Homestead mailing list

[Don Bowen <don.bowen AT earthlink.net>]

At 10/26/2005, you wrote:
> I am often accused of being a liberal. I am so far to the right of George
> W. Bush on fiscal responsibility that we are not even in the same auditorium.

We are blaming the bushies for this but it is mostly the responsibility of 
congress to control spending.  For many years I heard the democratic 
congress blamed for the excessive spending but they lost that excuse many 
years ago.  Fiscally responsible Republicans?  No way, they are too busy 
wishing they could get a blow job.

> But he's compassionate, right?

There are some things in those number no one is commenting on, that column 
labeled "Intergovernmental holdings."  It is a huge pile but includes a 
real time bomb.  Since Bush 1 the government has been diverting part of the 
Social Security funds into "special Treasury Notes."  Those notes will 
become due one of these days and congress will be forced to do one of three 
possible things, all not very palatable.  One will be to raise taxes to 
make up the difference.  This is very likely the preferred solution so it 
can be framed as a war between hard working Americans and those bums on 
Social Security.  Another path is to continue to borrow to pay off the 
bonds.  This path works if there is a China around to pick up the tab and 
if there are no more needless wars to further tap the borrowing power.  The 
third path is one they tried and failed to pull off.  That is to cut Social 
Security benefits so the bonds do not have to be paid.  It is getting to be 
too late to pull that one.



Don Bowen                          Awl Knotted Up

My travel journal
http://www.braingarage.com/Dons/Travels/journal/Journal.html

My present location is the star on the map in the link below
http://www.mapquest.com/maps/map.adp?latlongtype=decimal&latitude=35.588269&longitude=-82.629132