Welfare-Warfare State

‘Are We Rome?’ Was A Questioned Asked and Answered Long Ago

"The US hunts down and kills very many innocents abroad by drone. It’s a bit of a sport—so much so that decadent New Rome has even established a 'new medal that honors drone pilots and computer experts' for their long-distance killing prowess. War-time slaughter has just been industrialized, streamlined, made more efficient in our times. Compare the demographic and economic indices of countries the US has invaded—for their own good, of course, but without their consent—before and after the 'merciful' intervention. The latter-day Rome has mechanized the warfare-state’s killing and has refined its propaganda wing to an art." Continue reading →

Continue Reading‘Are We Rome?’ Was A Questioned Asked and Answered Long Ago

Daniel Hannan on Statism and Detroit: My Analysis

"In December 1991, one block from my home, a man twice my size tried to stuff me into the back of a Chrysler New Yorker that was occupied by three other co-crazies blanked out on dope. My husband and I packed our bags and left the city the following spring. After ten years, we were done with The Experiment. The Marxism, crime, anti-white racism, tax rates, and lack of stable neighborhoods chased us out of town. In reality, the city died in 1967, with the riot that changed the city for decades. The decomposition occurred immediately thereafter. My father, a firefighter, worked a 72+ hour shift during the riots, putting out fires while being shot at by rioting civilians." Continue reading →

Continue ReadingDaniel Hannan on Statism and Detroit: My Analysis

Will Globalism Invade the US via its Cities? The Daily Beast Thinks So

"In New York, an urban area as blighted and tenuous as any, infrastructure is crumbling and the only growth industry, from what we can tell, is expanding regulation. This is one of the major cities in the world but you can't buy a large-sized soft drink or enjoy an indoor cigarette, or request eggs dabbed with trans-fat. Detroit? The city is getting ready to pay bondholders pennies on the dollar. Chicago? Drudge just posted a report on the alarming rise in shootings and murders in the 'Windy City.' All major US cities are surely in disarray to some extent. How could they not be? The same recessionary trends afflicting Fedgov are active at a local, urban level as well." Continue reading →

Continue ReadingWill Globalism Invade the US via its Cities? The Daily Beast Thinks So

Detroit’s City Pensioners Finally Figure It Out After 40 Years: No Pensions.

"Fiscal conservatives have said for years that this was inevitable. We were dismissed as crackpots. The red ink could flow forever, we were told. 'No problem!' They say the same thing today about the federal government. The suckers line up for jobs with the federal government, with its fat pensions and unfunded liabilities. The result will be the same: default. Cities can do what individuals do: run up large bills, and then declare bankruptcy. The voters will shrug off 20,000 pensioners who lived in a fantasy world all their lives. They are no longer politically viable. They are merely a tiny voting bloc that has no money to give to campaigns." Continue reading →

Continue ReadingDetroit’s City Pensioners Finally Figure It Out After 40 Years: No Pensions.

Public Sector Pensions Are a National Issue

"Paul Krugman and Dean Baker took the Washington Post editorial page to task yesterday for stating that unfunded state and local pension liabilities amounted to $3.8 trillion. They accuse the page of misquoting a study in which the total was cited as only $1 trillion. Currently, standard practice measures the funding status of public pensions in the US under the laughable assumption that every dollar in the pension funds will earn compound returns of 7.75% or 8% per year. That’s the basis for the $1 trillion in unfunded liabilities. If unfunded liabilities are $1.0 trillion under an 8% rate, then they are $3.4 trillion unfunded under a 4% rate." Continue reading →

Continue ReadingPublic Sector Pensions Are a National Issue

Public Sector Pensions Are a National Issue

"Paul Krugman and Dean Baker took the Washington Post editorial page to task yesterday for stating that unfunded state and local pension liabilities amounted to $3.8 trillion. They accuse the page of misquoting a study in which the total was cited as only $1 trillion. Currently, standard practice measures the funding status of public pensions in the US under the laughable assumption that every dollar in the pension funds will earn compound returns of 7.75% or 8% per year. That’s the basis for the $1 trillion in unfunded liabilities. If unfunded liabilities are $1.0 trillion under an 8% rate, then they are $3.4 trillion unfunded under a 4% rate." Continue reading →

Continue ReadingPublic Sector Pensions Are a National Issue

Detroit’s City Pensioners Are Wiped Out.

"This is the thing about impossible obligations. They get abandoned. This confirms economist Herbert Stein’s law: 'When things can’t go on, they have a tendency to stop.' A year ago, the experts denied that anything was wrong. Yes, there were 'problems,' but nothing that could not be fixed. 'Bankruptcy? Are you serious? Of course not. There is no possibility of that. Such talk is inflammatory. Perish the thought.' That’s what politicians always say . . . right up to the end. The pensioners will have to go back to work. They will be covered by Medicare only. They believed the politicians. They invested their working years in terms of promises made by politicians." Continue reading →

Continue ReadingDetroit’s City Pensioners Are Wiped Out.

101 Million Americans Received Food Aid Last Year

"Nearly one-third of Americans received government-funded food aid in 2012, according to a new report from the U.S. Department of Agriculture (USDA). There are roughly a dozen federal food assistance programs operating today. The USDA reports that 59 percent of households that participated in one of the four largest food assistance programs—food stamps, school breakfasts, school lunches, and WIC—end up receiving benefits from 'two or more programs.' This indicates significant duplication, 'providing participants total benefits in excess of 100 percent of daily nutritional needs.'" Continue reading →

Continue Reading101 Million Americans Received Food Aid Last Year

Detroit Declares Bankruptcy; Citizen Layoffs Begin

After decades of mismanagement, decay, and taxpayer flight led to one of the largest municipal bankruptcies in U.S. history Friday, city officials have begun circulating notices informing citizens that their continued residence would no longer be required. "Look, there's really no need to spell out what everyone knows: Detroiters are a net drain on the Detroit economy," said city emergency manager Kevyn Orr. "The city services they consume cost far in excess of what they can afford. The sooner we complete this restructuring, which will unfortunately require a significant reduction in headcount, the sooner we will be back on track as a city." Continue reading →

Continue ReadingDetroit Declares Bankruptcy; Citizen Layoffs Begin

City of Detroit Files for Chapter 9 Bankruptcy

"If the Chapter 9 filing is approved, Detroit’s case would be the largest municipal bankruptcy in the history of the United States. The tax base has been destroyed. Detroit lost a quarter-million residents between 2000 and 2010. A population that in the 1950s reached 1.8 million is struggling to stay above 700,000. Much of the middle-class and scores of businesses also have fled Detroit, taking their tax dollars with them. Likely those holding any of the $11 billion in unsecured debt will get next to nothing. Per person, the debt of the U.S. government ($54K/person) is about twice as large as the debt of the City of Detroit ($26K/person)." Continue reading →

Continue ReadingCity of Detroit Files for Chapter 9 Bankruptcy