If your Senator is on the list below, please call and tell him or her to VOTE NO ON CLOTURE FOR THE HEALTHCARE BILL.

If your Senator isn’t on the list, please send another letter to both your Senators.

There may not be any chances left to protest, so please take time for this extra action if at all possible. Your letter can be very simple. Here’s what I just wrote:

I want the healthcare bill defeated. Oppose cloture. Remember, everything you do relies on force. I do not want to be forced to pay for or submit to the healthcare bill.

END OF LETTER

You can send your letter using DownsizeDC.org’s Educate the Powerful System.

On top of that, here’s a list of the highest priority Senators that must get as many calls as possible. The American Association of Physicians and Surgeons (aapsonline.org) reports that these Senators are still undecided on how to vote. Let’s try to influence their decision:   

Senator Bill Nelson (NE) 202-224-6551
Senator Blanche Lincoln (AR) 202-224-4843
Senator Mary Landrieu (LA) 202-224-5824
Senator Mark Warner (VA) 202-224-2023

It would also be very helpful to call your Senator even if he or she isn’t on this list. Every bit helps. Let’s flood them with calls. You can get their phone numbers when you log-in to DownsizeDC.org’s Educate the Powerful System to send your letter to Congress.

Thank you for being part of the ready and active Downsize DC Army,

Jim Babka, President
DownsizeDC.org, Inc.

P.S. Congressional offices are usually open as long as Congress is in session. So, if you see the Senate on C-SPAN2 on Saturday, there’s still time to call. However, don’t delay. The sooner you call, the better.

P.P.S. A couple of years back, citizens jammed the Senate switchboard and caused Republicans to switch their votes on a very unpopular immigration bill that seemed certain to pass. Now, we can press some Democrats in exactly the same way. You are not alone and your calls matter.

D o w n s i z e r – D i s p a t c h
is the official email list of DownsizeDC.org, Inc. & Downsize DC Foundation

by Peter Schiff, president of Euro Pacific Capital and author of Crash Proof 2.0: How to Profit from the Economic Collapse

During President Obama’s high profile visit to China this week, the most frequently discussed, yet least understood, topic was how currency valuations are affecting the economic relationship between the United States and China. The focal problem is the Chinese government’s policy of fixing the value of the renminbi against the U.S. dollar. While many correctly perceive that this ‘peg’ has contributed greatly to the current global imbalances, few fully comprehend the ramifications should that peg be discarded.The common understanding is both incomplete and naive. Most analysts simply see the peg as China’s principal weapon in an economic struggle for global ascendancy. The peg, they argue, offers China a competitive advantage by making its products cheaper in U.S. markets, thus allowing Chinese firms to gobble up market share and steal jobs from U.S. manufacturers. The thought is that were China to allow its currency to rise, American manufactures would regain their lost edge, and both manufacturing firms and the jobs formerly associated with them would return. In this narrative, the struggle centers on the United States’ diminishing leverage in persuading the Chinese to lay down their unfair weaponry. It’s a sympathetic picture, but it tells the wrong story.

While the peg certainly is responsible for much of the world’s problems, its abandonment would cause severe hardship in the United States. In fact, for the U.S., de-pegging would cause the economic equivalent of cardiac arrest. Our economy is currently on life support provided by an endless flow of debt financing from China. These purchases are the means by which China maintains the relative value of its currency against the dollar. As the dollar comes under even more downward pressure, China’s purchases must increase to keep the renminbi from rising. By maintaining the peg, China enables our politicians and citizens to continue spending more than they have and avoiding the hard choices necessary to restore our long-term economic health.

Contrary to the conventional wisdom, when China drops the peg, the immediate benefits will flow to the Chinese, not to Americans. Yes, prices for Chinese goods will rise in the United States – but so will prices for domestic goods. As a corollary, the Chinese will see falling prices across the board. As anyone who has ever been shopping can explain, low prices are a good thing.

In addition, credit will expand in China while it contracts here. When China abandons the peg, it will no longer need to swell its currency reserves by buying Treasuries or other dollar-denominated debt instruments. Other nations will no longer feel the pressure to keep their currencies from rising, so they too could throttle down on their onerous dollar purchases.

As demand falls for both dollars and Treasuries, prices and interest rates in the United States will rise. Rising rates will restrict the flow of credit that is currently financing government and consumer spending. This change will finally force a long overdue decline in borrowing. So, not only will Americans lose access to the consumer credit that funds their current spending, but the things they buy will also get more expensive.

Our short-term loss will be in sharp contrast to the gain felt by foreigners, who will be rewarded with falling consumer prices and a more abundant supply of investment capital. In other words, the American standard of living will fall while that of our trading partners will rise.

However, this does not mean that I want the Chinese to maintain the status quo. In the long run, the U.S. economy will benefit from the abandonment of a system that guarantees our dependency and inevitable downfall. De-pegging will force the hand of U.S. politicians toward pursuing realistic policies. The Chinese will come to their senses eventually because it is in their interest to do so. Meanwhile, the longer the peg is maintained, the more indebted we become, the more out of balance our economy grows, and the more our industrial base shrivels. In short, the longer they wait, the steeper our fall.

