The Debt Crisis

With August 2nd rapidly approaching, I wanted to share my thoughts on the looming government "default" if Congress doesn't raise the debt ceiling.

First off, what is the "debt ceiling"?  It is what dictates how much the U.S. government can borrow, or how much debt they can carry. That being said, let me state clearly that the only way that the government will default on it's debts is if the President chooses to do so.  For President Obama to come out and say that he could not guarantee that Social Security checks would go out after August 2 is complete bull.  He can use the revenue the government gets every month to pay whichever bills he sees fit.  The U.S. government brings in enough money every month to pay the interest on our debt, pay Social Security, pay our military, and a few other obligations.  Will we be able to pay all of our bills?  No.  But Obama is the one who makes the call of what is and is not to be paid.  The responsibility and any blame for what is not paid is solely his.  Think about it this way, if you bring in $1,000 a month and you have bills totaling $2,000, you aren't going to be able to pay certain things.  So what do you pay?  It's up to you and your priorities to make that decision.  Will everyone be happy?  Of course not, but you have to do what is best for you and your family.

What really bothers me about this "increasing the debt ceiling" thing is the thought that the government can choose to increase how much money they can borrow.  That's like calling the bank when you've maxed out your credit card and saying, "Hi. I'm going to go ahead and raise my credit limit by $2,000 because there's some stuff I really want to buy.  Ok, thanks."  Simplistic?  Perhaps, but the idea is the same.

Now, whether you are for or against increasing the debt limit is irrelevant and here's where this discussion gets very interesting.  During the George W. Bush administration, President Bush wanted to increase the debt limit to expand the war in the Middle East, among other "projects".  The Congress, controlled by Democrats at the time, was opposed to this.  The most vocal critics?, former Speaker of the House Nancy Pelosi, who said any government projects should be "fully funded." In other words, can't spend money you don't have.  Sound familiar?  It should.  The Republicans are saying it now.  The other vocal critic of raising the debt ceiling back then?  A certain junior Senator from Illinois, Barack Hussein Obama.  That's right, they were AGAINST it before they were FOR it.  So what changed?  Brace yourself, cuz here it is.....there is a Democrat in the White House where before there was a Republican.  That is the only reason that the parties have pulled a complete 180 on their view of the debt ceiling.  Really, what else has changed?  Ok, Obama has spent trillions of dollars we don't have on stimulus and bailout programs that didn't work and a healthcare plan that was passed after several backroom deals and false promises both to politicians and the American people.  But it's not all Obama's fault. And no it's not all George W. Bush's fault either.  Debt spending has been going on for decades but now its gotten to a point of critical mass.

So what is to be done? Cut spending?  Increase revenue (ie taxes)?  A combination of both?  I contend that the first option is the best one for the health and financial stability of this nation.  Raising taxes will only result in the wealthiest people, who are already the Democrats' primary targets, finding ways to reroute their money so it looks like they make less than they do. Face it, they don't have all those accountants for nothing.  So when taxing the rich doesn't get them the money they want, where will they go to get?  To you and me, that's where.  I don't know about you, but times are tight enough for me and my family as it is without having to give more to the government.  Raising taxes will only worsen this country's economic situation.  Look at Europe, they're starting to learn this lesson the hard way.

I guess the bottom line of this entry is this.  I don't trust anyone who considers themselves a "career politician."  When you've been in office for so long, you forget who put you there and why.  You are only concerned with one thing, getting reelected.  You will do whatever you have to do to keep your position.  Your morals and convictions go right out the window.  I am a very firm believer in term limits for all levels of government as a deterrent for this kind of corruption.  But that's a discussion for another time.

If you like what I have to say, please tell your friends about this blog.  It is the best way I can think of to reach  as many people as I can so together we can save this great nation.  Thanks for reading and God Bless the Republic.