Welfare State: Europe’s Economic Armageddon coming to America?

posted at 12:44 pm on November 17, 2010 by The Right Scoop

For the last two years, Americans have unified over the idea that we don’t want this big government welfare state any longer. Local Tea Parties formed in droves with a singular message that resonated all the way to November 2, which lead to Republicans winning the House of Representatives by a historical margin. It was a loud refudiation of the policies of this administration that are killing jobs and promoting the welfare state.

Across the oceans we see enormous debt all over the world crushing economies; tearing at the already porous fabric of the socialistic welfare state. Citizens are violently protesting over having to work a few more years before retirement or having to pay more for college tuition because the government has run out of money. And now those countries whose workforces have dwindled so that they can’t pay those big welfare state IOUs are looking back at us wondering why in the name of all humanity we are going down the same path that led them over the cliff and into economic armageddon.

CBN reports on these collapsing welfare states and how they are now warning us to hit the brakes or end up the same way.

Cross posted at www.therightscoop.com


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Obamanomics has an easy answer: QE3.

Move over Zimbabwe, here we come!

pedestrian on November 17, 2010 at 12:50 PM

CBN reports on these collapsing welfare states and how they are now warning us to hit the brakes or end up the same way

Hit the breaks? Won’t that make us spill our Slurpees?

At this point, a crystal clear message has been sent and is STILL not quite sinking in for too many in DC. Hopefully some of this can be turned around in time.

DrAllecon on November 17, 2010 at 12:50 PM


Citizens are violently protesting over having to work a few more years before retirement …

Socialism … not only does it ruin your economy, but it also makes you a lazyazz. AWESOME!

Tony737 on November 17, 2010 at 12:54 PM

There will be some who will resort to violence over loss of entitlements. Many rioters will be from people who are upset over losing free goodies, but there will also be opportunist Leftists and anarchists to help stir the riot pot.

I don’t think it will get as bad as it has in Europe. We do have an entitlement mentality group among Americans, but it isn’t as pervasive as Europe. Europe had gone full (Socialism) retard. We’ve only gotten partial retard.

Weebork on November 17, 2010 at 12:55 PM

But what will happen to all of our free stuff???????

/sarc

search4truth on November 17, 2010 at 12:55 PM

spoiled brats

conservativescientist on November 17, 2010 at 12:56 PM

Someone posted on another thread that Obama never went beyong 10th grade math. true?

pseudonominus on November 17, 2010 at 12:57 PM

They should be thankful that they even have jobs to work a few more years before retirement.

Blake on November 17, 2010 at 12:58 PM

Fundamentally changing America…

d1carter on November 17, 2010 at 12:58 PM

Liberals are not just slow learners, they never learn.

Welfare states will always fail, but Liberals are on autopilot. They continue to redraft, rework, and reinvent the same programs that have failed in the past. They’re ideology is impervious to reason, logic, or experience. They are the poster children for the definition of insanity.

anXdem on November 17, 2010 at 12:59 PM

Europe’s Economic Armageddon coming to America?

Yes.

Thanks democrats and leftist nutbags!

Thanks George Bush!

darwin on November 17, 2010 at 1:00 PM

Someone posted on another thread that Obama never went beyong 10th grade math. true?

pseudonominus on November 17, 2010 at 12:57 PM

Even if it’s true, it’s irrelevant. If anyone came to me asking for advice in high school, I’d say “take the easiest math classes you get credit for.” Then in college I’d say “take the eastiest math classes you get credit for.” There is no reason any normal person needs calculus or trigonometry.

Everything you need to solve the budget problems can be done with 8th grade math. It’s not rocket science.

lorien1973 on November 17, 2010 at 1:01 PM

It’s coming faster than any one thinks.

milwife88 on November 17, 2010 at 1:01 PM

Entitlements are what keep the masses on the plantation and the elites in control.

anXdem on November 17, 2010 at 1:02 PM

Leftists are just stuck on stupid. They’ll never learn.

UltimateBob on November 17, 2010 at 1:02 PM

First up – California.

forest on November 17, 2010 at 1:02 PM

Hmmmm Why all of a sudden do we have to pass the DREAM ACT? The Progressives are trying to reach 50% takers vs makers.

