The Evolution of a National Burden – Part 6/7

In 2009, the National Debt, at the end of President G. W. Bush’s (2001 – 2009) last annual budget reached almost $12 Trillion.

However, according to Joe Weisenthal of Business Insider Magazine, it was President Clinton (1993 – 2001) that brought about the global financial crises of 2007-08 that still haunts us today because he did not spend enough and increase the national debt.

Conservative, Libertarian and Tea Party national debt critics often use this opinion as evidence to place blame on President Clinton in addition to welfare spending for the current growing $16 Trillion National Debt as if no one in the Republican Party (GOP) is responsible for one cent of it.

At this point, I think it is necessary to stop and examine the foundation of this claim before continuing with the Evolution of a National Burden.

Who is Deputy Editor Joe Weisenthal and Henry Blodget, his boss at Business Insider Magazine?

Binyamin Appelbaum at The New York Times says, “In Weisenthal, Blodget has found a market-obsessive who embodies his vision. Weisenthal, 31 and still a bit baby-faced, is funny, omnivorous and well versed in the mechanics of the economy. In the intensely competitive world of financial blogging, dominated by young men who work long hours and comment on every new development, Weisenthal stands apart by starting earlier, writing more, publishing faster. …

“Weisenthal wanted to come to New York as a playwright. In college at the University of Texas, he wrote the lyrics and music for a satire of Ayn Rand’s philosophy, and after graduating in 2002, he submitted it to the New York International Fringe Festival. When the play was rejected, he took the analyst position instead. And when that began to sour, he and a friend started a blog cataloging their thoughts about markets called TheStalwart.com. …

“Weisenthal says his own political thinking has shifted from something like libertarianism to the Keynesian view that the government should borrow and spend massively during a recession.”

Weisenthal’s thinks Bill Clinton brought about the financial crisis by running surpluses (and not borrowing and spending massively adding to the national debt). Weisenthal claims that it was Clinton’s surpluses that lead to the accumulation of private debts that subsequently triggered the financial crisis.

His boss, the editor and CEO of The Business Insider Magazine, is Henry Blodget.

In 2002, then New York State Attorney General Eliot Spitzer, published Merrill Lynch e-mails in which Blodget gave assessments about stocks which conflicted with what was publicly published. In 2003, Blodget was charged with civil securities fraud by the U.S. Securities and Exchange Commission. He agreed to a permanent ban from the securities industry and paid a $2 million fine plus a $2 million disgorgement.

Before his time at Merrill Lynch and the subsequent charge of civil security fraud, Blodget was a freelance journalist and a proofreader for Harper’s Magazine. In 2001, he accepted a buyout of his contract from Merrill Lynch and left the firm. Blodget’s net worth is $15 million today. Source: Get Networth.com

You may want to learn more about Henry Blodget from Tim Worstall’s The Henry Blodget Edition of Lies, Damned Lies and Statistics published by Forbes.

In addition, you may want to read this from John Carney, a Senior Editor at CNBC.com. “My old boss Henry Blodget has a post up at Business Insider lamenting the fact that he cannot cast his vote for a fiscally conservative Republican without also supporting what he calls “Republican Religious Aggressives.”

Blodget started as a freelance journalist/proofreader and then worked for Merrill Lynch before being banned from the securities industry due to a charge of civil securities fraud. Then he became the millionaire editor and CEO of a financial magazine, and in  Joe Weisenthal, Blodget, a “conservative Republican” probably found maybe the only thirty-something man with libertarian/Keynesian views on the planet that “embodies his (own crackpot) vision”.

Does white collar crime pay?

On November 10, 2012, the National Debt hit $16.2 Trillion.

Note: The Inflation calculator used  for this series of posts may be found at Dave Manuel.com, and the primary source for government spending was US Government Spending.com

Continued on December 7, 2012 in The Evolution of a National Burden – Part 7 or return to Part 5

Also discover Each President’s share of the US National Debt and learn more from the National Debt Info-Graphic by President 1945 – 2012

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Lloyd Lofthouse, a former U.S. Marine and Vietnam Veteran, is the award winning author of The Concubine Saga.

His latest novel is Running with the Enemy. Blamed for a crime he did not commit while serving in Vietnam, his country considers him a traitor. Ethan Card is a loyal U.S. Marine desperate to prove his innocence or he will never go home again.

And the woman he loves and wants to save was trained to hate and kill Americans.

To follow this Blog via E-mail see upper left-hand column and click on “FOLLOW!”

