Monday, October 27, 2008

Seen this Movie Before...?

I Think I've Seen This Movie Before...

The $700 billion financial services bailout, with its attendant $150 billion in "sweeteners" a.k.a. pork, has been in place for only a couple of weeks. But now something interesting is starting to happen...

You Have Your Tax-eaters and Your Tax-payers...

One of the things I learned in my six years in Lansing is that the population of Michigan can be divided into two groups: those who pay taxes into the state treasury and those who withdraw tax dollars out of the state treasury.

Those who pay in (the large majority) do not have much representation in Lansing, a.k.a. lobbyists. They can't afford it. The groups who benefit from the largesse of government have a great deal of representation. They can afford it because they use some of the public money they receive to hire the lobbyists. Nice deal, huh?

The attached story is instructive. It tells what happens when the government hangs out a sign that says. "Free Money." Well, OK, this money isn't totally free, but nonetheless, everybody wants a piece of the action. This is the danger of Washington giving out low interest loans to certain distressed industries. Others raise their hands and say, "me too!" Can you blame them?

We are over $10 trillion in debt, having added $1 trillion in the last month alone. We are bankrupting our future and putting our descendants in serious financial jeopardy. When will the demagogues in Washington stop trying to make everyone in America into a dependent?

"Companies Start Competing for Bailout Money"

WASHINGTON (AP) - The bailout is now the hottest lobbying game in town.
Insurers, automakers and American subsidiaries of foreign banks all want the Treasury Department to cut them a piece of the largest government rescue in U.S. history.

Read full article here.

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