A weaker dollar will price many imported products beyond the reach of most Americas, giving our hollowed out manufacturing sector the opportunity to rebound. However, if our industry has any chance of getting off the mat, we must reduce taxes, repeal regulations, reform our cumbersome legal system, and, most importantly, replenish our savings to finance the necessary capital investment.

If we position ourselves to deal with the consequences, tough love from China will provide a path back to genuine economic growth.  However, if our politicians continue to misread the problem and push us deeper in the red, the inevitable ‘rebalancing’ could be truly ruinous.

But for the sake of argument, let’s assume human-caused global warming is indeed happening. Conceding this, it turns out that . . .

The effort to curb carbon emissions will be far more harmful than global warming itself!

Please send Congress a letter demanding that they defeat the cap & trade bill and oppose any global climate treaty.

Here’s what I wrote in my letter . . .   

Efforts to curb global warming make as much sense as spending $2 to save $1.

The International Energy Agency believes we must cut carbon emissions in half if we want to stop global warming. They also estimate that this will cost $45 trillion.  http://www.iea.org/press/pressdetail.asp?PRESS_REL_ID=263

Yet Dr. William Nordhaus of Yale calculates that the economic losses from global warming, if we do nothing to curb carbon emissions, will reach just $22 trillion this century. Dr. Nordhaus also estimates that proposals made by The Stern Review and Al Gore to curb carbon emissions would cost $17-25 trillion more than doing nothing:  http://nordhaus.econ.yale.edu/dice_mss_072407_all.pdf

And all of this assumes an effort in which the whole world cooperates, with no cheating!

If Congress imposes cap & trade on the U.S., or ratifies a climate treaty, it will not stop global warming. Instead, it will only damage the U.S. economy and drive more jobs overseas. That’s because  . . .

Many developing countries will not agree to participate!

We would be hypocrites to condemn them for this. They only want what we already have. Most importantly, there are sound environmental reasons why we should want them to gain our level of affluence . . .

Wealthy nations like ours do better at protecting the environment!

* Our water is safer and our air is cleaner.
* We can afford to protect species from extinction.
* We can afford research that constantly discovers how to do more with less, allowing us to grow more and more affluent while imposing fewer burdens on the environment.

Environmental protection will benefit from a wealthier world, not suffer from it.

Developing nations will not sacrifice their progress just to please Western politicians, and we shouldn’t want them to do so. If we really care about the environment, then we need these nations to become richer, not poorer.

The proposed schemes for a cap & trade law and a global climate treaty will . . .

* Fail because of cheating or non-participation
* Cost at least $2 for every $1 we gain, and probably far more
* Impoverish America and the world, thereby destroying the innovation and environmental protections that free market affluence makes possible

Do not spend $2 in a vain attempt to save $1. Do not support a scheme that cannot work. Instead, support the economic progress that makes environmental protection possible. Do this by opposing the cap & trade bill, and any global climate treaty. Let free market innovation and affluence pave the way for solutions that will really work.

END LETTER

You can send your letter using DownsizeDC.org’s Educate the Powerful System.

Remember that the more people who read this message, the more likely we will be victorious.

* If you forward this message to others, be sure to clip off the Dispatch footer when you do
* For social bookmarkers and networkers, here’s a tiny url for this message: http://tinyurl.com/y946ls7
* If you’d like to make a monthly pledge or one-time contribution to further our work, you can do so on our secure contribution page.

Let’s Downsize DC!

James Wilson
Assistant Communications Director
DownsizeDC.org

SOURCES

Information that inspired links and points above originated with Global Warming 101: Costs by William Yeatman at GlobalWarming.org.

D o w n s i z e r – D i s p a t c h
is the official email list of DownsizeDC.org, Inc. & Downsize DC Foundation

by John Browne – Senior Market Strategist, Euro Pacific Capital

The U.S. economy is in uncertain times. Analysts are split between those seeing recovery and those fearing a second downturn. This confusion is being echoed in the highest levels of government as President Obama simultaneously speaks about the need for more federal spending and warns of the dangers of increased debt. As the volatile markets indicate, investors are not only confused – they are seriously concerned.

The country appears to be going through a period of buyer’s remorse over the election of Barack Obama. The majority cobbled together by the President one year ago included the Democratic base, independents hoping for “change,” and many disaffected Republicans betrayed by the Bush Administration’s big-government neoconservatism. It is unlikely that most of these voters favored an overt push toward socialism; however, this is what they have received. As the ‘tea parties’ illustrate, voters are not only confused – they are seriously concerned.

These concerns are justified. The Administration’s hard-left turn was evident from the outset. Ignoring expert advice to spend on job-creating infrastructure, Obama spent wildly on entitlements. Now, with rising grassroots discontent, a falling currency, and threats to America’s AAA credit rating, there is some evidence that the Administration is trying to hedge its bets through tough talk. Yet, they still have not taken any tough action. As their gold stockpiling highlights, foreign governments are not only confused – they are seriously concerned.

