Best of the Week
Most Popular
1.UK House Prices Momentum Crash Threatens Mini Bear Market 2017 - Nadeem_Walayat
2.Perfect Storm - This Fourth Turning has Over a Decade of Continuous Storms to Come - James_Quinn
3.UK House Prices Momentum Crash Warns of 2017 Bear Market - Video - Nadeem_Walayat
4.Billionaire Investors Backing A Marijuana Boom In 2017 - OilPrice_Com
5.Emerging Markets & Basic Materials Stocks Breaking Out Together - Rambus_Chartology
6.Global Currency Reserve At Risk - Jim_Willie_CB
7.Gold and Silver: Your Stomach Is Probably Wrenching Right Now - The_Gold_Report
8.Warning: The Fed Is Preparing to Crash the Financial System Again - Graham_Summers
9.Basic Materials and Commodities Analysis and Trend Forecasts - Rambus_Chartology
10.Discover Why A Major American Revolution Is Brewing - Harry_Dent
Last 7 days
Bitcoin Hits New All-Time High Over $4,400 As It Catches Paypal In Total Market Cap - 17th Aug 17
3 Psychological Ingredients behind Great Web Content - 17th Aug 17
The War on Cash - Rogoff, Orwell and Kafka - 17th Aug 17
The Stock Market Guns of August, Trade Set-Up & Removing your Rose Tinted Glasses - 16th Aug 17
Stocks, Bonds, Interest Rates, and Serbia, Camp Kotok 2017 - 16th Aug 17
U.S. Stock Market: Sunrise ... Sunset - 16th Aug 17
The Next Tech Crash Could Delay Your Retirement by a Decade - 15th Aug 17
Gold and Silver Precious Metals Nearing Breakout - 15th Aug 17
North Korea Showdown: Pivotal Market Turning Point - 15th Aug 17
Tech Stocks DOT COM Bubble Do-Over? - 14th Aug 17
Deep State Conspiracy or Chaos - 14th Aug 17
From the Trans-Atlantic Axis and the Trans-Asian Axis - 14th Aug 17
Stock Market Intermediate Correction Underway - 14th Aug 17
The Islamic State Jihadi Pivot to Asia - 13th Aug 17
Potential Pivots Upcoming for Stocks and Gold - 13th Aug 17
North Korean Chinese Proxy vs US Military Empire Trending Towards Nuclear War! - 12th Aug 17
Gold Stocks Coiled Spring - 12th Aug 17
Neil Howe: The Amazon-Walmart Rivalry Will Determine the Future of Retail - 12th Aug 17
How to Alton Towers Half Price Discount Entry 2017 and 2018, Any Time, No Pre-Booking! - 12th Aug 17
Top 3 Technical Trading Tools Part 2: Relative Strength Index (RSI) - 11th Aug 17
What Makes Women Better Investors - 11th Aug 17
Crude Oil Price Precious Metals Link in August - 11th Aug 17
Influencer Marketing Predictions All Businesses Should Take Into Account - 11th Aug 17
Really Bad Ideas - Government Debt Isn’t Actually Debt - 10th Aug 17
Gold Sees Safe Haven Gains On Trump “Fire and Fury” Threat - 9th Aug 17
Why Is The Stock Market Not Trading On Fundamentals Lately? - 9th Aug 17
USD/CAD - Can We Trust This Breakout? - 9th Aug 17
New Monthly Rebate to Help Reduce Your Trading Costs - 9th Aug 17
Stock Market Divergences Are Now Appearing! - 9th Aug 17
Is Inflation an issue or did the Fed Mess Up? - 8th Aug 17
Top 3 Technical Trading Tools Part 1: Japanese Candlesticks - 8th Aug 17
Researchers Find $10 Billion Hidden Treasure In A Dead Volcano - 8th Aug 17
What Happened to Thousands of Sheffield's Street Trees 2017 - Fellings Documentary - 8th Aug 17
Solar, Bubble, Banks, War, and Legal Tender: Five Reasons Why You Should Buy Silver Now - 7th Aug 17
CRASH - If Some People Do It, Nothing Bad Happens, But If Everyone Does It, All Hell Breaks Loose - 7th Aug 17
Gold and Silver : The Battle for Control - 7th Aug 17
Precious Metals Sector is on Major Buy Signal - 7th Aug 17
Stock Market - Has Time Run Out? - 7th Aug 17
Get Ready for an Historic Upside Gold and Silver Run - 7th Aug 17
BOOM! Bitcoin Rockets To New All-Time High As Cryptocurrencies Surge Higher! - 7th Aug 17
U.S. Dollar: This Crash Signals the End - 6th Aug 17
Predicting The Price Of Gold Is A Fool’s Game - 6th Aug 17
Asda Sales Collapse and Profits Crash! UK Retailer Sector Crisis 2017 - 6th Aug 17

Market Oracle FREE Newsletter

3 Videos + 8 Charts = Opportunities You Need to See - Free

The 47%, Could Romney Be Right?

ElectionOracle / US Presidential Election 2012 Sep 22, 2012 - 11:23 AM GMT

By: LewRockwell

ElectionOracle

Best Financial Markets Analysis ArticleMitt Romney has conceded that his thoughts, expressed at that Boca Raton, Fla., fundraiser, were "not elegantly" stated. Those mocking him might concede he has tabled one of the mega-issues of our time.

Can America continue down the path President Obama is taking us on, to a time soon and certain when a majority of wage-earners pay no income taxes but a majority of citizens receive federal benefits?


"There are 47 percent of the people who will vote for the president no matter what," said Mitt, "the 47 percent who ... are dependent upon government, who believe that they are victims, who believe the government has a responsibility to care for them, who believe that they are entitled to health care, to food, to housing, to you-name-it. ... These are people who pay no income tax ... ."

What was wrong with this?

One slice of that 47 percent who receive benefits are students who will pay taxes later. A larger slice are retirees on Social Security and Medicare who paid into both programs all their working lives.

But what was right about what Romney said was discerned two centuries ago by that governmental genius John C. Calhoun.

"The necessary result ... of the unequal fiscal action of the government is to divide the community into two great classes; one consisting of those who ... pay the taxes ... and bear exclusively the burden of supporting the government; and the other, of those who are the recipients of their proceeds, through disbursements, and who are, in fact, supported by the government; or, in fewer words, to divide it into taxpayers and tax consumers."

A nation sundered between taxpayers and tax consumers, said Calhoun, "must give rise to two parties and to violent conflicts and struggles between them, to obtain the control of the government."

Is that not a fair description of where we are today?

Sen. Gene McCarthy used to say every citizen has three duties: to bear arms in defense of his country, to vote and to pay taxes. Is it a good thing that this ideal is laughed at, that the draft is abolished, that scores of millions pay nothing in income taxes?

Retired Americans living on Social Security, exempt from taxes because their income is modest, are not the problem.

But in 2010, some 4.4 million Americans were on welfare rolls, 22 million on government payrolls, 23 million were receiving Earned Income Tax Credit checks, 44 million were on food stamps, 50 million were on Medicaid, and 70 million wage-earners were paying no income taxes.

For most of these folks, Obama's Party, which would expand benefits, tax the rich even more and redistribute the wealth, is their party. And understandably so.

By every standard, America is a far more prosperous country than in the 1950s. Yet, then, there were no food stamps. Today, 47 million Americans are on food stamps at an annual cost of $72 billion.

Does it not say something alarming when one in seven Americans cannot rely upon themselves or their families for their daily bread?

During the Chicago school strike, we learned that 86 percent of the 350,000 pupils were getting free or subsidized meals twice a day.

What kind of society have we become when children in a great city cannot rely on mothers or fathers for a bowl of cereal in the morning and a brown bag with a sandwich and apple in it for lunch?

Federal, state and local government together now consume 37 percent of the economy. Can we not see where this is leading us, by looking at Spain or Italy – or California?

In the Golden Land, the state tax burden has been shifted heavily onto the most successful, while state benefits have exploded.

Result: For the first time since California entered the Union, the young and middle class are moving out, not in, heading for Colorado, Arizona, Idaho and Nevada. And California has become the destination of choice for the immigrant poor, legal and illegal.

Yet, the November ballot has a proposal to raise the state income tax on the rich to the highest in the nation, 13.3 percent.

Romney indicated that folks deeply dependent on government are almost impossible for an advocate of smaller government to win over. Is he entirely off base when Washington, D.C., the most government-dependent city in America, went 93-7 for Obama in 2008?

In his 1935 State of the Union, Franklin Roosevelt himself warned about exactly what Mitt Romney is talking about.

"Continued dependence upon relief induces a spiritual and moral disintegration fundamentally destructive to the national fiber. To dole out relief in this way is to administer a narcotic, a subtle destroyer of the human spirit. ... The Federal Government must and shall quit this business of relief."

That greatest generation got off the narcotic of dependency.

Unfortunately, for tens of millions today, that narcotic has become indispensable. And "spiritual and moral disintegration" describes exactly the condition of all too many who have come to rely upon it.

No apologies needed, Mitt.

Patrick J. Buchanan [send him mail] is co-founder and editor of The American Conservative. He is also the author of seven books, including Where the Right Went Wrong, and A Republic Not An Empire. His latest book is Churchill, Hitler, and the Unnecessary War. See his website.

http://www.lewrockwell.com

© 2012 Copyright Patrick J. Buchanan / LewRockwell.com - All Rights Reserved
Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2017 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

Catching a Falling Financial Knife