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Showing posts with label ECONOMICS 101. Show all posts
Showing posts with label ECONOMICS 101. Show all posts
Friday, August 2, 2013
Monday, December 31, 2012
The Truth About The Fiscal Cliff In Simple Terms
By: AJ - Cross-Posted at the NoisyRoom
Many either don’t know what the “fiscal cliff” is, or believe this problem is something that it’s not.
Although America ’s economic crisis is not rocket science, the media and politicians have done a good job of keeping the truth hidden so that our focus isn’t on the real problem. After all, if we, the people, understood the real problem, we would demand that they fix it and we are smart enough to know the real fix that’s needed.
To prevent this from happening, politicians and media conjured up this catchy phrase called “the fiscal cliff.” Then they established a narrative that gave us a false target to blame – the so-called “rich.”
In other words, keeping the people’s attention on class warfare directs our anger and rhetoric onto the false target they’ve fed us and off of ‘what’ and ‘who’ created the problem in the first place. This distracts us from formulating and voicing the real solution to the true problem.
So, what is the real problem that created this crisis?
In a nut shell, our elected politicians have continued to spend trillions more in the past four years than taxpayers have given them. Thus, they have brought America ’s economy to the point of near collapse. It’s that simple.
Three of the broader consequences of what they’ve done are:
- For the first time in the history of our nation, America ’s credit rating has been downgraded – twice.
- Our national debt now exceeds its yearly gross domestic product (GDP).
- The value of the dollar continues to decline, which makes prices rise on the things we need and want (i.e. inflation).
Right now on Capitol Hill, politicians claim to have a deal in the works whereby they will:
“…raise the tax rates on family income over $450,000 and individual income over $400,000 from 35 percent to 39.6 percent, the same level as under former President Bill Clinton. Also, estates would be taxed at 40 percent after the first $5 million for an individual and $10 million for a couple, up from 35 percent to 40 percent. Unemployment benefits would be extended for one year.”
While politicians and media are in lock-step focusing everyone’s attention on whom the government can take more money from, who realizes that this simply allows the politicians to continue to spend trillions more at our expense?
Taking more money from the people will result in less growth of the economy, which leads to greater loss of jobs, which leads to increasing the number of people plunged into poverty.
For those buying into the class warfare narrative, know that you are supporting your own demise. How so? The trickle down effect most people don’t realize is that, whether you’re a car mechanic, a retailer, a construction worker, a car dealership, a waiter, a grocery store cashier, etc., these businesses are negatively impacted when customers have less money to spend; therefore, employers will have less income with which to pay employees. Jobs will be eliminated and some businesses will have to shut down altogether.
It’s not rocket science, it is economic reality.
So let’s cut through the political spin, false narratives and diversions and give you the simple truth about the economic crisis and the real solution, which can be found in a “real world” example of what people have to do when they’ve created this same kind of financial mess for themselves.
This might be a helpful way to explain it to family and friends who aren’t aware.
We already know that when a person, family or business continues to spend a lot more than they take in, eventually they find themselves in pretty serious financial trouble. Why? Because they’ve amassed an unsustainable amount of debt that they cannot realistically repay. (Same goes for a country, and that’s exactly what our politicians have done.)
Think of a family that takes home $50,000 a year. If they spend 25% more than they take in each year (say they’re spending $62,500 each year even though they only bring home $50,000 a year), after four years, they’ve accumulated $50,000 in new debt, plus interest, which they owe to creditors.
What happens to this family? Interest on the debt continues to accrue, their FICO score (credit rating) declines and their creditors warn that action will be taken against them to recover what is owed.
The family now has to solve the financial mess they created for themselves.
If they’re serious about solving the problem, what’s one of the first things they have to do? Cut spending.
In addition to cutting their spending down to what they take in ($50K/year), they’ll cut even more spending so they can begin to pay off the debt and interest they racked up.
In most cases, when creditors start receiving regular monthly payments on the debt, things will stabilize as long as the family continues to pay. It becomes apparent to creditors that the family has created a budget that reduces spending and frees up money to start paying down their debt.
When we look at the typical things this family will cut, first to go are luxury purchases, trips, gifts, costly entertainment/hobbies, sending money overseas… basically, non-essentials that they couldn’t afford to be spending on in the first place. Next might be things like having meals at home instead of eating out at restaurants, sack lunches for the kids instead of the daily school cafeteria expense, trading in the fancier car for one that’s half the cost, driving less, using less in utilities, etc.
If that’s not enough, they may start selling non-essential possessions/assets to raise more cash to pay toward their debt. Taking on another job would be good, but in this Obama-economy it’s probably not a realistic possibility. Some families may even need to downsize their residence; move to a two-bedroom apartment instead of maintaining the cost of the four-bedroom home they’ve been renting.
Bottom line is the family has to cut their spending “with a chainsaw,” as Jim Roger’s said when referring to what the government needs to do to solve the financial mess they created for our country.
But politicians refuse to cut spending. They want to continue spending trillions more than they take from us each year.
What is their solution?
- Create a faux fight over how much MORE they will take from us so they can keep over-spending.
- Keep spinning it as class warfare to give us a false ‘target’ to blame.
- Keep us fighting among ourselves as we get behind one of the political party’s ‘plans’ (so that we’re actually rooting for their solutions to take MORE from hard-working taxpayers).
- Divert our attention away from the real problem and the politicians who actually created the problem.
- Remain blind to the fact that politicians want to perpetuate the problem, not solve it.
Insidiously brilliant, isn’t it? It is masterful propaganda and it’s what they always do.
Investopedia explains what will happen if politicians don’t act, but don’t forget that all the ‘expirations,’ sequestration and triggers were put in place/enacted by them.
“If Congress and President Obama do not act to avert this perfect storm of legislative changes, America will, in the media’s terms, “fall over the cliff.” Among other things, it will mean a tax increase the size of which has not been seen by Americans in 60 years.”
So you see, it is our elected politicians who set the stage for this crisis in order to dupe the American people and carry out the political theater now on display so they can get away with taking more from taxpayers, continue the massive over-spending and avert the possibility of torches and pitchforks outside the Capitol.
When these politicians conclude this round of theater, American’s will unwittingly breathe a sigh of relief that they reached a ‘deal’ and saved us.
In reality, the cold hard truth is that we, the taxpayers, continue to serve at the feet of these politicians. As long as they can take more from us – and they surely can – that’s exactly what they’ll continue to do until we have no more for them to take.
The truth about the fiscal cliff, in simple terms, is that the President and Congress deliberately created the economic crisis our country faces. Their massive spending is intentional and, clearly, it hasn’t helped us; it has hurt us. Their intention all along was to continue to take more and more from the people, thereby increasing their power and wealth – and extinguishing ours. How better to expand the ranks of the poor, further de-industrialize America and destroy, from within, a once-great and prosperous nation?
After all, isn’t that what the Progressives’ hundred-year journey to institute “social justice” in America, from both sides of the aisle, has been all about? Of course it has.
Tyranny comes when the people of a nation can no longer do what they did when they were free. Are we there yet?
Related and Latest Updates:
Senate Approves Fiscal Cliff Legislation
Details of tentative deal averting 'fiscal cliff'
Officials: White House & GOP reach deal
“Tax The Rich” Thrown Out In Socialist France – “It’s Unfair”
Tuesday, December 4, 2012
Watcher’s Forum: The Fiscal Cliff – Let It Happen Or Grand Bargain?
Every week on Monday morning , the Council and invited guests weigh in at the Watcher’s Forum, short takes on a major issue of the day. This week’s question: The Fiscal Cliff: Let it happen or Grand Bargain?
