"Yawn," you say? Well then, just try to wrap your mind around the following numbers:
- The current unfunded liability for Social Security and Medicare amounts to $107 Trillion.
- The Social Security and Medicare unfunded liability is growing at the rate of $5 Trillion every year!
- Of the Social Security and Medicare unfunded liability, the greatest portion is due to Medicare, which alone accounts for $89 Trillion of the total. The Medicare prescription drug benefit (enacted by the Bush Administration, which was no stranger to overspending) accounts for $17 Trillion of the Medicare liability.
- By the year 2054 (when my daughter will be approaching retirement age), the payroll tax rate for Social Security and Medicare Parts A, B and D will need to be a staggering 37% in order to cover then-current obligations to retirees. And remember that the payroll tax does not include Federal, state and local income taxes, with total combined rates that can be as much as 40% in some states.
- According to the Congressional Budget Office, if spending on Medicare and Medicaid continues to increase at its current rate, by the year 2050, at current income tax rates, the entire Federal budget will be consumed just to pay for Social Security, Medicare and Medicaid.
Now, if those numbers do not wake you up, try this one for size: Obamacare, depending on the final form it takes, will increase the size of the Federal budget by $1 Trillion to $2 Trillion each year. And the "savings" that will supposedly pay the cost is a myth. The only way that the Baucus bill that is under consideration in the Senate would achieve revenue neutrality will be if all employers place all of their employees into the government-subsidized plan and then, get this, give all of the savings back to their employees in the form of higher wages!! Oh yeah, that's gonna happen.
The next time someone says that Obamacare is just like Medicare except that everyone will be covered, ask them whether they have a clear conscience about turning their grandchildren into indentured servants who work for nothing except to pay the bills run up by their grandparents.
And lest you think that the Obama Administration and the Democratic controlled Congress only want to spend your money on Obamacare, you should consider that they have approved increases in domestic discretionary spending of 12.1% for 2010 alone. The linked article reminds us that inflation is less than 1%, yet the Democrats are increasing domestic spending by 12.1%. And the increase does not even include the expenditure of the so-called "stimulus" money. When the stimulus money is included, federal agencies will receive, on average, an increase in their budgets of 57% this year. And through the magic of baseline budgeting, the increases become a permanent part of the agencies' budgets. So if a conservative Congressman wants to decrease the size of a particular agency's budget in 2012 by, say, a modest 5%, he or she will be decried by the media and liberal interest groups for taking away from programs that benefit the masses, even though the actual budget, taking into account the 5% decrease, would still be up more than 50% in a two year period.
So remember, even as millions of Americans have lost jobs and real household incomes have shrunk this year, the Obama Administration and the Democrats in Congress are having no trouble at all spending money we do not have on programs we do not need.