An article by the mysterious “Tyler Durden” focuses on the political dilemma. About 48% of the population is on welfare of some kind.
We want to see the welfare state rolled back. Voters say they do — bit not for the programs that help them.
Government benefits total 65% of the federal budget — not the military, federal courts, or the FBI. We are talking about $2.5 trillion, or 15% of the GDP.
How do we persuade voters to wean themselves from the federal milk cow?
And yet some people out there still think these people, long since indoctrinated to do little but mooch off the welfare state (which will continue subsidizing its existence so long as debt rates are so low that the government can issue trillions each year without fears of consequences) will halt their iTunes purchases, will voluntarily stop subsisting on the government’s teat, or will rebel against a government which is their only source of income? Why? Especially since something tells us that there will be a peculiar overlap between this 50% and the 50% of Americans that pay zero taxes.
They do pay taxes. The pay sales taxes. They pay Social Security taxes (FICA). They just don’t pay income taxes.
He includes some good charts. We can see the huge increase in direct payments. These charts are worth the price of admission.
But there is still the question. How can we persuade people to vote for politicians who will cut their payments? The answer ids clear: we can’t.
This means that deliverance will either not come or else come through a Great Default. I think it will be the latter. Washington’s checks will finally bounce.