Senator Dick Durbin, the chamber’s second-ranking Democrat, also rejected the complaints. He said the government has been borrowing surplus Social Security revenue to pay for other programs, and promising to repay it later with other tax revenue, so the money has already been mixed.
“This is not the first time,” he said. Durbin said he hoped the tax cut would be allowed to lapse next year though he said he couldn’t rule out another extension.
Ah, but when will it be paid back Dick?
Never, right? I mean you’ve been stealing it for 30 years sequentially, right? Indeed.
Chuck Blahous, a former Bush administration economic adviser who now sits on Social Security’s Board of Trustees, called the Obama plan a “very fundamental transformation” in how the program operates.
“When you start funding Social Security that way, you basically destroy any notion that people really paid for their Social Security benefits,” he said. “We’ve got this political dynamic that says, ‘Well, if you don’t extend this, then you’re in favor of raising taxes on poor working people. If that’s the dynamic, then Social Security is in really severe trouble.”
No. There never was a “lockbox” after Greenspan’s recommended changes enacted by Ronny Raygun. Instead the Federal Government tapped into the so-called “trust funds” and literally robbed them to set in motion a pyramid scheme — an orgy of spending money the government did not have, promising to pay with nebulous expectations of revenues yet to come “some day.”
Well, some day came and went, and the money wasn’t there, so we then blew serial bubbles with the government conspiring with Wall Street (ze banksters) to create even more illusions, such as the idea that “prosperity” would come through exporting all of our labor to China so we could buy cheap plastic crap while they can provide us some slave labor to do it with.
Yeah that’ll work out well. NOT.
Of course in the short term it does look good. But it led to this:
And now, in the throes of the Federal Government having subsumed fully 10% of the economy with false demand via deficit spending we’re desperately looking for a way — any way — to not have to admit that the demand is false!
Why? Because if we do admit that then both employment and tax receipts immediately collapse and we’re left with the stark reality that the Federal Government is double the size of what’s sustainable, which leads you to the inescapable conclusion that everything has to be slashed.
Yet Cramer and others prattle on this morning about how we’re having “hopeful signs” and “multiple expansion.”
Uh huh. Expansion eh?
That would be nice if the economic demand was real.
But it’s not.
Welcome to reality Dick.