I was rather amazed to see an article earlier today in which you state your belief that 80% of Americans want higher taxes in order to reduce the government's debt. Either your staffers are misrepresenting the polling data to you, the polls are flawed, or you are driven to delusional hallucinations by the realities of the government's fiscal position. Possibly all three. But I felt it was my duty to send you this open letter correcting what appear to be several misperceptions you have regarding the present situation and how We The People truly feel about it. Because your present course risks invocation of the 25th Amendment for mental incompetence.
First off, We The People do NOT want more taxes. We cannot afford the taxes we have now, as the epidemic of non-compliance reported by the IRS must have indicated to any unbiased observer. History has already shown that every time taxes are increased to "deal with the debt" the US government goes on a spending spree and plunges even deeper into debt. Agreeing to increases in taxes to deal with government debt is like fighting a forest fire with gasoline.
THE FEDERAL RESERVE SYSTEM
It is time to face the fact that under the present private-central banking system that loans the public currency at interest, that the government debt crisis is intentional and by design unpayable. The moment that first Federal Reserve Note went into circulation, more money was owed to the Federal Reserve than actually exists. Anything you or the bankers do to increase the money supply only increases the debt to that much greater degree. Even a child knows that if you put ten marbles into a can you can only take ten marbles out. Yet the Federal Reserve System operates on the theory that they can put ten marbles (dollars) into the tin can (the nation) and take eleven marbles out. This makes the Federal Reserve dumber than a small child, and you, Mr. Obama, dumber than both for searching through the pockets of Americans to find that eleventh marble that does not and never did exist.
The Founders of this nation recognized that such a system cannot help but drive a populace into poverty, and fought a war against Great Britain to free themselves from the Currency Act of King George III, which ordered the Colonies to only use currency borrowed at interest from the Bank of England. The Currency act had reduced the population to poverty which fueled the rage that led to revolution. Following the revolution, one of the more "revolutionary" ideas the new United States had was for the government itself to issue a value-based currency interest-free, which rapidly turned the United States into an economic power-house and created the highest living standard of any nation on Earth for its citizens. Throughout history, however, bankers, terrified that the people of other nations would wish to follow the American example, have sought to return the American people to the slavery of an interest-bearing currency. Thanks to corrupt Congresses and corrupt Presidents, the bankers have succeeded three times, with the First and Second Banks of the United States, and then the Federal Reserve System, which despite its name is still a private bank issuing the public currency at interest (It is no more "Federal" than Federal Express). Those men who sold us back into the slavery of a private banking system issuing the public currency at interest are traitors to the founding fathers of this nation, selling the free economy purchased with the blood of patriots for thirty pieces of silver.
Fortunately, America counts among its greatest Presidents men with the vision to see the trap laid by the private central bankers and the courage to free the American people from slavery.
"Gentlemen, I have had men watching you for a long time and I am convinced that you have used the funds of the bank to speculate in the breadstuffs of the country. When you won, you divided the profits amongst you, and when you lost, you charged it to the bank. You tell me that if I take the deposits from the bank and annul its charter, I shall ruin ten thousand families. That may be true, gentlemen, but that is your sin! Should I let you go on, you will ruin fifty thousand families, and that would be my sin! You are a den of vipers and thieves. I intend to rout you out, and by the Eternal God, I will rout you out." -- Andrew Jackson
Two of America's greatest Presidents, Abraham Lincoln and John F. Kennedy, both worked to free the American people from private bankers by invoking Article 1 section 8 of the Constitution, which authorizes the US Government to create and issue debt-free currency into circulation. Lincoln did it with his Greenbacks, and Kennedy did it with EO. 11110 and his United States Notes.
Mr. Obama, is your eagerness to go on borrowing money at interest from a private central bank that prints it up out of thin air purely because you lack the courage of a Lincoln or a Kennedy? Or is there some other darker motive? Because you and I know you could solve the nation's liquidity crisis with a single phone call across the street. You would not need Congress' approval. Nor would you need to try to blackmail Americans into agreeing to more debt with threats to withold Social Security payments (which you are not legally allowed to do anyway).
The fact is, Mr. Obama, that your present course is a failure. The American economy was wrecked by the mortgage-backed securities fraud; the biggest financial swindle in history, even greater than Tulip Mania, or the Great South Seas Company Bubble. Globalism spread the financial contagion unchecked across borders, turning an American crisis into a global catastrophe. Iceland had the right idea on how to deal with the situation, which was to jail the bankers whose greed and recklessness crashed their system and Iceland's economy today is unique in the western world in that it has clearly recovered and is growing steadily. You may not have heard much about it, since the new Icelandic government has refused to re-entangle itself with the IMF and hence is seen as a poor example to hold up for public view by the US media.