What did the Progressives learn from the last election? We don’t have enough voters, we need to make new voters – voters that will vote for our agenda of a “Welfare State”.

Why isn’t anyone highlighting the real reason for the PUSH for the DREAM ACT? The argument will be the U.S. needs a young working population so it doesn’t end up like Europe with an aging workforce. BUT in reality all the Progressives are doing is trying to add to their numbers, to tip the scale at the Polls. Who got Harry Reid re elected (They will say Hispanics) BUT it was Labor – Unions behaving as a Firewall. Who supports the Progressives – Unions.

Dr Evil on November 17, 2010 at 1:05 PM

Let them eat cake!

singlemalt_18 on November 17, 2010 at 1:06 PM

Entitlements are what keep the masses on the plantation and the elites in control.

anXdem on November 17, 2010 at 1:02 PM

Entitlements are a means to an end. Eventually, the money runs out and entitlements must be cut. Hunger, joblessness, crime, riots all ensue. A great reason to beg the government to just do something … please.

The people we have in office today will happily oblige.

darwin on November 17, 2010 at 1:06 PM

Even if it’s true, it’s irrelevant. If anyone came to me asking for advice in high school, I’d say “take the easiest math classes you get credit for.” Then in college I’d say “take the eastiest math classes you get credit for.” There is no reason any normal person needs calculus or trigonometry.

Everything you need to solve the budget problems can be done with 8th grade math. It’s not rocket science.

lorien1973 on November 17, 2010 at 1:01 PM

You can balance a checkbox and figure your taxes with 8th grade math, but you cannot understand exponential growth, or dynamic behavior of systems. Math is helps develop skills working with concepts quantitatively.

It explains a lot about Obama and Washington in general.

pedestrian on November 17, 2010 at 1:06 PM

Europe’s Economic Armageddon coming to America?

Beck has been saying this for over a year now.

darwin on November 17, 2010 at 1:07 PM

Leftism destroys everything it touches. Sadly despite this being demonstrated time and time again certain portions of humanity never seem to get it. Europe has been all but a corpse for some time now.

Grayson on November 17, 2010 at 1:08 PM

If these lefty protesters would put as much time, energy and effort into building a business as they do destroying other people’s property, they might just pull Europe out of the abyss.

Tony737 on November 17, 2010 at 1:09 PM

The edge of the cliff may be a lot closer than we imagine. There is no real way of telling but the talks taking place in Ireland and the bailout expected will put a lot of strain on the European goodwill in those nations that still have functioning economies. Austria has refused to pony up cash for Greece in the latest bailout because the Greeks aren’t meeting the promised cutbacks.

The numbers in a major economic collapse are between 5 Trillion and in a very bad scenario 15 trillion dollars. There is no way that any nation could or would put up that sort of money, or in fact anything close to it.

http://www.calculatedriskblog.com/2010/07/part-5a-what-happens-if-things-go.html

So, who defaults? A simple method is to choose the 45% of countries with large sovereign debts (over $50 billion) that currently have the highest cumulative probability of default. They are assumed to default in the same order as implied by their cumulative probability of default at 6/30/10 from CMA: Greece, Argentina (again), Portugal, Ireland, Spain, Italy, Turkey, Indonesia, Belgium, South Africa, Thailand, South Korea, Poland, Brazil, Mexico and Malaysia.

This involves about $5.6 trillion of debt in default, about 16% of all sovereign debt. If historic trends repeat themselves, it all happens within about two years of the first default (Greece), and 11 home currencies are involved. At the low end recovery rate of 31% of face value, there are about $3.8 trillion of losses. This is about 2-3 times the amount currently embodied in credit default swap pricing which we calculated in Part 4 ($1.3-1.8 trillion).

Japan has the highest debt to GDP ratio of any developed country. It is expected to reach 225% of GDP in 2010 (Source: The Outlook for Financing Japan’s Public Debt, IMF 2010)

Democratic nations are in serious trouble when the majority (majority rule) are given a paycheck by the government. People tend to vote their pocketbooks and if they continue to do so those nations are looking at a death spiral.

