The Iran Nuclear Update

A report by William Broad and David Sanger of the New York Times reports the International Atomic Energy Agency of the United Nations said it had discovered an additional 460 lbs. of low enriched uranium, a third more than Iran had previously disclosed.  The Agency made its find during its annual physical inventory of nuclear materials at Iran's desert enrichment plant at Natanz.   Iran had produced a total of 1,010 kilograms of low enriched uranium. 

 

Those who want war with Iran will try to use this information as a pretext to invade that country and will soon start a fear campaign to sway public opinion.  The discrepancy came to light when the report noted that the new total came from the addition of 171 kilograms of new production to 839 kilograms of old production.  But the agency had previously reported the old production as 630 kilograms.  Iran is actually operating 200 more centrifuges that is used to enrich uranium than listed in the previous agency report and has 1600 more in the wings.  The head of the agency, Mohammad ElBaradei said Iran appeared to have made a political decision to do less enrichment than it physically could.

 

What does all this mean?  It means that the agency who is responsible for monitoring the situation is doing its job and disclosing the facts as they know exists in Iran.  On the other hand, Israel, Pakistan and India continue their nuclear weapons program without checks and balances from the agency.  No one knows what those 3 countries are doing.  It should be obvious that the greatest threat to use WMD would come from those countries.  Iran, because of its leadership make up, has a more stable government than Israel, Pakistan or India.

 

The Obama administration and its new foreign policy team will have an opportunity with the right approach to bring the situation under control and prevent another tragic war in that part of the world.  The President and world leaders must also call Israel, Pakistan and India to account for their nuclear programs and open them up to inspection like the U.S., British, French, Germany, Iran and other countries who are part of the Nuclear Non Proliferation  Treaty.  If that is not pursued other nations will feel they should be free of constraints to develop WMD. 

Bailouts And Stimulus

President Bush and his Treasury Sectary Paulson asked congress to pass a bail out package for Wall Street financial institutions in the amount of $700 billion.  Congress did so, Bush signed the bill and his administration gave out $350 billion with no strings attached.  The second $350 billion was turned over to President Obama to use.

 

President Obama urged congress to pass a stimulus package and congress did so to the tune of $787 billion and Obama signed the bill.  Every one knows the reasons given by Bush and Obama for the legislation.  There has been much pro and con on both pieces of legislation concerning taxpayers money being used for the purpose stated.  The American people have a right to be concerned and should insist that safeguards be attached to protect their tax investments.

 

There is hope for the people in all of this.  The government bailed out Chrysler and Mexico a number of years ago with tax payers money and the money was repaid with interest.  So the government does know how to safeguard the taxpayers investment.  There were voices at that time that said Chrysler and Mexico would never repay the money and they were wrong.

 

The opposite happened concerning the Savings and Loan crisis in the 80's during the Reagan administration.  That meltdown was different and resulted in the closure of hundreds of S&L and cost the taxpayers over $150 billion which has never been recovered. 

 

In my judgement the biggest problem with the two expenditures is it will add $1.4 trillion to the deficit and national debt on top of the 8 years of record deficits and debt by the Bush administration.  I do have confidence that the Obama administration will make deficit reduction a priority in line with bringing back the economy and creating jobs.  Obama has already  made the commitment.  Bush never made a commitment to balance the federal budget  That is a huge difference.  The American people need to hold President Obama and congress responsible for returning the government to balance budgets.  It was accomplished before after 12 straight years of deficit spending and debt by Reagan and Bush 41 and it must be accomplished again. 

Food For Thought That Matters

With the economy in the shape it is in, Americans still losing their jobs, bail outs and stimulus plans, it is time to take a good look how past Presidents performed in office fiscally and how they protected or wasted the taxpayers money.  The current talk is all about future deficits so lets see what Presidents in the past really showed and executed leadership on the subject. 

