Diary

Lessons from History

When debating someone on the pros and cons of either the stimulus or the Health Care bills, here is some important information to remember.

A brief history of big government programs:

1913: The income tax is made possible via Constitutional amendment. Critics protest that there is no top rate set, warning that the top rate might rise to as much as ten percent. They are assured that no such thing will ever happen.

1936: A Social Security Administration explanation of the programs says : “And finally, beginning in 1949, 12 years from now, you and your employer will each pay 3 cents on each dollar you earn, up to $3,000 a year. That is the most you will ever pay.”

1962: AFDC is expanded to “fight poverty” Democrats argue that the numbers are very small and increasing payments will help families get out of poverty. Critics say it will lead to dependency. Before welfare reform you had 15 million recipients and were entering the fourth generation of dependency.

1964 – Critics of the Civil Rights Act charge that it will result in quotas. Hubert Humphrey responds “I‘ll eat my hat if this leads to racial quotas.”

1966 – Critics claim Medicare will be too expensive. The Democratic-dominated “House Ways and Means Committee estimated that Medicare would cost only about $12 billion by 1990 (a figure that included an allowance for inflation). This was supposedly a ‘conservative’ estimate. But in 1990 Medicare actually cost $107 billion.”

2003 – Medicare Part D, drug plan is estimated to cost “only” $340 billion over ten years. Only a few years later and the cost is $540 billion and rapidly rising.

Hat tip to Billy Hollis