Having lived most of their lives on the public purse they aren’t really capable of understanding that their entire life must be rejected. Everything they have taken for granted will be ruined and they themselves will have to embrace what the schools, the media, and the government have taught is morally wrong. Are they going to fight that? Yeah, they are going to fight.

sharrukin on November 17, 2010 at 1:10 PM

“I’m not afraid to say European socialism works.”
Bill Maher

Rae on November 17, 2010 at 1:10 PM

“Europe just needs to spend more money!!”
- Paul Krugman

mankai on November 17, 2010 at 1:17 PM

Obamanomics has an easy answer: QE3.

pedestrian on November 17, 2010 at 12:50 PM

Print more gold!!

JohnGalt23 on November 17, 2010 at 1:17 PM

Everything you need to solve the budget problems can be done with 8th grade math. It’s not rocket science.

lorien1973 on November 17, 2010 at 1:01 PM

Yes and no. I agree with you that 8th grade math is all you really need, however, when I was in Geometry class (many, many years ago) our teacher told us that it isn’t the problems that were important, but rather the thinking that is developed in problem solving and deductive reasoning. Of course, when my kids took Geometry they didn’t even learn proofs, so they threw out the most valuable portion of the lessons.

Katerina on November 17, 2010 at 1:20 PM

Everything you need to solve the budget problems can be done with 8th grade math. It’s not rocket science.

lorien1973 on November 17, 2010 at 1:01 PM

…Math is helps develop skills working with concepts quantitatively.

It explains a lot about Obama and Washington in general.

pedestrian on November 17, 2010 at 1:06 PM

Math also teaches analytical thinking, evaluation and logic: the identification of presuppositions and how to build proofs.

Geometric, algebraic proofs, etc., are excellent to train a disciplined mind.

INC on November 17, 2010 at 1:21 PM

Print more gold!!

JohnGalt23 on November 17, 2010 at 1:17 PM

They’ll have to, since we’re not allowed to drill for it domestically.

TexasDan on November 17, 2010 at 1:23 PM

It was a loud refudiation of the policies of this administration that are killing jobs and promoting the welfare state.

Tee hee.

angryed on November 17, 2010 at 1:23 PM

Geometric, algebraic proofs, etc., are excellent to train a disciplined mind.

INC on November 17, 2010 at 1:21 PM

Whereas linear algebra is just there to break you.

TexasDan on November 17, 2010 at 1:24 PM

The problem is the Left’s failure to understand dynamic analysis. They look at a pie and just think they can split it anyway they want without any consequences.

mankai on November 17, 2010 at 1:24 PM

Dr. Evil said: “… Why isn’t anyone highlighting the real reason for the PUSH for the DREAM ACT?”

I agree. In typical stupid ‘Lib’ fashion they can’t/don’t finish the equation. Do they really think all these welfare babies will be willing to work and pay for the Gringo’s retirement after being given everything for nothing? Personally I can’t wait for the riots to begin. That will drive more ‘moderates’ and Indies to the right and conservatism.

JimP on November 17, 2010 at 1:27 PM

Sometimes, Mr. Ryan, the presidency picks you, not the other way around.

cpaulus on November 17, 2010 at 1:28 PM

I blame GWB for the 47% who pay no income tax. His tax cuts of 2001 and 2003 took millions of people off the income tax rolls completely. And he boasted about doing this.

Those millions are now the same ones who demand more spending and higher taxes on everyone else. And they will be on the front lines of the rioting when their free govt cheese runs out.

angryed on November 17, 2010 at 1:31 PM

Everything you need to solve the budget problems can be done with 8th grade math. It’s not rocket science.

lorien1973 on November 17, 2010 at 1:01 PM

IIRC, I learned subtraction in the 2nd grade, and that is really all that is needed.

Vashta.Nerada on November 17, 2010 at 1:31 PM

Really bias “report” — not that I disagree.

