At The Risk Of Losing ...

My Honourable Membership In The Libertarian Party -



I find myself supporting Barrack Obama, in his show-down with Republicans, over the Issue of Raising their Debt Ceiling.



This despite the fact that I have written several Blogs on the out of control US Spending and their Deficit and Debt Levels.



Indeed, I have made several comments to the effect that America is "Dead Broke".



So why my support for their President now?

It certainly has nothing to do with his sound fiscal management. Indeed, the current occupant of the W.H. has increased the debt / deficit levels more than any other in American History. And this is saying something due to the fact that his predecessor - Geo. W. Bush - was no slouch in the spending department either.

Rather, I support Obama's new approach because it has come a long way toward the Republican (read Tea Party) position that Government Spending must be drastically reduced. In fact, Obama's plan calls for 85% in such reductions and 15% tax increases. The Republicans are asking for 100% spending cuts and no tax increases.

So what gives - you thought I oppose tax increases in principle.


Usually I do, but there are two important differences here.


First and most important, America is in desperate financial shape. In my humble opinion, a combination of spending cuts and tax increases are required to address this problem. Neither alone will suffice.

Simply stated, the USA needs to attack the problem on a war footing - all hands on deck so to speak.


Second - Americans are less taxed than Canadians. This is especially true in the case of a national sales tax - the US does not have one, while we in Canada continue to pay GST at a rate of 5%. In addition, Americans are able to deduct their mortgage interest costs from their income. So it cannot be said that they are currently over taxed, at least in comparison with us.

But that said, I am still opposed in general to tax increases. Government has gotten too large - too bureaucratic - too invasive and too wasteful. It is the reason why this crisis has arisen in the first place. But under the current dire circumstances, a rise in taxes are a must.

There is another reason I support Obama's plan and this is a more self-serving one.

If the Republicans continue to refuse his offer and should Obama stand firm, all hell will break out in American Society and the Republicans will be at the receiving end of its Wrath. If welfare/social/ employment cheques stop flowing - look out.

And this will jeopardize the roll that the Republicans have been on since the rise of the Tea Partyers. This roll culminated in their retaking of the House of Representatives this past November and if allowed to continue, will regain them the Presidency next November.

So Galagher - what is going to happen - who will blink first?

I have to agree with most pundits that a last minute deal will be brokered because the effect of default is just too horrendous to contemplate. And since the Republicans have the most to lose, should a deal not be struck - I suspect they will in the end accept the President's offer.

If, on the other hand, the US goes into default - the landscape for the next Presidential will be forever changed along with the likelihood of another major world recession.

As I see it...

'K.D. Galagher"

Cry Me A River...

Our esteemed Provincial Treasurer, Dwight Duncan, is quoted in today's newspapers as saying 'Ontario Voters are tiring of anti-waste crusades'.

He wishes.

Let's review some of these "Crusades" causing Liberal Initiatives:

• First, was the Health Premium his Boss put in place immediately after his initial Election having promised he "would not raise taxes" during his first term. As memory serves, he even signed an agreement to that effect with the Canadian Taxpayers Federation.


• Then there was the $1 Billion Dollar Health Care Boondoggle, followed by the Hydro One Boondoggle whereby hydro user rates doubled and tripled. Of note - hydro users are still paying for "debt reduction" that has been retired some time ago


• And the Green Energy fiasco whereby rates of over 82 cents per kwh were and are paid for wind and solar energy despite the fact that neither source is an effective generator of electricity and despite the fact that Ontario has a major glut of Electricity Production. Indeed, the glut is so large, Ontario has to pay other jurisdictions to take the surplus off our hands. I know - trivial under the circumstances.


• And the PST / GST scandal whereby items not previous taxed by both are now all included in McGuinty's new HST. A real windfall for an alleged revenue neutral exercise.


• There is a long list of items (e.g. paints / tires) where the public is charged eco or green fees and just last year the McGuinty Gov't tried to secretly extend this list but retreated when word got out.

So there is lots of fodder for 'crusades' but as Dwight Duncan so aptly states - it just gets so tiring.

And of course, Ontario is doing so well under the Grits - $16 Billion annual Deficit and $263 Billion in overall Debt and of course Have Not Status.

Ontario for the first time in Confederation History is now 'transfer recipient Province' - what an accomplishment. And, a great source of funding too - now we can cash in on Alberta's largess with the Rest of Canada.

I know, all minor considerations in the scheme of things.

But you cannot fault Duncan for his priorities. In the same article, he is quoted as saying how proud he is that Ontario's Public Service is so "well-paid".

