Dennis Tubbergen takes a closer look at how the U.S. government can spend money on things we might question.

Grand Rapids, MI -- (SBWire) --06/10/2011 --As a financial advisor, advisor to financial advisors, author and radio talk show host, Dennis Tubbergen frequently gives updates on where the U.S. and global economies are headed.

One of Tubbergen’s recent blogs contained excerpts taken from his recently-finished book, Economic Consequences.

“It’s no secret that the United States government spends money on some dumb stuff,” admits Tubbergen. “And not just a little money: it spends excessive amounts. This excessive spending is possible because our money isn’t tied to an asset such as gold.”

According to Tubbergen, the gold standard demands fiscal accountability, and when there is no accountability, he believes that both dumb spending and unnecessary regulations increase because regulation requires resources.

“As the government has continued to spend massive amounts of inflated money on seemingly ridiculous items, government regulation has continued to expand, making it more difficult for those in our country who create jobs, expand the economy, and increase the tax base.”

Tubbergen states that much of this regulation, which was designed to be beneficial, has not only become excessively burdensome for American citizens but has also rendered unintended consequences.

“Our stated desired outcome as a nation is far from what we’re getting, given our actions,” claims Tubbergen. “If we want a vibrant, growing economy and high employment we need to take actions that are congruent with that desired outcome. If we want the citizenry to be patriotic and proud of the country in which they live, we need to do things to make them patriotic and proud. From where I sit, we’re failing miserably on both fronts.”

Tubbergen thinks the more that government gets involved in the personal lives of Americans, the less likely we are to achieve the desired outcomes.

“I believe that there is evidence that suggests that when government does get involved in people’s lives at a high level, that the stated outcome becomes less likely to occur,” cites Tubbergen. “In fact, the more that the population becomes dependent on the government, it is less likely that the general population will be informed as to what the government is actually doing and what the potential outcomes might be.”

Tubbergen does not believe this is fundamentally a Democrat or Republic problem.

“Both parties are largely responsible for the mess that we’re in,” laments Tubbergen. “Contrary to what many in each party will tell you, the policies of each party are not all that different anymore.”

Tubbergen points out that President Obama continued a war in Iraq begun by his predecessor, escalated a war in Afghanistan, and began a military attack in Libya. President Bush passed one of the largest social programs in our nation’s history – Medicare Part D – when deficits were rising. President Obama added to the fiscal problem by passing National Healthcare Reform.

“The arguments of many of those on both sides of the political aisle ring hollow to me, while the few straight-talking politicians on either side of the aisle are both refreshing and, unfortunately, outnumbered,” states Tubbergen. “As I’ve already said, recent cuts of $38.5 billion dollars from the budget while the federal deficit is $1.65 trillion are a joke – nothing more than political posturing.”

Adding that while some Democrats say that cutting programs too quickly will cause pain and some Republicans say that President Obama has escalated spending far faster than President Bush, in Tubbergen’s opinion, both sides are right.

“Trying to do the right thing fiscally is painful, even though I believe we may be in far too deep to ever fix our current fiscal problems,” concludes Tubbergen. “And President Bush’s record deficits at the time have been greatly exceeded by President Obama’s, but both arguments are moot. We’re on an economic train headed for a cliff and most in the two parties are oblivious and are simply debating how quickly we will reach the inevitable economic crash.”

Dennis Tubbergen has been in the financial industry for over 25 years and has his corporate offices in the USA Wealth Management Building in downtown Grand Rapids, Michigan. Tubbergen is CEO of USA Wealth Management, LLC and has an online blog that can be viewed at http://www.dennistubbergen.com. His weekly talk show The Everything Financial Radio Show is simulcast on two Michigan metro stations and also airs to over 600,000 financial advisors, with recent podcasts available at http://www.everythingfinancialradio.com.

The opinions expressed herein are those of the writer and not necessarily those of USA Wealth Management, LLC. This update may contain forward-looking statements, including, but not limited to, statements as to future events that involve various risks and uncertainties. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause actual events or results to differ materially from those that were forecasted. Therefore, no forecast should be construed as a guarantee. Prior to making any investment decision, individuals should consult a professional to determine the risks, costs, benefits and fees associated with a particular investment. Information obtained from third party resources is believed to be reliable but the accuracy cannot be guaranteed.