Politicians and their media allies have been screaming for months that the so called “fiscal cliff” will spell the end of America. While most people agree that raising taxes in our slow economy would be a bad idea, the real purpose for all the chicken little, “Sky is falling”, rhetoric is purely political. The real purpose is to convince the American people that we should increase taxes, while eliminating cuts that came out of the Super Committee during the battle over the increasing the debt ceiling in the summer of 2011.
To predict the outcome of the “fiscal cliff” negotiations, one needs to understand that nether the Democrats or Republicans are really interested in real cuts in spending, specifically for the government programs they seek to protect.
Republicans’ Sacred Cow
Just listen to the GOP when faced with a reasonable $60 billion dollar per year cut in military spending.
What war hawk Lindsey Graham doesn’t tell you is that even with the $60 billion per year in cuts, the U.S. will spend 5 times more on its military than China and 10 times more any other nation.
Clearly, America’s military industrial complex will continue to dominate the world, in spite of the GOP’s fear tactics and absurd claims that the cuts will “destroy the military”.
Democrats’ Sacred Cows
While the Republicans are unwilling to cut military spending, the Democrats are unwilling to cut any other government program, especially the major entitlements that are driving the massive debt we are accumulating. Just listen to the left when they are pinned down on what they are actually willing to cut.
So this clown suggests that raising taxes is a cut? If it weren’t so pathetic, it would be laughable. The Democrats have no intention of cutting anything.
The Likely Outcome
There will be a deal, a very bad deal for the American people. As usual, the politicians on both sides will delay until the last minute, claiming that doom is upon us and they must act now to save America from certain disaster.
The Republicans will agree to raise taxes on successful families and small business, in exchange for eliminating the military and domestic cuts agreed to in 2011. Any real cuts, along with any discussion of limiting the size and scope of government, will be dismissed, with promises of taking up the issue at a later date. That date will never come.
Both sides will declare victory, as America races toward a $20 trillion debt and a total collapse of the monetary system. This is what happens when corrupt leaders put short term politics ahead of long term public interests. We have no one to blame but ourselves. The Tea Party sounded the alarm but was demonized by the left, right and the media. We voted for these people, without taking to time to really understand the long term crisis we face. In light of that, we will end up getting exactly what we deserve.