Americans understand that the bailouts, aka taking a trillion dollars from the American people to give to the banks so the banks could loan it back to the people at interest (which was done against the express wishes of 90% of the American people that Congres is supposed to represent) , did not work out. The bankers and Wall Street investment firms used the money not to save the economy but to save themselves; buying back those fraudulent mortgage backed-securities from around the world to keep themselves out of prison! Tim Geithner might be able to obstruct justice with New York's Attorney General Andrew Cuomo, but can hardly be expected to hold off the wrath of Deutsche Bank, Credit Suisse, and the Bank of Libya, all of whom suffered massive losses in the fraud (Libya lost more 98% of their investment at the hands of Goldman Sachs, a strong motive for an invasion that would bomb the evidence of fraud out of existence).
Right now the media presstitutes are echoing the company line that Social Security and other "entitlements" are unfunded and need to be scrapped for the good of the nation. The New York Times actually ran an op-ed suggesting that elderly people consider suicide as the patriotic thing to do to help the government balance the books. I wish to point out a major error in this propaganda. These programs are not gifts from the government to the people, to be withdrawn at will, nor are they unfunded. We The People have been paying into these programs all along. Workers can look at their pay stubs and see the separate withholdings for these programs. According to the numbers provided by Social Security, there should be over $2 trillion in the trust fund for the baby-boomer retirements. Please stop posing like you pay Social Security out of your own pocket because you do not, Mr. Obama. It is paid out of OUR pockets, and social programs are one of the things We The People do agree to pay taxes for.
The reason Social Security is in trouble right now is because the US Government broke that trust, and started using the money paid by the American people for Social Security as general revenue. This is detailed in the transcript of the 1998 Senate Budget Commission hearings and in particular the observations of Senator Hollings.
"Well, the truth is...ah, shoot, well, we all know there's Washington's math problem. Alan Sloan in this past week's Newsweek says [Clinton] spends 150%. What we've been doing, Mr. Chairman, in all reality, is taken a hundred billion out of the Social Security Trust Fund, transferring it over to the spending column, and spending it. Our friends to the left here are getting their tax cuts, we getting our spending increases, and hollering surplus, surplus, and balanced budget, and balanced budget plans when we continue to spend a hundred billion more than we take in.
To recap: Social Security is NOT "unfunded." We The People funded it. We The People have spent our entire working lives paying into the Social Security Trust Fund and the reason there is a problem today is that the US Government broke that trust and embezzled the retirement funds of the American people. All the euphemistic claims that said looting of cash from the trust fund is a "loan" are meaningless now that the US Government cannot repay those "loans" without raising new taxes to replace what it has stolen.
If there is one thing which should be unfunded, because We The People never agreed to it, are these endless wars on the opium and oil fields of the Middle East, or on Libya for the crime of daring to have a state issued value-based currency exactly like the United States originally started with. I know the conventional wisdom in Washington DC is that wars are great for getting out of financial jams, or at least as distractions from said jams, and while that may have worked for WW1 (to get out of the crash of 1907) and WW2 (to get out of the crash of 1929), this dodge only works on an unsophisticated population that cannot see the connection, and only if the wars are won, neither of which conditions are true today.
None of the nations the United States is in the process of conquering has actually attacked us. Iran, the stated next target, has never invaded another nation since it became an Islamic Republic in 1979. The United States cannot make that same claim having since 1979 attacked El Salvador (1980), Libya (1981), Sinai (1982), Lebanon (1982 1983), Egypt (1983), Grenada (1983), Honduras (1983), Chad (1983), Persian Gulf (1984), Libya (1986) , Bolivia (1986), Iran (1987), Persian Gulf (1987), Kuwait (1987), Iran (1988), Honduras (1988), Panama (1988), Libya (1989), Panama (1989), Colombia, Bolivia, and Peru (1989), Philippines (1989), Panama (1989-1990), Liberia (1990), Saudi Arabia (1990), Iraq (1991), Zaire (1991), Sierra Leone (1992), Somalia (1992), Bosnia-Herzegovina (1993 to present), Macedonia (1993), Haiti (1994), Macedonia (1994), Bosnia (1995), Liberia (1996), Central African Republic (1996), Albania (1997), Congo/Gabon (1997), Sierra Leon (1997), Cambodia (1997), Iraq (1998), Guinea/Bissau (1998), Kenya/Tanzania (1998 to 1999), Afghanistan/Sudan (1998), Liberia (1998), East Timor (1999), Serbia (1999), Sierra Leon (2000), Yemen (2000), East Timor (2000), Afghanistan (2001 to present), Yemen (2002), Philippines (2002) , Cote d'Ivoire (2002), Iraq (2003 to present), Liberia (2003), Georgia/Djibouti (2003), Haiti (2004), Georgia/Djibouti/Kenya/Ethiopia/Yemen/Eritrea War on Terror (2004), Pakistan drone attacks (2004 to present), Somalia (2007), South Ossetia/Georgia (2008), Syria (2008), Yemen (2009), Haiti (2010), etc. etc. etc. etc.
