Keynesian Fallacy: Cutting Government Spending Will Damage the Economy

See PLANs below after reading how government CONTROLS business and destroys the economy.

Federal government propaganda has bombarded the US airways on radio, television and every Keynesian economic outlet in an effort to assault objective thinking and evidence to the contrary. One can only believe that cutting government spending will injure the economy if one believes that the economy begins with government. (Read Keynesians: The New Useful Idiots)

While it is true that the federal government has invaded the economy by limiting and restricting what privately owned companies can do and how they do it, many of these regulations are so antiquated that there is no longer any foundation in reality for the regulation. The world has recovered economically from World War II, but the federal government can't seem to update its economic policy. The US government rests on the WWII honor and glory of having beaten enemies while continuing to overly tax its citizens to fund a bloated, nearly bankrupt, mostly unnecessary government.

The feds and government in general produce nothing! The feds live off the producers, take the fruits of the producers labor, and use the legally pirated booty to further restrict production.

Quoting John Stossel:
It made me want to try to jump through the legal hoops required to open a simple lemonade stand in New York City. Here's some of what one has to do:

Register as sole proprietor with the County Clerk's Office (must be done in person)

Apply to the IRS for an Employer Identification Number

Complete 15-hr Food Protection Course!

After the course, register for an exam that takes 1 hr. You must score 70% to pass. (Sample question: "What toxins are associated with the puffer fish?") If you pass, allow 3-5 weeks for delivery of Food Protection Certificate.

Register for sales tax Certificate of Authority

Apply for a Temporary Food Service Establishment Permit. Must bring copies of the previous documents and completed forms to the Consumer Affairs Licensing Center.

Then, at least 21 days before opening your establishment, you must:

Arrange for an inspection with the Health Department's Bureau of Food Safety and Community Sanitation.

It takes about 3 weeks to get your appointment.

If you pass, you can set up a business once you:

Buy a portable fire extinguisher from a company certified by the FDNY and set up a contract for waste disposal.

We couldn't finish the process. Had we been able to schedule our health inspection and open my stand legally, it would have taken us 65 days.

The above example is how New York City "controls" business and discourages potential entrepreneurs from proceeding to an independent, capitalist life. The goal is to keep people employed by other existing, tax-paying businesses so that, as some business's employee, taxes are automatically stolen from your paycheck to feed the Government Royalty.

On the federal level, the IRS just comes in with guns and kicks your door down which violates the Constitution. It's pretty sad how people just don't care or even know about the founding document of America that is being violated daily with impunity.

The process of the feds (and States) growing stronger by plundering private business has progressed since 1900 and is now destroying the American economy. The federal government has branched out all over the world (since World War II), irritating and angering the rest of the world, and wasting fiat, paper money domestically and worldwide to the point now where the feds can't support themselves with the current level of pillage and spoils robbed from Citizens of the USA. The feds strongly resist doing the NECESSARY thing, that is, CUTTING SPENDING! The wasteful, fraudulent merriment of the federal government created ROYALTY must come to an end!

A Plan to Cut Spending and Balance the Federal Budget by Chris Edwards of the Cato Institute will cut spending to the current level of revenues WITHOUT raising taxes by year 2021.

Click here for another, more recent plan that converts existing government socialist programs into real insurance programs based on sound money --- not political promises. Or you can view the plan as a PDF here.

The topic of the PLAN is the reform of so-called 'ENTITLEMENTS' which are 43% of Federal Government Spending. 2010 is the first year of deficits for Socialist Insecurity (SS) and projections show that the pay-as-you-go SS will never take in more revenue than expenditures again. If CONgress does nothing (except weaken the Constitution) to reform SS, tax (theft) rates MUST rise in the future to 75% to continue paying 'benefits'. The 'ENTITLEMENTS' will consume the entire federal budget.

Instead of a 'Trust' Fund where revenues would be invested in sound investments to grow the fund at a faster rate than expenditures, the revenues were substituted for government IOUs so the revenues could be spent. The feds are now redeeming their IOUs with taxpayer money instead of what should have been 'Trust' Fund gains, dividends, and annuities.

The aforementioned PLAN balances the federal budget in ten (10) years (keeps it balanced) and prevents the near future insolvency of both Socialist Insecurity and MediCare (rationing). The Great 'Bloviator' and hyper-liberal Democrat who is liberal with other people's money has offered his plan to raise taxes on the rich. Here is why he is wrong. Also, for an analysis of the unfairness of income inequality, click here.

OK, pretend your're attending a class, the topic of which is Government Failure. The professor asks attendees for a show of hands of those who think that the government's problem is a lack of revenue. What do you think? Here is the answer!

Also, multiple articles itemizing GOVERNMENT FAILURES and the PRINCIPLES of REFORM are found at this site. To understand in detail how the founders of the United States of America limited the federal government and how the federal government since 1900 has flagrantly violated these precepts, one should read this. The EXPANSION OF THE FEDERAL GOVERNMENT MUST STOP!!!