Of course it’s self funding

Dear leader has said that the public option, the so called plan to provide competition and keep the markets honest, will be self funding.  Well, of course it will.

Majority Leader Harry Reid is considering a plan for higher payroll taxes on the upper-income earners to help finance health care legislation he intends to introduce in the Senate in the next several days…

It’s easy to “self fund” when you have the power to steal.

The government has the one power that no competing private insurer has: that of confiscation through force.  So, when the government plan drives down its prices, it can simply raise revenues through theft.

Of course, as I’ve already written about “pooling”, the entire plan revolves around theft.  It requires forcing others to pay for what they don’t desire.  That’s not how markets work, and it’s not how free societies work.  It is however how totalitarian states do.

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10.2 and counting

Actually, unemployment is much higher.  Even the NY Times and others not known for economic accuracy have finally caught on to the U6 number which currently stands at 17.5%.  And we’re nowhere close to the end of the economic massacre.

There is a simple reason why there will be no recovery now, or anytime in the near future.  I have written previously that for the first time in over forty years we have actually consumed more capital than we’ve created.  This entire year has seen a nation get measurably poorer.  Our capital stock is lower than when the recession began.  We are starting from a lower base point.  A “recovery” if you can call it that, would get us back to the starting point.

And the truth is that that will take investment.  And investment is plummeting.  No wonder.  What business, other than the government owned, would dare invest when the new taxes, regulations, and health care impositions are coming.

GDP “grew” in the third quarter.  But GDP measures spending.  If it were the case that we could simply spend our way to prosperity (and there are still those that believe such, amazingly) then we’d be already stimulated out of recession.  But we’re nowhere near out.

Unemployment will increase, but we’ll never get the real number.  No way dear leader and his minions will ever let that happen.

Tonight’s lesson for the kids

Nearing the end of our Halloween frolic through the neighborhood, one my children asked me about where he was going to store his candy at home.  “Well”, I told him, “we’re going to take all your candies, put them into a bowl with your brother’s and sister’s candies, then give you what we feel you need.  Then, we’re going to pass out the candy to other people that we feel are more deserving.”

Upon hearing that, he was sorely disappointed.  However, I assured him that this was exactly was President Obama was doing, and he should be happy with the situation.

I guess what better way to teach my children about theft and redistribution than tonight.