Beware Republicans in Greek clothing

If you can’t be a good example, at least be a horrible warning.

Liberals have a terrible understanding of economics. They love to repeat the same mistakes over and over again. While conservatives rail against liberals and their lack of comprehension of economics, there is little consolation in the policies of the allegedly conservative Republican Party.In less than a month, before John Boehner leaves his job as Speaker of the House of Representatives, Congress must once again consider raising the debt ceiling. The debt ceiling is the limitation on the amount of money the government can borrow.

The debt ceiling is currently $18.1 trillion. In 2013, the debt ceiling was raised to the current level and Barack Obama is determined to burden America with more debt before he leaves office. He has announced he will not negotiate on the debt ceiling. Either the debt ceiling must be raised by a couple of trillion dollars or he will presumably shut the government down.

While politicians of both parties borrow money like drunken Democrats, with little thought as to how the debt will eventually be repaid, all sensible people have to do is look at Greece to see the future.

Greece has borrowed so much money that it cannot repay the money. So what is Greece doing? Greek authorities are cannibalizing the parts of the economy that still generate revenue to try and pay for the debt.

One of the few bright spots in the Greek economy is the shipping industry. Because of favorable labor and tax laws, the Greek shipping industry is the largest in the world. Approximately 4,208 ships around the world fly the Greek flag. Only 1,056 merchant ships fly the American flag. The shipping industry generates about $20 billion for the Greek economy, and the industry represents 7 percent of Greek economic output and employs more than 250,000 Greeks.

So what do left wing Greek politicians want to do? They want to raise taxes on the shipping industry.

Greek shippers are now openly discussing relocating their business and their ships to other nations. Left wing politicians are in shock. Granted, shipping owners don’t have much choice. The European Union is dictating the terms of the latest Greek bailout which requires the Greeks to raise taxes and cut spending.

Greek shippers are responding in true free market fashion. Greek shippers are looking at their options ranging from nearby Crete to Canada to even Dubai. If the Greek economy was a disaster before this, it will be much worse when the shipping sector moves away to a more favorable harbor. The Greeks could not borrow their way into prosperity and they will never be able to tax their way into prosperity or out of their debt problems.

American politicians should pay attention. Barack Obama and the Democrats want to wreck our economy. That is the only way they can fundamentally transform America from a constitutional republic with a free market into a socialist nightmare.

Real Americans need to stand up or in 10 years, America will look like Greece. America’s debt now exceeds America’s gross domestic product, or the total of all goods and services produced in the nation. America can afford to borrow for the moment because of unnaturally low interest rates. At some point, interest rates will rise. At some point, America’s creditors will start viewing America with the same trepidation they view Greece.

Then, the cost of America’s debt will rise to the point where America’s economy will finally break.

We will be Greece, unless real Americans stand up now and tell Congress no more borrowing.