So increasing taxes, out of control debts and well-paid bureaucracies - it is no wonder that taxpayers are tiring of their crusades.

If I were the Treasurer though I might start to consider another line of work after the October Election.

As I see it ...

'K.D. Galagher'

A League of Their Own

AKA - The Alliance For Democratic Nations.





This past October, I wrote a Blog about the need for Democratic Nations to Unite to form a Parallel Association to the United Nations. The Reasons I gave for this are, I think, adequately setout in that Blog.





This past weekend an Editorial appeared on the same subject in the Ottawa Citizen newspaper. The Columnist was Michael Taube.





Mr. Taube enumerated many of the same reasons I set forth in October, and just this morning, a local radio station dealt with this topic with many of its listeners calling in - in support of the need for Democratic Nations to Unite.





Hopefully this will be the start of such an initiative.





As an aside - since my October Blog a new incredible UN initiative has occurred with North Korea being appointed to lead the UN's Convention on Disarmament. Imagine? Talk about the fox among the pigeons.





So I am in sinc with Michael Taube with respect to his calling for a League of Democratic Countries. The word League of course comes from the Failed League of Nations after World War II and in that regard I like my suggested name of Alliance of Democratic Nations.





I do though differ with him when he suggests that the Democracies leave the UN and take with them their funding since I believe the United Nations still provides a few useful services.





For instance, the UN has spearheaded a number of Conventions which have bettered the lives of the citizens of the world in the areas of Law and Commerce. It has also made progress in providing food relief, medicine and better health care generally.





But I see the most important value of a continued United Nations is with respect to the Forum itself. It allows all of the world's nations to come together and talk. And contrary to some thought, talk is not always cheap. There is indeed a value in it, in that it creates a forum where diverse opinions get expressed often resulting in their moderation.

Better to "Jaw Jaw than to War War" as Winston Churchill so ably stated it.

This is especially true in the areas of Human Rights and Anti-Semitism. The UN is rife with petty dictators and religious zealots who spend the bulk of their time denying rights to their citizens and castigating Israel. Keeping Democracies involved in the UN Process helps to ensure that such activities on the part of the unenlightened is kept under a semblance of control.

Indeed three (3) of the five (5)UN Vetoes belong to Democratic Countries.

So don't leave and don't cease funding but do start a more effective Democratic Association. You can probably use much of the same UN Mission in its establishment which gets more often ignored at the United Nations.

A League or Alliance of Democratic Countries would stand as a beacon to the Rest of the World when it comes to the Enhancement of Human Rights and the Eradication of Discrimination of all kinds.

The West's Policies of Freer Trade, Economic Freedom and Agricultural Self-Sufficiency would continue to be areas envy by non-democratic nations.

Such a Democratic Association would then stand as a Beacon throughout the World. It would be able to focus on further improving our Way of Life.

As such, I can foresee the day when the non-democracies will come begging for admission as their continued conflicts, military rule, starvation and general hopelessness begins to wear.

At that point the West must stand firm by prescribing onerous conditions of admission to ensure that applicant nations are ultimately successful in their quest for Open Government and Open Societies.

As I see it....

'K.D. Galagher'

The Canadian Cancer Society ...

Is Sick.

A Report out this week indicates that the CCS spends but little more than 20% of its donation receipts on Research. A Prominent Research Doctor is quoted as saying he spends more time trying to raise money for his Research than he actually spends on Research itself.

Just as shocking, CCS spends nearly 50% of its donor receipts on Administration and Funding Drives !!

I have always used, as a rule of thumb, that well organized charities spend no more than 10% on such budgetary items. Fifty % is simply beyond the pale.

I have also assumed - perhaps naively - that when donating to medical charities - the bulk of my donation will go to funding Research since it is only through Research that the scourge of the particular disease - in this case Cancer - can be beaten.

That said, I am not particularly shocked by this week's revelation.

I have thought for some time that the Canadian Cancer Society has become a business within itself and have feared that its main concern is for itself and not the defeat of the dreaded disease after which it is named. These recent statistics seem to bear out my concern.

Simply stated, the Society, in my opinion, has also become Elitist.

A few years ago, my daughter tried to sign up for one of their ubiquitous Cancer Walks but was told that she did not qualify since she did not have sponsors totaling donations in the thousands of dollars. She took it in stride - I though was livid at their arrogance.

In the meantime, I will not be donating any money to the Canadian Cancer Society until I have received assurances that it has returned to its roots.

And I suggest that we both - you and I, check out more closely those organizations which vie for our charitable dollars to make sure the bulk of those dollars go to their intended purposes.

As I see it....

'K.D. Galagher'