Here's Why (Unfortunately) The "Shocking" Tea-Party Victory Doesn't Matter

Tyler Durden's picture




 

Submitted by Simon Black of Sovereign Man blog,

In February 1964, a 22-year old Cassius Clay (later Muhammad Ali) faced off against a gigantic Sonny Liston, the heavyweight boxing champion of the world.

Liston was an imposing opponent. I mean– this was a guy with mob ties who learned to box while serving hard time in prison. Plus he had twice devastated boxing great Floyd Patterson with two first-round knockouts, and he had a substantial reach advantage over Ali.

Ali knew it. And despite all the trash talking, he was nervous. His pulse rate was a whopping 120 at the pre-fight weigh in, more than twice his usual 54.

But seven rounds into the fight, Ali had won a major upset. And the pictures from immediately afterward show that even Ali was shocked.

I thought about this the other day upon reading the news of US House Majority Leader Eric Cantor’s loss in the primary election to David Brat, a political unknown.

Judging by the long stream of ‘holy crap’ tweets, Brat, like Ali, did what most people (including himself) thought was impossible.

It’s been more than a century since a sitting majority leader in the US House of Representatives lost in the primary… especially against a complete unknown.

The talking heads have been analyzing these results trying to assign a specific reason to Cantor’s stunning loss. Was it his stance on immigration? Tax reform? Or that he didn’t fight Obama hard enough?

None of the above. It’s not so complicated– the guy was ousted out of good old fashioned disgust.

People are sick and tired of the usual suspects running the show, and this was nothing more than an ‘anybody but the current guy’ vote.

This is happening all over Europe as well. Recent elections in the UK stunned the country as Nigel Farage’s UKIP party sidelined Labour and Conservative for the first time in nearly a century.

And in France, the revolution in the voting booth has caused a crisis of confidence in the government of Monsieur Sarkozy.

This level of disgust has finally arrived to US shores. And as exciting as it may be to get ‘real change,’ it’s important to temper one’s expectations. Because there is such a thing as being past the point of no return.

Remember– last year the US government took in $2.6 trillion in tax revenue. Then they spent $2.5 trillion just to pay for MANDATORY entitlement programs like social security, and INTEREST on the debt.

So the government blew through 96% of its tax revenue before writing a single check for most things we think of as government– the military, Homeland Security, or even the IRS.

Bear in mind that both of these major spending items increase every year; more people join the rolls of Social Security, and interest on the debt goes up.

Even the Congressional Budget Office’s own projections show government spending increasing at a far greater rate than tax revenue.

That’s the funny thing about numbers– arithmetic cannot be influenced by emotion. It doesn’t feel optimistic or pessimistic. It’s just truth. And the truth is that this situation is far past the point of no return.

Even with radical Social Security reform (i.e. STOPPING payments to seniors right away), they only buy themselves a few years. More worrisome, if interest rates increase by even just 1%, interest on the debt will skyrocket.

We can be happy. And we can hope. But it’s dangerous to presume that all the challenges improve simply because a new group of people is installed into positions of power.

This is the fallacy that persists at nearly every election cycle– people cheer that the new guy is going to fix everything. And this excitement almost always turns to disappointment.

Optimism is great. But it’s dangerous to invest one’s faith in a political system.

Elections merely change the players. They don’t change the game. And it is the game that is fundamentally flawed.

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Thu, 06/12/2014 - 15:00 | 4849674 Dr. Engali
Dr. Engali's picture

In the end they all end up in some lobbyist's back pocket.

Thu, 06/12/2014 - 15:05 | 4849701 cossack55
cossack55's picture

I don't invest in any paper (except TP) so I'm certainly not going to invest in these charlatans and poltroons.

Thu, 06/12/2014 - 15:32 | 4849816 0b1knob
0b1knob's picture

Yes votes never matter.  Remember when PM Cameron asked parliament for permission to attack Syria and they voted it down?  And then US and UK attacked anyway.

Oh wait...

Thu, 06/12/2014 - 15:49 | 4849862 jbvtme
jbvtme's picture

the story of brat's victory is the disparity in the money spent by he and the other frat boy. i'm guessing others will follow. but he is a brainwashed academic (redundant?) and i don't expect too much from him.

