Lincoln Way Town Hall

8/9/2019 Lincoln Way Town Hall

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2/31

America in Crisis

Debt is $12.8 Trillion

Obama projects endless risingdebt

Unheard of levels of governmentemployment

All government pension costs

out of control

Litigation out of control

Education and health care costs

out of control


3/31

America in CrisisThis is what debt of

$12.8 Trillion looks like:

$12,800,000,000,000.00

America, in 234 years, has neverowed so much to so many


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5/31

America in Crisis - Agenda

Bit of History

Wealth creation Economic burdens

Debt

What can we do?


6/31

N

orman J. Kost Who am I?

Father, soon to be Grandfather, Business

man and Amateur Golfer MBA, CPA with one hole in one

40+ years in finance, economics,accounting and business strategy

Retired; owner of software company

Fiscal conservative Essayist: www.thefundamentals.us


7/31

Fiscal Conservative Live within your means

Spend others money as yourwould spend your own

Repay debts

Save for rainy day

Meet your needs and prioritizeyour wants

Help others who have needs


8/31

History Lesson(15 years of history)

1773 Boston Tea Party

1774 First Continental Congress

1775 Shot heard round the world

1776 Declaration of Independence

1777 Articles of Confederation

1783 British surrender 1786 Shays rebellion

1788 USConstitution adopted


9/31

History Lesson earlier17 years of history

1756-1763 Seven Years War

1756 British Debt 75 Million

1763 British Debt 800 Million

1764-1767 Sugar Act, StampAct and Townshend Acts

1770 Boston Massacre

1773 Boston Tea Party


10/31

It is incumbent on everygeneration to pay its

own debts as it goes.

A principle which ifacted on would saveone-half the wars of theworld.

TJefferson


11/31

Wealth Creation Four basic ways to create

wealth:

Grow/harvest from earth

Extract from earth

Manufacture from grow/extract

Labor to do above Competition improvements

Economic Growth = Jobs

Jobs = Economic Growth


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Wealth Creation - Burden

Too many non workers

Protection of special interestsvia anti competition rules/laws

Taxes/Litigation

Trade restrictions

Debt

Bad Leadership


13/31

Workers/N

onWorkers Total US Population: 310,000,000

Total US Workforce: 150,000,000(citizens between 17 and 65)

18% are un(under)employed: 27,000,000

Government employees 22,000,000

Wealth creation employment 101,000,000

All others being supported 209,000,000

Economic Burden


14/31

Causes = Special Interests

Civil rights

Womens rights

Consumer rights

Environment

Disabled rights

Employment Housing rights

Education rights

Voting rights

Farmers rights

Welfare rights

Pension rights

Health care

Veterans rights

Union rights Animal rights

Gay rights

Immigrant rights


15/31

Special Interests raise

cost of everything

SEIU

AFSCME

AFL-CIO

NEA

AFT

NTEU Postal Workers

Trial Lawyers

Medical lawsuits

Pharmaceutical

Farmers union

Oil companies

Bailouts Banking


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Attorneys per capita

USA 265Brazil 326New Zealand 391Spain 395Italy 488

United Kingdom 401Germany 593France 1,403


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Who Pays the Taxes?

1979

Taxes

Top 5%: 30%

Top 40%: 77%

Social securityTop 5%: 8%

Top 40%: 63%

2006

Taxes

Top 5%: 45%

Top 40%: 86%

Social securityTop 5%: 14%

Top 40%: 68%


19/31

The Debt Burden

Today the US owes $12.8 Trillion

$8.3 Trillion to public/foreigners

$4.5 Trillion to other govt agencies,principally Social Security Fund

$12.8 projected to be $20.0 by 2020

Lets take a look at this debt


20/31

National Debt at end of:

Ford $ .065 Trillion

Carter .930 Trillion

Reagan 2,684 Trillion

Bush I 4,177 Trillion

Clinton 5,662 Trillion

Bush II 10,700 Trillion

And now:

Obama 12,800 Trillion


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National Debt per capita

Ford $ 2,997

Carter 4,094

Reagan 10,979

Bush I 16,379

Clinton 20,067

Bush II 35,153

Obama 40,101


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National Debt per employee

Total debt today $12.8 Trillion

Total employees 101,000,000

Debt per employee is calculated

$12,800,000,000,000/101,000,000 =

$126,733 per employee!


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Exports per capita

Netherlands $23,400

Germany 14,500

South Korea 7,200

France 7,100

Italy 6,400

Britain 5,800

Japan 4,100

United States 3,200


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What is the real answer?

Good leadership

Live within our means

Good leadership

Repay debt

Sacrifice and frugality

Good leadership

Insist on objectives and results


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www.thefundamentals.us Deficits = Debt = Destruction Remedies:

Sacrifice and Frugality Bankruptcy for insolvent entities 5 + 10 + 15 = -5% debt repayment Constitutional amendments

Balance budget Term limits Restrictions on federal/state mandates

Require 2/3rds congress/states for proposal;and, 3/4ths of states for ratificationContact us: [email protected]


27/31

www.thefundamentals.us

Our proposals:

5+10+15 = -5% debt repayment

Balanced budget and sunset law

Loser pays; limit on damages

Term limits on congress

Measurable objectives on all laws Limits on federal mandates

No interstate taxation

No federal sales tax or VAT


28/31

What can I do?

Attend meetings and rallies

Challenge the status quo

Vote against tax increases

Display bumper stickers, yardsigns

Write a few checks to providesome funding to these efforts


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I want to do more

Study issues, read and learn

Contact your elected officials

Write letters and insist thatcandidates take measurablesteps to stop spending andrepay debt (see listing at

www.thefundamentals.us ) Support groups which specialize

in fiscal responsibility/lower

government spending


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Still more.

Become active in your localpolitical groups - city or county

board of trustees, school board,park districts, political party

Volunteer to participate on

committees and specialadvisory boards

Campaign for good politicians

Run for office


31/31

I predict futurehappiness forAmericans if they canprevent the governmentfrom wasting the laborsof the people under thepretense of taking care

of them.

TJefferson

Lincoln Way Town Hall

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