March 25, 2010
The Wall Street Journal had a very telling graphic.
It’s pretty apparent that Europe is Obama’s blueprint for America. With the recently passed piece of health care legislation, Obama has moved America more towards a socialist state where the government is supposed to take care of all of its citizens’ needs. Well, if he bothered to take the time to read the papers, he would notice that parts of Europe (e.g. the PIIGS) are staggering under the burdens of their left-wing economic policies. If he bothered to check with any reasonably informed economist, he might have noticed the type of information in the above graphic.
Europe’s preference for a secure social safety net has come at a cost, namely burdensome taxes which have kept growth at a slower rate than more capitalist countries like America. The difference may not seem like much, but over time, those little differences compound and result in significant differences. Europe’s GDP growth relative to the U.S. means that their standard of living has declined, and likely will continue to decline, relative to that of the U.S.
The U.S., even with its superior growth, is already an insolvent country. This year, we are paying out more in Social Security benefits than we are taking in in Social Security taxes. What hope does Europe have?
The best way to insure a secure future for ourselves and our children is to provide for sustainable economic growth. A stronger economy will allow us to accumulate more wealth, pay our existing obligations, and ultimately provide us the safety net we require as we grow older. If there is little to no growth, we will get overwhelmed by our existing obligations, see our standard of living erode, and become more and more dependent on the government to make up for our personal shortfall. This is a vicious downward spiral and the path of destruction that Obama has set for us.