Over at the Federal Reserve, no such soul-searching appears to be underway. Its chairman, Ben Bernanke, is clearly intent on avoiding deleveraging. He has charted a course of massive liquidity injections, financed by hitherto unimaginable levels of monetary inflation. He has even attempted to coordinate these expansionary policies on an international basis.

For the moment, the cheap liquidity has saved Wall Street. To the delight of the Goldman Sachs, et al., the Fed has created a boom in financial assets, including equities, bonds and commodities. These rallies have stimulated a nearly universal belief that the worst has past. This feel-good attitude could be clearly seen on a recent cover of The Economist that read: “After the Storm – How to Make the Best of the Recovery.”

But, to many people, life looks increasingly desperate. Official U.S. figures admit to some 15 million unemployed. Despite the massive stimulus packages, American consumers are still in shock and not spending as they once did. Already, the fall in consumer demand is larger than that of the early 1930’s. The authorities now face a moment of truth: admit that they don’t have the power to bring the consumer back to life or redouble their efforts, consequences be damned.

The whole world awaits the decision, which could indicate a wild inflation, a major recession or the worst of both.

Should the Administration accept, or even be forced to accept, an ultimately healthy deleveraging, a deep recession would ensue. Entitlements would have to be dramatically reduced while taxes remain unreasonably high. Otherwise, the federal government could face outright default. Barring a popular revolt, this course would lead to a sustainable recovery.

On the other hand, if the government continues to run the printing presses, as seems far more likely, hyperinflation will become a distinct possibility. While this may create the appearance of recovery, with rising stocks and less short-term unemployment, average citizens will notice a sharp decline in their standard of living. It will get harder and harder to ‘make ends meet’ as wages increase less than the cost of everyday goods.

The hyperinflation scenario will likely buy the Administration a little more time, but would eventually give way to the worst of all possible worlds: hyperinflationary depression. Here, America would feel a deep recession concurrent with rising prices – similar to what we’re seeing right now with gold. This is truly a devastating outcome and should be avoided at all costs.

America is at a crossroads. It is important in these times to have leaders we can trust to make the right decisions, even if they are unpopular. Obama, Bernanke, Reid, Dodd, Pelosi, Frank… These are not names that are trusted to make wise choices over expedient ones. The markets know it; the voters know it; and, judging by the price of gold, the rest of the world knows it too.

For a more in-depth analysis of our financial problems and the inherent dangers they pose for the U.S. economy and U.S. dollar, read Peter Schiff’s 2008 bestseller “The Little Book of Bull Moves in Bear Markets” and his newest release “Crash Proof 2.0: How to Profit from the Economic Collapse.” Click here to learn more.More importantly, don’t let the great deals pass you by. Get an inside view of Peter’s playbook with his new Special Report, “Peter Schiff’s Five Favorite Investment Choices for the Next Five Years.” Click here to download the report for free. You can find more free services for global investors, and learn about the Euro Pacific advantage, at www.europac.net.

Ron Paul’s efforts at having HR.1207 voted on as a standalone bill never really had a chance. Instead, it will arrive to the House floor attached to Barney Frank’s little boy, his comprehensive financial regulatory reform bill. The draft legislation grants new powers to the Federal Reserve and creates more regulatory controls over the market. If the free market is god, this bill is the devil. However, the bill will now have something good attached to it now that HR.1207 was added to it as an amendment.

Ron Paul makes a name for himself by always considering the Constitution while weighing his votes. Should Paul supporters expect him to don his Dr. No mask when his 30+ year fight against the central bank finally comes to a vote on the House floor? Will Paul vote against auditing the Fed because it is attached to an obviously unconstitutional bill? The libertarian purists among us may expect him to do so, but I expect him to vote for the evil to get the good. In fact, I would expect most if not all Paul supporters will give him a pass on this one. Tell us what you think in the comments section to this article.

He has already indicated what he will do in his press release covering yesterday’s committee vote:

“While HR 3996, if passed, will grant sweeping new powers to the Federal Reserve, at least with this amendment attached, it won’t be acting in secret anymore. This is a major victory for Federal Reserve transparency and government accountability. I am very grateful to Congressman Bachus and all the other Members who were so supportive and helpful in this effort,” stated Congressman Paul.

An argument could be made (and Paul seems to be implying it by his quote) that the financial regulatory reform bill is going to pass anyway and with Paul’s audit included in it, the bill’s attack on the free market will be softened. If they gut Paul’s amendment (like Mel Watt and Barney Frank tried to do in committee) as it moves closer to a floor vote it wouldn’t be shocking to see Dr. Paul morph into Dr. No once again.

So it is certainly bittersweet, but at least it’s not all bitter and no sweet.

——————————————-

UPDATE: It looks like Paul will still push for a separate vote on HR.1207 as a standalone bill. I don’t think those in power will let it happen, but I never thought his bill would get as far as it has already, so we’ll see.