Is the Average RICH person an Idiot?

I read a piece by Mandi Woodruff at Business Insider about 21 Ways Rich People Think Differently.

The first paragraph said, “World’s richest woman Gina Rinehart is enduring a media firestorm over an article in which she takes the ‘jealous’ middle class to task for ‘drinking, or smoking and socializing’ rather than working to earn their own fortune.”

I’m in the middle class. I don’t drink or smoke and I socialize only a little compared to the number of hours I work at what I enjoy, and I’m not jealous of the rich. I do not envy them either. What does that say about me?

Number ONE of the twenty-one ways rich people think differently says, “Average people think MONEY is the root of all evil. Rich people believe POVERTY is the root of all evil.”

I’m not RICH, and I don’t think money is the root of all evil and I also do not believe POVERTY is the root of all evil. Instead, I believe GREED is one of the causes of evil and POVERTY leads to suffering and some of those people living in poverty work long hours at jobs that pay little because some RICH person doesn’t offer a livable wage.

For example: the Walton family that continues to earn its wealth from the Wal-Mart stores. The NY Times says, “With most of Wal-Mart’s workers earning less than $19,000 a year, a number of community groups and lawmakers have recently teamed up with labor unions in mounting an intensive campaign aimed at prodding Wal-Mart into paying its 1.3 million employees higher wages.”

That NY Times report was in 2005, and little has changed at Wal-Mart. In fact, it may be worse. The CEO, Michael Duke, earned $35 million in 2010 while a new Walmart employee was paid $8.75 an hour for an annual salary of $13,650. Source: Jonathan Turley

In addition, the Walton family’s now holds as much wealth as the bottom 40 percent of Americans combined—about $90 billion.

Does that mean all RICH people are like the Waltons?  I don’t think so.  After all, two of the richest people in the world are planning to give all or most of their wealth away to worthy causes. I’m talking about Bill and Melinda Gates and Warren Buffet with a combined net worth of $105 billion.

Woodruff also mentions a book, How Rich People Think, written by Steve Siebold. Siebold makes some wild claims such as, “The average person has been brainwashed to believe rich people are lucky or dishonest.” Usually, I leave a link when I mention a book, but I do not think this book deserves a link.

However, it’s common sense—something Siebold and Rinehart seem to be missing—that everyone cannot be RICH.

Before I finished reading the Business Insider piece, I had the impression that Siebold believes everyone could be rich and famous if they had not been brainwashed into thinking the way us AVERAGE middle class folks think.

Here’s my reply to Siebold:  Everyone cannot be a winner.  Imagine a horse race where every horse wins and no one loses. There is always a horse that comes in last.

Imagine all the football, baseball, basketball and soccer games ending in ties because everyone is an incredible, perfect athlete.

Imagine every person on the Earth each worth millions or billions. Who would be left to mow the lawns, cook, wait tables, etc.?

Imagine seven billion people with the talent of Elvis Presley, Michael Jackson, or Whitney Houston.

Some of what Siebold says about how the rich think makes sense but I’m sure there are many AVERAGE people in the MIDDLE CLASS that do not behave as Gina Rinehart claims and for sure, have not been brainwashed as Siebold says.

Here’s a thought: I suspect that the RICH people that caused the 2007-08 global financial crises are an excellent example of the AVERAGE rich person, and if you want to know what EVIL is, we do not need the opinions of RICH people such as Gina Rinehart with a net worth of $18.9 billion or  Steve Siebold, who charges $7,501 to $15,000 to speak to you about his opinions. We may turn to the BIBLE to find out that answer:

“For the love of money is the root of all evil …” Source: King James Bible: 1 Timothy 6:10, or there are passages in the Bible that also says it has to do with being judgmental, to think what is good and evil such as Isaiah 5:20 – “Woe unto them that call evil good, and good evil; that put darkness for light, and light for darkness; that put bitter for sweet and sweet for bitter!”

Discover The Face in the Glass

_______________________

Lloyd Lofthouse, a former U.S. Marine and Vietnam Veteran, is the award winning author of The Concubine Saga.

His latest novel is Running with the Enemy. Blamed for a crime he did not commit while serving in Vietnam, his country considers him a traitor. Ethan Card is a loyal U.S. Marine desperate to prove his innocence or he will never go home again.

And the woman he loves and wants to save was trained to hate and kill Americans.

To follow this Blog via E-mail see upper left-hand column and click on “FOLLOW!”