Tuesday, July 05, 2011

Do Not Raise the Debt Ceiling

The American people -- those alive today and those that will be alive for the next hundred years -- have been failed by every US Presidency and Congress since WWI. For nearly 100 years, those elected to lead have felt that it is their "duty" to build a bigger, more consuming and controlling government -- by accident or by design. Up until 2001, it was more subtle. Since 9/11/01, politicians continue to fail us, party affiliation aside.

It is clear that the US tax code is designed by politicians to repay supporters and to buy votes within their states or districts. It is broke. There is no justifiable reason that Congress should increase taxes on individuals or businesses in order to help reduce the national debt.

America is broke, regardless of whether Congress raises the debt ceiling. They will raise the debt ceiling with nothing more than IOUs that cannot be honored. Raising the debt ceiling is perpetuating a governmental lie.

How can anyone believe what Geitner, Bernanke, Reed, and Obama say. They are financial and economical dolts, despite their resumes.

Obama has no intent to control the debt. His rhetoric is transparent. He, his party and most politicians cannot stop spending.

The sky is falling. It has already started. Raising the debt ceiling will postpone the inevitable. America is Greece, Portugal, Ireland, Spain all rolled together.

Obama, his cronies and supportive industrial media complex, are banking on class warfare to get the debt ceiling increased. Just like all multinational corporations are bad except those with boards that are Democratic-leaning, the tax loop-holes they will close for the rich (revenue boosters) are 100% targeted at Republican districts. This money will never be used to reduce the debt.

The debt is a 100% spending problem. I pray my congressional leaders stay focused on spending and do not vote for a revenue:spending bill.

America is broke, let's get on with doing the hard things and cut spending to match revenues. A balanced budget Amendment will never pass. Hence America is a fallen nation. Obama is the the figurehead. It continues to be "entertaining" to watch how he tries to deflect the blame.


Charles D said...

The debt ceiling is an artificial construct, and is not in the Constitution. In fact, the Constitution simply says the US will pay all its debts so a Constitutionalist would argue against paying any attention to the debt ceiling.

However, as with any family or business, the amount of debt is not the problem. The problem is the ratio of debt and debt service to current and projected income. If I owe $20,000 but am making only $8,000 a year I have a serious debt problem, but if I am making $200,000 a year it is no big deal. If I need to find more money to pay down my debt, I and the government have two methods to employ - cutting spending and increasing revenue. In the case of the federal government, it is clear that both are prudent at this point. The Republican position (shared by the corporate Democrats including Obama) is that we must not restore the tax rates on the wealthy to the levels in place when the economy was growing rapidly, and we must never cut military spending. That leaves them arguing that we must cut services to the increasing number of people who are suffering because of the economic slowdown, instead of incremental increases in the taxes of those who have benefited from the bubble economy.

Let's get serious and quit talking about phony debt ceilings. The first thing we need to do is cut military spending by at least 50% and bring ALL our troops home from foreign lands. Then we need to repeal the Bush and Reagan tax cuts on those making over $200,000/year. Those two things alone will get the government out of debt and provide enough money to stimulate economic growth.

Hayes said...

Well stated.