FCC Broadband Plan Promises High-Speed Internet For 100 Million More Americans By 2015

I like the concept. I see two major problems:

1. Cost. When has the federal government ever done anything that was deficit neutral?

2. Management. Can you think of anyone worse to manage this than the federal government?

I'll betcha that "one-time" 9-billion jump start will triple before the ink on the legislation dries. I'm not anxious to pay for it from my taxes, thank you.

Well, a one time 9 billion dollar appropriation doesn't sound deficit neutral.

I'm also not sure why telecomm companies are supposed to fund this expansion -- unless they benefit from the change.

It's probably something that's worth doing, although I'm not at all certain about the priority.

And just a personal quibble. Any media member 'calling for something' is not the same as really doing anything, as far as I can tell. I whine about things that should be changed for hours every day -- nobody seems to think that makes me anything but crabby.

@KH, how did you know I was an ignorant Republican? Zoiks!

You're right about the Post Office which few people realize receives no taxpayer subsidies...thanks to President Nixon (Postal Reorganization Act of 1970). Despite all the jokes about the USPS, it runs profitably...because it receives no money from the federal government and runs like a private business, competing with FedEx and UPS.

The reason the federal government ran a budget surplus from 1998 to 2001 was because:

a.) the Republican Congress elected in 1994 (remember Speaker of the House Newt Gingrich and the Contract With America?) started balancing the budget and threatened to override President Clinton's threatened veto. President Clinton realized he wouldn't win the budget fights and reluctantly signed them, then later was credited--unbelievably--with balancing the budget.

b.) the economy was continuing it's longest-running boom which began with President Reagan's tax cuts and lower interest rates in the 80's. When the economy is doing well, tax revenues go up, reducing deficits. Here's a simple equation to remember: lower taxes = stronger economy = more prosperity for everyone = higher tax revenues.

The reason the economy is suffering now is because of the financial meltdown of 2008 which was a result of the housing bubble finally bursting. You may ask why we had a housing bubble in the first place. The 3 biggest reasons:

a.) In 1992, changes to the Community Reinvestment Act (CRA) required Fannie Mae and Freddie Mac to back loans made to people who couldn't afford them so they began taking on riskier loans. Later changes reduced oversight of these institutions. (President Clinton)

b.) Artificially low interest rates during the early 2000's in response to the Dot Com bubble burst and increasing deficits. (President Bush)

c.) The 1999 repeal of part of the Glass-Steagall of 1933 which was created to prevent the kind of banking situation which led to the Great Depression by separating investment banks from savings banks. (President Clinton signed it, but both Republican and Democrat Congressmen were complicit.)

In 2003, President Bush tried to tighten regulation of Fannie Mae and Freddie Mac but Senate Democrats rejected his plan as a "witch hunt." Senator Barney Frank infamously said they "are not facing any kind of financial crisis."

In 2004, Federal Reserve Chairman Alan Greenspan warned Congress that not increasing oversight of Fannie Mae and Freddie Mac was putting the entire nation at serious financial risk. They were over-leveraged, there were several accounting scandals, and they misreported their assets to falsely bump up their credit rating causing investors in mortgage-backed securities to overrate their value. Again Senate Democrats rejected his warning.

FYI, deficits were steadily decreasing under President Bush from a high in 2004 (a direct result of war spending starting in 2002).

The average deficit as a percentage of GDP by President:

Reagan (inherited a dismal economy): 4.225%
Clinton (inherited a strong economy): 0.76%
Bush (inherited a weak economy): 1.9%

If you credit 2009 (Obama's first year, 12% deficit spending) to Bush (though his only contribution was deficit war spending, which was going down), his deficit spending average is still only 3%, not too far from average.

Blame for deficit spending lies more with Congress, which formulates budgets, than with the President.

There's plenty of blame to go around for the current bad economy and deficits, but mindlessly blaming "Republicans" or "Bush" is completely inaccurate. In fact Republicans balanced the budget for the first time (1998) in 29 years (since 1969) and they remained that way for 4 years until a war broke out. No other Congress had 4 years of balanced budgets after 1930, when--guess who?-- the Democrats took control of Congress for virtually all of the next 60 years.

Oh, sorry, Bush also pushed for and signed TARP in 2008 which dramatically increased the deficit. Obama increased Bush's emergency increase even further in 2009.

Regan increased the deficite off of Star Wars and other exspensive cold war projects.

Bush off of the first Gulf War.

Clinton did not increase it because he failed on health care in his first two years, lost the congress, and then did not get to pass very much spending for the next 6 years. NAFTA was a mistake, though.

WBush second gulf war and afghanistan, as well as stimulus #1.

Obama on stilmulus #2-123124354345, afghanistan, etc.

The only time government works is when it isn't working. When bills don't get passed, money doesn't get spent, and we all end up better.

That said, I would love some high speed out here in the country. Cable company laughed at me, phone company said to S#@$ myself, and satalite said they would barely beat out my dial-up at the cost of my kidney, firstborn child, and "prima nocta" rights.

Hypocrisy means insincerity by virtue of pretending to have qualities or beliefs that you do not really have. I think what you meant was "cognitive dissonance" which means believing contradictory ideas. My point is that while neither political party is great, the Republican party has demonstrated more fiscal discipline than the Democrat party...though that's not saying much. I also wanted to correct the misperception that Democrats balanced the budget.

Hypocrisy means insincerity by virtue of pretending to have qualities or beliefs that you do not really have. I think what you meant was "cognitive dissonance" which means believing contradictory ideas. My point is that while neither political party is great, the Republican party has demonstrated more fiscal discipline than the Democrat party...though that's not saying much. I also wanted to correct the misperception that Democrats balanced the budget. http://www.tamders.com/ | http://www.mekanize.net/ | http://www.durust.net/ | http://www.aindir.com/

Investment in broadband for americans is a good thing, if they manage to follow through these promises. Internet and technology is absolutely the future and needs to be embraced and used to aid and enhance our lives, not the reverse. People get scared of change, but tech can boost our lives if we let it.
Bob
www.100-mortgage.com