It is important for all Americans to realize the facts of this newest urgency to raise the debt ceiling. The more we understand this important decision, the more we will understand the importance of cutting real spending before undertaking such a risky move.
In March, 2006, when the national debt hit $8.27 trillion, then-Sen. Barack Obama, D-IL called the national debt, “a sign of leadership failure,” and promised to vote against raising the debt ceiling. To no one’s surprise who has watched Obama and the incredulous hypocrisy he brings to the White House, the national debt today is $14 trillion – a 70 percent increase in just four years.
Obama’s 2010 budget deficit was $1.3 trillion and accounted for one-fourth of the nearly $4 trillion he and his Democratic Congress have added to the national debt in two years since he has been president.
His tactics have changed since he won the presidency. Actually a 180 change of screaming the sky is falling when he was a “rent-a-senator.” Now he sends his latest advisers to Capitol Hill that espouse the gloom and doom on the horizon without massive increases in the debt. His Treasury Secretary, Timothy Geithner warns, “catastrophic damage to the economy” if the debt ceiling isn’t raised.
What he is really trying to say (in code) is the need to toss their current plans, which projects the national debt to explode to $26 trillion by the end of the decade. This is fervently denied, but certain to happen with the spending spree unfolding under his watch.
Refusing to lift the debt ceiling will not be the end of civilization as we know it contrary to Democratic predictions. Congress did just that in 1995 insisting President Clinton agree to reduce federal outlays. It worked well until Republicans relented in March, 1996.
Where to start isn’t rocket science, as they say.
Start with ‘The Republican Study Committee Spending Reduction Act,’ which lays out $2.5 trillion in cuts to be implemented between now and 2021. The proposal immediately rescinds $125 billion in previously authorized spending, then on Oct. 1 reduces discretionary federal spending to 2006 levels and implements a hard freeze until 2023.
That one decision alone saves $2.3 trillion. Add that to a proposal to delay federal employe raises for five years and another $200 billion is saved, along with a 15% attrition rate, which very few Americans outside the bureaucracy will ever notice. That’s a certainty!
These proposals alone will not pull the fat out of the fire. No one on the Republican side has claimed that. But it is a start to what must be done sooner than later. This is a race against time and the idea that America can spend its way out of crisis belongs to the Ice Age.
If it doesn’t start now, we will chain our future generations to debt and despair that makes present day worries seem frivolous at best. Arguing otherwise is a blatant indicator that politics over country is the agenda. Re-election over solvency.
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