- If you want to understand a primary difference between the political left and right, here it is.
- If you want to understand why a middle of the road, reasonable approach to solving problems is so essential, here it us.
- If you want to know why the promise for more of the same is so reprehensible, here it is.
- If you want to know why the promise of solving fiscal problems by taxing only the “wealthy” is false, here it is.
We have made promises, avoided paying the real cost, kicked the can down the road repeatedly and now we are running out of options.
The political left merely ignores this reality while the political right tries to change it, but ignores human nature and self-interest. As a result, no action is taken and the shame is that the facts are there for everyone to see … but nobody gives a damn as long as their ox is not being gored
Excerpts from Bloomberg View
(Bloomberg View) — Edmund Burke saw society as a partnership between those who are living, those who are dead, and those who are yet to be born. A failure to understand this relationship underlies a disturbing global tendency in recent decades, in which the appropriation of future wealth and resources for current consumption is increasingly disadvantaging future generations. Without a commitment to addressing this inequity, social tensions in many societies will rise sharply. Central to the issue is that the rapid rise in living standards and prosperity of the past 50 years has been largely based on rising debt levels, ignoring the costs of environmental damage and misallocation of scarce resources…
A significant proportion of recent economic growth has relied on borrowed money — today standing at a dizzying 325% of global gross domestic product. Debt allows society to accelerate consumption, as borrowings are used to purchase something today against the promise of future repayment. Unfunded entitlements to social services, health care and pensions increase those liabilities. The bill for these commitments will soon become unsustainable, as demographic changes make it more difficult to meet.
In 1970, in the United States, there were 5.3 workers for every retired person. By 2010 this had fallen to 4.5, and it’s expected to decline to 2.6 by 2050.