THE FUTURE OF U.S. GOVERNMENT AND THE ECONOMY

The more government has control over a country's resources, the more its citizens look to it for help. The more a country's citizens look to government for help, the more that government can command yet greater control of its citizens resources. In 1969, the U.S. government controlled about 30 percent of annual U.S. economic output (gross domestic product--GDP). In 2010, the U.S. government controlled over 40 percent of annual GDP. Most of this increase consisted of government transfer payments (i.e., government payouts to individuals and households). Thus, in 2011, far more U.S. citizen's than ever are looking to government for help.
Socialism can be loosely (but not unreasonably) defined as government control of a nation's resources. So if you are wondering in what direction this country is heading and how fast, well you do the math.
As for the future of the U.S. economy, this blog has cited numerous studies documenting the inverse relationship between the size of government and the economy.

REGARDING THE DEBT LIMIT

"I wish it were possible to obtain a single amendment to our Constitution. I would be willing to depend on that alone for the reduction of the administration of our government; I mean an additional article taking from the Federal Government the power of borrowing."

Thomas Jefferson--1798

THE FUTURE OF THE US ECONOMY

As the man says in this video, everyone has to hear this (3 min.) message. Brace yourself.

http://www.youtube.com/embed/VtVbUmcQSuk

GOVERNMENT AT WORK

Almost two thirds of government spending amounts to no more than taking money from one person and giving it to another. In 1960, this type of activity accounted for only about 30 percent of government spending, now it's over 60%--see below. The blue line depicts government transfer payments as a percent of government spending.

MORE ON THE PROPROSED SPENDING "CUTS"

$2 Trillion in Cuts in Perspective
Congressional Republicans have said that spending cuts must be at least as large as an increase in the debt ceiling. Negotiations over lifting the debt ceiling are ongoing, but the “magic number,” so-to-speak, would be around $2 trillion in spending cuts.
Cutting $2 trillion in federal spending sounds like a lot, but it’s actually relatively small because the cuts would likely occur over ten years. According to the Congressional Budget Office’s most recent budget baseline, the federal government will spend almost $46 trillion over the next ten years.
The following chart shows what $2 trillion in spending cuts over the next ten years looks like when measured against the CBO’s baseline. Even with the cuts, federal spending would still increase by $1.8 trillion:

 Rather than actually cutting spending, federal spending (and debt) would continue to grow – just at a slightly lower rate. And as Chris Edwards continues to warn, there is a strong possibility that some or all of the “cuts” could be phony.

This Week in Government Failure is a post from Cato @ Liberty - Cato Institute Blog

THE UNBELIEVABLE DEPTH OF OUR SPENDING PROBLEM

This is a repeat of a previous post--but it bears repeating. PLEASE watch the video.

http://wimp.com/budgetcuts/