--French economist Frederic Bastiat (1801-1850)
"People unfit for freedom -- who cannot do much with it -- are hungry for power. The desire for freedom is an attribute of a 'have' type of self. It says: leave me alone and I shall grow, learn, and realize my capacities. The desire for power is basically an attribute of a 'have not' type of self."
--writer and philosopher Eric Hoffer (1902-1983)
"The world is weary of statesmen whom democracy has degraded into politicians."
--British Prime Minister Benjamin Disraeli (1804-1881)
From Investors Business Daily
You did the responsible thing. You saved in your IRA or 401(k) to support your retirement, when you could have spent that money on another vacation, or an upscale car, or fancier clothes and jewelry. But now Washington is developing plans for your retirement savings.
BusinessWeek reports that the Treasury and Labor departments are asking for public comment on "the conversion of 401(k) savings and Individual Retirement Accounts into annuities or other steady payment streams."
In plain English, the idea is for the government to take your retirement savings in return for a promise to pay you some monthly benefit in your retirement years.
They will tell you that you are "investing" your money in U.S. Treasury bonds. But they will use your money immediately to pay for their unprecedented trillion-dollar budget deficits, leaving nothing to back up their political promises, just as they have raided the Social Security trust funds.
This "conversion" may start out as an optional choice, though you are already free to buy Treasury bonds whenever you want. But as Karl Denninger of the Market Ticker Web site reports: "'Choices' have a funny way of turning into mandates, and this looks to me like a raw admission that Treasury knows it will not be able to sell its debt in the open market — so they will effectively tax you by forcing your 'retirement' money to buy them."