By Mark J. Donovan
Friday’s S&P downgrade of the United States debt credit rating from AAA to AA+, the first time in the history of our country, will have major financial repercussions for years to come, the housing market included. Interest rates, including mortgage rates, will rise and when they do more people will be out of reach from buying a home. In addition, potential home buyer’s stock portfolios and 401Ks have already been dramatically hit since the announcement on Friday. As a result, they’ll now have less money to plunk down as a deposit on a new home. And even if they had staged their money in cash with the plan on using it as a deposit they will be rightfully skittish about pulling the trigger and signing a purchase and sales agreement on a new home at this point in time.
Why the downgrade? Spending. Spending. Spending. Our country is over 14 trillion in debt due to uncontrollable spending by the clowns in Washington. When I hear the democratic party blame the Tea Party, or say we need to tax the rich more for this debacle it only solidifies my belief that they are the first that need to go. Make no mistake, the Republicans have done their fair share of spending during the Bush administration but the current executive administration and its liberal democratic allies in the Senate are running our country into the ground just as fast as they can possibly do so. And yes, I am suggesting they are doing it on purpose. They want to bring the American public down to its knees so that we beg at the federal government trough for help and assistance, and so that we can be permanent servants to them. What is even more disheartening is the percentage of the American public that has apparently bought into this lifestyle change. As long as the beer keeps flowing and there’s a game on every night it seems the average Joe is content. Just what the current executive branch and Senate leadership want.
In regards to taxation, currently only 49 percent of the U.S. population pays federal taxes. This means the other 51 percent are contributing nothing to use the country’s roads and airports, and other services. They pay nothing for our military to protect their interests and safety. I could go on, but you get the message. Instead, the Democrats say “Tax the Rich” some more. Even if we taxed them 100% it still wouldn’t come close to keeping up with the rate of spending. It’s a red herring that sounds good on a sound bite, but in reality it’s total baloney.
One interesting note, our country was founded on the concern of “Taxation without Representation”. It seems we’ve gone full circle. It appears the majority gets Representation without any Taxation.
The bottom line, if we are to take back our country, we need to throw these bums out come next November and complete the job that was started in 2010.
Monday, August 08, 2011
By Mark J. Donovan
Posted by Mark Donovan at 7:39 PM