Every time I think I can take a break from the lies being told on social media, by the far right, I read yet another lie. The lie being told in order for the right-wing Conservative movement and the tea party, to be able to hang on to their brainwashing and fear tactics,claiming globalization and a one world view by the liberals and Democrats is,” that the interests collected off our debt goes 100% into the banks.
Do we think that it is possible, they are same people who govern in the Tea party as they seem to have no clue of how government works. They certainly don’t have experience with governing. Is it stupidity that excuses them from paying the Nations bills for 2 years in Congress? Gee could it possibly be? I wonder, don’t these hate groups on the internet ever realize that people who know better, reads these lies or don’t they care since the great majority are brain washed anyway into believing what they write?
As I already explained,the Congress is in charge of paying the bills and the Republicans have had control of Congress 15 out of the last 19 years and did not pay for the two wars. Since before the Tea Party entered Congress beginning in 2010 Congress have not paid a bill.
The largest bill and that which causes the greatest debt is the interests that we own on the National debt, that cost us 220 billion dollars a year. When we consider the interests rates are at a low, we understand if they do not pay the bills now when the interests rates are low, the debt will keep building when the rates continue to go up, as they must eventually do. The Federal government cannot continue saving the economy because of the Republicans in Congress refusal to pass the jobs bill that has already passed the Senate while creating a self-inflicted crises every couple of months because of their refusal to govern.
To correct one of the many erroneous lies, being told by the right-wing one more time, the banks do not get 100% of the interests due on our debt. Payment is two-fold through the bond market. The division is following:
1. Debt is held by the public, such as treasury securities held by investors outside of the federal government, including that held by individuals, corporations, the Federal Reserve System and foreign, State, and local government
2. Debt held by government accounts or intergovernmental debt, such as non-marketable treasury securities held in accounts administered by the federal government that are owed to program beneficiaries, such as Social Security Trust fund. Debt held by government accounts represents the cumulative surpluses, including interests earnings, of these accounts that have been invested in Treasury securities.
In general, public debt increases as a result of government spending and decreases as a result of government tax or other receipts, though in practice Treasury securities are not issued or redeemed on a day-to-day basis. The amount that Treasury can borrow is limited to the debt ceiling.
Both the lack of Congress to govern and their creating unnecessary crisis, the sequester because the Republican majority in Congress didn’t care if we went over the cliff anymore than it bothered them to close down government, all cost us a slow down in our economy, uncertainty, and added on more debt.
The conservatives thought they could continue to point their fingers at the Democrats in the Senate and President Obama, because it has worked for them for 15 out of 19 years. After all they have the Christian right as well as the media on their side and they work the people over pretty well when it comes to passing off the blame to President Obama, Obama care, and the Senate. The conservatives just have to blame the tea party Libertarians and the tea party blame the conservatives because if you can’t tell the truth then confuse the people.
After thinking, but not knowing for sure in my past post, I decided to check it out and the United Stares was last free of debt in 1836 which was quite a while before the civil war in 1860. I knew it was in the 1800′s sometimes because the government was not giving out free land through the Kinkaid Act*until the 1940′s in the West and immigrants did not start arriving in larger groups until after the crash of the 1880′s. They had a large influx during the Civil war but they were mainly hired as mercenaries to replace the sons of the North from going to war, and escaping the Prussians as well as dictatorships.
Even while the Civil war was taking place that cost our Nation, just as any war does, plans were underway to build the inter-continental rail-road that was paid for by the government issuing bonds to the wealthy, and both incurred a debt that was not achievable to paying off, since there was no middle class and the poor could not pay taxes only the wealthy paid taxes and no one has ever been able to raise a flag out of respect of the majority of them being willing to pay much, then any more than now. Plus A Country can’t borrow without a good credit rating nor can it have an established credit rating if it has no debt.’
In the 1940′s, It was the combination of the Kincaid act, the Roosevelt programs and the GI Bill,that would bring immigrants to the United States; to own land after making improvements on it in the West and mid west, returning soldiers from World War 2 could own homes and get an education, and the elderly were cared for through Social Security, that brought back a booming economy, followed by commercial airlines, radio going to television, automobiles becoming affordable and the inter-state giving jobs that established a booming economy and a strong middle class.
During this boom, and a strong middle class, Democrats Roosevelt, Truman, and Republican Eisenhower were in office and it was the last time government balanced a budget until Clinton balanced a budget that he took the Republicans screaming into with Newt Gingrich’s help because Newt had the dirt on them. The Republican party has refused to stand behind, Newt, since, as a result of it.
Roosevelt, Truman, and Eisenhower are detested by the conservative right and tea party since Joseph McCarthy, just as the far-right today, saw a compassionate Democracy as being no different from socialism. The right-wing also despises these same Presidents today, because their hero was/is Joseph McCarthy. It would become known as the era of McCarthyism, because Joseph McCarthy claimed the Army, Democrats, and Hollywood were all communist sympathizers and it cost many fortunes and lost of income because innocent people were forced into having to defend their loyalty to the United States and many were never hired again in Hollywood and lost their election bids because of the lies spread by Joseph McCarthy.
All three Presidents also often referred to Joseph McCarthy as a buffoon as he started one witch hunt after the other, but Eisenhower was afraid to confront him in public due to McCarthy’s often told lies and hateful retaliation. Just as moderate Republicans are afraid to confront the tea party today. History has been a little kinder to Joseph McCarthy today due to his friendship with the Kennedys, as there was a bit of truth in some of what he said since the military fought with Russia, against Germany, in World War 2, and also because the people who write history today did not live through the period of hate that is reminiscent with today’s politics.
The two parties fought amongst themselves even to the point of a fist fight, and Adlai Stevenson’s often repeated line to the Republicans when he ran against Eisenhower was, ‘ We’ll quit telling the truth about you if you quit lying about us. ” Never would either party ever desert the needs of the people in the history of our Nation as this Republican Congress has and continues to do. Every government up until the last 30 years of Conservative majority, knew and appreciated the fact that an economy was only as healthy as its middle class as was evidenced throughout history, and including our own.
*Although the Kinkaid act was enacted in the East and humid reasons as early as 1904-1910 in the arid regions out West, land through the Kinkaid Act was still being granted to those who would settle the land and make improvements on it up until 1941. Since the drought of the dirty thirties and the Great Depression hit at the same time in the Midwest and western regions, many others left land idle during the 1930′s and did not return. It would be the 1940′s before much of the land became productive enough to produce a middle class existence in families, who were not large land holders. It would take learning better erosion control, rotating crops, and planting of shelter belts.(trees) The last land granted under the Kinkaid act happened in 1941.