The Coming Entitlement Meltdown

[libertyman]

The Coming Entitlement Meltdown
by Ron Paul

David Walker, Comptroller General at the Government Accountability Office, appeared on the show “60 Minutes” last evening to discuss the federal budget outlook. If you saw the show, you know that he painted a very sobering picture regarding the federal government’s ability to meet its future obligations.


If you didn’t see the show, Mr. Walker’s theme was simple: government entitlement spending is like a runaway freight train headed straight at American taxpayers. He singled out the Medicare prescription drug bill, passed by Congress at the end of 2003, as “probably the most fiscally irresponsible piece of legislation since the 1960s.”


When it comes to Social Security and Medicare, the federal government simply won’t be able to keep its promises in the future. That is the reality every American should get used to, despite the grand promises of Washington reformers. Our entitlement system can’t be reformed – it’s too late. And the Medicare prescription drug bill is the final nail in the coffin.


The financial impact of the drug bill cannot be overstated. Government projections that the program would cost $400 billion over the next decade were a joke, as everyone in Congress knew even as they voted for the bill. The real cost will be at least $1 trillion in the first decade alone, and much more in following decades as the American population grows older.


The Medicare “trust fund” is already badly in the red, and the only solution will be a dramatic increase in payroll taxes for younger workers. The National Taxpayers Union reports that Medicare will consume nearly 40% of the nation’s GDP after several decades because of the new drug benefit. That’s not 40% of federal revenues, or 40% of federal spending, but rather 40% of the nation’s entire private sector output!


The politicians who get reelected by passing such incredibly shortsighted legislation will never have to answer to future generations saddled with huge federal deficits. Those generations are the real victims, as they cannot object to the debts being incurred today in their names.


MORE (http://www.lewrockwell.com/paul/paul372.html)

[DoctorDoom]

Politicos see nothing beyond the next election, and they'll be dead before the fit hits the shan. Ergo they don't care.

A democracy cannot exist as a permanent form of government. It can only exist until the voters discover that they can vote themselves largesse from the public treasury. From that moment on, the majority always votes for the candidates promising the most benefits from the public treasury with the result that a democracy always collapses over loose fiscal policy, always followed by a dictatorship.
-- Alexander Tytler (attributed)

Regardless of who said or wrote it, it's the spot-on truth. Once the people discover that they can get handouts from the government rather than working for a living, they become social parasites. They will vote for whichever politician promises them more. 2006 was stark evidence for it. Traitors were elected because they promised bigger government. And millions of Mexican leeches violated our nation's laws in order to come here and attach their blood-sucking mouth parts to the economic arteries of our country, while the fedgov did nothing to stop them and indered encouraged them.

America is dying as a free, prosperous country. And we know exactly whom to blame when it perishes.

[libertyman]

Politicos see nothing beyond the next election, and they'll be dead before the fit hits the shan. Ergo they don't care.

Absolutely...but I feel a tinge of guilt 'cuz I allowed myself to become part of the Welfare State: I am on Social Security Disability 'cuz I am legally blind & have epilepsy (as a matter of fact, I have another eye doctor appt. tomorrow). After hearing a lot of wailing & gnashing of teeth by my family (& especially my worry-wart mom), I gave in to their begging me to go on Disability....& I'm absolutely embarrassed about it.

[DoctorDoom]

Good sir, you're a far cry from the multi-generational welfare families whose only work is getting into their new cars and driving to the package stores for cases of beer to drink while watching sports on their 42" plasma screens.

There's a fundamental difference between a need and a want. I have no qualms whatever about a person like you receiving assistance. God bless you!

[MrSanity]

I'd agree with Doom - the government should be doing a better job of making sure that those who NEED help get it, but those who LEECH should be cut off from welfare.

[buckeyepete]

To quote libertyman:

Absolutely...but I feel a tinge of guilt 'cuz I allowed myself to become part of the Welfare State: I am on Social Security Disability 'cuz I am legally blind & have epilepsy (as a matter of fact, I have another eye doctor appt. tomorrow). After hearing a lot of wailing & gnashing of teeth by my family (& especially my worry-wart mom), I gave in to their begging me to go on Disability....& I'm absolutely embarrassed about it.

Sir, you have my utmost respect and admiration.

My wife had a massive stroke in August of 2005, and it took me seven months to get her on Social Security Disability. She was awarded $716 a month benefits, which was NOT retroactive to the Date of disability. Her 'benefit' comes nowhere near covering her medical expenses we pay out of pocket. ( Three physical therapy visits a week at $25 co-pay, co-pays for a nurologist, internal medicine doctor, blood work, lab test, at this time 16 and sometime 18 prescription medicines at $10 to $45 each.) And, there's milage for all these trips.(4223.8 miles for 2006).

She's 60 years old, and worked all her life. She has paid her dues, and has been left a cripple. My son and I have to do everything for her.

I totally agree with Doc Doom and MrSanity.

The next time you see an article about the next "robots to Mars project", just remember that even though you need the help and get screwed at every turn by the burocuracy, Social Security Reform is just around the corner.:finger:

..........Phuck Mars, the Moon, Global warming, Iraq and all the other bullshit. Lets take care of are seniors, and the TRULY needy.

