This is from a CBO report (PDF):

One impact of rising debt is that increased government borrowing tends to crowd out private investment in productive capital, because the portion of people’s savings used to buy government securities is not available to fund such investment. The result is a smaller capital stock and lower output and incomes in the long run than would otherwise be the case.

The effect of debt on investment can be offset by borrowing from foreign individuals or institutions. But additional inflows of foreign capital also create the obligation for more profits and interest to flow overseas in the future. Thus, although flows of capital into a country can help maintain domestic investment, most of the gains from that additional investment do not accrue to the residents.

Which, of course, is what I’ve been pointing out – each dollar borrowed by Uncle Sam is a dollar not available for private enterprise. Thus, less money available to start or expand companies, develop new products, hire new workers. Worse than that, the money borrowed by government has to be paid back by the tax payer with interest – so, not only do we have less money now, we’ll have even less money in the future.

Added to this is the fact that by having foreigners finance a great deal of our national debt, we have become forced – in a very real sense – to turn our mining, manufacturing and farming capacity over to them in order to give them the means of earning the profits with which to finance our debt. That factory an American used to work at? Its in China now so that Uncle Sam could borrow money in order to continue to finance such things as the Department of Labor.

The ultimate solution to this is to balance our budget, pay off our debt and then forbid the United States government from issuing bonds. They are ultimately destructive of American prosperity and American liberty. Balancing the budget won’t be easy – heck, why sugar-coat it? It will be extraordinarily painful – but it must be done.

Starting with a 25% across-the-board spending cut, plus selective shut downs of agencies not tasked with national defense, law enforcement, health care and direct aid to the poor (to make it clear to you liberals – most of what is done at Energy, Labor, Education and Commerce will have to go). If that doesn’t prove enough to balance the budget, then we’ll have to go for tax increases – yes, even in a recession.

Once balanced (and thus on the path to paying off the debt), we forbid the issuance of new debt and start living within our means. We do that, and we’ll rather swiftly return to being an economic power house as debt no longer soaks up America’s wealth…and as foreigners fall all over themselves to park their money in the one global economy not at risk of default.

This will hurt. A lot. But we Americans have gone through worse times in the past and if we come together and help each other out we can do this. And, we must do this – it is get our house in order, or perish as a nation. It is really that serious.

From Rasmussen:

…A Rasmussen Reports national telephone survey shows that 67% of Political Class voters believe the United States is generally heading in the right direction. However, things look a lot different to Mainstream Americans. Among these voters, 84% say the country has gotten off on the wrong track…

This is just an astounding poll result – it shows so very clearly the disconnect between rulers and ruled. With $13 trillion in federal debt, unemployment above 9%, taxes set to rise massively next year, things getting rougher in Afghanistan – just where is there an indicator of things going in the right direction? And yet, the Ruling Class thinks things are just going swell!

I think they must simply be blind to reality. This is actually ok – it means they won’t effectively counter us, and the look of shock on their faces on November 2nd will be priceless.

That is how the vote in Missouri is going (scroll down to bottom) so far against ObamaCare’s mandates.

Ah, another good day to be a Republican. Wonder how our Democrats are feeling?

Latest Sharron Angle ad:

Tell us again, Democrats, how border security is racist:

The Virginia man suspected in a drunken-driving crash that killed a Catholic nun in Prince William County this weekend is an illegal immigrant and repeat offender who was awaiting deportation and who federal immigration authorities had released pending further proceedings, police said Monday…

The man has been arrested, before. The man is supposed to be deported. So, what does our federal government do? Let him go. They let him GO!!! That is what is wrong – the failure to enforce the laws; the failure to protect the American people. Had the government done its job, then Sister Denise Mosier would still be alive – as would so many other people around the country over the years.

How many people have been murdered, raped, beaten and robbed by criminals among the ranks of the illegals? Think about it – you’ve seen the stories over the years, and how many of them had some sort of information indicating the perpetrator had prior run-ins with the law? And its not just us – the illegals, themselves, suffer from the criminal element. How many poor, foreign people have been murdered, raped, beaten and robbed by the criminals who control our border because we refuse to?

I don’t care if the wall has to cover every inch of border and if it has to be 100 feet high and electrified – whatever it takes to secure the border, must be done. Its not racist – it is basic justice; it is the basic task of government, that of protecting the innocent…and all of you out there who in any way, shape or form consider the move for border security to be racist, then the blood of the innocents is on your hands, too – because you choose to live a political lie rather than advocate for what is simply the right thing to do.