For those of you whom may not be aware, ‘the Fiscal cliff’ refers to automatic and draconian spending cuts and the end of the Bush-era tax cuts and a general hike in taxes as many Americans now exempt form the Alternative Minimum Tax become subject paying it. This was agreed to the last time by both parties as part of a deal to raise President Obama’s credit card limit ( AKA the debt ceiling) last year. It goes into effect January 1st, 2013 if there’s no agreement between President Obama and the House Republicans on taxes, the debt limit and spending. The president wants to raise taxes on ‘the rich’, another binge of stimulus spending, an increase in the nation’s debt ceiling and sole authority to raise the debt ceiling as he sees fit. The Republicans say they’re open to some tax increases but want significant cuts in spending as part of any deal and are not willing to see another stimulus or give the president the authority he wants to raise the debt ceiling unilaterally.
The Razor: Republicans have put themselves in a position where “heads you win tails I lose.” Given this option we have to look at what concerns the GOP House, the ones who must actually make this bargain.
These members, many elected with Tea Party support in 2010, are ideological and concerned about their reelections. Any compromise the Democrats will offer at this point will be ideologically repugnant. The Democrats and their propaganda wing in the mainstream media have fabricated this November’s election into a progressive landslide even when in reality it was anything but. They will not compromise enough to help these members of the GOP at all, and are on a “mission from g-d” or whatever the equivalent is for fired up atheistic liberals.
So the choice is whether to accept a package of tax increases with minimal if any entitlements cuts IF the Democrats offer such a thing, or allow the country to go off the cliff. That’s a big IF at this point, whether the Democrats will offer anything; I half expect them to keep demagoging the issue in the Press to beat up the Republicans through December while failing to negotiate in good faith. The other choice is to stick to their beliefs, fully aware that the Democrats are likely not serious about negotiations. These members will be pilloried by the Press in January, but they are going to be attacked by the MSM no matter what. At least when the primaries come around in a year they will won’t face Tea Party challengers who claim they sold out to the Dems on the tax issue.
Given such a Hobbesian choice, if I were a conservative member of Congress I would publicize the fact the Democrats have not negotiated seriously because they believe the election was a landslide. I would point out that it wasn’t, and as a consequence cannot offer any compromise on my part because it takes two to reach a deal. Every time I was in front of a microphone I would repeat this mantra. I full expect John Boehner to wobble on this issue and I would resist his calls for my vote. After January I would actively work to unseat him.
The Democrats believe the GOP will take the hit if we go off the cliff, but managed properly, I believe it is still possible to portray the Democrats as overreaching. Besides, by the time these members are up for re-election the country will be more receptive to fiscal conservatism than it is today. In the meantime, unfortunately, the half of the voting public that re-elected Obama needs to be taught that elections have consequences and that handing Democrats money is like giving heroin to a junkie.
The Independent Sentinel: President Obama wants to go over the fiscal cliff. It’s a win-win for him. He gets automatic cuts (he wants the military cuts), higher taxes. and he can blame the Republicans, eliminating them once-and-for-all.
In an interview with The Des Moines Register before the election, which he immediately after asked the paper not to print, he spoke about sequestration and the end of the Bush tax cuts ( Clinton tax hikes) as if they were a done deal.
He always makes the political decision over what is right for Americans. His ideology trumps all.
The deal he offered to Republicans yesterday not only didn’t cut anything, it increased spending and it even has a new stimulus. It caused Mitch McConnell to burst out laughing when he saw it. It was more an insult than a joke however. The Republicans can’t even use it as a starting point.
We did vote for revenge as Obama asked.
We should plan to go over the cliff unless Obama extends the artificial deadline until March.
I think he has made it perfectly clear – no compromises!
JoshuaPundit: In politics, perception is always more important than reality. So let’s start with a little bit of reality. The $1.2 trillion of deficit reduction we’re taking about as the Fiscal Cliff works out to $153 billion over ten years. The federal government borrows that every month.
That said, it’s important to remember that there’s no incentive for President Obama to make any compromises. He wants to raise taxes anyway, many of the mandated cuts will come out of our military budget and best of all, he feels he can blame Republicans for it. This makes absolutely no common sense but the way the president sees it, it makes political sense and he sees it as a win-win situation: either they’ll knuckle under and give him what he wants, or they won’t, and he’ll make political capital out of while getting some things he wants anyway.
I hold no particular allegiance for the Republican Party except as (in some respects) an alternative to what I see as ruinous policies. So my main concern now is the coming midterms and 2016, which means the GOP needs to take steps to make sure their fingerprints aren’t on the coming debacle, especially since the non FOX media will side with the president in pushing his narrative.
If I were John Boehner, I’d go on national TV (or have someone who’s a much better speaker do it) and tell the American people in plain terms exactly what’s going on, and why the GOP can no longer support this irresponsible and childish behavior. And I would directly point the finger at the president, in no uncertain terms, including his failure to present any kind of meaningful compromise.
Finally, I would draw a line in the sand and offer Simpson-Bowles, (the plan of the president’s own bi-partisan commission that he later rejected) as the Republican’s final offer. And walk away.
As an even more extreme alternative, I might even tell the American people that if the president failed to come up with a reasonable offer to get our financial house in order, every Republican legislator was going to vote ‘present’ on President Obama’s proposals, in protest. I would tell the American people that Republicans have no intention of allowing this president to blame his failures on others again.
Make him own the Obama economy.
The Noisy Room: In response to this week’s question: ‘The Fiscal Cliff: Let it happen or grand bargain?’ I wholeheartedly say to the Republicans, jump off the cliff! When this whole monstrous mess started, I predicted it would come to this. I don’t know how anyone can be surprised at the outcome. The two choices are now bend over and take massive tax hikes with no meaningful spending cuts, or go off the cliff. I say take the plunge. It’s the only sane choice at this point.
If the Republicans agree to raise taxes, they will lose what little support they have with conservatives and will go the way of the Whigs. And those spending cuts, well… Reagan never saw the ones he was promised when he raised taxes and the Republicans have just about as much chance of seeing these newly promised ones as North Korea has of verifying their unicorn lair. We are sick to death of the Charlie Brown Party. Read my lips: Progressives lie.
Either way, the Left and the media will make the Republicans out to be the bad guys. So, in the face of that, just do the right thing. Stick by conservative principles, close your eyes and jump. I hear the water is fine. It will give the Republicans time to find their moral bearings, grow a spine and start righting the USS Titanic. Make the message about cutting spending which is the real problem anyway. There is no way to tax your way out of this hole.
Do real financial reform… Cut the hell out of government spending, cut taxes and bring America back to greatness. It will create jobs and prosperity. It will create confidence and freedom. It will free us from the shadow of Marxism. It’s an easy choice; it’s the right choice – the question is, does anyone up there have ‘tener cojones’ to do the right thing anymore? They will if they care more about Americans and the Constitution than their crappy political careers.
To do what Obama and the Liberals want is madness. Raise taxes while increasing spending will speed up America’s death spiral. Want massive growth? Go over the fiscal cliff, do away with the IRS and go to a flat sales tax, let small businesses do their own thing and watch America catapult once again into the strongest nation on earth. Or, compromise and push millions into poverty, slavery and violence. I say, let the cliff diving begin!
