Is Our Government Illegitimate?

“Do not separate text from its historical background. If you do, you will have perverted and subverted the Constitution, which can only end in a distorted, bastardized form of illegitimate government.” – James Madison

The writings of our forefathers were certainly prescient. With the quote above in tow, one only needs to look at the commerce clause of the Constitution to see what happens when the historical background is not taken into account.

The sixteen words that make up the commerce clause have been used to shift the balance of power from the people and the states to the ruling class and the imperial federal government. The most recent examples of this are the recently enacted health care and financial reforms recently enacted by congress and the president. These legislative acts would not have succeeded in the early days of our republic when the words of our founders resonated in ears of its citizens.

Why do they suceed today? You don’t have to look any farther than the elementary and high schools of today. Our children are no longer educated in the founding principles of this country, the words of our founders, or a thorough reading of our founding documents. Instead, our children are taught about the New Deal era of government portraying the federal government as the righteous great provider. The problem is that the government can’t provide for one without taking from someone else.

Our rights, liberties and wealth are what have been taken. This government continues to enrich and empower itself and its benefactors with more of our money. There is no recession in Washington, D.C. In fact, there is no economic suffering if you’re employed by the imperial government. They continue to see their salaries, benefits and pensions grow all on the backs of fewer and fewer taxpayers. This government spends well beyond its citizens’ ability to repay this debt.

The only logical design of such a policy is to ensure the redistribution of wealth through taxation from the upper and middle classes to the imperial government and its beneficiaries. The imperial government creates the circumstances of the crisis, and acts as the benefactor to the citizens impacted by the crisis thereby cementing into these beneficiaries’ minds the righteousness of the imperial government. In fact, it is the taxpayer that provides this charity, but, rather than receiving credit, the taxpayer is demeaned by the imperial government as having attained his wealth through nefarious means.

It is the imperial government that is using nefarious means to divide and conquer the people of this republic. The use of the commerce clause in this pursuit certainly wouldn’t stand when viewed in its historical context.

This federal government is illegitimate.

Job Creation

Why do politicians promise to create private-sector jobs when they aren’t the ones who hire people in the private sector? How can a politician actually create a private-sector job? These are questions I ask people I know and people I run into. Their answers really demonstrate how little the average person knows about economics.

You’re seeing headlines in the MSM and quotes by the ruling class ridiculing corporations for holding vasts amount of cash and not spending it “to create jobs.” The answer is easy. To find the answer, don’t look at earnings reports showing glowing EPS growth. Instead, look at revenue and see if a companies’ top line is growing. If the company’s top line is not growing, i.e. more customers to serve, why would the business add costs?

The answer is: a business wouldn’t. 

What is the reponse by the ruling class and MSM? Increase taxes on corporations and the rich because they can afford it.

Is their an answer that will cause businesses to increase their spending? Cut the size and scope of federal, state and local governments. Cut the regulatory burden (regulations only help governments and government employees).

The key words associated with the answer are cut anything government.

America in Decline

MARK STEYN has an article that hits home many things about the U.S. Read the whole thing.

Many of us fear the debt burden and its impact on our competitiveness worldwide. We’re mortgaging the future of the country class to pay for the sins of the ruling class.

Will we take our first step in stopping this on November 2nd? I don’t know, but if we don’t, we’re finished.

Juan Williams v. NPR

I have always like Juan Williams. Despite the fact he is a liberal (and wrong), I always enjoy reading his writings and watching him debate conservatives. Can you believe that NPR terminated his contract for simply stating his opinion on Fox News.

You always hear that conservatives don’t want debate, if conservative are elected, there go our rights, etc.

Well, it certainly seems from all the trash on the curb that NPR has been trying to stiffle the opinions of Juan for quite some time. I thought NPR was for free speech and open debate. I guess not. It is quite telling that NPR fires Juan the day after it is reported the Soros gave them a large sum of money.

I certainly hope that Justice investigates this silencing of free speech by NPR. Maybe, that will mean the end of our funding of this fraudulent conveyor of  free speech. The reality is, NPR is one more liberal organization trying to silence everyone who disagrees with them.

Not something our tax dollars should support.

States v. Washington, D.C.: Is it time for the divorce?

I’m a devot federalist. I have been since I came of voting age during the Reagan administration. I have firmly believed my whole life that the problem with the country is the concentration of power in Washington. It is there that the complex web or laws, regulations, administrative rules, etc. are enacted upon the people and businesses in the country. It is also there where members of the ruling class exempt themselves from very rules and regulations we must live under. They continue to provide themselves with benefits in excess of the value they deliver to us.

Many of the states are controlled by the same mindset that controls Washington, i.e. we, the government, will provide for all of your needs and wants. However, those of us in the country class know that this enabling cannot continue without severe ramifications to the economy and the American culture.

Our country is built upon the rock of self-reliance. We provide charity to those in need, but this charity is (and should be) provided outside of the control of government. Once the government controls charity and provide the majority of the people the very sustenance required to survive, we will have lost the culture war and the nation.

The current ruling class seems bound and determined to ensure we lose the America we were suppose to be. Due to that, I believe it’s time for a divorce. The only question seems to be: Will this be a peaceful or violent divorce? Either way, I’m in.

How to get out of this economic mess?

Well, it certainly seems like the Fed has decided the only real way to get out of this mess is through inflation. With the dollar in a free-fall and no support at all from any of the usual suspects, it appears that the Fed and the administration are happy with this decline.

Perhaps, they are thinking that the dollar’s free-fall will stoke foreign demand for U.S. products. What they seem to forget is the fact that we import most of what goes into the products we manufacture here. Therefore, you’re inflating the cost of the goods to be sold thereby increasing the sales price and taking away any price advantage a falling currency value might have provided you.

At this point, the only thing inflation will do is to bring back memories of the Carter years and stagflation.

Accountants: Has the FASB outlived its usefulness?

As a CPA, I endeavor to keep up to date on the lastest and greatest from the rulemaking bodies, i.e. the SEC and the FASB. As the accounting standard setting bodies try to move U.S. GAAP towards international standards, one thing is becoming very clear. The FASB, like the current administration in Washington, doesn’t listen.

Similar to the professorial clique currently running the Obama administration, the FASB (and the IASB the standard setters for international standards) are full of people who have never had to implement a standard and would not know how to book a journal entry into a set of accounts if they had to. Not really listening to your constituents is a bad thing. Look at Obama’s approval numbers since his steamroll on health care.

I believe a similar thing is starting to happen with accountants. If we, the practictioners, don’t believe in the accounting fictions being created, how can we do our job. How can you sign a certification required by law on an SEC document that says you have reported numbers correctly when you don’t believe the underlying standards are correct?

One way is to get rid of the FASB and have the feds develop the accounting standards we use. While this might seem like a bad move, I know I can influence a politician and get him to listen. I wish I could say the same for those at the FASB.