 

Presidents don't spend federal dollars but it is their leadership that points our fiscal house in the right direction with a sound fiscal and economic policy, the veto pen and the wisdom to recognize problems.  Why is looking at the past so important?  Because it is the key to the future of changing the status quo and understanding the wrong decisions of the past.  Only fools make the same mistake twice and when we are talking about trillions of taxpayers dollars wasted that is criminal.  Below is the list of Presidents who served beginning with fiscal year 1970, Nixon's first budget year and ending with Bush 43 fiscal budget year ending 9/30/08.  Bush's final fiscal budget year does not end until 9/30/09 so no numbers are available for that year yet.

 

Fiscal Years 1970-1977:  The Nixon-Ford Presidency: 

 

Did not balance one federal budget in the 8 years served.

Accumulated a total budget deficit of $250.8 Billion during that term in office.

That worked out to be an average yearly deficit of $31.3 billion.

Nothing was paid down on the governments public debt.

 

 

Fiscal Years 1978-1981:  The Carter Presidency:

 

Did not balance one federal budget in the 4 years served.

Accumulated a total budget deficit of $252.7 billion during that term in office.

That worked out to be an average yearly deficit of $63.1 billion.

Nothing was paid down on the governments public debt.

 

 

Fiscal Years 1982-1989:  The Reagan Presidency

 

Did not balance one federal budget in the 8 years served:

Accumulated a total budget deficit of $1.4 Trillion during that term in office.

That worked out to be an average yearly deficit of $176.5 billion.

Nothing was paid down on the governments public debt.

 

 

Fiscal Years 1990-1993:  The George Herbert Walker Bush Presidency

 

Did not balance one federal budget  in the 4 years served:

Accumulated a total budget deficit of $1.03 Trillion during that term in office.

That worked out to be an average yearly deficit of $258.9 billion.

Nothing was paid down on the governments public debt.

 

Fiscal Years 1994-2001:  The Clinton Presidency.

 

Ran declining deficits the first 4 years in office to the tune of $496.5 billion.  Ran surpluses last 4 years in office with balanced budgets in last 4 years in office. 

Accumulated a budget surplus of $62.8 billion during his term in office.

That worked out to be an average yearly surplus of $7.9 billion.

Paid down $453 billion on the governments public debt.

 

Fiscal Years 2002-2008:  The George W. Bush Presidency.

 

Did not balance one federal budget in first 7 years in office.

Accumulated a total budget deficit of $2.13 Trillion during his first 7 years in office.

That worked out to be an average yearly deficit of $304 billion.

Nothing was paid down on the governments public debt.

 

Note:  Mr. Bush has one more fiscal year budget that ends 9/30/09.  The CBO has already reported the deficit for Mr. Bush's last fiscal year budget will run approximately $1 trillion. 

 

The above represents over $5 trillion of deficit spending not counting Mr. Bush's last budget which is slated to add another $1 trillion to the total.  When you add the interest Uncle Sam has paid on the borrowed money to finance the deficit spending it comes to over $7 Trillion.  That's a total of over $12 trillion.  If any one thinks that is being fiscally responsible, may God help America.  That $7 trillion paid in interest did not educate one child or improve the quality of life for the people. 

 

The past dictates that the future has to change and that Presidents have to set a new course and be fiscally responsible with the taxpayers money.  Real economic and fiscal plans that work and are realistic have to be adopted.  Meanwhile, the people should tune out CNBC and CNN's so called money advise shows.  Journalists on those programs never touch on the massive deficits and debt.  They along with the financial institutions who love those trillions of dollars in interest paid on the debt have failed the American people.

 

The numbers of the Bush 43 Presidency have been devastating.  The American people need to demand change and never take no for an answer.  This is a critical time that should never have been with the proper fiscal Presidential leadership.  It is ironic that those Presidents who claimed to be conservatives hurt our country and people the most with their reckless spending.  They not only failed the test, they were given 28 years at the helm of the American ship and failed big time. 

Above information on Budget numbers taken from Congressional Budget Office Reports.