful grasp, but I take it from the rest of your post (and particularly your “lockbox” comment) that you would not make that argument. Which programs do you have in mind, and if not social security or programs of its ilk (i.e. Medicare), how would cutting those programs make a meaningful difference in cutting the deficit?

Meaningful change has to come at the philosophical level to affect the structural level.

Next, that new philosophy should be codified in a new Constitutional amendments targeting the commerce clause.

but they have also abdicated to the bureaucrats the creation of laws, they only write generalities. Pelosi had it, we must “pass it” to know what is in it. Meaning, the executive must be given the authority to start writing the laws. Abdication of your Constitutional duties to me is “treason”, and should be acted upon by the source of the powers. Good start 2010, need to gain momentum for 2012 to make it clear to those that Insist in “not hearing the message” (RINOs and most Dems).

The Leviathan knows no bounds and, left to itself to check its own growth it will continue growing. Until we are willing to admit that Article I, Section 8 of the U.S. Constitution gives limited powers to Congress, we are wasting our time.

Truth.

Take two workers who are ready to retire in 2011. One has made the SS maximum for 35 years, the other the federal minimum wage. They each have paid the same FICA as a percent of their wages for all the years, so the economically neutral action would be to pay each of them the same retirement as a percent of their average wage. In fact the worker who made the maximum SS wage gets about 25% of his average annual income of the final five years. The worker making the federal minimum wage makes about 60% of his average annual income of the final five years. (all numbers calculated using the SS benefit calculator, which can be downloaded from the SSA).

You make the politically ideologue statement that we (including our elected officials) need to admit we are doing too much (exceeding the limitations of the constitution). A few lines before you defend many of the very proactive steps the government has taken. Where’s the line?

More importantly, what would you (meant not just to Erick) do to balance the budget in the same period of time?

I do seriously believe the greatest threat to this nation is our fiscally problems. I would take a compromise of this form with 75% spending cuts and 25% tax increases, especially if the tax increases are cutting back credits or loopholes rather than raising the ultimate rates. Yes, I’m okay with modifying social security so that when I get there, I don’t have as lush of benefits or do have a higher retirement age (I’ve got 40 years to go to the current one).

I hope redstate can have an honest discussion on what specific parts are this good and bad of and actually endorse legislation of how we would balance the deficit. God bless our new tea partying congress members. They have their hearts in the right place, but I still don’t know how they are going to balance the deficit (even if we have a republican congress and president) much less in the current political environment.

Cutting debt is one thing – making money to pay down that debt is another.

I think the idea of a debt commission misses the mark entirely.

How about a Revenue Commission?

How can America and Americans make money?
(And I don’t mean running the printing presses)

The current relationship of the government to big labor is probably the biggest impediment to getting out of the hole.

We really need to look at OSHA, EPA and all the restrictive government labor policies that strangle business.

Big Labor needs to neutered and it’s influence needs to be contained.

This should really be the push by Republicans for the next two years and the 2012 goal includes sending Barack Obama to the unemployment office.

First,, the ridiculous statement that the current CPI overstates increases in the cost of living is absurd. (As NIA has written “the BLS purposely manipulates the CPI as low as possible using geometric weighting and hedonics, ) This fact alone precludes honest discussion of any “adjustments” in any “entitlement” or pension-related programs.

Second, entitlements should be segregated into two categories, earned and unearned, before any discussion of what to do with them can take place. Then, what’s been earned must be treated differently from the great DC giveaways.

[Related to this, one must note from their own chart that the traditional rule of Social Security stability (that it's there for everyone) is scrapped when "solvency is insured" by guaranteeing that those who pay the most will now get NOTHING while those who pay the least (or nothing, perhaps) will receive a "special" minimum benefit.]

Third, a “Doc Fix” for medicare which merely forces doctors to accept less (via any semantic) compromises the future health of seniors. (Of course, Zeke Emmanuel’s QARY policy and panels will kill us off anyway so I guess that’s irrelevant.)

Fourth, is there anyone so stupid that they don’t believe that “setting global targets for federal health expenditures” will not lead to federal rationing of healthcare?

Fifth, if the MID is eliminated housing prices will go down (which is good except for those of us who have already paid for our houses). However, will the interest costs paid be chargeable as “expenses” against any possible future “capital gains” when a home is sold or is it just lost money. (In the later case, not only will the price of homes go down but people will bve less willing to buy them unless the Fed continue its subsidies in perpetuity (which will kill savings and drive inflation into other areas).

