The Fiscal Cliff Is Nothing But a Distraction
The fiscal cliff debate continues to drag on in Washington D.C., distracting Americans from the real issues that plague our country and our economy. Our politicians prefer it this way; if they keep the debate focused on marginal tax rates, “entitlements” and relatively inexpensive spending on social program, they will be able to keep doing exactly what their donors want them to do without interference.
Both Democrats and Republicans are slaves to their corporate masters. A look at who gives money to political campaigns shows that both parties are largely funded by the same big companies. These corporations are hedging their bets and ensuring their influence over our politics.
The national debt is a problem, but it is not the root of our economic problems–it is a symptom. Our ability to make things has rapidly declined in recent decades, and as that ability has disappeared, so have our good jobs and our prosperity. There are a few wealthy individuals and corporations who have become immensely wealthy from this decline. They have outsourced our manufacturing and imported cheap goods to sell to Americans who have no other options and made a fortune in the process. These individuals pay for this privilege in political donations, and our nation pays the price.
The fiscal cliff is a psychological problem, not a real one. The results whether we go over the cliff or not will be relatively similar from a policy perspective. The markets may react negatively to our government’s incompetence, but they should be doing that anyhow. Our government has consistently failed to address the real problems facing our country. Our economy is now little more than a Ponzi scheme, funding service jobs with the money earned from more service jobs. There is no real wealth creation, without which our money should be worthless.
Who cares whether the top rate is 35 percent, 37 percent or 39 percent when our trade deficit is over $600 billion a year? Our economy has thrived under many tax rates, but it has never thrived under an economy with no manufacturing base. For nearly 200 years we saw America’s power and influence grow as our ability to manufacture increased, but for the past 37 years we have seen a trade deficit, a declining manufacturing sector, and declining respect around the world.
The fiscal cliff has been hyped so much that now it must be addressed in one way or another. Let’s get it done and start focusing on real problems.