And to put on my Ed Morrissey hat of devil’s advocate: they’re not all crumbling at the seams. The oft-touted Nordic states are still humming along in a socialist paradise. Of course, the lack of Defense and small populations help…

jjraines on November 17, 2010 at 1:35 PM

Math is helps develop skills working with concepts quantitatively

pedestrian on November 17, 2010 at 1:06 PM

You may be good at math, but… ;-)

yubley on November 17, 2010 at 1:36 PM

The oft-touted Nordic states are still humming along in a socialist paradise. Of course, the lack of Defense and small populations help…

jjraines on November 17, 2010 at 1:35 PM

Soon, their muslim populations will exceed 13%, then all bets are off.

Vashta.Nerada on November 17, 2010 at 1:37 PM

Citizens are violently protesting over having to work a few more years before retirement or having to pay more for college tuition because the government has run out of money.

Even some of the Europeans are fighting back against the welfare state. President Nicolas Sarkozy of France gave a long interview yesterday with three lefty journalists, and handled himself beautifully. Sarkozy was asked why many young people joined protests against the Government’s raising the retirement age (from 60 to 65) to qualify for a Government pension, suggesting that young people want to take the jobs of the retirees. Sarkozy replied that it’s an “absurdity” to think that the supply of jobs is constant, that if older people continue to work later in life, they will create economic demand for services provided by younger people. He also said that “half of today’s 20-year-olds will live to be 100. Do they expect the Government to pay them for half the life they have left?”

Here’s a President who GETS IT–from France, of all places! He is up for re-election in May 2012–if he loses, could the USA borrow him?

Steve Z on November 17, 2010 at 1:39 PM

Entitlements are a means to an end. Eventually, the money runs out and entitlements must be cut.

darwin on November 17, 2010 at 1:06 PM

The first to receive the cuts are those who speak out against the government. See how that works?

Kafir on November 17, 2010 at 1:40 PM

Here’s a President who GETS IT–from France, of all places! He is up for re-election in May 2012–if he loses, could the USA borrow him?

Steve Z on November 17, 2010 at 1:39 PM

If this world worked the way it should, we would just be able to lure him away with better salary and stock options.

pedestrian on November 17, 2010 at 1:45 PM

The oft-touted Nordic states are still humming along in a socialist paradise. Of course, the lack of Defense trying to play nanny for half the world and small populations help…

jjraines on November 17, 2010 at 1:35 PM

Ftfy. Also, those Nordic states seem to lack the crowd of dedicated right-wingers that America does. If any of them had the population makeup like we do, their government would be far different.

Dark-Star on November 17, 2010 at 1:45 PM

Even if it’s true, it’s irrelevant. If anyone came to me asking for advice in high school, I’d say “take the easiest math classes you get credit for.” Then in college I’d say “take the eastiest math classes you get credit for.” There is no reason any normal person needs calculus or trigonometry.

Everything you need to solve the budget problems can be done with 8th grade math. It’s not rocket science.

lorien1973 on November 17, 2010 at 1:01 PM

Beg to differ on this. If you want to find the minimum of a function (such as a budget), take the derivatives (calculus) and set them to zero. Most cyclical functions are modeled as sines and cosines (trig functions), and any vector (displacement, velocity, acceleration, force, electric and magnetic fields, light, etc.) needs trig functions to be resolved in three dimensions. If Obama wants to figure out how much energy he gets from his solar panel, he’ll need trig to figure out the sun angle at a given time of day and year.

But Obambi does have a problem with math. If more money goes out than comes in, you go bankrupt. But wait! All those old fuddy-duddies with their old-fashioned failed policies of the past 2+2=4 forgot about…TA-DA…(drum roll)…ObaMagic!

Steve Z on November 17, 2010 at 1:58 PM

Weebork on November 17, 2010 at 12:55 PM

It may come sooner than you think. 32 states have already borrowed themselves into a corner. When the Fed cuts off the tap, the excrement will hit the fan.

dogsoldier on November 17, 2010 at 2:02 PM

There is no reason any normal person needs calculus or trigonometry.

lorien1973 on November 17, 2010 at 1:01 PM

As a land surveyor and a normal person, I strongly disagree with you.

txsurveyor on November 17, 2010 at 2:06 PM

All described quite perfectly by Ayn Rand over 50 years ago in Atlas Shrugged. She got only one thing wrong: there is no John Galt.

mydogspot on November 17, 2010 at 2:12 PM

As a land surveyor and a normal person, I strongly disagree with you.

txsurveyor on November 17, 2010 at 2:06 PM

I’m pretty sure lorien meant ‘normal’ as ‘the average working person’. And he’s right. Partly thanks to the wild proliferation of electronics in every way imaginable, most people don’t need anything more complicated than 10th-grade math unless they work in highly technical jobs or with the intricacies of finances every day.

