I’m certain that it can’t be just me that sees it this way, but I have not seen, heard or read anywhere that the government has turned into a federal Ponzi scheme. Think about it! Charles Ponzi, namesake of the ploy, devoted his life to perfecting the wealth redistribution program. This is exactly what our current administration is attempting to project upon us. Just like Bernie Madoff, our current elite are not the first to run this fraud. They are simply the most dedicated to making it look like it is working.
In explanation, let’s start with Social Security. The longevity of this socialist program was initially predicated on each generation producing more children who will work and pay into the system. As soon as a generation fails to meet the expectations through lack of work, inability or unwillingness to work or fails to reproduce a sufficient number of productive workers, the program begins to unravel. Economists recognized over two decades past that the Social Security bucket had some serious rust and would not hold water for much longer. Yet, to discuss crediting people with tax allowances to plan for their future and retirement seems to be almost blasphemous to the powers that be. The government continues to take a portion of each worker’s paycheck knowing that the program is destined for failure and many will not see any return from their contributions.
One of the things that helped secure failure for Social Security retirement benefits was the introduction of the Welfare benefits. An acceleration of the failure began when Congress agreed to extend benefits to those who had not paid into the system, then again when they allowed non-citizens access to the pool of funds.
This noble program was initially instituted to assist people in time of need; after unemployment or temporary disability benefits ran out, in times following natural disasters, etc. Congress built the program to be so generous that it is now more lucrative for many families than earning an income on which one must pay taxes. Welfare is now the mainstay for 5th and 6th generation families. Pay no taxes, receive myriad tax benefits, it’s the American way.
Various other social programs have been introduced over the years, but none as devastating to the nation as Universal Health Care. This program is guaranteed to force companies and industries to have goods manufactured or produced outside of the U.S. reducing employment within and thus reduce employment tax revenue. It will force more former employees onto unemployment and Welfare rolls who will then be drawing on the GNP.
Just how much longer can we expect to continue growing the government and paying idle employees one-and-a-half to two times their private sector working equivalent from an ever diminishing revenue base?
It has been reported that +/- 2,000 IRS auditors have been hired to go after people who need their few owing tax dollars to buy food for their families. Like sending paramedics to an accident scene to extract hemoglobin from victims with severed aortas, the Obama administration appears to want to kill off the electorate while touting assistance to the needy. Charles Ponzi would be embarrassed that he didn’t think of it!