I know you like to wave around 9-11 as the reason to attack anything that moves, but two buildings already on the verge of condemnation for asbestos and galvanic corrosion were knocked down by the planes the United States Government allowed to fly into New York (to put the most generous interpretation on the ordered stand-down of the Air Force that day) along with a third building nobody wants to talk about since video surfaced capturing the sounds of a demolition explosion. About 3000 people died that day.
But Mr. Obama, how many Americans have died in the wars started in the name of two collapsed buildings? How many innocent people in the middle east continue to be murdered with these million-a-pop cruise missile and drone attacks? I know it is hard to say with any accuracy how many have died since so many people are reported killed more than once. I refer of course to Osama Bin Laden who despite the FBI's admission that no evidence ever actually connected him to 9-11 was deemed the supervillain of the ages. FOX News (and the foreign press) reported Bin Laden dead of natural causes in December 2001. On the first of May, 2011 you, Mr. Obama, claimed to have killed him a second time, then dumped the body in the ocean as quickly as possible, backing up your claim with three of the most obvious and pathetically botched photo fakes I have ever seen in thirty years of motion picture visual effects work!
But I digress.
Mr. Obama, This nation is in the throes of what future history will no doubt call the opening years of WW3. You are losing. The United States gave away their manufacturing to other countries, which was the key element in victory in those earlier conflicts. The United States lacks the financial resources to purchase what it needs for prolonged ground wars. Nobody is willing to loan your government any more money for these failed ventures and We The People refuse to pay back any more debts whose purposes we did not agree to.
If you are looking for something to cut to save the budget, I suggest the wars be ended and we close the Department of let's-go-around-the-world-murdering-the-people-Israel-hates.
Mr. Obama. By far one of the worst mistakes you have made was to gut this nation's space program. Setting aside that our nation's prowess in space was one of the few remaining points of pride the people had in the country, the only chance for an economic recovery was a repeat of the tech boom of the 1970s through the 1990s. The incubator for that technology boom was the civilian manned space program of the 1960s, which spawned thousands of new industries that created millions of new jobs whose tax revenues the governement was eager to collect and spend. But while you are ever ready to share photo-ops with this final shuttle flight, your decisions to cancel the replacement shuttle and the return to the Moon in order to spend the cash on Wall Street and Wars and Israel means that you have killed the goose that laid the silicon egg, indeed you have bludgeoned the bird to death on public TV, and will be remembered (if at all) as the first President since Harry Truman to preside over a United States that does not have a manned spaceflight program!
Mr. Obama, your government has done just about everything wrong for decades. Some of the really big whoppers include the repeal of Glass-Steagal, a limitation on financial institutions whose necessity was made clear by the crash of 1929, yet was repealed in 1999 to retroactively legalize the merger of Citicorp and Traveler's into Citigroup, paving the way for the reckless speculation and mortgage-backed securities fraud that led to the crash of 2007. If you have not already seen it, you need to watch "Inside Job", which details the Wall Street fraud carried out while the US Government looked the other way, then bailed them out at taxpayer expense when it all collapsed. This documentary won the Acandeym Award for Best Docunentary Film in 2011.
Capitalism is a system where profit and loss are kept private. If you make money, you keep it., If you lose money, that is your tough luck (or incompetence).
Socialism is a system in which both profit and loss are socialized across the population. If you make money, it is taxed to help those who lose money.
Fascism is a system in which profit is kept private and only losses are socialized. If you make money you keep it, and if you lose money, the government forces the general population to repay it.
Which system does the United States live under now in this age of endless Wall Street bailouts, Mr. Obama?
The fact is that you and your government are an utter failure to the people of this land. You ignore the Constitution, which is the original contract with America you have sworn an oath to protect and defend, and your continued incompetence has ruined what was once the greatest nation on Earth. A truly honorable government, having screwed up this badly, would be seriously considering public seppuku. However I am certain the people of this nation will accept abdication (the only remaning divine right of tyrants) as an adequate apology! But you are cruel and stupid masters in a house that does not belong to you, and I withdraw my consent for you to govern me.