THE BIG LIE AND THE DEBT CRISIS

CHICKEN LITTLE

THE SKY IS FALLING!!!
  Despots  throughout the centuries have been adept at manufacturing a crisis, and then rushing in with the cavalry to "save the day,"  seizing power for themselves and their personal constituencies. We are witnessing the BIG LIE tactic, employed  over and over again by virtually every corrupt politician the world has ever known. Remember the dire sounding "Emergency Economic Stabilization Act of 2008" ? Had Rob been a member of Congress in 2008, the bill would be named the COLOSSAL WASTE OF MONEY AND CROOKED POLITICIAN POWER GRAB ON BEHALF OF WORTHLESS LEECHERS ACT OF 2008.

THE BIG LIE!!!

The Left and their conspiratorial allies in the media are creating another crisis and employing BIG LIE tactics again. The US Government is insolvent because it spends (wastes) too much money. 43% of the money it spends is borrowed. None of the budget proposals being debated in Congress reduces spending one nickel, not one plug nickel. Thus, all the rhetoric about reducing spending is a BIG LIE. Even under the most conservative plan, the total US debt explodes from 14.2 trillion (accumulated after 222 years of being a nation) to what will likely be 28.4 billion in just another 10 years.

The SECOND BIG LIE is that the government will run out of money on August 2, 2011. There is plenty of tax revenue in the till to pay the interest on the national debt, plenty of money. Most likely, if the debt ceiling is not raised by August 2nd, the Obama administration will choose not to pay certain bills for political purposes, much like certain Democratic governors in Virginia have closed the DMV and interstate rest stops. This is done deliberately "to piss  people off" such they will cry "do something."

 

The THIRD BIG LIE is that a temporary default in national debt instruments is necessarily a bad thing. Assume you own a $1,000 bond from ABS Widget, Inc. ABC borrows 43% of all of its expenses every year and is by any manner of GAAP accounting insolvent and technically bankrupt. Which would you rather have happen: 1) ABC delays a $1.50  interest payment for a short while, but drastically restructures itself, such that it lives within its means and does not have to borrow money to meet its obligations, or 2) ABC sells more bonds, such that it can pay the interest on its old bonds, greatly increasing its already unsustainable debt? Isn't this what Bernie Madoff did?

Bernie Madoff

If you answered # 1, you possess 150 more IQ points than the average member of Congress and the idiot talking heads in the media. Through short term temporary pain, a problem that absolutely has to be fixed is fixed, as opposed to #2, where you get a $ 1.50 coupon on your $1,000 bond, but your $1,000 bond is almost assuredly going to be worthless in the near future.

In all seriousness, who would you rather listen to? Rob who is always Right, or crooked, lyin, thievin politicians who are always wrong?

YOU DON'T KNOW "JACK" SON !!!

Richmond, Virginia

 IT IS DAMNED HOT.  It was even hotter 150 years ago  at First Manassas ( Bull Run). The tempature wasn't 102 (as it is today) , but you can bet with mini-balls zipping around, it felt a lot hotter. The first campaign of the War Between the States had begun, and it would be four long and bloody years before it would end. This was the opening salvo in the campaign for Richmond. Washington socialites, dapper gentlemen and fashionable ladies  had followed McDowell's army out of Washington and had planned to picnic while watching the "skirmish."

Stonewall Jackson

At the height of the battle, General Barnard Bee meets General Thomas J. Jackson as he arrives on the field, and states that the enemy is driving his forces back. Jackson's response: "Then Sir, we will give them the bayonet!" Noticing Jackson's resolve, Bee instructs his men to form behind Jackson. "There is Jackson standing like a stone wall. Let us determine to die here, and we will conquer.  Rally behind the Virginians!" We all know what happened next, but what many people do not know, is Stonewall Jackson and Barnard Bee ( S.C.) could have easily been on different sides of the conflict.