Of course, there is still ample opportunity for Paul’s bill to be gutted once again, but for now liberty-lovers should be quite happy that a big hurdle has been cleared.

Vote totals and details:

• 43 yeas / 26 nays

• 15 Democrats and 28 Republicans voted YES.

• All 26 nay votes were from Democrats. No Republicans voted NO.

The full list of names and the way they voted can be found here (PDF).

This was an important step in the process, but the amendment is going to be tacked on to the larger regulatory reform bill being deliberated now.

Watch Ron Paul introduce the bill earlier today in the committee in the video below.

The clip below shows Alan Grayson arguing against Mel Watt’s amendment and then Watt’s rather angry response. Stay tuned for more clips…

This was submitted to us by author, Clyde James Aragon. He writes:

THE HEALTH REFORM PLAN TOWN HALL MEETING – THE NON-MUSICAL is a ten-minute comedy play about the health care ‘reform’ bill and is a humorous way of looking at a very scary situation. Curious, but informed citizens, meet at a town hall meeting to ask questions of their representatives on Health Care Reform.

This play is being distributed free of charge and the author, Clyde James Aragon, only asks that should it be performed, no admission be charged and that the author be given credit as having written it.

The author is an Albuquerque, New Mexico humor writer and can be reached at bookhumor@yahoo.com

You may also download the PDF here for printing out and potentially performing it at your next Tea Party event.

————————————————————-
THE HEALTH REFORM PLAN TOWN HALL MEETING
- THE NON-MUSICAL -

a one-act play by © Clyde James Aragon

CAST OF CHARACTERS:

REPRESENTATIVE BULLHORN
REPRESENTATIVE FLOWMASTER
CITIZEN #1
CITIZEN #2
CITIZEN #3
CITIZEN #4

COMEDY: 10 pages. 6 characters to be played by: 3 men; 3 woman.

SYNOPSIS: Curious, but informed citizens, meet at a town hall meeting to ask questions of their representatives on Health Care Reform. This is a ten-minute comedy play about the health care ‘reform’ bill and is a humorous way of looking at a very scary situation.

PROPS: 6 folding chairs

* * * This play is being distributed free of charge and the author, Clyde James Aragon, only asks that should it be performed, no admission be charged and that the author be given credit as having written it. * * *

**************

THE HEALTH REFORM PLAN TOWN HALL MEETING
- THE NON-MUSICAL -

a one-act play by Clyde James Aragon

(on a bare stage, two politicians, seated in folding chairs, face four citizens intent on asking the politicians questions on their health reform plan)

CITIZEN #4 (addressing the audience and then sitting down): The other day there was a town hall meeting in Montana over the new health reform bill which was presented by House Speaker Nancy Pelosi and passed by the House of Representatives. The public was invited and allowed to ask questions of the two members of the House of Representatives, Representative Bullhorn and Flowmaster, who showed up. Many things were said and, after adjourning quietly after three hours of questioning, these excerpts were extracted from the minutes of that meeting:

CITIZEN #1 (raising hand and then speaking): Representative Bullhorn, the new House health care plan is almost 2,000-pages long. How do you expect anyone to read it, let alone understand it?

REPRESENTATIVE BULLHORN: We, meaning your government, are teaming up with the Marvel Comics people to develop a comic book character called Health Reform Man who will explain, in simple laymen terms, what our health reform proposal is all about.

CITIZEN #2: Will Cleopatra, Queen of the Vampire Underworld, feature in this?

REPRESENTATIVE BULLHORN: Yes, and after explaining what our plan is about, she, Health Reform Man, and the A.C.O.R.N. Posse will go out and fight the various nemeses of our plan such as Greedy Insurance Monster, Private Fee-For-Service Doctor Thing, Alarmist Talk Show Host Ogre, and, of course, everyone in the Republican Party with the exception of moderate Republicans who want to hitch their star to a winner.

CITIZEN #1: Won’t a comic book be considered propaganda?

REPRESENTATIVE BULLHORN: No. What people are saying against this plan is propaganda. Our comic book is info-entertainment. And it will be distributed free of cost through the mail, at welfare offices, and in hospital waiting rooms everywhere. Right, Representative Bullhorn?

REPRESENTATIVE FLOWMASTER: We want everyone in America to have health care and the only way to accomplish that goal is for government to provide it.

CITIZEN #1: This is just socialized medicine.

REPRESENTATIVE BULLHORN: What else would you expect? We’re social creatures. We socialize. We’re sociable. We go to ice cream socials, we join the PTA, we volunteer to wash cars on the weekend. Could we give to the social people of this country anything less than a plan which doesn’t take into account their inbred social nature? I daresay not.

CITIZEN #1: But you’re taking away choice.

REPRESENTATIVE FLOWMASTER: No we’re not. There’s so much choice in our plan you can’t help but want it. Especially if you’re sociable. However, if you’re anti-social you’ll be able to pay a small annual fee and opt out, leaving yourself to find your own health care in backroom alleys, parking lots, through self-help books, and on the Internet.