The Right Planet:It looks to me like the Republicans are faced with a no-win scenario. This became abundantly clear to me when I saw Robert Reich state on Twitter that the Republicans want to “hold the middle class hostage” by denying 98% of Americans a tax cut. Obama is trumpeting a similar theme. (Funny how all of a sudden the progressives are for Bush-era “tax cuts.”) If I understand correctly, the Obama Administration is proposing freezing the tax rate for 98% of Americans for one year if the Republicans agree to raising taxes on the top two tax rates. A number of conservative pundits, like Rush Limbaugh and Charles Krauthammer, are urging the Republicans to just “walk away” from the deal. The problem I have with this approach is it gives Obama everything he wants. It even lets the president raise the debt limit at will, thereby taking away more power from Congress to control the purse strings.
So, if the Republicans walk away from the deal, the liberal media and the Obama Administration will accuse the GOP of raising taxes on the middle class in order to protect “the rich.” But if the Republicans agree to raising taxes on the wealthy, while agreeing to freeze tax rates for the middle class, then they will be accused of selling out. The only reason I believe the Obama Administration is offering to freeze the tax rate on the middle class right now is simply for political expediency; it serves their agenda and backs the GOP into a corner. Looks like Obama and ilk are holding the Republicans hostage.
What’s particularly odious about the maneuvers by the White House et al. is the fact the Obama Administration has not passed a budget in the entire time it has been in office. Obama has offered no serious proposal to reduce any federal spending. As a matter of fact, he wants another stimulus out of the deal. The fact is taxes are going up, period. And I wouldn’t be surprised if the Republicans get all the blame.
The Glittering Eye: I’ve posted on this very subject several times this week. I find both the White House’s and Congressional Republicans’ positions on this subject very frustrating. Both sides are taking positions that appear purely political to me. They appear to be taking an unnecessarily zero-sum view of the negotiations.
Since I opposed the “Bush tax cuts” in 2002-2003, opposed their renewal in 2010, and am still opposed to them as being the wrong taxes to cut, I have no particular fondness for renewing them now. However, I find the notion that raising taxes on just the highest income earners will do much about income inequality, balancing the budget, or much of anything else for that matter pretty far-fetched.
I’d like to see good faith negotiations from both sides. I have no real hope that’s going to happen. I’d also like to see a pro-growth agenda but I have no greater hope that will happen, either.
I don’t think that any nation in the history of the world has either taxed or cost-reduced its way to greatness or prosperity.
Bookworm Room: The Republicans, who still control the house, have three choices: (1) Give Obama everything he wants; (2) Give Obama nothing; and (3) Compromise. Believe it or not, I prefer option (1).
To begin with, compromise is out. Any type of compromise will work to Obama’s benefit. Obama understands this, which is why he presented the Democrats with a laughable compromise offer, one that gives fiscal conservatives absolutely nothing. If the Republicans actually try to negotiate and he slides a little in their direction, he still wins. Obama knows that, with an utterly compliant press, he will take credit for any slight upticks in the economy, while lambasting the Republicans for the economy’s continued slide.
Giving Obama nothing is no better. The Republicans in the House can hark back to the Reagan era and “just say ‘No.’” The problem with that course of action is that it will result in a stalemate. Unfortunately, this stalemate has ticking bombs in it — sequestration and tax increases. Once these happen, the compliant media will again blame the Republicans, while Obama walks away spotless.
The only approach that offers some hope for long-term American stability and fiscally-sound, constitutional capitalism is the most painful one: The Republicans should give Obama everything he wants. They should turn to the American people and say “By re-electing Obama and keeping the Senate majority Democrat, this is what you asked for, so this is what you’ll get. We wash our hands of it. This is truly Obama’s economy now.” Things will happen quickly (and badly) under this scenario, but the Republicans will have kept their noses clean and will have spelled out very clearly for Americans the differences between socialism and constitutional capitalism.
In the short term, these are all Hobson’s choices, since they are all awful. However, it’s only Option (1) — saying to Obama “you own the economy” — that will provide a short, sharp shock sufficiently horrific to scare people away from a Fabian slide into perpetual socialism.
Well, there you have it.
Make sure to tune in every Monday for the Watcher’s Forum. And remember, every Wednesday, the Council has its weekly contest with the members nominating two posts each, one written by themselves and one written by someone from outside the group for consideration by the whole Council. The votes are cast by the Council, and the results are posted on Friday morning.
Technorati Tags: Watcher's Council,bloggers,taxes,economics,draconian,Obamaland,GOP,John Boehner,Congress,finances,debt,Fiscal Cliff
Wednesday, September 19, 2012
What Mitt Romney Left Behind: The People Who Bought His House Tell Their Story
Buying a house is usually an impersonal transaction. The buyer sees a scrubbed version of the home, artfully “staged,” possibly with a fresh coat of paint and flowers on the table. Once a purchase price has been negotiated, the buyer and the seller sign legal papers in triplicate, and the new owner gets a set of keys and – if lucky – an extra garage door opener. So, when Hal and Corinne Prewitt decided to buy Mitt and Ann Romney’s Park City, Utah home in spring of 2009, they figured they were in for another paperwork hassle. What they got, however, was a great house, interesting interactions with the man who’d just lost a bid to be the previous election’s GOP nominee, and some insight into the character of the possible next President. In fact, their interaction with Romney was so different than what the Prewitts expected, Hal decided to write down his experience in a Google document which has since been downloaded over 100,000 times.
First of all, the Prewitts were impressed – and a little shocked — when Mitt Romney met them at the property on moving day. There were no brokers or anyone there at the house – just the former governor walking around the house to make sure the new owners were comfortable and familiar with their purchase. “He spent as much time as we needed showing us around, answering our questions and explaining how to use and service the home’s equipment,” Hal wrote. “And when he was done, he gave us his direct contact information should we have problems.
Secondly, the Prewitts were fascinated by the way Governor Romney – worth, by some calculations, hundreds of millions of dollars – decided to move his things. Some people hire professional movers to pack their things, others hire them to transport them, and others prefer a do-it-yourself approach. Governor Romney fit into the last category. He went to Home Depot, bought wood, and built the necessary containers to transport his possession from the house. Then, he asked a friend and some family to help him pack his family photos, mementos, and grandchildren’s toys. Then, they carried his things into a U-Haul, which he drove to his new home in California.
The home, according to the Prewitts, was built with a focus on their family, even though it had “no swimming pool, tennis court or movie theater. There are no maid, butler or nanny quarters. Clearly Ann and Mitt raised their kids. No gold faucets, no fancy silverware. The kitchen was simple and typical of an average three bedroom home, very much like those in which we were raised.” Because the Prewitts bought much of the home’s contents, they also got to see the way the family really lived in their home: the linens didn’t have the highest thread count, the master bedroom pillows had tags from a discount store, and almost everything — the art, furniture and drapes — were American made.
Plus, there were lots of toys for the grandchildren. Also, in the Romney’s former mud room, Hal and Corinne found the former governor’s ski gloves with holes in the fingers. Apparently, one of Mitt’s sons had suggested he replace the gloves, but Gov. Romney, whom his sons have described as “frugal” and even “cheap,” thought he could salvage them. When Hal and Corinne found the gloves, they’d been altered.
“Mitt had gone to the garage tool box and wrapped them with duct tape. Thrifty? Yes, and the repair provided an immediate practical solution rather than traveling to the store to buy a new pair,” Hal wrote. “His indifference to appearance demonstrated his confidence, true character and priorities. Good qualities, but easily misunderstood because they are quite different from those displayed by many famous people and certainly politicians, who highly protect and prize their appearance.”
In the Romney’s master bedroom, was a prominent painting of Jesus Christ. “Most Americans know little about Mormonism and we didn’t either,” Hal wrote. “But Mitt Romney clearly had a home of faith and family just like the rest of us.”