Thu, 06/12/2014 - 15:49 | 4849872 Boris Alatovkrap
Boris Alatovkrap's picture

In rock and roll most famous scream... We are not fool again!

(Meet new boss, same as old boss...)

Thu, 06/12/2014 - 16:25 | 4850001 NoDebt
NoDebt's picture

"Nothing can be fixed no matter what you do.  Only solution is to run away to a nice, safe foreign country and put your money in their nice, safe banks."

Every Simon Black article ever penned.

Any kid working on his accounting degree could solve the MATHEMATICAL problem of government entitelment spending.  It's the CONSEQUENCES of doing that which nobody is willing to accept.  Sheesh.  Is this not obvious?

Thu, 06/12/2014 - 16:59 | 4850130 Pure Evil
Pure Evil's picture

Who cares if ousting the politicians changes nothing.

If we can just get rid of all the ossified corpses entrenched at the upper tiers of government we might actually be able to catch a breath of fresh air coming out of D.C.

Thu, 06/12/2014 - 18:31 | 4850538 logicalman
logicalman's picture

The only air ever to come out of Washington is Hot Air.

If only it could be harnessed to do useful work.

Fri, 06/13/2014 - 03:48 | 4851793 asdasmos
asdasmos's picture

Posted Elsewhere:

"

1) The taxes are not worth the value being returned.

I don't have a problem paying taxes, so long as they go to something worthwhile. I will end up paying around 33% - an entire 1/3rd of my income - in my 2013 tax return. Yes, I am getting a refund, but when I am paying tens of thousands of dollars and not getting the services I should receive for that investment in my country, celebrating the return of a few hundred dollars seems absurd.

Where is my benefit from my government for all of this? Do I have free healthcare? No. Do I have a world class education for my child? No. Do I have any kind of guaranteed income should I lose my job? No.

No, instead, I have a country which is the only one in the world to tax its overseas citizens. A country that bails out banks who prey on those who just want a home to raise a family when they become insolvent - but when it happens to me, and I short sell my home, the IRS is there, ready to tax me on "phantom income" - forgiven debt.

I have a country that spends billions on fighting wars for political gain, but does nothing when there actually is evidence of WMD use against others. A country that hemorrhages so much money on military spending, it must turn around and take loans against my child's future - her income - in order to continue to pay for programs we don't need.

2) I'm tired of people being surprised that I'm American because I have manners, common courtesy, and the ability to see the other side of issues.

Seriously, the number of people I meet who think Americans are rascal-riding land whales (like in the movie Wall-E) with handle-bar mounted machine guns, a sack of Big Macs in the front basket, a clinical addiction to NASCAR, and a passion for the modern day artist that is Jerry Springer - it's just too much. I've been introducing myself as Canadian because apparently I'm so polite, that's where they mostly assume I'm from.

3) The fact that none of this is ever going to change, regardless of what party is in charge, and the fact that the American government continues to shred the constitution a little more each year, until it doesn't even matter anymore.

You may not think of America as a police state, but it is. Nobody's going to come grab you in the middle of the night, unless you're reported as a terrorist of some kind. At that point, just forget about "police work" and get ready for the SWAT team.

Nobody is going to take your children way from you, unless Child Protective Services is called, and someone decides - for whatever reason - that it's "in the child's best interest" to be removed.

Nobody is ever going to interfere with your access to medicine, unless you're trying to get something that isn't ridiculously expensive from another country; in that case, get ready for being charged as a drug trafficker.

Nobody is going to freeze your bank accounts, passport, and other means of movement, unless the IRS believes you haven't given them enough money. Suddenly you have debt to prove isn't there, and it will all get "sorted out" at the blistering fast speed of government efficiency. Or you could just pay the amount they say and it all ends quickly.

4) The fact that the future for my child in the US is so dark.

All this debt, and it's going to fall on her and her children. She's broke, and she doesn't even know it yet. Disgusting.

Well, I count myself fortunate that I don't own a home in the US - it affords me the ability to even consider leaving it all behind. There's so much propaganda about how wonderful America is but, when you look at it without those rosy lenses on, what you really see is horrifying.

