Friday, August 28, 2009

Long time no post

I have not made a post in a while and I have lots to talk about.
I will just touch on a few issues such as healthcare, taxes, and spending money wisely.

First off is healthcare. I want to bring up a "totally cost effective approach" to fund healthcare that will save 80% of us money. Don't have health insurance. Wow such a bad idea? Well if my very basic math serves me correct Americans spend 3 Trillion dollars a year on healthcare. On Average that would be roughly 10,000 per person based on 300 million people. Ok now insurance companies billions of dollars, pay employees billions of dollars and executives make millions of dollars. Now wipe that away and that is roughly 1.2 trillion dollars. Let say .2 trillion will need to be used for more billing people by health care providers and 1 trillion is saved by cutting out insurance. Then healthcare will now average 6,666 per person. The new bill by Obama basically cuts out most of the healthcare cost to seniors who are covered by medicare or older people pre medicare. If we use the same system we have now and make those same cuts we would save Billions more than under his plan without forcing anyone to do anything. He is correct that the elderly are the biggest healthcare cost, but is this the correct way to solve the liberals failed medicare plan, by forcing younger people who may not need healthcare to pay for it? Is it fair to force an up and coming business to insure part time employees and lose capital to grow and become that bigger business and hire that person full time at a later time? Is it fair to ask someone who stays in shape, eats well, and does the right thing to limit their health risks to pay the same premium as someone who smokes, does not exercise, eats junk food and does drugs. Is it fair to force a free society to do anything? The answer is simple, No.

Taxes are a big issue with me. The Boston Tea party was over taxation without representation. Now that we have "representation" is taxation justifiable? To a point yes, to it's current levels, NO. In 1895 the US Supreme Court voted on and deemed that income tax was unconstitutional. In 1913 the 16th Amendment (which was never ratified by Connecticut*, Rhode Island*, Utah*, Pennsylvania, Virginia, and Florida - *=voted against) was passed. One effectively gave congress the power to tax. It began with a 1% tax on incomes above 3,000 and 6% on incomes over 500,000. Today that would be like 60,000 and 10,000,000. The point is we are paying 22-39% all of which is well above it's intended rate. Remember incomes go up as does spending, but percents should remain level and they have not. Also remember we are also now paying several taxes and not just income tax we are also taxing more people with population growth and two income families. We pay income tax for federal and state, social security tax that we will never see back, property tax, car taxes and lots of fees, sales tax, gas tax, and many other fees and taxes that we should not have to pay. We need to revert back to our roots and make sure our representation knows who they represent. Also note that during the Depression Taxes were raised and the Depression got worse, do not make repeat this path Mr Bernanke, whom is a Depression specialist, please stop making the same mistakes leading us down a bad path.

Lastly, Spending money wisely. This is to both my fellow Americans and to the government of our wonderful country. My friends who have credit card owned big screen televisions with tons of other unneeded swipes, bank owned cars, and 100k in student loans and have just got started. Stop spending money you do not have. If you make 1000 bucks every two weeks why would you have rent/loans more than that amount each month plus these other debts? This is stupid spending. Live slightly below your means and save a few dollars. People who lived above their means are part of the reason the economy is in the bad shape that it is in today. Which leads me to the Government. Why would you give my tax money and my children's tax money to banks who made bad loans to people who they knew could not afford loans and most of which were bad with money in the first place? Is it not their own fault? Let them fail. two 700+billion dollar bail outs plus billions more to fannie freddie aig and the auto makers.

Lets deal with the banking industry first. Lets see we have a banking industry that does fractional loans and they are telling us they are losing billions of dollars. I love basic math so here we go again. Fractional loans are done at 1o x the real monetary assets by the bank supported by computer numbers. Basically the bank can loan out 10 times what it actually owns. So lets say a bank has 1,000,000 dollars it can loan our 10,000,000. Now on that 10,000,000 it loans out over 30 year mortgage they triple their money. So now they turn that 10,000,000 into 30,000,000. So they actually have 1,000,000 and turn it into 30,000,000. 30X their money. Now they say between 5 and 10% of loans were defaulting. that means at 10% 3,000,000 or they would turn 1,000,000 into 27,000,000 instead of 30,000,000. Either way we just got robbed. Now for those like myself who is paying my loan and taxes, I paid for my loan and part of someone else's who was not smart with their money. These banks are corrupt and own our government as I have stated many times. The banks are the controlling stake in the federal reserve banking cartel who is not a part of our government it is a private company. The federal reserve controls our treasury who basically controls our congress. Tim Geithner was the president of the New York federal reserve bank. He is now our treasury secretary (who also did not pay his taxes) As president of the New York federal reserve bank he answered to a few people. Those being the major national banks who do business in New York which means all the national banks. These are simple ties to follow. I also believe that fractional banking is a scam as they are loaning people money they do not have. Last I checked that was stealing.

Moral to the story be smart with your money, be responsible for yourself and be strong in your opinions and actions.