American Politics,the Power of Greed and War on the Middle Class

The middle class American should simply state a pledge to give all they can to the less fortunate. Why, because under the current administration most policies have become part of the policy of denial. The main objective in spite of all dressings to cover it up the objective to keep the Rich healthy and employ whatever means to keep the game going.

The current trend of many Americans falling into credit card debt and many going into foreclosure has been met with the same fate which gives the pundits of the Right a sense of closure on the issue. A closer look shows us why this is such a contradictory stance from a party that has placed its fate and the fate of world on the so called trickle down economics philosophy.

After the Great Depression era President Roosevelt implemented a new deal with numerous plans to put people back to work and redistribute income opportunities. This of course employed large taxes on the wealthiest Americans. Today Credit Counseling has been implemented and evolved as part of a plan by banks and credit giving entities to keep people from overusing and abusing credit card opportunities. Banks like to provide incentives to use the cards, but are left out in the cold when people see the ability to pay is thwarted when cards lose their teaser rates and payments skyrocket. Many people could refinance these debts by borrowing on the equity in their homes as home prices have moved constantly upward for decades. Today many people have found themselves suddenly unable to get more value for their homes and see these assets are no longer worth the large payments. They either refinance or they allow foreclosure to take place. Unless they suddenly have large increases in income eventually they will most likely sell or declare bankruptcy even if there homes have doubled or tripled in value.

Credit Counseling and banks agreeing to lesser terms to meet obligations for unsecured debt is therefore the political means to avoid placing the responsibility on financial institutions for collecting on their bad debts. This of course is nothing less than a social program in that it promotes a pecking order for interest rates that constantly insures the interests of financial institutions without the risks. Let’s remember that the High School senior has now become a target for credit cards. The idea to place him or her in the game of entrapment has already begun in a large part because banks have lobbied for and received the right to fight for the economic assets of all Americans at an ever younger age. College Loans have now been handed over to large banking institutions who can ask for Parents to pay higher rates starting at 8.5% based on of course their ability to pay. This means that many parents may be asked to take on 50000 to 200000 of debt if they want their child to attend college at a rate that is much higher than it has been in the past. Sadly this also is a social program in that students with parents of little or no income receive much better deals or even grants to allow them to attend college. The pecking order for social progress has once again been implemented to assure the demise primarily of the middle class to provide the rich and the large institutions with closure on their right to amass their millions with good conscious.

The concept the trickle down economics would assure the kind of opportunity based upon efforts and God given talents becomes extremely skewed if not outright invalid.


This type of bias for the policies to protect the rich goes on and on.

President Bush has taken hands off approach to the economic political landscape especially in the areas of regulation and immigration. Under his administration illegal immigration has skyrocketed because among other things a lack of oversight and policing of borders. Bush has openly contended in the past that these workers were needed to fill jobs that Americans don’t want to fill. This is true; however this provides employers of illegals great competitive advantages when social security tax, workmen’s compensation and other tax disadvantages to the small business person are applied.


Another example of the skewed and biased tax policies involved the mother of expenditures which is Health Insurance. When the average insurance policy for a family of four costs between 10-15000 dollars a year in premiums the cost is in effect a tax for those who must have protection from the possibility of a large medical bills. For many Americans, the type of money that must be paid for Health insurance comprises a larger percentage of income than does their taxes. Even social security which taxes the small businessperson at a current 15.3 federal tax rate in addition to normal taxation is protecting the rich whom do not have to pay after their incomes reach the max around $90000. Although the government does give relief as a percentage of gross income (as well as this deduction requires more proof) this pales in comparison to the relief that is given to someone making million dollars a year who pays $10000 for their health insurance and taxes for social security on the first ninety thousand dollars.

The concepts of Reaganomics or even Libertarians are acceptable if they were only able to regulate and implement them fairly, but the facts disclose a disturbing trend towards an elite protectionism geared to save their own at all costs. Our constitution has mandated the concepts of individual abilities as endowed by our creator as a basis for opportunity. The USA has clearly been able to create a great environment by our political will to overcome biased even discriminatory constraints on progress for individual opportunity, however the current power, will and economic realities suggest the wealthy and our politicians are failing to constrain themselves from employing their power of men through politics, the media, the military our financial institutions from taking advantage and destroying liberty and freedom for the masses.

PS: Note the picture of Lou Dobbs who has written and discussed many of the viewpoints concerning the War on the Middle Class.

New Slavery Coming for many Americans

On January 1, 2006 banks were ordered to charge at least one percent of credit card balances plus interest to assure that credit card loans were paid down. Recently a rash of consumer complaints became evident when many banks for apparently little or no reason increased interests rates from the low teens to high 29.99 percent or higher. Banks took advantage of some discreet language buried deep in their disclosure documents, primarily that you can have your interest rate increased if you have even one late payment with any financial institution even if it’s not the one raising the rate. Banks were in essence deregulated from charging whatever they wanted, because they are now guaranteed income because individuals can no longer walk away from unsecured debt as easily through a bankruptcy filing. What was once unsecured debt has now become secured unsecured debt to major banking institutions

Believe it or not the Governments run up of debt and the changing of bankruptcy laws could be the beginning of the end for the United States of America. Many democrats and others point to moral and ethical changes as a sign of the major problems if not the end times. Raising taxes to excess or placing excessive debts on the constituency can lead to financial chaos, increased poverty and political turmoil. This type of economic scenario requires countries to look outside their own country to finance their increased spending. Remember the Louisiana Purchase. American Ports, Roads and Corporations are being turned over to foreign interests primarily to sustain the American Dream. During the current President Bush’s tenure the national debt has actually increased more than all other Presidents combined. (This debt is not currently as high in real terms if compared to post World War Two)

For the past several years many people have financed and refinanced to take advantage of increasing home values and pay off excessive debt. Ironically recent economic data shows that average incomes are actually dropping compared to inflation. Recognizing the problem with large numbers of bankruptcies the government changed the rules to avoid allowing many people to walk away from their debts. Many Americans are accustomed to being able to run up debt and pay it off, but this new system is going to create new realities that will test the will of the current Republican congress to avoid a constituent backlash, which could reverse the trend to a new deal not seen for seventy five years.

How did this happen? Quite simply banks and Congress came up with the trickle up philosophy which means that someone would have to pay in case things really get nasty. The trickle up philosophy meaning place much of the responsibility on the lower and middle class allowing people to spend what they want, but they will be made to pay the price through mandatory payment systems and credit counseling. The top 3% of Americans have not only enjoyed the largest tax advantages but, they have also enjoyed the luxury of avoiding carrying responsibility of the debt load as their income is divested across national borders worldwide.

The government could have been wiser by making credit card issuers at least maintain reasonable interest rates, but this is not the case. Banks are now allowed with little or no reason or notification to raise interest rates at will. If you currently have a 10,000 dollar credit card balance at 10% the bank if it desires can change the rate to 29.99 percent. If you are like many people you may not read the disclosure and in one month’s time you would lose 200 dollars and increase your payments by $200 dollars a month on that one card.

Truly men could be enslaved to debt for life if Congress finds a way to mandate repayment of a parent’s debts by a child. This would truly be the last hurdle in taking away individual freedoms at conception and enslaving a person from birth.