Comments on: Greece is in trouble, but so are we

By: Chrys

Chrys — Sat, 06 Mar 2010 03:01:00 +0000

As I posted elsewhere about a week or so ago, both California's and Greece’s problems are largely the consequence of their progressive economic policies. Unfortunately, it is a trend that is increasing nationwide and will only continue to increase - especially when government wages AND benefits (and work hours) are more beneficial than those in the for-profit sector. Fortunately, the increasing debt load this creates (since they don't actually make anything and typically operate at a loss) seems to be awakening increasing opposition. While California’s GDP dwarfs Greece’s, the effects in California MAY be mitigated by the fact that companies and customers can look to nearby states when needed. Greece doesn’t have that outlet or support. Yet both states are being driven over a financial cliff by the relentless demands of the various public sector unions. Unions, focused as they are – and as they must be – on the preservation of their benefits, have a nasty history of bankrupting their host organizations – whether steel, automobiles, schools, etc. Regardless of the field, however, unions have been unwilling to accommodate market forces and, as a result, whether steel, auto, teacher or Soviet, unions seem to gradually diminish the economic viability of their various endeavors. (Not that they have not served a vital role. Often they arise as a last-ditch response to inept or self-serving management – which also shares in the blame for each venture’s demise. Economic implosion is almost always a collaborative affair.) Shifting anything to the government - like health care or education - is a recipe for insolvency since the forces that foster efficiency, productivity and innovation - namely, competition and the threat of being fired by customer (neither of which are possible with the government) - are utterly absent, and the incentives for government are primarily political rather than economic. In short, a lot of what we are seeing in Greece may soon be on display California if corrective efforts are not taken. I am not holding my breath. One thing I consistently see is that there are those who choose discipline and those who have it forced upon them. (Interestingly, this is true in all of life - not just financial. It is certainly true in careers, in our bodies and in our spiritual growth.) The first are often comfortable, content and even wealthy (Whether financially, physically or spiritually). The latter are usually faced with very unpleasant choices and it rarely ends well.

By: George Michalopulos

George Michalopulos — Sat, 06 Mar 2010 02:06:49 +0000

If I may paraphrase Tocqueville: “There are two kinds of people in the world, those who work for a living and those who vote for a living.” It is fascinating to read the veto of President Grover Cleveland who refused to issue federal monies for drought relief back in the 1880s. We have gone downhill since the demogogues who made up the Progressive movement pandered to the greed of slices of the population. (BTW, Adolf Hitler was definately a Progressive, as were Benito Mussolini, Lenin, and FDR. Some were just more violent about it.)

By: Chris Banescu

Chris Banescu — Fri, 05 Mar 2010 20:32:05 +0000

In reply to Michael Bauman. re: The drive to greater centralization of power was left untouched; the principals forgotten and abandoned in favor of the corruption of power. That's precisely what has been happening. We're heading towards totalitarianism step by encroaching step.

By: Michael Bauman

Michael Bauman — Fri, 05 Mar 2010 20:23:02 +0000

Chris, short-term gains from the Contract, sure but the larger restructruing that was an essential part of the Contract, IMO, was a total bust. Things such as the elmination of the Dept. of Education (my personal favorite promise) hardly even had a serious attempt. My own Congressman who promised a self-limitation on the number of terms he would serve–did not deliver. His seeminly effective, indepentdent conservative voice in the early years turned into a “I brought you the bacon, reelect me” clone once he was given a minor leadership position. And we have kept electing him because his oppponents were even worse–liberal democrats.

The drive to greater centralization of power was left untouched; the principals forgotten and abandoned in favor of the corruption of power.

By: Chris Banescu

Chris Banescu — Fri, 05 Mar 2010 19:01:44 +0000

Michael, That’s not completely true. The Contract with America worked originally, hence the budget surpluses under the last few years of the Clinton presidency. It’s when we got socialist-light from the Republicans in Name Only crowd under the Bush years combined with the failure of the GOP to stick to conservative principles that we got ourselves in the mess that we’re in now.

By: Michael Bauman

Michael Bauman — Fri, 05 Mar 2010 18:44:32 +0000

Chris…and a hedonistic people whose higest priority is ‘what’s in it for me?’ Our leaders reflect us. In every election in my conscious lifetime, the trend has always been to ‘throw the bums out…just not my bum, I like my bum, he gives me pretties’.

One case in point:

The Contract with America went largely unfufilled as the ‘conservative’ politicians spent like the liberals to buy votes which we sold them. We did not make them accountable. Character ceased to matter.

We’ve been on a 50 year Mardi Gras–the hangover is going to be a bitch.

By: Chris Banescu

Chris Banescu — Fri, 05 Mar 2010 17:51:22 +0000

A man-made disaster created solely by incompetent and derelict career politicians who care little about the future of this country or her people.