“One of the most interesting questions many have asked is, ‘as president will he impose his beliefs on others?’” Hal wrote. “Many claim that a President Romney would take away rights and impose his beliefs on all Americans.” However, possibly the most surprising discovery was a small stash of alcohol in the house, which – the Prewitts were told – was for guests only. Mormonism prohibits drinking alcohol, of course, and the Romneys are teetotalers. However, they kept a few drinks on hand to be good hosts and make sure their guests felt comfortable. Hal believes this stash shows the Romneys wouldn’t impose their beliefs on others from the White House, because they didn’t even impose their beliefs on others in their own house.
The Prewitts didn’t support Romney in the 2008 election. Neither Republicans nor Democrats, they knew very little about Romney, Utah, or his former Presidential bid when they looked for a winter home. However, they felt they needed to speak out, because the caricature of Romney on television is such a far cry from the real man who showed him around the house and packed his own boxes that day.
“Mitt Romney… is not aloof or out of touch. He is a man of faith, family and American values. A guy who is well-grounded. It is not beneath him to roll up his shirt-sleeves and get the job done,” Hal wrote. “The fact that he has allowed this to be kept so very private is a true testament to his character and shows how different he is from many other politicians.”
If Romney wins in November, he’ll be faced with yet another move. Will the new President show up at the White House in a U-Haul? With $16 trillion of national debt, it just might be a move in the right direction.
h/t to Patheos.com
Mitt – A Big Hearted Caring and Decent Guy… Who Can Fix the Economy
Related:
How Mitt and Ann Romney Helped Me Get Through My Husband’s Deployment
Don’t Believe the Media: Romney Was (and Is) Right
Hal Pruitt: The Mitt Romney we know - Insight into the man & his family
In testimonials, Romney’s faith and selflessness takes spotlight
Olympians endorse Romney and address 2012 Republican Convention
Mitt Romney: What I Learned at Bain Capital
Mitt Romney Tells the Truth, Media Recoils in Horror
FNC’s Democrat Kirsten Powers Slams ‘Utterly Insane’ Media ‘Obsession’ With Attacking Romney
Ohio Coal Miners Turn Out En Masse For Romney Rally
Romney Tells Israel: “You Built That!”
Fact Check: Romney’s worked mostly without salary
Multiple Sclerosis-Afflicted Neil Cavuto Slams MSNBC’s Attacks on Ann Romney: ‘Horse’s Asses’…
The Choice: Mitt Romney or Barack Obama
Progressive NBC Media Anchorman Brian Williams Evokes Romney’s Sense of Humor
Romney outlines $500 billion in annual pay, workforce, program cuts
If you think you still need to know more about Mitt Romney here are a few reading suggestions: The Real Romney, No Apology, Turnaround: Crisis, Leadership, and the Olympic Games, The Mormon Way of Doing Business: How Nine Western Boys Reached the Top of Corporate America And check out his detailed plan at: http://www.mittromney.com/
Technorati Tags: Mitt Romney,the Romney's,Ann Romney,President Romney,Election 2012,The Choice,2012 Election,Romney-Ryan,Paul Ryan,wake-up America,vote Romney-Ryan,Mitt Romney in 2012,integrity,businessman,economics,strength,|budget,saving America
Saturday, August 11, 2012
Optimism for a Change
By: Terresa Monroe-Hamilton – The Noisy Room
My husband and I woke up this morning at 6 AM to the happy news of Mitt Romney’s VP choice – Paul Ryan. Seriously – we were so happy we were laughing and crying. Optimism for a change.
Wielding an economic sword, with a military backdrop and the shield of faith, Romney and Ryan will wipe the progressive floor with action, devotion and truth. Time for the Snoopy Dance! Ryan is the Tea Party pick and with a devout mindset, the line between the light and the dark has been drawn and sides are now chosen. I choose the light.
Can you imagine the gnashing of teeth on the left with a humble Mormon and a devout Catholic saying the kinds of things Reagan used to say and meaning it? Furthermore, can you imagine a debate between the intellectual leader of the conservative movement and the progressive… what would you call him? The progressive jester? Fool? Dunce? Incompetent nitwit? So many choices, so many idiots.
Yes, it’s the clean team versus the dirty duo. Can you imagine what would have happened if Reagan and Kennedy had managed to run on the same ticket? Instead in 2008, we got Sith Lord Palpatine and Jar-Jar Binks pushing debt, doubt and despair.
Mitt Romney and Paul Ryan – America’s Comeback Team. Optimism for a change.
Full speech: Romney at Nauticus
Here is Mitt Romney’s Speech in Norfolk, Virginia (highlighting is my emphasis):
Ladies and gentlemen:
It’s great to be back in Virginia and here in Norfolk. Your city’s beauty is only matched by its proud heritage as a defender of freedom. Today we take another step forward in helping restore the promise of America. As we move forward in this campaign and on to help lead the nation to better days, it is an honor to announce my running mate and the next Vice President of the United States: Paul Ryan.
Paul Ryan is a leader.
His leadership begins with character and values. And Paul is a man of tremendous character, shaped in large part by his early life.
Paul’s father died when he was in high school. That forced him to grow up earlier than any young man should. But Paul did, with the help of his devoted mother, his brothers and sister, and a supportive community. And as he did, he internalized the virtues and hard-working ethic of the Midwest.
Paul Ryan works in Washington – but his beliefs remain firmly rooted in Janesville, Wisconsin. He is a person of great steadiness, whose integrity is unquestioned and whose word is good.
Paul’s upbringing is obvious in how he has conducted himself throughout his life, including his leadership in Washington.
In a city that is far too often characterized by pettiness and personal attacks, Paul Ryan is a shining exception. He does not demonize his opponents. He understands that honorable people can have honest differences. And he appeals to the better angels of our nature. There are a lot of people in the other party who might disagree with Paul Ryan; I don’t know of anyone who doesn’t respect his character and judgment.
Paul is in public life for all the right reasons – not to advance his personal ambitions but to advance the ideals of freedom and justice; and to increase opportunity and prosperity to people of every class and faith, every age and ethnic background. A faithful Catholic, Paul believes in the worth and dignity of every human life.
With energy and vision, Paul Ryan has become an intellectual leader of the Republican Party. He understands the fiscal challenges facing America: our exploding deficits and crushing debt – and the fiscal catastrophe that awaits us if we don’t change course.
Paul Ryan combines a profound sense of responsibility for what we owe the next generation with an unbounded optimism in America’s future and an understanding of all the wonderful things the American people can do.
Paul also combines firm principles with a practical concern for getting things done. He has never been content to simply curse the darkness; he would rather light candles. And throughout his legislative career he’s shown the ability to work with members of both parties to find common ground on some of the hardest issues confronting the American people.
Paul and I are beginning on a journey that will take us to every corner of America. We are offering a positive, governing agenda that will lead to economic growth, to widespread and shared prosperity, and that will improve the lives of our fellow citizens. Our Plan to Strengthen The Middle Class will get America back to work and get our country back on track.
We offer solutions that are bold, specific, and achievable. We offer our commitment to help create 12 million new jobs and to bring better take home pay to middle class families.
To strengthen the middle class, we will provide our workers and our children with the skills to succeed. We’ll cut the deficit, have trade that works for America, and champion small business. And finally, we will unleash our energy resources to achieve North American energy independence.
We will help care for those who cannot care for themselves, and we will return work to welfare. As poverty has risen to historic and tragic levels, with nearly one out of six Americans now having fallen into poverty, we will act to bring these families into the middle class. Unlike the current president who has cut Medicare funding by $700 billion, we will preserve and protect Medicare and Social Security. Under the current president, healthcare has only become more expensive. We will reform healthcare so that more Americans have access to affordable healthcare, and we will get that started by repealing and replacing Obamacare.