"

 

Thu, 06/12/2014 - 16:28 | 4850014 Blues Traveler
Blues Traveler's picture

Correct....Unless we address the issues of the human heart, things will never change. But I will enjoy the moment that"The People" hurt him in the only place he has feelings, his ego. 

May the trend continue.  

Thu, 06/12/2014 - 15:49 | 4849876 smlbizman
smlbizman's picture

can we have a moment of silence for mr. cantor as he walks away with probably 200k retirement, medical, lobbiest position etc., etc., etc.,......when you win you still fucking lose..

Thu, 06/12/2014 - 18:23 | 4850509 Bemused Observer
Bemused Observer's picture

And there will be not a peep out of the crowd that bitches about the "rich pensions" of firefighters, etc...This jerk does a few years as Congressman and gets a cushy pension for life. For fucking LIFE.
The cop or firefighter wants to get a pension a fraction of that size for 30 years of service is a "taker"...
*sigh*

Thu, 06/12/2014 - 18:29 | 4850530 The Blank Stare
The Blank Stare's picture

when you win you still fucking lose

 

WIAT...STRIKE THAT....REVERSE IT...

 

When you lose you still fucking win

Thu, 06/12/2014 - 15:52 | 4849887 Gringo Viejo
Gringo Viejo's picture

I think it was the late, great Bill Hicks who said after an election The President-Elect is taken to a screening room in the WH. There with a dozen or so of America's most powerful oligarchs, lights are dimmed and they watch 20 seconds of the Zapruder film. The lights come up, one of the oligarchs looks at the President-Elect and says: "Any questions?"

Thu, 06/12/2014 - 17:07 | 4850154 Pure Evil
Pure Evil's picture

My question would be, "Which direction did the fatal shot come from? Was it the grassy knoll or the book depository. I just want to know which side of the armored limousine I should spend my money reinforcing."

Then I'd ask to be excused telling them that I had to visit the little transgender room and as soon as I left I'd give the signal to lock the doors and drop the Cyanide gas canisters.

Thu, 06/12/2014 - 22:41 | 4851299 TheReplacement
TheReplacement's picture

So you would rely on others to do the killing for you?

Thu, 06/12/2014 - 15:05 | 4849703 simplejack
simplejack's picture

 

 

don't companies pay lobbyists?

 

companies can also give to candidates too cause they're people, right?

 

but if companies are people why can't they vote?

Thu, 06/12/2014 - 15:52 | 4849888 Boris Alatovkrap
Boris Alatovkrap's picture

At least in Russia, corrupt politician is not feign democracy and love for country over self. Boris is look at USSA corporate donor list and lobby group and throw up not just little. America, you are last hope, but hope is now dwindle in rapid downward spiral of excruciate death.

Thu, 06/12/2014 - 18:33 | 4850546 logicalman
logicalman's picture

Corporations can't hold pencils.

That's why Diebold does so well.

Thu, 06/12/2014 - 22:43 | 4851303 TheReplacement
TheReplacement's picture

I'd like to see how a corporation can be charged with a crime, imprisoned, and put to death.  When that happens I'll admit they can be a little like people.

Thu, 06/12/2014 - 15:24 | 4849782 Hayabusa
Hayabusa's picture

Dr. Engali is correct... in the end they are bought and paid for by corporate amerika.  After reading some of the posts that followed Dr. Engali it was clear to me how "the same as it ever was" and "different players same outcome" didn't set well with some of the more "optimistic" bloggers out there.  I say the first step in acknowledging you have a problem is admitting it... then doing something about it.  I believe we have too many ostriches who would prefer to put their head in the sand, keep doing the same thing, hope for a different result and at all costs avoid admitting Dr. Engali is spot on... why?  Well of course for them hope springs eternal and it's easier to hope a "new face" here and there will be "the change you can believe in" as opposed to realistically seeing the problem for what it is objectively, then taking the necessary steps to correct it - that requires effort and I suspect too many are "too busy" watching sports, drinking beer, etc., while the sky continues to fall all around us all.  It's not the politician's that annoy me as much as those who sit by, do nothing and allow the disintregation to continue.  Our elected "leaders are children" who are constantly looking for ways to beat the system, lie, cheat, manipulate, promote the double standard in favor of themselves, etc.  Complain about them and the system all you like but remember while your sucking on the boob tube, they are busy stealing your money, freedoms, and life from you little by little.  Why?  Because you allowed them to do it.

