The US State machine has been powerful for a long time, starting in earnest to become a superpower at the turn of the 20th century. Now the State is under attack from a faction of the public, from States who would love to see us fail, and from reality. As the State flails about, it relies on interventionist/coercive government to repel the threats, thus Obama arrogantly said today that America is a triple A State regardless of what S&P says. It's defiance.
Too much is invested in the State machine for it to weakly decline into irrelevance, and the whole liberal/progressive movement on the Left depends on a very strong State -- so does the Big Government, Republican establishment. Media giants of the past are floundering, and judging from Newsweek's front-cover photo of Michelle Bachmann, they've run out of ideas -- all they have left are adolescent pranks and talking points.
The 21st century is log-jammed by government intervention in the economy and the slog of mideast wars, yet we have a nation of productive people ready to expand the economy and compete in the global market, although many are poorly prepared due to the failure of public education and welfare policies. It's evident at the State level no one is ready to give up control, and the representatives the people sent to Washington in the midterm elections to break up Washington political business as usual are under attack from all components of the State machine.
Our government has set up a system that has made trillions of dollars of entitlement promises on which they can't possibly deliver, yet there's no will to admit to the American people that entitlements were a terrible mistake and have to be reformed or transformed. Although some politicians have admitted that the entitlement situation is untenable, they say that a fews tweaks will fix the problems. But with HCR coming on line, it will require much more than tweaks to avoid a future of nation-crushing debt.
American businesses are afraid to invest in such a risky economy, yet many of these businesses, especially large corporations, are dependent on a powerful State, and they have partnered with government to prevent a free market. In essence, companies like GE and Goldman Sachs are parts of the State machine, as newer companies like Google jump on board. Unions and minorities play a supportive role in maintaining the State machine, yet they're losing ground in this economy. Each of these parts of the State machine blame the Republicans, especially the limited government representatives, but the State has not been rolled back, so blaming supporters of limited government makes no sense. There are not enough limited government representives to stop the establishment in our two party, statist system.
What the component parts the State machine are experiencing is statist decline, a failing system they've built and supported. This blindness to systemic failure is blocking the nation from going forward. Just as in Greece, Italy, Ireland, Spain and Portugal, America is in statist decline, and if we don't do something soon, half the world is going to be in the biggest financial collpase the world has ever witnessed. It doesn't have to be this way.