Tuesday, February 19, 2013

Senator Rand Paul wants to be viewed as serious about spending cuts.

That is all fine and good. He states he wants to have a larger cut than currently exists. Okay. But, we know that cutting spending is not the only solution to the National Debt.

Freedom Works agrees with Senator Paul's point of view. Or vise versa.

...However, there is a great deal that the government (click here) can do to spur economic growth without resorting to bailouts, stimulus packages, subsidies, or other forms of intervention. Fundamental tax reform, for example, is an obvious first step toward encouraging growth. Repealing corporate welfare subsidies will create a more level playing field between businesses of all sizes and give entrepreneurs a greater chance to succeed. Eliminating massive government interventions into the economy, such as ObamaCare, will help allow markets to function properly. Slashing harmful regulations that prevent entrepreneurs from starting businesses will go a long way toward restoring our traditionally innovative and enterprising American spirit....

But, where the Republicans and Right Wing lose legitimacy is when there are no answers for the problems the Affordable Care Act solves. Whether the Republicans like it or not, the ACA actually does solve the nation's problems. Health care is important. Okay. 

So while this is all interesting and Senator Paul wants to expand spending cuts, hacking away at the Affordable Care Act is not prudent. To return to a private sector solution would be a return to the problem. Senators are suppose to solve problems for the nation. Washing their hands of them to allow CEOs to 'have at it' is not problem solving. That has been especially true with the Health Care Industry.

So, if Senator Paul wants to be taken seriously as a leader, one with solutions, he needs to address problems and not simply political ideology. He also stated something late last year that complicates the solutions for the National Debt.

..."I made a pledge (click here) to the people of Kentucky that I'm not raising taxes. I took a pledge. I signed a statement, an oath that I wouldn't raise taxes, and I'm going to adhere to it," Sen. Paul told Fox New's Greta Van Susteren Monday night....

Pledges are problematic and we are back to Grover Norquist again. That is not being a leader. Taking a pledge is being lead.

Freedom Works also advocates cutting mandatory spending. Not discretionary spending and now we are back to the military ideology of the Right Wing.

...What is included in discretionary spending? Well, for one thing, military expenditures. Of the estimated $1.231 trillion in 2013 discretionary spending, a whopping $644 billion goes to national defense. In other words, more than half of discretionary spending is defense spending....


...Where do we need to cut?
Mathematically, it is obvious that our long-term spending problem is centered around mandatory spending, not discretionary spending (although we need to cut that, as well). If we're going to reduce spending and to get the national debt under control, we must reform the entitlement programs at the heart of mandatory spending....
The focus by Freedom Works is fundamentally wrong. Mandatory spending is not about reducing the National Debt unless of course the programs are ended. The challenge to the entitlements or as Senator Paul and Freedom Works refutes it; "Mandatory Spending" is to sustain it. How does the USA sustain it's entitlements? It's promises? So, seeking to cut Mandatory Spending is misguided in it's focus. It is an error.

The entitlements are already funded. It is a matter of how do we make sure the entitlements are sustained. Certainly that is more difficult when global economies implode and two entire years are eroded from the health of these programs.

The most prudent policies in regard to mandatory spending is to return those lost revenues into the programs through the health of the USA Bonds. It is the bonds that fund the entitlements currently. It is the USA Bonds that provide returns to the entitlements, so to insure the standing of the USA Bond is paramount to the MANDATORY PROGRAMS. There really is no funding problem here under NORMAL circumstances. It is when Republican economic programs destroy the USA economy that the entitlements run into problems. But, hey, the GOP doesn't need entitlements, right?

I admire Senator Paul for coming forward in a serious tone stating we have problems in the USA. I have advise. It may or may not be well received, but, it is advice I would consider important to his career. Kindly find sources of information that are not rhetorical and actually have a brain trust that cares about the people of the country. Organizations like Freedom Works ain't it. And Grover Norquist has out lived his usefulness. I would expect Senator Paul to want to emulate the values of a long career no different than his father. I suggest he consider the information he makes his policies decisions on be improved and accurate as well as a method to solving problems. 

I am quite confident the people of Kentucky can understand solid policy when it is presented to them. When politicians use rhetoric as policy it actually insults the electorate. Someday, Kentuckians will realize they are being regarded as a guaranteed vote to rhetoric and they won't like it. I only hope that day is coming soon.

I would like to see Senator Paul become a serious problem solver. Perhaps, he might take up President Obama on his invitation to the White House. If I were him I'd ask to be a part of a meeting with his economic team of advisers and I'd ask questions to 'get it right.'