Thu, 06/12/2014 - 15:26 | 4849791 fonzannoon
fonzannoon's picture

so did you.

Thu, 06/12/2014 - 15:44 | 4849853 Hayabusa
Hayabusa's picture

Fonsannoon, you could not be more wrong... first I don't drink and I don't watch sports.  Second, I'm involved with others who focus less on blaming our elected officials and instead looking in the mirror and taking personal responsibility for the state of affairs.  Should I have started earlier?  Admittedly, yes... but at least I started and am continuuing to facilitate change and trying to involve local others also.

I'd point the finger back at you, however I don't assume anything about anyone else without knowing the facts first... assuming just makes an ass/u/me.  Perhaps you're doing your part, I don't know... perhaps you're drinking beer and watching sports... I don't know.  What I do know is numbers matter in this game and right now the numbers are measured in terms of money, not voters.  United we stand, divided we fall and if the crony elite have enough money they can cancel out a lot of voters.

Thu, 06/12/2014 - 15:48 | 4849870 fonzannoon
fonzannoon's picture

read back your original comment. your last sentence. you pointed the finger out at everyone. you made the assumptions about everyone.

Thu, 06/12/2014 - 16:51 | 4850103 NotApplicable
NotApplicable's picture

Sorry pal, but if you believe in voting, then you ARE the problem.

You have no moral authority to appoint ANYONE as my master. That you would do so to everyone makes me weep for your lack of humanity.

Take your well-intentioned slavery and shove it.

Without voters, evil-doers would lack sufficient means for mass murder, coercion and extortion. They would be nothing more than a common street thug, and better yet, would be recognized as such by ALL. Instead, idiotic, grown-up children go on about "respect for the office," without regard to the evil they perpetrate by supporting The Beast.

Thu, 06/12/2014 - 18:35 | 4850561 logicalman
logicalman's picture

Without 'leaders' there can be no war.

Government is the problem, not the solution.

 

Thu, 06/12/2014 - 22:48 | 4851322 TheReplacement
TheReplacement's picture

Who voted for Ghengis Khan, Mao, PolPot and so on?

Thu, 06/12/2014 - 21:07 | 4851041 RiverRoad
RiverRoad's picture

+1  The bankster cabal that runs this country has an iron grip indeed.

Thu, 06/12/2014 - 15:00 | 4849675 Cangaroo.TNT
Cangaroo.TNT's picture

Adam Kinzinger.  'Nuff said.

Thu, 06/12/2014 - 15:13 | 4849735 Cangaroo.TNT
Cangaroo.TNT's picture

Adam!   WAAAAZZZZAAAAP!!!!

Thu, 06/12/2014 - 15:01 | 4849679 DOGGONE
DOGGONE's picture

Hey TD, YOU show this, ALL THE TIME!
http://www.showrealhist.com/RHandRD.html

Thu, 06/12/2014 - 15:01 | 4849681 kchrisc
kchrisc's picture

https://www.youtube.com/watch?v=kvM6TxUnCDE

 

...Same as it ever was...Same as it ever was...Same as it ever was...
Same as it ever was...Same as it ever was...Same as it ever was...
Same as it ever was...Same as it ever was...

...Letting the days go by/let the water hold me down
Letting the days go by/water flowing underground
Into the blue again/after the money's gone
Once in a lifetime/water flowing underground...

...Same as it ever was...Same as it ever was...Same as it ever was...
Same as it ever was...Same as it ever was...Same as it ever was...
Same as it ever was...Same as it ever was...

Thu, 06/12/2014 - 15:53 | 4849893 Boris Alatovkrap
Boris Alatovkrap's picture

Live in shot gun shack in other part of world.

Thu, 06/12/2014 - 15:02 | 4849686 1C3-N1N3
1C3-N1N3's picture

Wonder what the new guy's price will be? We'll find out in due time.

Thu, 06/12/2014 - 15:06 | 4849708 cossack55
cossack55's picture

As a college professor he should be able to use fundamentals to determine a price, but then he is also an econ Phd.

