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Monday, April 11, 2011

These are strange days, indeed. As President Obama makes plans to unveil a plan to deal with deficits and debt many on the left and the right are contemplating the seemingly changed political landscape. Once upon a time it was considered an act of political suicide to suggest cuts in popular entitlement programs like Social Security or Medicare. But it seems that this is no longer the case (notice that I continue to use the word 'seems'). Michael Barone believes the President is responding to the changed landscape as indicated in recent election results and polls. Paul Krugman is despairing that the ultra-liberal candidate of hope and change he and his friends thought they were getting turns out to be an empty suit easily bested by the evil Republicans. But, as always, Robert Samuelson provides the voice of reason in this column reminding everyone that we are on an unsustainable spending path driven by popular programs. Almost half of our population of 300 million (46.2%) is receiving some kind of substantial benefit. That number includes 46.5 million getting Social Security benefits, 46.2 million on Medicare, 42.4 million on Medicaid, 36.1 million getting food stamps, 12.4 million receiving housing subsidies and 3.2 million getting veteran's benefit's. Of that group, only the veteran's can be said to have earned those benefits by direct service to the country. Everything else on the list is welfare in one form or another. Samuelson also points out that polls show Americans want increased spending on education, health care, social security and many other things, but also believe they are taxed enough. This is unsustainable fiscally, economically and politically. So, is there a way out? Yes. When we reach a crisis point and are forced to make hard choices. Mine is a pessimistic view to be sure. But it is what I think based on the evidence at hand.

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