Fiscal Watch

Quote: On Destruction of Capitalism

Vasko Kohlmayer — Sat, 05 Sep 2009 11:16:03 +0000

Contrary to the vulgar belief that men are motivated primarily by materialistic considerations, we now see the capitalist system being discredited and destroyed all over the world, even though this system has given men the greatest material comforts.

Ayn Rand

Quote: Capitalism and Political Freedom

Vasko Kohlmayer — Sat, 05 Sep 2009 11:10:31 +0000

History suggests that capitalism is a necessary condition for political freedom.

Milton Friedman

Lying about the Debt

Vasko Kohlmayer — Sat, 05 Sep 2009 10:34:34 +0000

I have an article at Frontpagemag.com in which I show how the Obama administration has hidden the true size of our national debt in its Mid-Summer Review. Most people will be shocked to learn that our national debt will exceed 100 percent GDP within two years and it will continually growing thereafter. These are the figures that I extracted from the Mid-Session Review:

	2009	2010	2011	2012	2013	2014	2015	2016	2017	2018	2019
Gross Domestic Product (GDP)*	$14.116	$14.442	$15.123	$16.021	$16.997	$18.011	$19.016	$19.983	$20.944	$21.890	$22.857
Total, gross federal debt**	$12.212	$14.087	$15.276	$16.388	$17.509	$18.646	$19.772	$20.930	$22.095	$23.272	$24.505
Debt as % of GDP	85.8%	97.5%	101.0%	102.2%	103.0%	103.5%	103.9%	104.7%	105.4%	106.3%	107.2%

You can get full analysis in the article.

A Failure of Capitalism?

Vasko Kohlmayer — Sat, 05 Sep 2009 10:10:48 +0000

John Browne has an article on Euro Pacific in which he tackles the claim frequently made by our politicians the presents economic present represents a failure of capitalism. Opposite is, in fact, the case:

No, this crisis is not a failure of capitalism, but the result of a sustained attack upon our capitalist system. If we allow it to be used as a pretext for more government control, we will endure a ‘lost decade’ like the 1990s in Japan.

What is happening now all around us is the result of many years of government intervention in all aspects of our economy. Concludes Browne:

It takes years to dissect the myriad ways in which the federal government cripples the economy. After all, politicians spend most of their time obscuring their true intent. Do your own research if you have the time and interest, but at the very least, do not uncritically accept the party line. Capitalism is to blame for the government’s financial crisis like a house is to blame for an arsonist setting it aflame. Congress, the Executive, and especially the Fed, have meddled in the market with impunity for thirty years. Now that the consequences – about which they were fairly warned – have brought our economy to its knees, don’t let them shift the blame.