-- Posted Thursday, 22 January 2009 | | Source: GoldSeek.com
By James West
Town hall meetings, documentary films galore, news coverage, solemn speeches. America certainly seems to be aware of its problem. But for all the self-examination and soul searching, there has yet be any sober identification of the fundamental flaws that have evolved in the American character since the declaration of independence.
Foremost among them is a foolish and all-pervasive American pride that precludes the first step in the recovery of any junkie whose behavior has become a threat to themselves and those around them, which is an unqualified admission and acknowledgement of destructive behavior. Calling it addiction is disingenuous and coats it in the absolution of disease. The inherent implication is that this claim negates responsibility.
Here’s what American leadership needs to say:
“Our values have been corrupted so thoroughly by the deification of the dollar above all else, that we lack the objectivity and sincerity required to formulate responsible fiscal policy. We need help.”
But my God! Can anyone imagine the United States collectively biting off and swallowing such a gigantic piece of Humble Pie? The American ego is simply too swollen. Actually, bloated would be the appropriate term.
Obama acknowledges his absence of economic comprehension with the appointment of the same foxes who busted up the chicken house in the first place. Their solution? Print more money! We can solve all the problems by printing more money!.
The pathetic thing about the manner in which the American government feigns genuine concern over its impending financial implosion is that all these stuffed suits strutting around like so many arrogant roosters will all be dead by the time the Social Security obligations of the next 50 years kick in. The U.S. deficit, depending on who you listen to, will soar to as much as 220% of GDP by 2050.
The only solution, to any outsider who won’t necessarily feel the pain of the required measures, is a negotiated reorganization of outstanding national debt, massive tax increases, huge spending cuts (yes that will undermine the integrity of Medicare – so look after your folks at your own damn home!), and a revaluation of the U.S. Dollar combined with the abolition of “floating rate” monetary policy. The dollar must be tied to something of tangible value to re-establish the reality of what paper money is – the promise to pay.
The second secret to weaning the junkie off his chosen poison is the administration of reduced amounts of poison over time. Credit must be controlled. From the government on down to credit cards, it is only regulation that can prevent the massive submersion of the American public in debt. America has evolved from a nation of conscientious savers to one of rapacious self-absorbed consumers. Buy now, pay later, is the most destructive marketing strategy ever devised by American retailers and creditors. Legislating tough measures to curb predatory marketing tactics on the part of lenders must be established now.
I have infinite hope, as do most Americans, for the administration of Barrack Obama. Ending the war in Iraq, shutting down Guantanamo, and suspending all of the outgoing Bush’s “last orders” is all very promising and heartwarming.
But this still remains the low hanging fruit.
In the months to come, it will quickly become apparent what this new president is made of. The Chinese grow more influential over American foreign and fiscal policy because we cannot afford to annoy the largest servicer of American debt.
That’s why we tolerate the human rights abuses in China. That’s why we have nothing to say about the invasion and occupation of Tibet.
And that, right there is the most dreadful outcome of American voluntary financially enslavement to China. The values and principles it has espoused since the American revolution become ever so hollow and faint as the country loses not only its conviction as to the sanctity and righteousness of democratic freedom, but also its ability to defend them abroad, and ultimately, to practice them at home.
James West
http://www.MidasLetter.com
-- Posted Thursday, 22 January 2009 | Digg This Article
| Source: GoldSeek.com