As early as April 4, 1861, Virginia delegates voted 89-45 to remain in the Union. This vote was widely supported by the general populace. However, things quickly spun out of control. On April 12th, the South Carolinians fired on Fort Sumter, and Abraham Lincoln who had been president less than 40 days, and did not receive one vote in ten southern states issues an order with disastrous consequences. Lincoln demands that Virginia supply troops to invade the seven seceding southern states. Virginia refuses, her mood changes, and on April 17th, the Virginia Convention reverses itself and recommends secession.  A referendum is scheduled for May 23rd. However, in the meantime, Lincoln takes preemptive steps against Maryland, by sending Massachusetts troops to Baltimore to keep Marylanders from voting for seccession in Annapolis. On April 27th, although Virginia and North Carolina are still in the Union, Lincoln blockades Virginia and North Carolina ports and all maritime commerce. ( Remember the southern tariff provided well over 70% of all revenue to the United States).

James W. Jackson

On May 3rd, Union troops invade Virginia (still in the Union), and occupy Arlington Heights. Union artillery was intended to intimidate the citizenry and to suppress secessionist votes. It didn't happen. On May 23rd, Virginia voted 124, 896 to 20, 396 for secession, a 6 to 1 margin. An invasion of Virginia was already in progress and before the votes were counted Union forces invaded Virginia, seizing Alexandria and vital railroad connections. An Alexandria innkeeper, James Jackson flew the Confederate colors, his home was attacked, he was shot in the face, bayoneted and pushed down the steps. Virginia was horrified, outraged and now resolved to be in the fight.  It now had a martyr and a reason to fight.


MY POINT IN TELLING THIS STORY is history is a lot more complicated, interesting  and nuanced than the simple minded pap the NEA teaches our children. Virginia was a huge state with the South's largest population and most diverse economy. Had she stayed in the Union, perhaps the constitutional crisis over secession would have been settled without 600,000 deaths. Lincoln's actions flipped Virginia to the other side. Did Lincoln make good decisions?  I am not sure, but one thing that is for sure is  HISTORY  provides us with our only  roadmap on how to assess the future, but it is a faulty map if it is dumb downed, politicized and not taught and discussed in a thorough manner. 



 





LITTLE GIRLS AND TREE ELVES

I was going to write a mean and snarly blog today, primarily because it is my nature to be mean and snarly. When I was pulling in the driveway today, I was frothing at the mouth, chomping at the bit, couldn't wait to caustically opine about the numnuts in Washington, but then something happened. I walked through the front door and my little neighbor Turner, aka T-BIRD (picture above) had left me a really nice note and some artwork. She drew lots of flowers of all different colors. Turner is 5 years old, and she is my bud. What struck me about the instance is how it immediately changed my mood. You see, I am mean as a snake, bad tempered and surly. I have always been fascinated by "nice" people. I don't get it, what makes them tick? Turner has a big heart. Later on she made me a hankerchief and brought it over and said "if ever I have to cry, she wanted my tears to fall on something pretty." Later still, she came over and showed me some of her ballet moves. Today she stayed an extra long time, she has been at the beach for several weeks, and she told me she missed me. For whatever it is worth, somehow and I don't begin to understand it, Turner's visit made me less mean and surly.

I have elves that live in the two huge oak trees in my front yard. Turner and her brother Ford (also my bud, pictured to the left) are fascinated with my elves, although I think they are a royal pain in the BEE-hind. (They are always jabbering on in those squeeky little elf voices, and they flat out get on my nerves). Sometimes on Saturday afternoon, usually around 6:00, the elves leave Ford and Turner cookies under the tree. Usually Ernie, the Head Elf, will place a note in the cookie bag and vent his frustrations about living with grouchy old Mr. Smith and lament about what a curmudgeon he is. (The elves have a secret passage that comes up through my seldom used oven and are constantly playing tricks on me, short-sheeting my bed, the ole salt shaker trick, etc.). Ford thinks it's oh so funny, he always roots for the elves, but not T-BIRD. She walks right up to the tree, wags her finger at it, and assertively states to the elves inside, "to be nice to Mr. Smith!" Turner always has my back. She is my homegirl.


I think I will wait until tomorrow to be mean and surly again. Thanks T-BIRD!

HEAVEN

I have been feeling sluggish the last two days and fell asleep this afternoon and had a strange dream. I think I dreamed about heaven, because everything seemed to be ......well...... perfect.