And at a time when the President’s campaign is taking American politics to new lows, we are going to do things differently. We are going to talk about aspirations and American ideals; about bringing people together to solve the urgent problems facing our nation. And when that message wins in America, it will be a victory for every American.
Today is a good day for America. And there are better days ahead. Join me in welcoming the next Vice President of the United States – Paul Ryan.
It should be noted that Romney accidentally called Ryan the next President of the United States, but graciously came back up, said he goofed and welcomed his running mate in true Presidential fashion. When was the last time we had a real leader admit he goofed and not just for political grandstanding?
The Tea Party’s favored son, Paul Ryan, will save America from the fiscal cliff looming ahead of us. You know the one Obama wanted to push us over while framing Republicans for his own dastardly deed – it’s called projection. Romney/Ryan will rebuild the middle class, slash the debt and right the American ship. Instead of Obama’s “You didn’t build that!,” Romney and Ryan in one voice tell us that: “If you have a small business, you did build that!” They’ll also restore us to constitutional principles and consent of the governed, not ruling by the elite.
On to Paul Ryan’s remarks (highlighting is my emphasis – I dare you not to smile):
Thank you Governor Romney, Ann. I am deeply honored and excited to join you as your running mate.
Mitt Romney is a leader with the skills, the background and the character that our country needs at a crucial time in its history. Following four years of failed leadership, the hopes of our country, which have inspired the world, are growing dim; and they need someone to revive them. Governor Romney is the man for this moment; and he and I share one commitment: we will restore the dreams and greatness of this country.
I want you to meet my family. My wife Janna, our daughter Liza, and our sons, Charlie and Sam.
I am surrounded by the people I love, and I have been asked by Governor Romney to serve the country I love.
Janesville, Wisconsin is where I was born and raised, and I never really left it. It’s our home now.
For the last 14 years, I have proudly represented Wisconsin in Congress. There, I have focused on solving the problems that confront our country, and turning ideas into action; and action into solutions.
I am committed, in heart and mind, to putting that experience to work in a Romney Administration. This is a crucial moment in the life of our nation; and it is absolutely vital that we select the right man to lead America back to prosperity and greatness.
That man is standing next to me. His name is Mitt Romney. And he will be the next president of the United States.
My dad died when I was young. He was a good and decent man. I still remember a couple of things he would say that have really stuck with me. “Son you are either part of the problem or part of the solution.”
Regrettably, President Obama has become part of the problem,…and Mitt Romney is the solution.
The other thing my dad would say is that every generation of Americans leaves their children better off. That’s the American legacy.
Sadly, for the first time in our history, we are on a path which will undo that legacy. That is why we need new leadership to become part of the solution – new leadership to restore prosperity, economic growth, and jobs.
It is our duty to save the American Dream for our children, and theirs.
And I believe there is no person in America who is better prepared – because of his experience; because of the principles he holds; and because of his achievements and excellence in so many different arenas – to lead America at this point in its history.
Let me say a word about the man Mitt Romney will replace. No one disputes President Obama inherited a difficult situation. And, in his first 2 years, with his party in complete control of Washington, he passed nearly every item on his agenda. But that didn’t make things better.
In fact, we find ourselves in a nation facing debt, doubt and despair.
This is the worst economic recovery in 70 years. Unemployment has been above 8 percent for more than three years, the longest run since the Great Depression. Families are hurting.
We have the largest deficits and the biggest federal government since WWII.
Nearly 1 out of 6 Americans are in poverty–the worst rate in a generation. Moms and dads are struggling to make ends meet.
Household incomes have dropped by more than $4,000 over the past four years.
Whatever the explanations, whatever the excuses, this is a record of failure.
President Obama, and too many like him in Washington, have refused to make difficult decisions because they are more worried about their next election than they are about the next generation. We might have been able to get away with that before, but not now. We’re in a different, and dangerous, moment. We’re running out of time — and we can’t afford 4 more years of this.
Politicians from both parties have made empty promises which will soon become broken promises–with painful consequences–if we fail to act now.
I represent a part of America that includes inner cities, rural areas, suburbs and factory towns. Over the years I have seen and heard from a lot from families, from those running small businesses, and from people who are in need. But what I have heard lately troubles me the most. There is something different in their voice and in their words. What I hear from them are diminished dreams, lowered expectations, uncertain futures.
I hear some people say that this is just “the new normal.” High unemployment, declining incomes and crushing debt is not a new normal. It’s the result of misguided policies. And next January, our economy will begin a comeback with the Romney Plan for a Stronger Middle Class that will lead to more jobs and more take home pay for working Americans.
America is on the wrong track; but Mitt Romney and I will take the right steps, in the right time, to get us back on the right track!
I believe my record of getting things done in Congress will be a very helpful complement to Governor Romney’s executive and private sector success outside Washington. I have worked closely with Republicans as well as Democrats to advance an agenda of economic growth, fiscal discipline, and job creation.
I’m proud to stand with a man who understands what it takes to foster job creation in our economy, someone who knows from experience, that if you have a small business—you did build that.
At Bain Capital, he launched new businesses and he turned around failing ones – companies like Staples, Bright Horizons and Sports Authority, just to name a few. Mitt Romney created jobs and showed he knows how a free economy works.
At the Olympics, he took a failing enterprise and made it the pride of our entire nation.
As governor of Massachusetts, he worked with Democrats and Republicans to balance budgets with no tax increases, lower unemployment, increase income and improve people’s lives.
In all of these things, Mitt Romney has shown himself to be a man of achievement, excellence and integrity.
Janna and I tell Liza, Charlie and Sam that America is a place where, if you work hard and play by the rules, you can get ahead.
We Americans look at one another’s success with pride, not resentment, because we know, as more Americans work hard, take risks, and succeed, more people will prosper, our communities will benefit, and individual lives will be improved and uplifted.
But America is more than just a place…it’s an idea. It’s the only country founded on an ideas. Our rights come from nature and God, not government. We promise equal opportunity, not equal outcomes.
This idea is founded on the principles of liberty, freedom, free enterprise, self-determination and government by consent of the governed.
This idea is under assault. So, we have a critical decision to make as a nation.
We are on an unsustainable path that is robbing America of our freedom and security. It doesn’t have to be this way.
The commitment Mitt Romney and I make to you is this:
We won’t duck the tough issues…we will lead!
We won’t blame others…we will take responsibility!
We won’t replace our founding principles…we will reapply them!
We will honor you, our fellow citizens, by giving you the right and opportunity to make the choice:
What kind of country do we want to have?
What kind of people do we want to be?
We can turn this thing around. Real solutions can be delivered. But, it will take leadership. And the courage to tell you the truth.
Mitt Romney is this kind of leader. I’m excited for what lies ahead and I’m thrilled to be a part of America’s Comeback Team. And together, we will unite America and get this done.
Thank you.
Video - Ryan eviscerates Obama on Obamacare in 6 minutes:
We won’t blame others, we will take responsibility… Wow. Imagine that… The adults have returned to our hallowed halls and somebody is going to get an ass whupping. Good times. And Romney and Ryan have the courage and conviction to tell the truth. We will be that shining city on a hill once more – I know it.
What do you want to bet Obama and Biden have never sat down and prayed together? I don’t know that Romney and Ryan have prayed together, but I have no trouble envisioning that. Obama and Biden? Not so much.
We have the comeback team. We have optimism for a change.
Paul Ryan: “This is our generation’s defining moment”
Romney-Ryan is the right team for this moment!!
