Economic Update: How Deficits and Debts Rip Us Off

Summary

In this episode of 'Economic Update,' host Richard Wolff discusses the global issue of national debt and deficits, explaining how governments borrow money to fund public services when tax revenue falls short. Wolff argues that this practice disproportionately benefits corporations and the wealthy, who lend to the government instead of paying taxes, effectively shifting the burden onto the general population. He criticizes the system as a 'disguised tax' and a 'scam,' highlighting the political influence of the rich and the need for a more equitable economic structure.

Takeaways

• 📚 The host, Richard Wolff, introduces a new book 'Understanding Capitalism' as a culmination of his years of teaching and hosting the show.
• 💡 The program aims to clarify the often misunderstood topic of national debt and deficits, explaining why countries borrow and who benefits from it.
• 🏦 Governments raise funds primarily through taxation but often find themselves needing to borrow when their expenditures exceed their tax revenue.
• 💼 When governments borrow, they issue IOUs in the form of government securities, bonds, or bills, promising to pay back with interest.
• 🔢 The national debt is the accumulated total of all past deficits minus any repayments, representing the money owed by the government to its lenders.
• 💰 The national debt is portrayed as beneficial for corporations and the wealthy but a hidden tax on the general public.
• 🌎 Wars are cited as a significant cause of government borrowing, as they are expensive and often unpopular, leading to a preference for borrowing over taxation.
• 🤝 Corporations and wealthy individuals are the primary lenders to the government, effectively receiving tax breaks in exchange for lending money.
• 💡 The script suggests that tax evasion by corporations and the rich is a significant driver of government borrowing and national debt.
• 🏷️ The host criticizes the use of lotteries and tariffs as alternative forms of taxation that primarily affect the less affluent, further benefiting corporations and the rich.
• 🚫 The script concludes with a call to action, urging the audience not to be fooled by the complexities of deficits and national debt and to understand the underlying issues.

Q & A

What is the main focus of the 'Economic Update' program presented by Richard Wolff?

The 'Economic Update' program, hosted by Richard Wolff, focuses on the economic dimensions of our lives and those of our children, providing insights into various economic issues and concepts.

What is the new book 'Understanding Capitalism' by Richard Wolff a part of?

'Understanding Capitalism' is the final piece of a trilogy by Richard Wolff, which also includes 'Understanding Marxism' and 'Understanding Socialism', summarizing and compiling the problems, myths, and crises of capitalism.

What is the primary reason governments borrow money according to the script?

Governments borrow money primarily because they have more demands for spending than they can raise through taxes, leading to a deficit which they finance through borrowing.

What is the term used to describe the amount a government borrows in a fiscal year?

The term used to describe the amount a government borrows in a fiscal year is 'deficit', which is the difference between government spending and tax revenue.

What is the difference between a government deficit and national debt?

A government deficit is the amount by which government spending exceeds tax revenue in a given year, while national debt is the total amount of money that the government has borrowed over time and has yet to pay back.

Why do governments issue IOUs when they borrow money?

Governments issue IOUs, in the form of government securities, bills, or bonds, as a promise to repay the borrowed money with interest to the lenders.

What is the role of taxes in the context of government spending and borrowing?

Taxes are the primary means by which governments raise money to fund their activities. When tax revenue is insufficient to cover spending, governments borrow the difference, leading to deficits and national debt.

How does the script describe the relationship between government borrowing and corporations or the rich?

The script describes a situation where corporations and the rich benefit from tax evasion by lending money to the government instead of paying taxes, which then becomes a burden on the general public through deficits and national debt.

What are some of the myths or misconceptions about national debt that the script aims to clarify?

The script aims to clarify that national debt is not just a result of excessive government spending but is also a consequence of tax evasion by corporations and the rich, who lend money to the government instead of paying their fair share of taxes.

What is the script's stance on the use of lotteries and tariffs as forms of indirect taxation?

The script criticizes the use of lotteries and tariffs as forms of indirect taxation that primarily affect the poor and middle class, while benefiting the government and corporations without them having to pay their fair share of taxes.

What is the script's final message regarding the responsibility of the public in addressing the issue of national debt?

The script's final message is a call to the public to understand and address the core issue of tax evasion by corporations and the rich, which contributes to national debt, and to not allow this scam to continue without challenging it.

Outlines

00:00

📚 Introduction to Economic Update and New Book

The script opens with a warm welcome to the 'Economic Update' program, hosted by Richard Wolff. It emphasizes the show's focus on economic dimensions affecting our lives and future generations. Wolff reminds viewers of Charlie Fabian's role in gathering suggestions for future programs and teases the release of a new book titled 'Understanding Capitalism', which completes a trilogy alongside 'Understanding Marxism' and 'Understanding Socialism'. The book is described as a comprehensive summary of capitalism's issues, myths, crises, and future prospects, presented in an accessible and engaging manner. The episode's main topic is introduced as the global problem of national debt and deficits, discussing why countries borrow, who benefits from such borrowing, and its impact on elections and media portrayal.

05:01

🏦 The Mechanics of Government Borrowing and Deficits

This paragraph delves into the concept of government deficits and national debt. It explains that governments need to raise funds to fulfill their responsibilities, such as social services and defense, primarily through taxation. However, when government spending exceeds tax revenue, the shortfall is covered by borrowing. The government issues IOUs in the form of securities, bills, or bonds, promising to repay with interest. The accumulated sum of these borrowings is the national debt. The paragraph suggests that while the national debt may benefit corporations and wealthy individuals, it is a hidden tax on the general public, contributing to the ongoing trillion-dollar deficits.

10:03

💡 The Role of War and Government Services in National Debt

The script discusses the role of war and government services in contributing to the national debt. It points out that significant government borrowing often occurs during unpopular wars, which are expensive and can lead to substantial public debt. The United States' funding of wars in Ukraine and Gaza is cited as an example, costing over a hundred billion dollars. The paragraph argues that if these costs were covered by taxes, the public would be more acutely aware of the financial burden of war, potentially leading to greater opposition. Instead, borrowing obscures these costs, allowing governments to avoid public backlash.

15:03

🤔 The Dysfunctional System of Taxation and Borrowing

This paragraph examines the systemic reasons behind government borrowing, highlighting the tension between public expectations and the unwillingness of corporations and individuals to pay higher taxes. It suggests that politicians use borrowing as a means to satisfy voter demands for services without raising taxes, which could jeopardize their re-election. The paragraph criticizes this approach as dysfunctional, creating a cycle of deficits that primarily benefits corporations and the wealthy, who can afford to lend to the government, rather than the general populace.

20:05

💼 The Impact of Tax Policies on Deficits and National Debt

The script addresses the impact of tax policies on government deficits and national debt. It argues that corporations and the wealthy often avoid paying their fair share of taxes due to favorable tax laws and the use of tax havens. As a result, the government is left with less revenue, leading to increased borrowing. The paragraph suggests that this borrowing is effectively a form of tax evasion for the wealthy, who lend to the government instead of paying taxes, thereby shifting the burden onto the general public who will ultimately repay the loans through future taxes.

25:06

🎟️ Alternative Forms of Taxation: Lotteries and Tariffs

This paragraph explores alternative forms of taxation, such as lotteries and tariffs, which are not explicitly labeled as taxes but serve a similar function. It criticizes the lottery system for disproportionately affecting poorer individuals who buy tickets in the hope of winning, while the government collects significant revenue with minimal payouts. The paragraph also explains that tariffs, which are taxes on imported goods, are ultimately paid by American consumers, contrary to misconceptions that they are paid by foreign countries. The script argues that these methods of indirect taxation further contribute to the fiscal imbalance and debt.

🏛️ The Consequences of Tax Evasion and the Sham of Deficits

The final paragraph concludes the script by emphasizing the core issue of tax evasion by corporations and the wealthy, facilitated by politicians. It suggests that the national debt is a result of this evasion, with the burden of repayment falling on the general public and future generations. The script calls for awareness and action against this systemic scam, warning that allowing it to continue reflects poorly on society as a whole. It ends with a call to question the status quo, especially in light of national holidays like July 4th, which celebrate independence and freedom.

Keywords

💡Economic Update

Economic Update refers to the title of the weekly program hosted by Richard Wolff, which focuses on the economic dimensions of life and future implications. It is central to the video's theme as it sets the stage for discussions on capitalism, deficits, and national debt.

💡Capitalism

Capitalism is an economic system based on private ownership of the means of production and the creation of goods and services for profit. The video discusses how capitalism has contributed to the problem of national debt and deficits, suggesting that it exacerbates these issues rather than solving them.

💡Deficits

Deficits are the result of a government's expenditures exceeding its revenues, leading to the need for borrowing. The video emphasizes the problem of deficits, explaining how governments, particularly in capitalist societies, borrow to meet public demands without raising taxes.

💡National Debt

National Debt represents the total amount of money that a government has borrowed but not yet repaid. The video describes national debt as a significant issue in capitalist countries, including the United States, where it is used as a tool to fund government activities without immediate taxation.

💡Taxation

Taxation is the process by which a government raises money through levies on income, profits, and other financial transactions. The script discusses how both corporations and individuals are reluctant to pay taxes, leading to a shortfall that governments cover by borrowing.

💡Government Securities

Government Securities, such as bonds or bills, are financial instruments issued by a government to borrow money. In the video, these are described as IOUs that promise repayment with interest, which governments issue when they borrow to cover deficits.

💡Interest

Interest is the cost of borrowing money, paid by the borrower to the lender. The video explains that when governments borrow, they must pay interest to the lenders, which adds to the national debt and ultimately is paid by taxpayers.

💡Corporations

Corporations are large business entities that seek to maximize profits. The script points out that corporations often avoid paying their fair share of taxes and instead become lenders to the government, profiting from the interest on government securities.

💡Politicians

Politicians are individuals who hold or seek political office. The video argues that politicians often cater to corporations and the rich by not raising taxes, instead opting for borrowing to fund government activities, which leads to deficits and national debt.

💡Tax Evasion

Tax Evasion refers to the illegal practice of avoiding taxes. While not explicitly mentioned, the concept is implied in the video when discussing how the wealthy and corporations use loopholes and tax havens to avoid paying taxes, contributing to the growth of national debt.

💡Lottery

A Lottery is a form of gambling where participants buy tickets for a chance to win a prize. The video uses the lottery as an example of a disguised tax, where the government profits from the sales while only a small number of participants win prizes.

💡Tariffs

Tariffs are taxes imposed on imported goods. The script explains that tariffs are another form of taxation that is often misunderstood to be paid by foreign countries, but in reality, they are paid by domestic consumers and contribute to government revenue.

Highlights

Introduction of the new book 'Understanding Capitalism' as a culmination of 12 years of the program and 40 years of teaching economics.

The problem of national debt and deficits is a global issue affecting many countries, including the United States.

Governments need to raise money through taxes to fund public services and infrastructure.

When government spending exceeds tax revenue, the government borrows money, resulting in a deficit.

Governments issue IOUs in the form of government securities, bills, or bonds when they borrow money.

The national debt is the total amount of money the government has borrowed and not yet paid back.

National debt can be beneficial for corporations and the wealthy but detrimental to the general public.

Wars are one of the major sources of government borrowing, often funded through debt rather than direct taxation.

Politicians often avoid raising taxes and instead borrow to maintain voter support and fulfill campaign promises.

Corporations and the rich benefit from tax breaks and then become lenders to the government, avoiding tax payments.

The national debt signifies that politicians have capitulated to the interests of corporations and the wealthy.

Lottery systems are a form of hidden tax that disproportionately affects lower-income individuals.

Tariffs are taxes on imported goods, paid by American consumers, not by the exporting countries.

The national debt is a scam that allows corporations and the rich to avoid taxes while the general public bears the burden.

Politicians, government officials, and the media often fail to clearly explain the true nature of the national debt.

The national debt is a reflection of tax evasion by corporations and the rich, with the cost ultimately borne by the public.

The speaker calls for public awareness and action against the systemic issues related to national debt and taxation.

Transcripts

[Music]

Welcome Friends to another edition of

economic update a weekly program devoted

to the economic dimensions of our lives

and those of our children

I'm your host Richard wolf let me

quickly remind you that Charlie Fabian

is ready and willing to take whatever

suggestions ideas documents you might

want to send our way to help us plan

future programs you can reach him at

charlie.in

438

gmail.com I want also to take a moment

to tease you a bit we have finished a

new book book it's called understanding

capitalism it is if you

like a kind of final piece of a Trilogy

we've already produced understanding

Marxism and understanding socialism

which many of you have kindly ordered so

this is understanding

capitalism it's a completion of that

three-part project but it is also a

culmination of 12 Years of doing this

program every week plus 40 years before

that of teaching economics at half a

dozen

universities I think you'll find it an

extraordinary summary and

compilation of capitalism's problems the

myths that support it the crisis it now

faces and what comes afterward

in a way that is readable accessible and

above all

interesting look for it it's coming soon

today's program is devoted to a

particular topic Global in importance

crucial in many many parts of the world

including the United

States it's called the problem of

deficits the problem of the national

debt it's all about out why countries

borrow money from whom they borrow who

benefits from all that borrowing it's

now in the many trillions of

dollars both in the United States and in

most of the other countries of the

world it's a factor in elections all the

time it's not a boring topic although it

is often presented in the media

in details that lose the whole

picture I'm going to try to focus on the

picture I'm going to try to make sure

you understand what's at stake in a

topic you

often look away

from okay let's get into

it governments do many things as you

know and in order to do them whether

it's helping older people whether it's

teaching school maintaining roads a

National Defense or

whatever it has to raise money to do

those things the United States

government for example is an

overwhelmingly dominant major employer

in the United

States state and local governments add

to the number of governmental B IES that

hire people as well as do all sorts of

things and to hire people and do things

the government has to raise

money and how does it do

that well the number one thing

governments have been doing as far back

as we can remember is

taxing the government's major way of

raising money in most societ ities has

been to

tax now whom do they

tax they tax

businesses a share of the profits are

taken as taxes and they tax

individuals a share of your and my

income is taken by the

government together with the money they

take from the profits of

Enterprise and then the government

spends that money to do whatever it is

the government in each country is called

upon to

do it happens and here we get to the nub

of the issue it happens that in a

society like

ours more money is demanded of the

government that is we want it to

spend then the government raises in

taxes and then the government has to do

what you and I have to do if we spend

more than we take

in the government

borrows that's right the government

borrows the money so you get The Simple

Solution here we go what the government

spends is equal to what it picks up in

taxes plus what it

borrows the amount it borrows is called

the def deficit it's called that because

it's the difference between what the

government spends on everything

combined relative to how much it takes

in in taxes the more it takes in in

taxes the less deficit it needs to

have when the government borrows it does

so typically in the following

way it issues pieces of paper like an

IOU the government having Bor OED owes

whoever lends to the government and it

writes out an

IOU called a government security or a

government bill or a Government Bond the

words don't

matter the idea is the government

borrows promises to

repay the

borrowing gives the lender a piece of

paper that has on it you will be paid

back on such and such a date two months

two years 20 years from now and each

year we will give you so much in

interest because you have lent us the

money that's what governments do they

have to pay interest when they borrow

just like anybody

else if you add up the total amount of

outstanding

IUS borrowings that the government did

in

1849 in

1924 and last year minus whatever

portion of that the government may have

paid back and it does do that sometimes

what you're left with is the total

amount of accumulated deficits and the

word for that is the national debt it's

the total amount of money that the

government has borrowed and not yet paid

back

it's what the government owes to the

lenders that have come forward to enable

the government to

borrow that's all these words

mean don't get lost in the

weeds but it turns out that when you

look at this as we're about to

do you will discover that the national

debt is a wonderful thing for

corporations and people but not for you

and not for

me for us it's an immense

ripoff it turns out as I will show you

that it's just a

disguised tax you might call it a

postponed

tax I'll explain all that and then

you'll understand why we are as a nation

in many trillions of dollars of deficit

this

year on top of much more in the way of

trillions of dollars of accumulated

national debt and we are not in any way

unusual among countries in doing this it

is a big capitalist

problem when capitalism came into

existence there were already National

debts but capitalism far from solving or

removing or fixing the problem made it

infinitely worse here in the United

States for

example one of the biggest sources of

government

borrowing reveals what's going

on let me tell you about it when

governments do something that is

unpopular

that large numbers of people and maybe

even majorities don't want and don't

like that's when they

borrow I'll give you exam an example the

biggest amount of borrowing is typically

happening when the United States and

this is not again unusual among

countries goes to

war wars are often things Americans

don't want

don't like or maybe at the beginning

they do in patriotic fervor but not for

long governments kill people governments

hurt people and governments in

war but don't just kill people and hurt

people in

war but they cost a lot of

money so the question becomes in every

war for example right now the war in

Ukraine which is fought by

ukrainians and Russians but is funded by

the United States on the Ukrainian side

and ditto the war in Gaza waged by

Israel but paid for and funded and

weaponized by the United

States the government of the United

States pays for these wars huge amounts

of

money Israel and Gaza for example and

the Ukraine if you put them together

have cost us already over a hundred

billion

dollar the government could raise that

money by taxing

us if they D do that which they don't

but if they dared then we would be

reading in the newspaper not only the

Grizzly details of death and destruction

in Ukraine and in

Gaza we would be also reading

stories that would explain to the

American people that if that's to be

paid for by taxes it'll cost us $300 to

$400 per American citizen that's a 122

$1,500 per family per

year if you think there's opposition to

war now

I can assure you that opposition would

be 10 times larger if the people who are

paying for it understood it because they

got a tax

bill so governments don't do that they

dare

not instead they borrow the money

because that way they can talk about the

war and not have the danger that people

understand what it costs and what part

of that cost each of us are going to be

asked to

pay

okay why in

general even when there isn't a war do

governments borrow money as they do as

the United States government has done

all along for a long long time and the

answer is our

system and in the time remaining in the

first half of today's show quickly I'll

tell you what it is about our system

that makes it work like

that taxes are paid by corporations and

by individuals neither of them wants to

pay the taxes both of them want all

kinds of things from the government

corporations want lots of services and

lots of subsidies and lots of help

marketing their goods and getting their

inputs and hiring their workers and

teaching their work workers in schools

they want the government to do a lot but

they don't want to pay taxes and the

mass of people don't want to pay taxes

but they want the government to help

them with a good hospital system a good

road system and lots of other things so

you got the two sources of taxes

corporations and individuals who don't

want to pay but who have huge demands

they put on the

government okay this is crazy if the

government's going to do what people

want it has to raise the money if you

don't let it raise the money it can't do

what you

want here's the

solution politicians figured it out you

can give people what they want and not

tax them by borrowing instead and that's

the reason we have the deficits we do

it's a

dysfunctional system we live in after

the break we've come to the end of the

first half of our show

I will go into showing you who benefits

and who loses from this irrational way

of

organizing modern capitalism stay with

us we'll be right

[Music]

back friends as you know any project

like this takes money and we don't want

to bore you or burden you on the other

hand you our audience are the source of

our funding and we wouldn't have it any

other way if you can please consider

making a donation it will be enormously

appreciated welcome back friends to the

second half of today's economic

update we're devoting today's program to

these questions of deficits in National

debts to make sure that we all

understand the basics and are not fooled

by the way that politicians

academics and the people who should know

better government

advisors the way they tell the story

it's lost in details that make most

people's eyes glaze over before they

change the channel but in fact it's

crucial to your life and mine and that's

why we're doing this okay we left off as

I

explained that governments borrow

because it's the politician

cheap way out that is the politicians

can give us no increase in taxes you

notice how they stumble over each other

promising that meanwhile giving

corporations what they want and giving

the public as much as they can what they

want why do they do that well clearly

from the public they need votes and

Beyond a certain point you can't tax

people without them coming back and not

voting for you they've all learned that

listen corporations it's a little

different if you tax them they won't

give you a money donations pay for the

lobbyist to do your job give your party

the money it needs for expensive tv ads

thereby jeopardizing your election so

the corporations know you're going to

take care of them by not taxing

them and the corporations repay your

kindness they give you the big doar

donations the big

contributions and what do the

politicians use them

for to not explain or rather to explain

falsely what's going on here to hide

from most of you what is in fact going

on here is the key

Point corporations get out of paying

their fair share just like rich people

do do all tax studies show you that take

a look I've done it on this program

countless times you should

know corporations get out of paying

taxes many of the biggest corporations

pay no taxes year after year the tax

code is written to enable them to do

that the same is with rich

people the most important single

economic Act of Donald Trump's four

years in office was the tax cut of

December

2017 which was an enormous gift to

corporations in the rich and that's the

normal behavior and Mr Biden didn't undo

that basically left it in

place okay so the

corporations get a tax break and the

rich

do and in return they fund

the politicians who do that and they

give those politicians enough money so

that they can run glitzy ads and hire

lots of public relations people to make

sure you don't understand what deficits

in national debt actually mean so here

we go when the government borrows who do

you think it borrows from has a

government agent recently visit visited

your home and asked you to lend to the

government of course not you have no

idea about that cuz that doesn't happen

to you but if you're a big bank and

you're a big Corporation you deal with

the government and buy bonds I lend

their money all the

time it's a normal part of big

Corporation

activity it's even a normal part of rich

people's portfolio at their stock broker

buying and selling government

bonds so here's the

point the corporations don't have to pay

taxes and the rich don't have to pay

taxes because the politicians arrange it

for

them then of course the government

doesn't have those taxes so what does

the government do

borrow because it's not raising taxes

from corporations and the rich but for

from whom does it borrow here we go

corporations and the rich they're the

major lenders to the government what

they lend to the government is what the

government did not tax from them if the

government had taxed that money from

them the government wouldn't need to

borrow and if the government didn't need

to borrow we wouldn't have deficits and

we wouldn't have a national debt

so when you hear about deficits in debt

here's the key point it's a sign that

politicians have caved in to

corporations and the

rich and we know how they do it first of

all the tax laws are written to favor

them then there are trillions we've that

done the

research of assets held by corporations

in the rich

in places called get it tax Havens you

know why they're called tax Havens and

they include places like Caribbean

islands or the state of North Dakota or

all

kinds or maybe it's South Dakota one of

them there are all kinds of tax Havens

where you can go and hide your money and

not pay

taxes that's the game friends the Govern

government says to corporations in the

rich you don't have to pay instead you

can lend the money to us and of course

for corporations and the rich this is a

no-brainer rather than have your money

taken as a tax like we all do in our

weekly

check instead of being taxed you give

that same amount of money to the

government same government but it's a

loan and the government pays it back

plus

interest and where will the government

get the money to pay back the blenders

plus interest well from you and me

because we can't play that game we don't

have the money to lend the government it

is a scam and a ripoff and it always has

been it is one of the greatest gifts

modern capitalist governments give to

their corporations and the

rich and if you haven't understood it

you now understand why you haven't

understood it why it hasn't been made

clear don't get lost in the details

that's the core

reality politicians can no longer push

more taxes on the mass of people there

would be more of a tax revolt we've

already seen it and the corporations in

the rich tell the politicians you dare

tax me I'll give more money to your

opponent and you will be out of here and

replaced by a politician who will

recognize how he or she got into office

and never do that

again that's the game and so the

politicians borrow

from the corporations and the rich to

whom they give in effect tax

exemptions when I say don't get lost in

the details let me bring a couple up to

you so you understand how the game is

even played beyond what I have just told

you about deficits and national debt I'm

going to start with two ways of taxing

you without calling it a tax

here's the first one the lottery system

this is cute you go to the mass of

people and you say give me your money

but you don't call it a tax you say buy

a lottery

ticket here is a piece of paper cost the

government nothing you give us $2 $5 $10

whatever the ticket

costs and for the next few hours maybe

even a few days you can have a

fantasy about what would happen and what

you could do if you

won meanwhile the government very

carefully takes hundreds of millions of

dollars every month out of the pockets

of the mass of

people and gives very little back big

prizes but only to a handful of

people the net money raised by the

government is

fantastic and if you look at who buys

lottery tickets yep it's the poorer

people the middle class and the lower

rich people don't buy the lottery

tickets and corporations don't

either it's a tax but by calling it a

lottery the government gets away with it

corporations again giggle as they keep

in the hands of the government that

serves them most the bulk of the money

paid for by people who buy lottery

tickets here's another

one

tariff that's a tax put on things coming

into the United States from

abroad Mr Trump was famous for saying

he's going to slap the Chinese with

tariffs which he

did then Mr Trump said something which

is embarrassing

he said that Chinese are going to have

to pay these tariffs no Mr Trump you

clearly never took an economic course or

if you did didn't pay much attention

tariffs are not paid by the countries

from which the goods come tariffs are

paid by the Americans who bring them in

tariff is just a name for

attack we pay tariffs taxes to the US

government when Mr Trump imposes a

tariff or Mr Biden or anybody

else so in addition to the scam of

deficits and national debt you have the

scam of lotteries and the scam of

tariffs and if I had more time i' go

further don't be

fooled no the cause of this problem

isn't the spend ing that the government

does the problem is the tax evasion that

corporations and the

rich pay the

politicians to make

legal and it's all

handled in these lovely buildings in

Manhattan where government agencies get

together with the biggest

financiers to nego iate the deficit

financing that produces the national

debt we call it national and you know

why because in the end the tax is not

paid by corporations in the rich when

they lend instead to the government we

all will pay the taxes and our children

will that pay them back those loans they

never never pay their taxes we

do and if we allow it as a

people and I say this right around the

time of July 4th our national

Independence celebrating holiday if we

allow this as a people then in the

end it's not just shame on them who pull

this scam

the government officials the

politicians the

academics the

journalists who keep going and talking

about this without explaining clearly

what the scam at the core of it is all

about it's not just shame on

them it's more than that for allowing it

to go on as long as we have some of that

shame

rubs off on

us thank you for your attention and as

always I look forward to speaking with

you again next week