Thu, 06/12/2014 - 15:15 | 4849742 kchrisc
kchrisc's picture

"econ Phd."

A Keynesian econ. Phd. I do believe.

 

"Same at it ever was."

Thu, 06/12/2014 - 15:34 | 4849814 GooseShtepping Moron
GooseShtepping Moron's picture
  • I just realized that "Ph. D." phoneticizes as "Fed." Not exactly a blistering revelation, nor does it mean anything unless you're superstitious (and I'm not). Just another one of history's interesting petit faits.
Thu, 06/12/2014 - 15:55 | 4849901 Boris Alatovkrap
Boris Alatovkrap's picture

Boris is not superstitious, but is fun to entertain with conspiracy theory now and then.

Thu, 06/12/2014 - 22:56 | 4851344 TheReplacement
TheReplacement's picture

Bo Bergdahl.  Barack Obama's dog Bo

Bo became Barrack Obama's dog on 4/14/2009.

Soon after learning his name was that of the WH mutt, Bo Bergdahl became despondent and deserted his post on 6/30/2009.

Conspiracy fact.

Thu, 06/12/2014 - 21:13 | 4851064 RiverRoad
RiverRoad's picture

He's a theologian and an ethics professor so let's wait and see; this should be interesting.

Thu, 06/12/2014 - 15:14 | 4849737 kchrisc
kchrisc's picture

Someone should create an eBay account in his name and list for-sale to the highest bidder his "loyalty, oath and soul."

"See if you can buy a guillotine as well."

Thu, 06/12/2014 - 15:02 | 4849689 Hohum
Hohum's picture

What is fundamentally flawed is the idea that infinite growth on a finite planet is possible.  The Fed is doing a good (?) job of redistributing the claims on finite wealth upwards.

Thu, 06/12/2014 - 15:21 | 4849764 Seer
Seer's picture

And Simon kind of gets it correct here: "That’s the funny thing about numbers– arithmetic cannot be influenced by emotion. It doesn’t feel optimistic or pessimistic. It’s just truth. And the truth is that this situation is far past the point of no return." BUT... seems that when it comes to "growth" all these folks then lose their math prowes (and we resort directly back to hoping for economic growth, just as TPTB want us to focus on).

Thu, 06/12/2014 - 16:37 | 4850053 SofaPapa
SofaPapa's picture

"What is fundamentally flawed is the idea that infinite growth on a finite planet is possible."

I have never heard any politician/academic/"thinker" suggest even the concept of sustainable steady-state economics.  I admit to knowing nothing about the subject myself (I am not an economist), but over and above all other issues lies this.  How do we manage the world not for growth (which is depletion by definition for the resources that go into our products), but for steady-state?  The lack of creativity embedded in our current philosophy is actually remarkable.  You'd think at least someone would have mentioned the idea.  That we haven't even heard this concept raised represents a major condemnation of our society.

Thu, 06/12/2014 - 16:17 | 4849979 juggalo1
juggalo1's picture

I never really agreed with the "capitalism / fiat money / interest on debt" requires infinite wealth.  Don't bother posting it again either.  I've read it over and over, and the lines between conclusion and assumption are always broken.

Thu, 06/12/2014 - 18:48 | 4850610 logicalman
logicalman's picture

Mathematical illiteracy is required not to understand this.

I'm looking at the down arrows and wondering.

Thu, 06/12/2014 - 15:03 | 4849690 corporatewhore
corporatewhore's picture

social security is NOT an entitlement program

Thu, 06/12/2014 - 15:08 | 4849718 McMolotov
McMolotov's picture

Does it become one once you take out more than you paid in? Because the first person to get Social Security paid $44 in Social Security taxes and collected $20,993 in benefits.

A Ponzi scheme by any other name would smell as foul.

Thu, 06/12/2014 - 15:11 | 4849725 Dr. Engali
Dr. Engali's picture

Exactly. The boomers are the last generation who will have the advantage of taking out more than they put in.

Thu, 06/12/2014 - 15:31 | 4849803 Harbanger
Harbanger's picture

Boomers are the Hippie generation.  I don't blame them for the failed utopian dream of the last 50 years but there is some responsibility to be had.

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