Romney to Announce VP Pick – Insider Says Paul Ryan Will Be Vice Presidential Running Mate
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Sunday, July 15, 2012
Dancing on the Global Fiscal Cliff
By: Terresa Monroe-Hamilton – The NoisyRoom
And the depths of chaos beckon while the financial sands beneath our feet shift into oblivion. Today, we offer you a metaphor salad to describe the current progress of the financial apocalypse. Yep, more happy news from the economic war front.
To say we are skating on thin ice globally as well as here in the US is an understatement of epic proportions. It’s the new and improved walking dead economies – it’s the end of the economic banking world and I feel fine. In fact, it should leave all of us breathless.
While Wall Street manipulates the hell out of the markets and bankers play games with our future (and they have butter fingers by the way), we are told to chill… everything is under control and we are in a slow recovery. Black is white; up is down. And by the way, I have a bridge that is to die for — just sign here. Never mind the second Great Depression taking place. Pardon moi if confidence is in the toilet these days and if we don’t believe the powers that be any more. We’re fickle that way.
It was claimed that MF Global was a freak – that it would never happen again. That is until PFGBest came along and made lightning strike twice in the same spot. What? Nothing to see here sheeple… Quick, invest, invest, invest! From The Economic Collapse:
PFGBest is a brokerage firm in Cedar Falls, Iowa that mostly handles agricultural futures.
All hell broke loose when the National Futures Association discovered that a bank account that was supposed to be holding 225 million dollars of customer funds was only holding about 5 million dollars instead.
So where is the other 220 million dollars?
That is a very good question.
Of course it is not a promising sign that the head of PFGBest tried to commit suicide when this news came out.
Next, we were told a wave of city bankruptcies would NEVER occur in the US, we nodded and smiled like idiots and said that we believed the weasel politicians. California is turning into Greece at an alarming rate with three cities in the last 2 weeks going toes up and many more to follow — first came Stockton, then Mammoth Lakes and now San Bernardino. Just nod some more if you get it now. From The Los Angeles Times:
The city’s fiscal crisis has been years in the making, compounded by the nation’s crushing recession and exacerbated by escalating pension costs, lucrative labor agreements, Sacramento’s raid on redevelopment funds and a city reserve that is tapped out, officials said.
And this is not unique to California. It’s happening all over the US, you just don’t see it in the press because it makes Obama look bad. Take a long, hard look at Scranton, Pennsylvania where all city employees were just put on minimum wage. They wouldn’t raise taxes (who would want to?), so the mayor reduced wages. He had to do something because they are BROKE.
We were told to have faith in global interest rates, that they couldn’t possibly be manipulated by insiders — that is until the LIBOR scandal. Whoops! In fact, watch this scandal… it will literally rock the world and bring economies to their knees. Count on it. If financial dreamers dream, then it’s nightmares all around. Welcome to global collusion. More from The Economic Collapse:
It turns out that banksters have been colluding to fix global interest rates for years.
“Liborgate” is being called the biggest financial scandal in history. Libor is important because it is one of the key benchmarks used to set prices for hundreds of trillions of dollars of loans, securities and derivatives.
British banking giant Barclays has already admitted that they were involved in manipulating Libor.
Barclays has already agreed to pay $453 million in fines to British and U.S. authorities.
But the truth is that it would have been totally impossible for Barclays to have manipulated Libor by themselves.
So who else was involved?
The Wall Street Journal puts it this way:
At stake is both the integrity of the world’s financial system and the credibility of the U.K. authorities to police it. Long before the current scandal, many European policy makers had concluded that London during the boom was the Wild West, whose loose standards are a threat to European financial stability. The Libor scandal suggests U.S. regulators have reached similar conclusions. The Commodities Futures Trading Commission, the U.S. regulatory body that first started investigating rate-fixing, left little doubt how seriously it regards the abuses it uncovered.
Get the hell out of the system, right now. Don’t stubbornly stand on the deck of a fiscal Titanic as it sinks. Head for the lifeboats and nix the suicide folks.
We were also told that Greece was an anomaly. Just another twist of fate — couldn’t happen again. Until Spain that is, who looks an awful like a repeat of Greece only worse. And as has been foretold on this blog over and over, it’s a chain reaction and more catastrophe to follow and soon. It’s summertime in Fiscal Hell, don’tcha know.
Don’t let the austerity they are pushing in Greece fool you. It consists of taxes that no one can pay if they want to continue eating. It does reduce spending and government bennies, but it is too little too late. Europe is on the way down, big time. Spain will make Greece look like a walk in the fricking park. Again from The Economic Collapse:
Can anyone still possibly deny that Spain is going down the exact same road that Greece has gone?
Spanish Prime Minister Mariano Rajoy is proposing a huge slate of tough austerity measures including a 3 point increase in the Value Added Tax on goods and services. If that 3 point hike is implemented, the Value Added Tax will rise to 21 percent.
Could you imagine going to the store and paying a 21 percent sales tax?
Ouch.
Rajoy is promising that these measures will get Spain back on the right track.
Of course we have already seen how well such austerity measures have worked in Greece.
The unemployment rate in Spain is already up to 24.4 percent, and now these austerity measures will slow the economy down even more.
No wonder there is rioting in the streets. You can see high quality footage of the rioting that has been going on in Spain this week right here. At one point police were seen firing rubber bullets at the protesters.
But of course the citizens of Spain could not live way above their means forever. At some point every debt bubble ends, and when that happens the results are often incredibly painful.
You are looking into America’s not-too-distant future. Truth be told, if the Obama administration was honest about our unemployment rate, it would read over 15% and personally, I think it is closer to 23 or 24%.
So, as we gleefully dance ever closer to the global fiscal cliff — and a crumbling cliff at that — maybe just maybe we should actually look at what is going on around us globally and locally here in the US. It’s not just finances, it’s morality, ethics, our culture — the whole ball of wax and we are coming undone quickly. As a nation, we need to fall to our knees and declare a covenant with God and fast or we will realize a reckoning few can envision. Thus endeth the lesson.
Friday, May 4, 2012
We Were Warned
Click on the "PLAY" button to watch the video: Reagan Vs. Obama - Social Economics 101
Video: Reagan Warned Us About Obama
OBAMA TO OFFICIALLY LAUNCH CAMPAIGN ON KARL MARX'S BIRTHDAY
YOU JUST CAN'T MAKE THIS STUFF UP!
Obama will officially launch his 2012 re-election campaign, and no I'm not kidding, on Karl Marx's birthday, May 5th! First, we learn that Earth Day was started on the birthday of Vladimir Lenin, the Communist butcher and founder of the USSR, now we learn that Barack Obama, America's first Marxist president, is launching his campaign on the father of communism's birthday? Come on, now. This is just too appropriate! How fitting!
Coincidence? Stupid oversight? Or, an intentional middle-finger in the face of the American people? You be the judge!
Less Government = More Freedom
Election 2012… We Can’t Afford 4-More Years!
Is Romney Conservative Enough?
As Newt Gingrich suspended his campaign for the GOP nominee for President he said he is often asked, “Is Romney conservative enough?”
His answer is: “Compared to Barack Obama, the most radical president in U.S. history? We are not talking about Mitt Romney running against Ronald Reagan… We are talking about Mitt Romney running against Barack Obama.” The answer is clear!
We are also talking about freedom vs. nanny state, free-market capitalism vs. socialism and hope vs. mediocrity.
If you love America at this point the goal has to be voting and supporting Mitt Romney to beat Barack Hussein Obama in 2012, and to surround Romney with a fiscally and socially sound and conservative House and Senate, no matter who else you wanted as your first pick for the GOP nominee.
