The nation is experiencing several seemingly unrelated economic troubles. But these troubles actually have only five basic causes, with one underlying cause.

Within the first years of the third millennium, the economy of the United States went into a slowdown that increasingly worsened. The following troubles were evident:


According to economic analysis, the following five causes are responsible:

  1. Homeland Security - While the 9-11 attacks themselves did not harm the economy much, the government overreaction to the attacks did much damage.
  2. Government Reactions to the 9-11 Downturn - Most governments did exactly the wrong thing to do, in response to their losses of revenue caused by the 9-11 downturn, and again as the recession hot:
  3. Unscrupulous Lenders - Strapped by the higher taxes, unscrupulous lenders made variable interest loans with initially low interest rates to unsuspecting homeowners:
  4. Disasters soak up the economy and raise prices - The following disasters caused prices to rise and the economy to further falter:
  5. Foreign governments act to damage our economy. - Many foreign government are not our friends, and acted to undermine our economy:


There is a common element in this economic tragedy - Government:

  1. Government overreactions to the 9-11 attacks damaged many businesses, by overregulating them.
  2. Governments caused the economy to falter after the 9-11 attacks, by raising taxes to protect their own depleted coffers at the expense of the American people.
  3. Government policies allowing landlords to buy up huge amounts of land cause housing prices to soar.
  4. Government failed to recognize the variable-rate mortgage scam perpetrated by unscrupulous lenders, because the extra loans raised more tax revenue.
  5. Government made the natural disasters worse, by not letting people rescue their properties.
  6. Governments with too much power cause problems in other countries.
  7. Greedy governments raised taxes multiple times during the downturn and recession. This will keep the economy in recession until those governments repent of their greedy ways and cut their high taxes.


The following are the only possible remedies to these problems:

  1. The powers of all governments must be reduced. The people must demand such reductions in power.
  2. Taxes must be constitutionally limited to a maximum of ten percent of any person's income, and so that no person considered to be in poverty shall be taxed.
  3. Since all business taxes are paid by wage earners, businesses shall not be taxed.
  4. Governments must not overreact to events. The people must not demand such overreactions.
  5. Governments must not put themselves ahead of the people they serve.
  6. People must stop worshiping government.
  7. Landlords must not be allowed to buy up huge amounts of land. Each landlord should be required to live in the building he leases out.
  8. Government must examine the effects of new financial products for fraud and economic effects.
  9. Government must not keep people from accessing their own properties after disasters.
  10. Governments must not be allowed to try to control the governments of other countries.
  11. The Keynesian model of the economy must be banned. It has never worked - not even once.
  12. Government must be last, not first.

Reduce the power of government!

Stupid Government Tricks