I was sitting in a big ole Lazy Boy in the Moose room at St. Anthony Hall, watching pro football, drinking a cold, frothy Budweiser. Surrounding me, fanning me and rubbing their fingers through my hair was the whole North Carolina Cheerleading squad. That damn goat they have, Ramses was in the room and everytime I

would finish a beer, I'd toss the can to Ramses and he would eat it. Cool! The Chapel Hill cheerleaders were all telling me how wonderful, smart, erudite and athletic I am. Not bad......., but it got better.

The Baltimore Colts were playing the New York Jets in the Super Bowl. Johnny Unitas had just thrown a 99 yard touchdown pass to Raymond Berry (on a rope) and the Colts were winning 113-0. After the game, Joe Namath was interviewed and he was wearing diapers and cried like a baby. After the game, I flipped the channel to ESPN Classics and watched Scott Sisson's last second 1990 field goal attempt in Charlottesville sail wide right.

The dream continued, Ronald Reagan had been president for the past 100 years. I found myself at a state dinner with the Gipper at my table. Also at our table was Peter Griffith (of Family Guy), Will Ferrell, Winston Churchill, Grace Kelly, Austin Powers, Andy Griffith (no relation to Peter), James Brown,

Claudia Schiffer and my boyhood dog, Moonshine who had on white tie and tails and was waxing eloquently about the glory of Rome, quoting Gibbons from memory. The Chapel Hill girls were lighting our cigars and bringing us brandy.

Later I was in the bosum of my family, watching the sun set over the Rappahannock River on the front lawn of my 300 yr old, 36,000 square foot country home, "Robovia." My son, the Rhodes Scholar and star NBA player was tossing beer cans to Ramses, and my two beautiful daughters, who had not married Yankees (a father's greatest fear) were taking turns reading Tennyson with Moonshine.

In the distance, down on the pier, Al Green was crooning "Let's Stay Together" with the Carolina cheerleaders singing backup and swaying to each synapse of melody. As the rhythmic waves lapped up on the beach, a leeward breeze carried the sweet smell of honeysuckle into our senses.
Was this heaven? What else could it be?

HAPPY JULY 5TH !!!

Oh, I know what you are saying, "Smith, you made a typo, you meant Happy July 4th." No I didn't. On July 4th, 1776 our forefathers stuck their middle finger in the face of the most powerful sovereign in the world and said "EAT ME." July 4th was filled with flowery language and fireworks, July 5th was when the real work began and it was a long day, lasting until September 3, 1783.

Our liberty loving founding fathers pledged their "lives, fortunes and sacred honor" for a set of principles and ideals, that sadly we have forgotten in modern day America. Of the 56 signers of the Declaration, 5 were captured by the British and tortured before they died. 9 died from wounds and other hardships suffered during the War. 12 had their homes ransacked and burned. 2 lost their sons in battle. Many had their homes looted by the Redcoats. Here in Virginia, Carter Braxton's merchant ships were captured and seized by the British Navy, he died penniless.

At Yorktown, Thomas Nelson, Jr.'s home was commandeered by Cornwallis and his staff. Nelson quietly urged Washington to open fire, his family's home was destroyed and Nelson died bankrupt. Right here at the end of Wilton Road, along the banks of the James River in Richmond, many of the homes in my neighborhood are purported to be haunted, due to local militia skirmishes with British raiders who burned Richmond in 1781. The City could have been saved, but the Virginians refused to negotiate with Benedict Arnold, a traitor.

What is striking about these "revolutionaries" is they sacrificed everything over what today appear minor or even trivial deprivations of liberty compared to the burdenous yoke that modern day Washington has shackled the individual citizen. The Tea Act of 1773 was not a new tax, it actually lowered the price of tea in the colonies. The Tea Act was designed to prop up the faltering East India Company, giving it a monopoly status in America. You see, the East India Company was "TOO BIG TO FAIL." The stockholders, who had acumulated vast wealth and sprawling estates through their political connections had a permanent lobby in Westminster. Does this sound eerily familiar with the way modern Washington works?
Our Founding Fathers made no dictates or demands on their own government, they simply said "leave us alone." Let us engage in voluntary transactions and run our lives as we see fit without having to kiss the ring of petty bureaucrats sent to us from London.

Friends, a violent tempest may yet be brewing. Let us remember the sacrifices of our forebearers, as well as those words emblazoned on the great Seal of Virginia:

Sic Semper Tyrannis.