Dark-Star on November 17, 2010 at 2:12 PM

Being self employed I pay taxes so people don’t have to work.
While I myself can’t participate?

It’s not enough to help cover all the entitlements, now businesses are picking up the tab for a NEW round on proposed unemployment benefits!

So, I can’t hire a new employee to work in my business because I have to give the money to somebody that won’t work (perhaps even a union jerkwad)
and is sitting on his ass?

Yeah, that’s smart.

OkieDoc on November 17, 2010 at 2:24 PM

Meanwhile in lovely Santa Cruz. . .

As the crowd disbanded, some participants lamented the poor turnout and “apathetic” nature of the rest of the student body.

……dude…got any pocket change, help me out with my student loan, dude? I’m starving here. . .

Skandia Recluse on November 17, 2010 at 2:26 PM

Many of their “private” companies are also subsidized.

unlisted on November 17, 2010 at 2:28 PM

Math also teaches analytical thinking, evaluation and logic: the identification of presuppositions and how to build proofs.

INC on November 17, 2010 at 1:21 PM

Couldn’t agree more! Of course I have a math degree and work in finance so I may be biased ;)

Here’s a President who GETS IT–from France, of all places! He is up for re-election in May 2012–if he loses, could the USA borrow him?

Steve Z on November 17, 2010 at 1:39 PM

Sarkozy isn’t perfect – he’s a big supporter of climate change legislation, for example – but he’d be a massive improvement over Obama

… of course that’s a very low bar.

CityFish on November 17, 2010 at 2:34 PM

Someone posted on another thread that Obama never went beyong 10th grade math. true?

pseudonominus on November 17, 2010 at 12:57 PM

I don’t think it matters in his case because he went to a touchy-feely liberal private school in Hawaii where they probably spent most of the day finger painting. The years he spent in grade schools in Indonesia were likely wasted as well. This is why he thought there were 57 states, and people in Austria spoke Austrian. Without his race, he probably ends up in some kind of sales job.

slickwillie2001 on November 17, 2010 at 3:36 PM

Everything you need to solve the budget problems can be done with 8th grade math. It’s not rocket science.

lorien1973 on November 17, 2010 at 1:01 PM

It’s not the math which is the problem…it’s the common sense or lack of.

right2bright on November 17, 2010 at 4:05 PM

It’s not the math which is the problem…it’s the common sense or lack of.

right2bright on November 17, 2010 at 4:05 PM

Well…mostly. There are be a lot of people that haven’t any financial sense, but the horror stories on math illiteracy are rampant.

Dark-Star on November 17, 2010 at 4:38 PM

All described quite perfectly by Ayn Rand over 50 years ago in Atlas Shrugged. She got only one thing wrong: there is no John Galt.

mydogspot on November 17, 2010 at 2:12 PM

Absence of evidence is not evidence of absence. Your not seeing a John Galt analog does not imply that none exists.

VekTor on November 17, 2010 at 5:31 PM

Someone posted on another thread that Obama never went beyong 10th grade math. true?
Da boy had da mos gold stars so they gave him P’s n sent him to fancy kolages and den he got all his stuff sealed so we be thinkin’ he be a genus or sumptin. Amazing what good media and PR can hide in a PC world.
Dude can not ad any thing up and get the right answer but the CBO will twist the numbers to fit the crime.

Col.John Wm. Reed on November 17, 2010 at 9:24 PM

Conservatives protest.

Liberals riot.

That difference, that dichotomy, speaks volumes about the two groups. I wish that it was pointed out more often.

Theophile on November 18, 2010 at 3:31 PM