From Heritage:

Many state leaders are lobbying the Senate to extend the Medicaid bailout enacted in the February 2009 stimulus bill. While several attempts by Senate leaders to extend the bailout have failed, it will be brought to the floor again on Monday, this time bundled with additional spending on education.

Talk about throwing good money after bad.

For both Medicaid and education funding, a continued bailout would disproportionately benefit the most irresponsible states and would allow them to delay taking the steps they must to live within their means…

While bailing out Medicare seems, on the face of it, an honorable and charitable thing to do, the fact of the matter is that if you give an irresponsible State money to cover that, it frees up funds for them to continue their irresponsibility elsewhere. After all, what State legislature or governor will want to cut State funds to Medicare? So, faced between Medicare cuts and cuts to worthless pork, the States would be forced to cut the worthless pork – unless Uncle Sugar comes to the rescue.

All government budgets are bloated with things not vital to the safety and liberty of the American people. From the tiniest town council to the federal government, there are things which can be cut and the only people who would miss them are grafting politicians and special interests living off the public dime. To bail out any part of the system just perpetuates the problem.

It is time for government to live within its means – to figure out how much money they really expect to have next year, and make the budget fit that amount. We’re heading off a cliff of financial irresponsibility and we’ve only got a couple years left to pull back from it – we should start right here and right now: no bail outs for the States.

From Rasmussen:

A new Rasmussen Reports national telephone survey finds that 46% of Likely Voters would vote for their district’s Republican congressional candidate, while 38% would opt for his or her Democratic opponent. Support for Republicans held steady from last week, while support for Democrats inched up two points.

That “inch up” of two points seems to have been detected by other pollsters and is being used for comment-fodder: the story is that Democrats have stopped the bleeding and can now recover a bit. I doubt it – anything is possible, but for there to be a shift back to the Democrats there would have to be some very good news about the nation as a whole, or some very bad news about the GOP. Neither of these things have happened, so I figure that the slight rise in Democrat numbers is just a statistical blip.

Time will tell in these matters, but the longer it takes for any good news to emerge for Democrats, the less likely it is they will recover even modestly by November. Meanwhile, more people now blame Obama for the economy than blame President Bush.

From Hot Air:

Federal judge Henry Hudson has refused to dismiss a challenge from Virginia on the constitutionality of the individual mandate in ObamaCare. The case will have to move to trial, and could imperil the entire overhaul…

A small victory, but an important one – once in court, we can eventually take it to the Supreme Court, which might strike down all or part of ObamaCare as it is so clearly unconstitutional.

Still, the bigger fight is for votes – the only way to drive a stake in the heart of socialized medicine is to repeal the whole thing. Repeal and replace – and replace with free market ideals which actually allows doctors and patients to have control over health care (there’s a novel idea our liberals will never understand).

Every advance is a good thing, and this is a good day for all who love liberty.

Interesting, to say the least:

…”Does anyone read the U.S. Constitution these days? American lawyers don’t read it. Federal Judge Susan R. Bolton apparently has never read it. Same goes for our illustrious Attorney General Eric Holder. But this lawyer has read it and she is going to show you something in Our Constitution which is as plain as the nose on your face.

“Article III, Sec. 2, clause 2 says:

“In all Cases affecting Ambassadors, other public Ministers and Consuls, and those in which a State shall be Party, the supreme Court shall have original Jurisdiction. In all the other Cases before mentioned, the supreme Court shall have appellate Jurisdiction.”…

Any laywers out there who can render a judgment? It seems pretty clear to me – the State of Arizona is a Party in this case, and thus it seems to be that you can only apply to the Supreme Court for redress. Of course, Constitutional provisions have been so atrophied by liberal judges over the years that it wouldn’t surprise me that no one even considered this.

From the Telegraph:

…Mr Manning, who is openly homosexual, began his gloomy postings on January 12, saying: “Bradley Manning didn’t want this fight. Too much to lose, too fast.”

At the beginning of May, when he was serving at a US military base near Baghdad, he changed his status to: “Bradley Manning is now left with the sinking feeling that he doesn’t have anything left.”

Five days later he said he was “livid” after being “lectured by ex-boyfriend”, then later the same day said he was “not a piece of equipment” and was “beyond frustrated with people and society at large”.

His tagline on his personal page reads: “Take me for who I am, or face the consequences!” …

Bitter and frustrated, I guess he decided to lash out – in the manner of a spoiled, rotten little child. The fool probably still doesn’t realize that while he didn’t tell any perceptive observer anything new, he did release the names and addresses of people who might now pay with their lives for his indiscretion.

Normally, I judge these sorts of actions to be worth ten or twenty years in prison – but life at hard labor hardly seems sufficient punishment for this craven, pipsqueak of a “man”.