CITIZEN #3: Why should we pay any fee?

REPRESENTATIVE BULLHORN: Actually, this isn’t really a fee. It is a yearly reminder that a better way of life is available through your government.

CITIZEN #4: Won’t illegal aliens be covered?

REPRESENTATIVE BULLHORN: No. Absolutely not.

CITIZEN #1: But all you’d need would be a few court rulings and they’d be in.

REPRESENTATIVE FLOWMASTER: That’ll never happen.

CITIZEN #2: What about space aliens. Would they be covered?

REPRESENTATIVE FLOWMASTER: Of course space aliens won’t be covered. That would break the system.

CITIZEN #2: Since we’re on the subject, will this health plan cover space-related diseases.
REPRESENTATIVE BULLHORN: Like what?

CITIZEN #2: Euphoria, for example.

REPRESENTATIVE BULLHORN: SRDs won’t be covered.
(Representative Flowmaster whispers into Bullhorn’s ear)
Uh, wait. An amendment has been introduced covering space-related diseases but only as brought to earth by NASA space missions.
(Representative Flowmaster again whispers into Bullhorn’s ear)
Uh, an amendment to the amendment has been introduced which covers all space-related diseases.

CITIZEN #1: Your plan calls for end-of-life counseling. Is euthanasia covered by this plan?

REPRESENTATIVE BULLHORN: Absolutely not.

CITIZEN #4: Isn’t abortion a form of euthanasia? That’s going to be covered.

REPRESENTATIVE FLOWMASTER: Abortion is the removal of a troublesome human-like blob of protoplasm that, for all intents and purposes, is not human. Except in Hawaii where it’s considered a type of chicken nugget.

CITIZEN #2: I love chicken nuggets. Will free chicken nuggets come with this plan?

REPRESENTATIVE FLOWMASTER: Yes, along with the special sauce of your choice.

CITIZEN #1: Poll after poll says Americans don’t want this plan. Yet you seem intent on forcing this down our throat – the public be damned. Isn’t the Democrat Party returning us to the days of Taxation without Representation?

REPRESENTATIVE BULLHORN: The Democrat Party always represents the people, some more than others.

CITIZEN #3: Didn’t Taxation without Representation lead to the American Revolution?

REPRESENTATIVE BULLHORN: Americans, at that time, were protesting the lack of government involvement in their lives. We shall fulfill that nascent yearning.

CITIZEN #2: In the song “Heartache Tonight” by The Eagles, they sing: “There’s gonna be a heartache tonight/A heartache tonight, I know/There’s gonna be a heartache tonight/A heartache tonight, I know”. Does this refer to a real heartache or an existential heartache and would break-ups be covered by this plan?

REPRESENTATIVE FLOWMASTER: We believe The Eagles referred to an ontological heartache which, most definitely, would be covered. The pain of breaking up can’t be ignored as it was in the previous administration which, as we all know, wanted to kill everyone and eat their dripping internal organs.

CITIZEN #4: You say the plan would only cost 900 billion dollars. How do you know that for sure?

REPRESENTATIVE BULLHORN: Because we’re your representatives. We would never lie to you. The only ones who would lie are Republicans and conservatives who lie about everything.

CITIZEN #1: You’re saying this plan will cost about 900 billion dollars. Isn’t that just an introductory price?

REPRESENTATIVE BULLHORN: No, it really, truly, cross my heart is what it will cost.

CITIZEN #3: Still, how do you expect to pay for this?

REPRESENTATIVE BULLHORN: We’re proposing, among other things, a millionaire tax. I think the greedy, filthy rich should have to pay back the money they’ve stolen from this country.

CITIZEN #1; All you talk about is taxing the rich. You believe they’re just going to willingly go along with your plan and turn their money over to you?

REPRESENTATIVE BULLHORN: Yes.

CITIZEN #1: So you’re assuming the rich are stupid, then?

REPRESENTATIVE BULLHORN: Oh, believe me, the rich are very stupid.

CITIZEN #3: Aren’t you a millionaire yourself?

REPRESENTATIVE BULLHORN: Honestly, I’ve been working so hard ever since I came to Washington I haven’t had a chance to look at my bank statement. Nevertheless, if I’m a millionaire, and I’m not saying I am, but if I might possibly be a millionaire, I’ll be subject to this new tax after taking into account congressional expenses, refunds, postage, envelopes, and all the time I donate to worthy causes.

CITIZEN #4: What worthy causes?

REPRESENTATIVE BULLHORN: Puppies. I lead the House caucus on puppy welfare. Damn it, no one’s going to mistreat puppies in this country if I have anything to say about it.

CITIZEN #2: That’s wonderful. I have a puppy. Her name is Sheila.

CITIZEN #3: What are the other ways you propose to pay for this?

REPRESENTATIVE FLOWMASTER: We’re going to introduce a tax on all medical devices such as monitors, x-ray machines, pacemakers, things like that.

CITIZEN #2: Do Band-Aid brand bandages constitute a medical device?