Finally, the entire package is a house of cards built on the assumption that the government should be allowed to completely “transform” the economy and peoples lives and fortunes for its (governments) benefit.

Buy ammunition and keep your powder dry. They will be coming to a front door near you.

The debt commission is recommending that the military bear more than their share of the sacrifice.

My son in law is a young Army Captain who at age 26 has put in 5 years of service which means he is 1/4 of the way to his promised 20-year retirement at age 41. He has also served two of those 5 years in Iraq and is probably going to do a tour in Afghanistan soon. He has certainly kept his side of the bargain.

The debt commission is recommending that his retirement pension be delayed until he reaches age 60. Taking away 19-years of his pension seems unduly harsh. That is a huge financial hit.

I would feel a lot better about it if the debt commission was recommending that all Congress people and other government employees were being rolled into straight Social Security retirement along with a 401K like the rest of us. The military is about the only sector of our government that I still respect. If they are going to take a huge hit then so should the rest of the worthless bunch. If the government did not plan to keep these promises then they should not have been made.

The Congress voted down setting up a Debt Commission, so Obama set it up by Executive Order. I believe he appointed Erskine Bowles (his name makes me think of cow flatulence for some reason) and Alan Simpson. It is very amusing to me that his Debt Commission recommendations are unacceptable and hated mainly by the Progressives in his own party.

I’ve just read that included in the report from Bowles and Simpson is the recommendation to revive the “public option” for healthcare if healthcare costs continue to increase. That takes every and any bit of credibility away from these two pieces of petrified wood. Before the Republicans say another word, about liking any part of the plan, they need to focus on this recommendation.

http://thehill.com/blogs/healthwatch/other/128679-debt-panel-calls-for-second-look-at-public-option

Obama’s construction of this panel has even less integrity than his already zero integrity. These guys were designed to continue his spending agenda…not cut it.

You make great point regarding the complete insanity that they would even CONSIDER shoving the single payer option in this proposal.

Also full agree that the recommended military cuts are disgraceful as you said above and atsame time zero about Congressional pay cuts.

Additionally, the updated CATO article sheds light on the complete smokescreen information regarding the project that the Commission is using. http://bit.ly/ag6AuK

I already have heard people trying to discredit the CATO argument. From what I heard, Heritage is in full agreement with CATO. I’m waiting to see Heritage article also. I agree with CATO.

There is poor integrity in this Commission and obviously zero integrity in it’s creator.

and their concept of how to raise revenue. Their only answer is to raise Taxes. Never have i seen this work. When GHW Bush signed that tax bill in the early 90′s we watched and entire industry almost go into extinction. That was the Luxury Boat building industry. Not only did it not raise the expected revenue more was lost because of the job lost as a result. . Instead of having all of these alleged experts on these commissions we need to have some real people on them people that don’t have the millions these guys do. These guys have no idea of the impact on the average joe when they decide a tax code. The only way to get the deficit down is to first stop spending anymore on new entitlements. Then we have to stop some of the entitlements. cutting taxes will give the economy a boost and once that happens revenue will increase. Stop borrowing more money from China and most of all stop sending jobs overseas or at least gie American run companies a level playing field and incentive to keep the jobs on-shore. Hi-tech jobs should never be allowed to be exported.

Perhaps we should start with the pay levels that government employees get cut them all back to the levels in 1940‘s. Suspend all grants to foreign nations, eliminate all payments to the UN. Make it a flat tax of 10% for every one, including Businesses. This will allow us to eliminate the IRS. No more programs or projects until the budget is balanced. Pay as you go should be added to the constitution. Just like a family budget you have to save to make those special purchases. Surplus funds all go into a savings account. We pay the military period. Make all the federal employees pay into Social Security. Remove all US bases over seas, bring it all back home. Then we mount an aggressive move to annex all of South America and take control of those regions establishing military post with martial law in those regions. Treat them all as future states to join the Union or remain territories of the United States. Establish American laws in all these regions to eliminate drug cartels, control their resources and work forces to better their lives and way of living, with adequate wages and safe food and medical care for all.Once we reach the southern most tip of South America we ask Canada If they would like to join us.