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Wednesday, July 27, 2011



 Let see…the country is running out of money, what should we do?  Our politicians have a problem figuring this out.  Don’t they ever run out of money in their personal life?  I majored in Economics about one hundred years ago, plus I have often been in danger of running out of money so I believe I am an expert on what to do when you are running out of money.

The first thing to do when you are running out of money is to get more money.  That is easy.  You take a part time job and or sell shit that you have that you don’t need.  The next thing to do is stop spending on shit you can live without.

Why is this so hard? 

The government equivalent of getting another job is to raise taxes.  The problem with this is there is a limit on how high you can raise taxes the same as I have a limit on how many part time jobs I can handle.  If I am working 18 hours a day I cannot take on another job.  If I did, my productivity would drop such that I would take in less money per hour and would not increase (maybe even decrease) my income.  If the government raises taxes beyond a certain point they decrease workers incentive, and will not increase (maybe even decrease) revenue.

The Democrats want to increase taxes; the Republicans believe this would be the equivalent to taking on part time jobs beyond your limit to be productive.

Who is right? 

The only way to find out is to responsibly raise taxes and see the results.  If revenues increase, then fine.  If not, you can always repeal the increase.  Who should we saddle with the increased taxes?  That is easy, anybody except me!  OR - Whoever will cost the politicians the least votes.  That would be the very wealthy.  The very wealthy would be defined as anybody who makes more money than me!

The next step is to cut expenses.  This is easy.  I would cut out morning coffee at Starbucks, drop HBO on my cable, walk to the store if I can, take a shorter vacation, eat out less, eat in cheaper, quit smoking, quit drinking, drop internet service, eliminate cell phone apps, play less golf, drop out of my bowling league…..Whatever it takes to cut costs to equal my income.  SIMPLE.  Republicans think there is lots of shit in government to cut.  Democrats always believer cuts would be “Draconian”.  They think we are a “sinking ship with no cargo to jettison.” (Mark Twain)   

My experience with cutting costs in the brokerage industry is it was a simple process.  Any costs not directly related to revenue were cut 10-15% across the board.  Every department manager complained that they could not run their operations with the 10-15% cut.  Every department manager took the cut in their budget, and every department manager found a way to process the business without cutting productivity.

People find a way. 

If a person can only jump one foot off the ground and you ask him to jump 14 inches he will tell you “I can’t I can’t.”  Hang a twenty dollar bill fourteen inches above his reach.

People find a way.

Raise taxes, cut expenses, sell stuff we don’t need. 

Do we use all our battleships?  When is the last time we fought with a battleship?  How many nuclear subs do we really need?  Can’t we consolidate offices and sell some buildings? 

Have a freaking bake sale, auction a Senator for a night, run a 50-50.


Democrats are afraid to cut costs as they may lose votes.  Republicans are afraid to raise taxes as they may lose votes.

Trust me, if the country goes bankrupt, if bills are not paid, if our credit rating goes down which would raise our costs and our debt even higher, if the consequences of that is higher unemployment and an extended recession or depression, no one will vote for anyone that even knows where Washington D.C. is!  Every Congressman, Senator, and the President will be heading home, and home will not throw them a parade.

Just cut the crap Republicans, give in a little and increase taxes.  Come on Democrats, cut costs.  There is plenty of bull shit out there to be cut.  Put a brick in every toilet; turn out lights when you leave the room, turn the heat down in the winter and the air up in the summer. 


Just once govern for the country, not for reelection. 

You have seven days to be responsible legislators or to be spoiled little dipshits who take their ball and go home if they don’t get their way.

I keep hearing from politicians “The American People this and The American People that, blah blah blah.”  I tell you this, screw this budget up and the American People will talk for themselves and the talk will be loud, the talk will be ugly, and the talk will last a long time!


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