Embarassed, guilty? NO, Mr. Libertyman. You love your country, and now it's time your country loves you.

Though I'm not of the religious persuasion, I offer you my heart and best wishes. You can beat this .

Pete

[Wolfcounsel]

The differences between a welfare bum and someone who needs welfare are 180 degrees apart.

[libertyman]

<blink>THANK ALL OF YOU</blink> for your compliments, prayers, & support, but as a person who looks @ this issue (in addition to all the others) from a constitutional standpoint, I have to say that I am embarrassed that I have to feed from the federal trough like someone who refuses to take responsibility for themselves.

The fact of the matter is that there is NOTHING in the Constitution that gives the Feds the authority to be involved in helping the poor, aged, handicapped, lazy, etc.--including when that includes yours truly: the Founding Fathers spoke out against it several times, & up until the 20th century (I would assume), most Presidents followed in the path that the Founders laid out.

THIS ARTICLE (http://www.jbs.org/node/1517) makes this case very clear, that the federal government is not a "charity provider"....& also, THIS SPEECH (http://constitution.org/cons/crockett.htm) by none other than Davy Crockett spells this out as well. I hope that y'all will take the time to read both of them, even if you've done so once already.

I think that it is safe to say that the federal government could do its limited constitutional duties w/ a budget of less than $1 trillion...will President Bush be the 1st to have his budget pass the $3 trillion mark? That is absolutely shameful, & IMO, everyone who calls themselves to be a "conservative" should be hooping & hollering about this (& not to mention our national debt, which now is approaching $9 TRILLION--& climbing!!!), as reported by THIS NATIONAL DEBT CLOCK (http://www.toptips.com/debtclock.html).

BTW, isn't most of our national debt going to Communist China, who, IMO, is an enemy of the US?

[Wyatt_Junker]

I'd agree with Doom - the government should be doing a better job of making sure that those who NEED help get it, but those who LEECH should be cut off from welfare.

Or, third option, the Fed could just get out of the business entirely.

[Wyatt_Junker]

My wife had a massive stroke in August of 2005, and it took me seven months to get her on Social Security Disability. She was awarded $716 a month benefits, which was NOT retroactive to the Date of disability. Her 'benefit' comes nowhere near covering her medical expenses we pay out of pocket.


Which illustrates the ineffectualness of SSI.


She's 60 years old, and worked all her life. She has paid her dues, and has been left a cripple. My son and I have to do everything for her.

And may God bless you for it.

And just think, at 60, worked hard her entire life, what if those 'dues she paid'(some taxes, some not) were given back to her the entire time instead of robbed her by force from the state? And just think, if she had the freedom to invest for her own future instead of the FED ponzi scheme? Instead, she was forced to pay into a wrecked system that takes every dollar you throw at it and gives you back a dime 30 to 40 years later. They take a dollar and give you back a dime at the point of a gun. Thanks FDR. Thanks... a lot.

Social Security is a moral crime.

[buckeyepete]

Thanks, Wyatt, we appreciate your concern.

And just think, even being Social Security Disability, some of that is taxable income. They tax DISABILITY income! I was told by the SSA office, when I applied for Wanda, that Disability was not taxable and was retroactive to the date of disabilty. Bullshit. It wasn't retro, and guess what happened when I made the taxes out this year. You guessed it. After they do all the vodoo that they do, only about 1/3 was non-taxable. That was a real kick in the ass.

Libertyman, if this is your first year on it, do some checking. But, just remember, social security reform is just around the corner.

[Lazarus]

Liberty, its their system - They set it up... There is nothing at all wrong with accessing Social Security under legitimate claims - I fully intend to ask for MY MONEY back when I reach the appropriate age... As long as we have this albatrose around our necks, I expect the government to honor the commitment they have forced us into...

If they are gonna feed millions who can work but wont, they damned well better honor their promise to those who have contributed to the maintenance of this nation... That means you...

Never be ashamed of accessing Social Security... Your claim is legitimate...

[DesertFox]

I don't know anybody who begrudges folks with legitimate disabilities some help. I don't. Not even Wolfcounsel does. :evilgrin:

[MrSanity]

Or, third option, the Fed could just get out of the business entirely.That could be hard to come by.

Those living on disability would probably starve to death.

[Republican_Legion]

That could be hard to come by.

Those living on disability would probably starve to death.

Makes me wonder what would happen to the down syndrome people and ones that cannot not physically/mentally work due to a medical condition.

Things have changed. Having mental illness 200 years ago you could do more career wise in terms of Military service and other careers.

Growing up with a mental condition I have to say that theres alot of BS red tape from the federal goverment on how they get things done in the education department.

[Beowulf]

Don't feel ashamed or embarrassed about your current situation. You, Sir, are an example of how the system SHOULD work, someone who is in need but can and will help themself. A majority of those riding the welfare rolls are the exact opposite as they just hold their hand out at the beginning of each month for their payout.

Libertyman, you have my respect and my admiration as well. So long as you always are willing to try, you always will. If you're ever in my neck-of-the-woods, I owe you at least a drink.:thumb: