Copied from:www.ColoradoGold, by Don Stott, May 20, 2010

"Argentina, Venezuela, and America"

In 1902, Argentina was one of the wealthiest, most industrialized, prosperous nations on earth. Automobiles, electricity, and telephones were common. Millions of acres of rich farmland, navigable rivers, and accessible seaports, graced Argentina. It made and grew what it consumed, and exported goods throughout the inhabited world. It was second only to the United States in wealth, and second only to Britain in sea power.

In 1916, running under the promise of "Fundamental Change," Hipolito Irigoyen was elected as president. He immediately mandated pension insurance, health care insurance, a minimum wage, and began building public housing, and all sorts of what he called programs of "stimulus." Union membership was encouraged, and union protection laws were passed. Quickly, income from taxes was far less than government spending. Taxes were raised, but spending continued, as Argentina's economy slowly crumbled, although Irigoyen did keep Argentina out of World War One. He left office in 1922, and was re-elected in 1928, when he nationalized the oil industry and a few others as well. By 1930, Argentina was in such a deplorable state, that a military coup overthrew him. He died shortly after that. Argentina, through a 14 year period, had degenerated slowly but surely, due to the exact same things which have killed most, if not all economies. Reckless spending, welfare, plus feeding and housing what became an underclass. In every nation, due to politicians passing laws to assure their re-election by giving monies out of various public treasuries.

When WW II broke out, Argentina proclaimed neutrality, and refused to break relations with Germany and Japan. After the war, Nazi's felt quite at home in Argentina. In 1946, Juan Peron was elected, and quickly became a harsh ruler, imprisoning those who disagreed with him, a-la, Abraham Lincoln, 85 years previously. Peron instituted a new constitution, giving previously unheard of powers to the government. His wife, Evita was put in charge of labor relations. Under Peron, the middle and upper classes were targeted with high taxes, and a VAT was instituted. Spending by government, and proliferation of bureaucracy continued, until inflation reached 3,000% finally, and Peron was overthrown by a military coup. He later came back, like a bad check, to do more damage. Today, Argentina seems to be fairly stable.

Venezuela is doing the same thing now, under a communist dictator. Venezuela is the pits, and getting worse, with power blackouts, and huge unemployment. Venezuela is copying Argentina, Zimbabwe and Cuba, with the same results. Worthless currencies, huge government, seizing and nationalizing private businesses, inflation, suppression of freedoms, and eventually I assume, riots. Venezuela's Chavez is destroying a once proud, capable, prosperous nation, with collectivism, and harsh dictatorship. Cuba's Castro has turned a once happy, warm, hospitable nation, into a crushing communistic dictatorship. America is traveling down the same road as did the above nations.

Greece is having more riots today as I finish this, and rumor has it that Germany wants out of the euro, and is secretly printing marks. Spain and Portugal, both euro nations, are in deep doo do because of exactly the same things that killed other economies. Stupid politicians giving away the public treasury to the unworthy. America's official debt is now close to $13 trillion, plus another $60 trillion in promised payments in future years, and it is absolutely unpayable other than with printed scrip, known as dollars. Depression over? Not by the skin of your chinny chin chin! 477,000 new applicants for unemployment insurance last week, and the stock markets around the world are fading. Tough times ahead, I believe.

This begs a simple question. Is government a way to prosperity? Is government in any nation, in any year, or under any circumstance, an efficient or cost effective way to accomplish anything? Throughout history, and hundreds of years, and even thousands of years, no government has ever been able to 'help' anyone or group by subsidizing them or handing out other people's money by means of high taxes. Governments which are good, protect, and do not subsidize! Subsidization steals from Paul to pay Peter, and both Peter and Paul are harmed. Paul is de-capitalized, and Peter learns how to live on someone else's work and effort. Now, we have the Obama regime, trying to take over every facet of America, ruining the prosperity producing Pauls, making millions of dependent 'Peters,' and destroying America. The masses are revolting, as witnessed by Kentucky, Utah, and Massachusetts, with more to follow. It's all the result of the Tea Party Movement. God Bless the Tea Party Movement!

With Love and Kindness,

THE HATMAN