REPRESENTATIVE FLOWMASTER: If applied properly.

CITIZEN #4: What else?

REPRESENTATIVE FLOWMASTER: Lipstick.

CITIZEN #3: Lipstick?

REPRESENTATIVE FLOWMASTER: It adds moisturizing substances which keep your lips from drying up. Thus, it is a moisture dispenser.

CITIZEN #2: Would a Slurpee machine also be considered a moisture dispenser?

REPRESENTATIVE FLOWMASTER: Don’t be silly. Slurpee machines are ‘calorie’ dispensers. They would be subject to a fine, not a tax.

CITIZEN #1: I’ve heard you’re going to cut payments to doctors.

REPRESENTATIVE BULLHORN: Damn right. It’s high time our nation’s greedy physicians start paying us back for their lavish lifestyles. Big cars, big houses, big meals. Let ‘em eat bologne like the rest of us.

CITIZEN #2: You’ve eaten bologne?

REPRESENTATIVE BULLHORN: Once. And I loved it.

CITIZEN #3: Won’t that just chase off doctors?

REPRESENTATIVE BULLHORN: Look, my friend, these greedy doctors have to be taught a lesson. We’re going to really stick it to them for gouging us for so long.

CITIZEN #3: You don’t expect to have surgery anytime soon, I take it.

REPRESENTATIVE BULLHORN: Hell no. I’m fit as a fiddle.

CITIZEN #4: Would you politicians be subject to this new health plan?

REPRESENTATIVE FLOWMASTER: Unfortunately, no. We tried to find a way to add ourselves to this marvelous health care plan but it only would have increased the cost and we put our foot down at having to increase it even one dime more.

REPRESENTATIVE BULLHORN: To that end, we also have some very exciting cost-cutting proposals. And we know everyone in this room wants the government to save money.

CITIZEN #1: I’ll bite. What kind of cost-cutting proposals?

REPRESENTATIVE BULLHORN: These are brilliant. I even came up with a few. For example, instead of hip or knee replacement we’ll offer crutches; instead of physical exams and X-rays, we’ll offer a soothing walk through any airport security screening machine as a substitute; and we’ve known for quite some time that most brain surgeries can be avoided with aspirin.

CITIZEN #3: What’s next, replacing heart transplants with obituaries?

REPRESENTATIVE BULLHORN: Ooh, that’s good. I’ll submit that one the minute I get back to Washington. You’ve got the spirit.

CITIZEN #4: If the government wants to take over the medical system of this country, why not every other business in America?

CITIZEN #1: Yeah. I’m sure you’ll give us the customer care of the Post Office, the repair record of the Park Service, and the efficiency of Amtrak. Oh, and I’m sure you’ll continue to take our money like the IRS.

REPRESENTATIVE FLOWMASTER: Believe me, we’re working on it.

CITIZEN #3: Your plan demands that employers provide health insurance or else. Wouldn’t companies just stop hiring new workers and giving raises?

REPRESENTATIVE BULLHORN: Nonsense. Of course companies will hire new workers. If not, we’ll mandate they increase employment every year. That alone will end unemployment forever in this country.

REPRESENTATIVE FLOWMASTER: And as for you not getting a raise, well, what poppycock. You’re worth a raise. I’m worth a raise. In fact, I get a raise every year.

CITIZEN #1: Many people have said this plan is too expensive, takes away from our freedoms, and allows the government the opportunity to take over a sixth of the economy. They say the same goals can be accomplished in other, less expensive and less intrusive, ways. Why aren’t these avenues being pursued?

REPRESENTATIVE BULLHORN: We can’t be chasing after rainbows all our lives. Obviously these ‘other people’ you speak of live in an insulated fantasy world.

CITIZEN #3: But isn’t chasing this crazy expensive plan a lot like watching the captain of the Titanic trying to keep the ice machine going as his ship slips into the cold water?

REPRESENTATIVE FLOWMASTER: We’ve seen the numbers, the data, the costs. We know what we’re talking about. (getting up) Now, if you’ll excuse us, we have to get back to Washington.

REPRESENTATIVE BULLHORN (also getting up): We have an important vote on puppy health care coming up early tomorrow morning. We can’t miss that.

- end of play -

Please send Congress a letter using an anti-bribery argument to oppose the cancerous healthcare bill.

You can copy or borrow from my letter to Congress to write your own . . .

Please oppose the so-called healthcare reform bill. I especially object to the fact that my tax dollars are being used to bribe members of Congress to secure their votes, or to reward powerful Senators. For instance . . .

The Baucus bill has the federal government paying the entire cost for the mandated Medicaid expansion in the following states: Nevada, Oregon, Rhode Island and Michigan. This is an attempt to bribe or reward the Senators and Representatives from those states using my tax money.

Other states aren’t getting this sweet deal. Citizens in the other 46 states will have to pay higher taxes to fund this scheme.

I’m sure the so-called heathcare bill is stuffed with other sweetheart deals, designed to win key votes. You guys call this logrolling. I call it bribery. The only reason Congressional leaders get away with it is because they’re using my tax money to do the bribing, but that makes it worse, not better.

Frankly, I think any Congressional leader who offers a tax-funded benefit for a state or district in order to secure a vote, and any member of Congress who negotiates to gain such a benefit, should be brought up on charges and go to jail for violating the anti-bribery law.

The laws are supposed to treat all of us equally. Any law that treats citizens of some states differently is inherently unjust, and any law passed using tax-funded bribery is inherently unethical. I believe the so called healthcare bill is both things, unjust and unethical. VOTE AGAINST IT!

I’m paying close attention to what you do, and will take it into account as I discuss your re-election with other voters.

END OF SAMPLE LETTER

Send your letter to Congress using DownsizeDC.org’s Educate the Powerful System.

Please take additional steps to spread the word, recruit more DC Downsizers, and increase the heat on Congress:

• Do you have friends who might like the argument made in this Dispatch? If so, send it to them and maybe they’ll join you in pressuring Congress (be sure to clip off the Dispatch footer if you forward this message)
• Digg this message on our Blog so more people will see it: http://www.downsizedc.org/blog/bribery-congressional-leaders-are-using-your-tax-money-to-bribe-other-members-of-congress
• Start a monthly pledge so we can reach more people
• Make a one-time donation to further our work

Your support is our progress.

Jim Babka, President
DownsizeDC.org, Inc.

Sources:

The Wall Street Journal writes about the sweetheart deal some Congresspersons have secured here: http://online.wsj.com/article/SB10001424052748703746604574461434007876034.html

D o w n s i z e r – D i s p a t c h
is the official email list of DownsizeDC.org, Inc. & Downsize DC Foundation

Some good things have resulted from our past efforts . . .

I spoke at the Williamsport, PA Tea Party on August 29th. There were over 4,000 people there! The organizing committee had a scroll full of demands for Congress to move in a downsizing direction. Hundreds of people signed the scroll. Included among the demands were our Read the Bills, One Subject at Time, and Write the Laws proposals. Since then . . .

The Williamsport Tea Party Committee has been active, including delivering four busloads of people to the 9/12 rally in Washington, DC. They’ve met several times to plan their long-term strategy. The result . . .

They’ve decided to focus on our “transpartisan,” Downsize DC Agenda proposals, the Read the Bills Act (RTBA) and the One Subject at a Time Act (OSTA).

Tom Anderson, a member of our team and one of the leaders in the Williamsport committee, sent me the following message to describe their thinking . . .

” . . . we believe that this issue (RTBA and OSTA) is the most easily addressable, bipartisan, and most helps us achieve the other demands. In contemplating how to proceed to push this demand, we reviewed DownsizeDC’s efforts . . . and decided that the most effective means toward accomplishing it is to 1) make our community aware of the problem and our efforts, and 2) get them all to push their Congress critters to sponsor the DownsizeDC legislation.”

The Williamsport Tea Party committee gets it! RTBA and OSTA are levers we can use to restrain government excess in all areas. Passing these bills will make it easier to achieve other demands.

To support their efforts the committee has invited me to speak to them on Wednesday, November 18, and answer questions about RTBA and OSTA. More than 200 people are expected to attend this meeting.

If you’re in the area on Wednesday, you’re invited to attend the meeting. I’d love to meet you.
The meeting starts at 7:30 PM at the Cinema Center in downtown Williamsport, PA.

Now, for today’s action item . . .

It’s been awhile since we’ve asked Congress to repeal the REAL ID Act. We don’t want them to think we’ve forgotten about it, because that would make them think they’ve gotten away with it. Please send Congress a letter reminding them that you want REAL ID repealed:

You can use my letter to Congress as a model for you own . . .

I want my Representative and my Senators to be the first to introduce legislation that repeals the REAL ID Act. Do NOT introduce legislation that replaces REAL ID with some similar scheme. I’ve asked you to do this repeatedly, and will keep asking until you do it.

My request represents the majority opinion on this matter, so it’s good politics to honor my request. The simple act of introducing such legislation would win you a lot of brownie points nationally, as well.

I’m well aware that the beltway echo-chamber constantly tells you that REAL ID is needed to protect us from terrorism. I think this is naive. No suicide attack will be stopped by an identity card. Terrorists will devise tactics to work around REAL ID, so the only people really impacted by this scheme are innocent American citizens.

I am a firm believer that power corrupts. And the more power gets centralized at the federal level, the more likely corruption becomes. I want identification cards to be decentralized, at the state level. I do not want my life entangled in the federal databases and tracking schemes that will inevitably result from REAL ID.

Please remember — everything you do is based on force. I do not want to be coerced into carrying a national ID card. Don’t be like the Mafia. Don’t fine me, or imprison me, or make me lose my job just because I’m not willing to accept your supposed protection.

END OF LETTER

Send your letter to Congress using DownsizeDC.org’s Educate the Powerful System.

If you like what we’re doing, please help us to do more . . .