4-more-years of Obama will turn us into the bankrupt United Socialist States of America and/or a minor player in a New World Economic Order run by the United Nations. Staying home and not working for or at least voting for Romney is a vote for Obama… it is how we ended up with Jimmy Carter. Conservatives and Independents who were disappointed that Reagan did not get the nomination that time around were disappointed so stayed home… Carter (who looks moderate against Obama) won.
United States Budget Dilemma
Video: United States Budget Dilemma
Millions of illegal immigrants are getting a bigger tax refund than you. Eyewitness News shows a massive tax loophole that provides billions of dollars in tax credits to undocumented workers and, in many cases, people who have never stepped foot in the United States. And you are paying for it!
Note: This is part one in a two-part series. Read part two here.
INDIANAPOLIS - Inside his central Indiana office, a longtime tax consultant sits at his desk, shaking his head in disbelief.
"There is not a doubt in my mind there's huge fraud taking place here," he said, slowly flipping through the pages of a tax return.
The tax preparer does not want you to know his name for fear of reprisal, but he does want you to know about a nationwide problem with a huge price tag.
He came to 13 Investigates to blow the whistle.
"We're talking about a multi-billion dollar fraud scheme here that's taking place and no one is talking about it," he said.
The scheme involves illegal immigrants -- illegal immigrants who are filing tax returns.
How it works
The Internal Revenue Service says everyone who is employed in the United States – even those who are working here illegally – must report income and pay taxes. Of course, undocumented workers are not supposed to have a social security number. So for them to pay taxes, the IRS created what's called an ITIN, an individual taxpayer identification number. A 9-digit ITIN number issued by the IRS provides both resident and nonresident aliens with a unique identification number that allows them to file tax returns.
While that may have seemed like a good idea, it's now backfiring in a big way.
Each spring, at tax preparation offices all across the nation, many illegal immigrants are now eagerly filing tax returns to take advantage of a tax loophole, using their ITIN numbers to get huge refunds from the IRS.
The loophole is called the Additional Child Tax Credit. It's a fully-refundable credit of up to $1000 per child, and it's meant to help working families who have children living at home.
But 13 Investigates has found many undocumented workers are claiming the tax credit for kids who live in Mexico – lots of kids in Mexico.
"We've seen sometimes 10 or 12 dependents, most times nieces and nephews, on these tax forms," the whistleblower told Eyewitness News. "The more you put on there, the more you get back."
The whistleblower has thousands of examples, and he brought some of them to 13 Investigates. While identifying information such as names and addresses on the tax returns was redacted, it was still clear that the tax filers had received large tax refunds after claiming additional child tax credits for many dependents.
"Here's a return right here: we've got a $10,3000 refund for nine nieces and nephews," he said, pointing to the words "niece" and "nephew" listed on the tax forms nine separate times.
"We're getting an $11,000 refund on this tax return. There's seven nieces and nephews," he said, pointing to another set of documents. "I can bring out stacks and stacks. It's just so easy it's ridiculous."
20 kids = $30,000
WTHR spoke to several undocumented workers who confirmed it is easy.
They all agreed to talk with WTHR investigative reporter Bob Segall and a translator as long as WTHR agreed not to reveal their identity.
One of the workers, who was interviewed at his home in southern Indiana, admitted his address was used this year to file tax returns by four other undocumented workers who don't even live there. Those four workers claimed 20 children live inside the one residence and, as a result, the IRS sent the illegal immigrants tax refunds totaling $29,608.
13 Investigates saw only one little girl who lives at that address (a small mobile home). We wondered about the 20 kids claimed as tax deductions?
"They don't live here," said the undocumented worker. "The other kids are in their country of origin, which is Mexico."
He later explained none of the 20 children have ever visited the United States – let alone lived here.
So why should undocumented workers receive tax credits for children living in a foreign country, which is a violation of IRS tax rules?
"If the opportunity is there and they can give it to me, why not take advantage of it?" the worker said.
Other undocumented workers in Indiana told 13 Investigates the same thing. Their families are collecting tax refunds for children who do not live in this country. Several of the workers told WTHR they were told it was legal for them to claim the tax credit for a child who does not live in the United States.
IRS was repeatedly warned
"The magnitude of the problem has grown exponentially," said Russell George, the United States Department of Treasury's Inspector General for Tax Administration (TIGTA).
And he says the IRS has known about the problem for years.
George has repeatedly warned the IRS that additional child tax credits are being abused by undocumented workers. In 2009, his office released an audit report that showed ITIN tax filers received about $1 billion in additional child tax credits. Last year, the inspector general released a new report showing the problem now costs American tax payers more than $4.2 billion.
"Keep in mind, we're talking $4 billion per year," he said. "It's very troubling."
What George finds even more troubling is the IRS has not taken action despite multiple warnings from the inspector general.
"Millions of people are seeking this tax credit who, we believe, are not entitled to it," said the inspector general. "We have made recommendations to [IRS] as to how they could address this, and they have not taken sufficient action in our view to solve the problem."
Other information obtained from the TIGTA audits include:
· Claims for additional child tax credits by ITIN filers have skyrocketed during the past decade, from $161 million in 2001 to $4.2 billion in tax year 2010.
· Undocumented workers filed 3.02 million tax returns in 2010. 72% of those returns (2.18 million) claimed the additional child tax credit.
· In 2010, the IRS owed undocumented workers more in claimed additional child tax credits than it collected from those workers in taxes.
Agency responds – sort of
What does the IRS have to say about all this?
The agency sent WTHR a statement, defending its policy of paying tax credits to illegal immigrants.
"The law has been clear for over a decade that eligibility for these credits does not depend on work authorization status or the type of taxpayer identification number used. Any suggestion that the IRS shouldn't be paying out these credits under current law to ITIN holders is simply incorrect. The IRS administers the law impartially and applies it as it is written," the statement said.
George disagrees with that position and believes the IRS should be doing more to prevent undocumented workers from getting billions in US tax dollars.
"The IRS is not doing something as simple as requesting sufficient documentation from people seeking this credit," he said. "Once the money goes out the door, it's nearly impossible for the IRS to get it back."
Over the past month, WTHR has tried to ask the IRS more questions about its efforts to prevent abuse involving additional child tax credits.
Despite repeated phone calls, e-mails and a visit to IRS headquarters in Washington, the agency said none of its 100,000 employees had time to meet with 13 Investigates for an interview. An IRS spokeswoman said all staff were too busy because of the tax filing deadline in mid-April.
Apparently, the IRS doesn't have time to respond to some tax preparers, either.
Last year, our whistleblower noticed dozens of undocumented workers had used phony documents and false income to claim tax credits. He reported all of it to the IRS.
"These were fraudulent, 100% fraudulent tax returns, but I got no response; absolutely none. We never heard a thing," he said. "To me, it's clear the IRS is letting this happen."
The IRS tells WTHR it can do nothing to change the current system unless it gets permission from Congress. In other words, according to the IRS, closing the loophole would require lawmakers to pass a new law specifically excluding illegal immigrants from claiming additional child tax credits.
The big questions now: Is Congress willing to do that?
What's next
Tomorrow night, 13 Investigates will show you how lawmakers are reacting to WTHR's investigation and what they plan to do about. You'll also hear why some undocumented workers say the credits are essential and should be left intact. Our investigation continues Friday night at 11:00.
Full statement to WTHR from the Internal Revenue Service
The law has been clear for over a decade that eligibility for these credits does not depend on work authorization status or the type of taxpayer identification number used. Any suggestion that the IRS shouldn't be paying out these credits under current law to ITIN holders is simply incorrect. The IRS administers the law impartially and applies it as it is written. If the law were changed, the IRS would change its programs accordingly. The IRS disagrees with TIGTA's recommendation on requiring additional documentation to verify child credit claims. As TIGTA acknowledges in this report, the IRS does not currently have the legal authority to verify and disallow the Child Tax Credit and the Additional Child Tax Credit during return processing simply because of the lack of documentation. The IRS has procedures in place specifically for the evaluation of questionable credit claims early in the processing stream and prior to issuance of a refund. The IRS continues to work to refine and improve our processes.
Obama creates "green jobs"--in other countries
President Obama's reckless Stimulus spent billions of our tax dollars to create "green jobs"--in foreign countries like Mexico, Finland, and China.
The American people deserve to know what's going on--and that our tax dollars are being wasted on handouts to other countries, instead of creating jobs for 13 million unemployed Americans.
With the DNC admitting to their top donors that this ad could cause "serious damage" to the Left's agenda, and President Obama dedicating yet another TV ad to attacking AFP activists, they're more desperate than ever to keep the truth hidden.
There's a reason this ad has the Left shaking in fear. And with your help today, we can make sure this ad stays on the air and reach as many Americans as possible. After viewing "Obama's Wasteful Spending," make sure to send your most generous donation in the form to your right to keep this ad on the air:
Monday, April 9, 2012
A Wicked Financial Storm Descends On America
By: Terresa Monroe-Hamilton – The NoisyRoom
Ever since 2008, this blog has been warning about economic devastation heading our way. You see it everywhere you look today, if you bother to look that is… Gas prices are at close to an average of $4 a gallon and in parts of California, it is now hitting $7, with no end in sight. Food inflation that is rising so precipitously, it takes your breath away – but the government says there is no inflation.
In the world that is America now, all things seem to be upside down and sliding full-blown out of control. This includes the Communist who is our current Commander-in-Chief. He claims he is drilling for oil, when the opposite is true. He is blocking all of it and piling so many regulations on our coal plants in lockstep with his bud, Cass Sunstein, that they are shutting down as well. Lie after lie after infernal lie.
As for unemployment, the government is manipulating the hell out of those numbers in an attempt to calm the sheep before the slaughter. They claim it has fallen to 8.2%. Take a long look at the U6 rate, which tracks not only those out of work, but those who’ve essentially given up looking for work. It currently sits at 14.5% – close to double what is being claimed by our ‘progressive’ leadership. Real unemployment stands at closer to 19.1% and is perhaps substantially higher than that.
People are giving up on finding work. A second, even more brutal wave of foreclosures is also on the horizon. Real hunger is coming to the US and hard times that will make the Great Depression seem like the good ole days are pounding on our door. A majority of states are now close to being unable to cover pensions and other entitlements as well as expenses. Bankruptcy is an understatement for what these states are facing. So, to “solve” the problem, a number of them are taxing more which makes it worse and worse. All the while, the rising flood of fuel prices surges against the levee.
When truckers cannot fill their tanks anymore because of the cost, store shelves will become barren wastelands. Real food deserts. When people get hungry, especially when their children are hungry, they get mean and desperate. Just what the Progressives had in mind. Violence, chaos and mayhem in the streets.
So, you say… the election is not far off and we can get rid of Obama then. Maybe, maybe not… I understand a company owned at least in part by Soros will be handling voting results. It doesn’t take a genius to see how that would be manipulated. Then there is a potential war with Iran. If Obama feels his reelection is in jeopardy, war with Iran will look like just the right emergency. Or, there could be any other number of emergencies, real or ginned up like the Trayvon Martin murder that is sparking racial unrest.
If nothing else, the debt we owe will literally drag us into hell all by itself. We’re broke and we aren’t going back to yesteryear anytime soon. That would take massive cuts and pain and no one with that kind of spine exists today in our government. But until the last penny is stolen and the last party is thrown by the Progressives, they will keep spending until there is nothing left but death, war, famine and blood. And they are okay with that, trust me. We face the abyss and our leaders are embracing the gulf.
From The Economic Collapse Blog:
#1 According to one new survey, approximately one-third of all Americans are not paying their bills on time at this point.
#2 The U.S. housing industry is bracing for another huge wave of foreclosures in 2012. The following is from a recent Reuters article….
“We are right back where we were two years ago. I would put money on 2012 being a bigger year for foreclosures than 2010,” said Mark Seifert, executive director of Empowering & Strengthening Ohio’s People (ESOP), a counseling group with 10 offices in Ohio.
#3 The Citigroup Economic Surprise Index, a key indicator watched by many economists, is on the verge of heading into negative territory.
#4 We are supposed to be in the middle of an economic recovery in the United States, but bad news just keeps pouring in from major companies. For example, Yahoo is firing thousands of workers and Best Buy is closing dozens of stores.
#5 Richard Russell says that the “big money” is starting to quietly exit from the financial markets….
“My guess is that this is the big money that has been holding off as long as it decently can — and then dumping their goods just before the close. I don’t think the big money likes this market, and I think they have been slowly exiting this market, as quietly as they can.”
#6 Goldman Sachs is projecting that the S&P 500 will fall by about 11 percent by the end of 2012.
#7 All over the country, local governments are going into default and we have not even entered the next recession yet.
#8 The U.S. government will add more to the national debt in 2012 than it did from the time that George Washington became president to the time that Ronald Reagan became president.
#9 The Federal Reserve is desperately trying to control interest rates. The Fed purchased approximately 61 percent of all government debt issued by the U.S. Treasury Department in 2011. This is the only thing that is keeping interest rates in the United States from soaring dramatically.
#10 German industrial production is falling at a pace that is far faster then expected.
#11 Italy’s debt-to-GDP ratio is now up to 120 percent.
#12 The Spanish government admitted on Tuesday that Spain’s debt-to-GDP ratio will rise by more than 11 percent this year alone.
#13 Yields on Spanish bonds are rising to dangerous levels.
#14 The Spanish government is projecting that the unemployment rate in Spain will exceed 24 percent by the end of the year.
#15 Unemployment in the eurozone as a whole has risen for 10 months in a row and is now at a 15 year high.
#16 In the aftermath of a 77-year-old retiree killing himself in front of the Greek parliament in protest over pension cuts, the economic rioting in Greece has flared back up dramatically.
#17 At this point, Greece is experiencing an economic depression with no end in sight. Some of the statistics coming out of Greece are really hard to believe. For example, one port town in Greece now has an unemployment rate of approximately 60 percent.
#18 The IMF is asking the United States to contribute more money for European bailouts.
#19 At this point, even some of our top scientists are projecting economic trouble. For example, researchers at MIT are projecting a “global economic collapse” by the year 2030 if current trends continue.
We don’t have till 2030… I personally don’t think we have until 2013. As the stock market (which is hideously manipulated) teeters on the edge of Armageddon and those with any money at all are running for the exits, the warnings of a wicked financial storm descending on America are blaring for all they are worth. And it would seem America is still asleep. Prepare to reap the whirlwind of an economic collapse – we are at its door.
Breitbart.com: As mention above: Record 87,897,000 Americans Not in the Labor Force amid disappointing unemployment numbers that fell 80,000 jobs short of projections, another number is raising eyebrows: the number of Americans not in the labor force has hit a record high 87,897,000.
This figure explains why overall unemployment dropped from 8.3% to 8.2%, as the Department of Labor's unemployment figure does not include people who have given up hope and are not actively seeking employment.
When the number of individuals who have stopped looking for a job and/or who are working part-time but desire full-time employment is included--a figure known as the "underemployment rate"--real unemployment stands at 19.1%.
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