Connie Hair
Human Events
5/12/2010
If there’s one thing we’ve learned this year from the global financial crises: socialism doesn’t work. Big government borrowing, taxing and spending has failed on a massive scale.
Now we’re witnessing riots in the streets in Greece where people are being murdered by the unruly mobs because their big, fat government-paid pensions are threatened by the collapse of a bankrupt socialist system.
Governments throughout the European Union (EU) have borrowed and spent their way into bankruptcy on huge social welfare programs like government-run health care, for example.
As the great Margaret Thatcher once observed, “The problem with socialism is that eventually you run out of other people’s money.”
Europe hasn’t learned its lesson but why bother? Now they’ve got the American taxpayers on the hook.
The EU has launched a $1 trillion effort to protect the Euro with the assistance of the International Monetary Fund (IMF).
Rep. Mike Pence (R-Ind.), Chairman of the House Republican Conference is warning Main Street America that we are the largest contributor to the IMF at a whopping 17% and we will be held financially responsible should Greece default on these unsecured loans.
“On Sunday, May 9, the IMF formally approved $40 billion in loans to supplement the EU’s effort to keep Greece from defaulting on its debt,” Pence said. “As the IMF’s largest contributor, American taxpayers now bear the risk if Greece defaults on IMF loans. That is totally unacceptable.”
America’s portion of this first round of unsecured IMF loan guarantees is $6.5 billion based on the 17% model of participation.
Read the rest at Human Events.