* Start a monthly pledge so we can reach more people
* Make a one-time donation to further the work of your Downsize DC Army

Your support is our progress.

Jim Babka
President
DownsizeDC.org, Inc.

D o w n s i z e r – D i s p a t c h
is the official email list of DownsizeDC.org, Inc. & Downsize DC Foundation

by Peter Schiff, president of Euro Pacific Capital and author of Crash Proof 2.0: How to Profit from the Economic Collapse

As the unemployment rate crossed the double digit barrier for the first time since Michael Jackson learned to moonwalk, President Obama announced that he will convene a “jobs summit” to finally bring the problem under control. Using all the analytic skill that his administration can muster, the President is determined to figure out why so many people are losing their jobs and then formulate a solution. That’s a relief; for a while there, I thought we were in real trouble! In fact, the absolute last thing our economy needs is more federal government interference. If Obama really wants to know what’s behind entrenched joblessness, he should start by looking at the man in the mirror.

Obama is pursuing, with unprecedented vigor, the same policies that have for decades undermined our industrial base and yoked us to an unsustainable consumer/credit driven economy. This doubling down on Washington’s past failures is destroying jobs at an alarming rate. Today we learned that the September trade deficit surged by 18.2%, the largest gain in ten years. Much of the deficit resulted from Americans spending Cash-for-Clunkers stimulus money on imported cars – or “American” cars loaded to the sunroof with imported parts. In exchange for more domestic debt, we have succeeded only in creating foreign jobs.

An article in this week’s New York Times by veteran writer Louis Uchitelle confirmed a fact that I have been alleging for years. Uchitelle pointed out that foreign outsourcing of component manufacturing has led to consistent overstatement of U.S. GDP and productivity. The connection goes a long way to explain why we keep losing jobs even as GDP is apparently expanding.

As our economy becomes less competitive due to higher taxes, burdensome and uncertain regulations, and capital flight, more manufacturing and services will be outsourced to foreign firms. However, the flaw in GDP calculation allows the output of those foreign workers to be included in our domestic tally. Since we count the output but not the worker responsible for it, government statisticians attribute the gains to rising labor productivity. To them, it looks like companies are producing more goods with fewer workers.

The reality is that we are producing less with fewer workers. The added “productivity” comes from higher unemployment and larger trade deficits. This is a toxic formula that will have lethal economic consequences.

Don’t expect the brain trust at the President’s job summit to fret much about these details. That public relations stunt will likely ignore the root cause of the economic imbalances and instead stress the need for government spending on training and education, i.e. more public debt. The unemployed do not need government theatrics, they need actual jobs. But as long as the government props up failed companies, soaks up all available investment capital, discourages savings, punishes employers, and chases capital out of the country, jobs will continue to be lost.

To really fix the unemployment problem, the President must look past his peers in government and academia to understand how jobs are actually created. In the private sector, all individuals have a choice to either work for themselves or someone else. Since labor is far more productive when combined with capital (office equipment, machinery, business models, and intellectual capital), those who lack these assets themselves often choose to work for others who have sacrificed to accumulate them. This increased productivity is shared between the worker and the owner of capital, and both are better off.

However, for one person or company to choose to offer a job to another, there must be an incentive to do so, and they must have the necessary capital. In the first place, employers must commit to paying wages and benefits, comply with government mandates and regulations, and subject themselves to potential lawsuits from disgruntled employees. All of these costs must be measured against the extra profits an employer hopes to earn by hiring an additional worker.

If profit opportunities exist, jobs will be created. Otherwise, they will not. Of course, anything the government does to raise the cost of employment, such as a higher minimum wage, mandated heath care, or greater regulatory burdens, not only prevents new jobs from being created but also causes many that already exist to be destroyed. Anything that diminishes the profit potential of extra hiring will diminish the number of job opportunities that are created. Also, since it is after-tax profits against which employers measure risk, the higher the marginal rate of income tax, the less likely employers will be able to hire.

Finally, in order to hire workers, employers must have access to capital to expand operations. Anything the government does to discourage capital formation automatically diminishes job creation. By running the largest federal deficits in history, Barack Obama is diverting all available capital to the Treasury, and is in effect waging a war against private capital formation.

If the President’s summit truly intends to find the root cause of unemployment, his advisers don’t need Bureau of Labor statistics or complex modeling software, just the courage to drop their dogmatic belief in central planning and embrace the laws of economics.

For a more in-depth analysis of our financial problems and the inherent dangers they pose for the U.S. economy and U.S. dollar, read Peter Schiff’s 2008 bestseller “The Little Book of Bull Moves in Bear Markets” and his newest release “Crash Proof 2.0: How to Profit from the Economic Collapse.” Click here to learn more.

More importantly, don’t let the great deals pass you by. Get an inside view of Peter’s playbook with his new Special Report, “Peter Schiff’s Five Favorite Investment Choices for the Next Five Years.” Click here to dowload the report for free. You can find more free services for global investors, and learn about the Euro Pacific advantage, at www.europac.net.