A Nation of Takers Hurtles Toward the Fiscal Abyss

[Geee]

Front Page Magazine:

The on-going negotiations over avoiding the tax hikes and spending cuts we call the “fiscal cliff” are the simply the latest act in a farce of self-serving political denial. For decades now both parties have overseen and nurtured the expansion of the entitlement state all the while ignoring the slow-motion economic implosion whose predictable end can be seen today in a bankrupt Greece currently surviving on EU handouts. But American voters and politicians are so marinated in expectations of endless federal and state largess that modest reductions in spending, such as those proposed earlier this year by Congressman Paul Ryan, are attacked as draconian “cuts” that will “shred” the safety net and throw millions into Dickensian penury.

And make no mistake. The “cliff” might not be reached in January, even without a deal. But it’s still waiting down the road. Baby Boomers, 75 million strong, are retiring at a rate of 200,000 a month, and they can expect to live on average until 84 if they make it to the retirement age of 65. The two big drivers of entitlement spending, Social Security and Medicare, weren’t designed to transfer money to retirees for so long, or pay for artificial knees and hips for Boomers who want to be active in their 70s and 80s. If left unreformed, spending just on Social Security and Medicare will eat up 14% of GDP in 40 years, necessitating even more federal borrowing than the 40 cents currently borrowed for every dollar the feds spend. That’s not a cliff, that’s an economic abyss.

[Draggingtree]

Rand Paul suggests so-called 'doomsday plan' would shift blame to Democrats

By Justin Sink - 12/11/12 05:06 PM ET

Sen. Rand Paul (R-Ky.) said Tuesday that a plan by which Republicans in the House would vote "present" and allow Democrats to raise tax rates would ultimately be better than agreeing to a "fiscal cliff" compromise so that Republicans wouldn't have ownership of a potential economic recession.

"I think if we go halfway, or we split the difference with him, then both parties have their hands on it," Paul said during an appearance on Fox News. "When we go into recession, it'll be confusing."

 

Paul said the so-called "doomsday plan," under which Republicans would allow Democrats to repeal the fiscal cliff's automatic cuts and

http://thehill.com/video/senate/272343-rand-paul-suggests-so-called-doomsday-plan-would-shift-blame-to-democrats