Tuesday, October 1, 2013

Shutdown is Sequester with Conservative Flavor

So, here we are in a federal government shutdown. I saw that coming but am surprised that the DJIA is up.

I think the liberals are hoist by their own petard; by refusing to negotiate, they have actually cut government spending by a lot more than a deal could have produced.

How much?

With 800,000 federal employees furloughed at an average pay of $66,000/year ($254/day), the shutdown saves $203 million/day. This assumes that congress won't vote to restore back pay like they did the last time; they should not.

If we assume that the shutdown will persist through the debt ceiling expiration on the 17th, we'll have saved nearly enough to fund Obamacare in 2013 by defunding everything else except the military and the two real entitlements; SS and Medicare; a conservative dream come true.

And the battle of the titans will continue.

When it continues, the ante goes up to $2.4 billion/day since the feds borrow $2.2 billion/day and that will have stopped. In addition, treasuries will become less valuable, thus making the national debt smaller.

Liberals have trouble with arithmetic outside of opinion polls.

Conservatives watch the dollars; they rightly believe that they belong to those who earned them whereas liberals believe that the dollars are all theirs. Liberals want their fair share; conservatives ask what is your fair share of someone else's earnings?

The President was wrong when he said that "one faction of one party in one house of Congress in one branch of government doesn’t get to shut down the entire government"; they just did. He was also wrong by signing off on Obamacare when he knew that all Republicans and many others were opposed to it; roughly half of the country. He manipulated the anti-Bush fervor and was foolish to believe that it would not hound him like it has.

And the President still has not answered my question (after three attempts) regarding the $50 trillion missing from the Social Security Trust Fund. This tells me that there isn't enough money to satisfy his desire for redistribution; fair share = ALL.

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