[ExI] AI, deficit spending, Civil War, trivialities, and madness

[John Clark]

On Wed, Nov 19, 2025 at 9:21 AM <spike at rainier66.com> wrote:


>
>> *>>… it's also clear that soon millions of Americans are not only going
>> to lose their jobs, they're going to lose any ability that they previously
>> had to make money.  And Spike, you're still worried about trivialities like
>> the budget deficit….*
>
>
>
> *> John, you fail to see the logical contradiction in those two comments.*
>

*You're right, I don't see a logical connection between those two
comments.  *

*> The US federal revenue is based on income tax.*


*It is now, but things can change.  *

*> If millions of Americans lose their jobs and ability to make money, the
> federal revenue declines.*


*Only if the president is an idiot. If because of AI advancement millions
of Americans lose the ability to make money, the US economy would be larger
and stronger than ever. Currently about 49% of government income comes from
individual income tax, 35% from Social Security/Medicare payroll tax,
but only 11% from corporate tax. The remaining Government income comes from
tax placed on gasoline, alcohol and tobacco which is also paid for by
individuals. Less than 1% of government income comes from Inheritance Tax,
and that's why well into the 21st-century the US still has a hereditary
aristocracy instead of one based on merit. *

*If millions of deaths from starvation and a Civil War are to be avoided,
that tax structure is going to need to be changed, and it needs to change
quickly. For the first time the AI singularity is now clearly visible on
the horizon, so there's just no time to bicker over silly trivialities.  *

*> Of course the budget deficit is no triviality, it is of increasing
> concern.*
>

*With the AI singularity nearly upon us the budget deficit is so trivial
an issue it would be funny if it wasn't a matter of life or death.  *

*>> …Those millions of Americans are not going to quietly starve to death,
>> so if Civil War is to be avoided the nation's economic safety net is going
>> to need to be radically extended and it needs to be done quickly….*
>
>
> *>That safety net must be held by states.*


*Why? Thanks to Republican hyper-partisanism most state legislatures are
even more dysfunctional than the US Congress, and that's saying a lot!
Without Franklin Roosevelt's nationwide intervention with "radical" things
like Social Security and unemployment insurance I believe a Civil War would
have started in the 1930s. During that time the extreme left-wing American
Communist Party was very strong and had never been stronger, and the same
thing could be said about the extreme right wing American Nazi Party. *

*And there's another thing to bear in mind, it's not just for other people,
you personally might be the beneficiary of that nationwide economic safety
net, it might save your life, or mine; in fact it probably will.   *


> *> Have we learned nothing from the recently-ended record length US govt
> shutdown? *
>

*We've learned two things: *
*1) The Democrats have no guts. *
*2) The Republicans have no kindness. *

*John K Clark*



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