Autralia's Proven Gov. AAA Upgrade : It Works!

Here is a guide that we can follow to secure prosperity for the future. All we have to do is follow what the Australians have proven works. It's a ready made formula for success. What's really sad is we knew this all along but weren't motivated enough to do anything until a crisis is forcing the issue.

Paul Ryan's budget was a great start but it was rejected as being unacceptable to the progressive Democrats as it would start to release the population from the grips of government control over the all things domestic. The progressive must have control everything though big government programs that restricts the freedom of the population to determined it's own destiny. Without this control, the entire agenda of the progressive will be lost.

The fact that the population of Australia is so small, compared to America's, they have a much better chance of making changes to their government's operation to serve the needs of the people without destroying their personal freedoms and propensity to succeed.

The rise of the Tea Party is good news for our country. It's a sign we recognize the problem and we are starting to do something about it. Give this some thought next November when you go to vote. It's a chance to start America back to prosperity by voting out the progressives or continue our slide into third world status.


How Australia Got Its Triple-A Credit Rating Back
Source: "How Australia Got Its Triple-A Credit Rating Back," USA Today, August 31, 2011.

Australia lost its AAA credit rating in 1986, suffered a further downgrade in 1989, and then got back to triple-A in 2003. The story of how Australia got its fiscal groove back explains why it has fared so much better in recent years than other major industrialized nations, says USA Today.

In 1986, it had been running deficits for decades. Many of its industries were heavily regulated.
And the same natural resources companies that are booming now were in the doldrums.
The downgrades came as a shock and had a transformative impact on the entire political landscape. The government immediately began offering much more austere budgets.
The country later adopted a measure called the Charter of Budget Honesty, which requires government leaders to go before Parliament to explain what went wrong if their budget projections fall short.

The law has no automatic trigger mechanism to force cuts if goals are not met, but the potential for a public shaming has been enough to keep government leaders from overpromising.

Australia has shifted most current workers out of a state-run pension plan like Social Security and into a compulsory 401(k)-type savings plan. It also, quite fortuitously, steered clear of the types of housing policies prevalent in the United States, where the federal government subsidizes mortgage debt with generous tax breaks and exposes taxpayers to risk through Fannie Mae and Freddie Mac.

As a result of these and other policies, Australia's accumulated government debt is less than a quarter of its annual total economic output, and it's projected to shrink. In fact, it has one of the lowest debt-to-gross domestic product ratios in the industrialized world. By contrast, the United States' national debt, including obligations to Social Security, topped 100 percent of economic output this month and is forecast to grow.