February 20, 2010

The Irony

Isn't it funny how the socialists never see the hard truths of reality right before them? Looking to Greece and the situation it finds itself in, I am reminded of why European styled socialism will never happen in North America south of Canada. Certainly not with the current demographic trend brought to us by our friends on the left. Mexican immigrants just are not going to play reciprocal European welfare state. Not gonna happen.

I do not say that as a "racist" statement or a derogatory statement. Living in a border state, I understand the hard working nature of most first generation Mexican Americans. Nor do I begrudge black markets, they are born of necessity. It is just a cultural and sociological observation.

Greece is in trouble because of over spending. Their level of spending is atrocious. They have a progressive tax system topping out at about 40 percent of income over about 75,000 dollars a year and they have the dreaded VAT tax at 19 percent. Over 50% of their GDP is from government spending.

The reason why Greece is in trouble (and Italy, and Spain) is that the southern European nations have a long history of shiftless sorts grifting off the public troff while dodging and cheating on their taxes. In Greece, 30%-40% of their economy is “underground.”

Greece has defaulted on their public debts for 105 years out of the last 200. This isn’t a new problem. It is a long-standing cultural one. It is a culture of tax avoidance and government employees.

Are you seeing the similarities to California yet?
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