So – here’s the deal in a nutshell according to the Director of the Congressional Budget Office (currently run by Democrats as they control Congress).
“Under current law, the federal budget is on an unsustainable path, because federal debt will continue to grow much faster than the economy over the long run… As a result of those deficits, federal debt held by the public will soar from 41 percent of GDP at the end of fiscal year 2008 to 60 percent at the end of fiscal year 2010.”
–CBO Director, 16 July 2009 in testimony to Congress.
Pretty grim huh? And don’t pretend that our government will stop over-spending in 2010. As Obama and the Democrats have promised, our deficit will be in the trillions of dollars as far as it has been projected – certainly out to 2019 and beyond.
Why doesn’t Congress care?
Pretending enough tax revenue can be raised to pay for this is a fantasy. The CBO didn’t say the debt is growing faster than tax revenues – he said the debt’s “growing much faster than the economy,” e.g. faster than it can be paid off, not faster than we choose to pay it off with various tax increases.
(And as I posted here, China is funding our profligacy as well as the defense of the West with their loans to America; as resource competition grows in the 21st Century, China will cease doing so out of national interest. Then where will America be? Where will the West be? At the mercy of other nations. Why this doesn’t bother our president or our Congress is beyond thinking people.)
Now – some figure Congress cares and is working on it. Nope. Caring is binary – either you care enough to fix the problem – or you don’t care. It really is that simple. Caring as an emotional response alone, caring when you aren’t going to do anything about it is an exercise in self-gratification, no more.
So – why doesn’t Congress care?
Three major reasons:
- These are long-term issues and Congress only cares about the next election cycle – 2 years for the House and 6 years for the Senate. And of course the President cares only about a 5-year cycle from the first primary of his first term to the last primary of his last term.
- No one currently in public office will be around when these bills come due, so why worry when you can spend to get yourself elected now?
- Congress, and the primary financial donors to the Democrats, don’t use the entitlement programs taxpayers fund, so they don’t care if they are bankrupt. Anyone thinking Congress really gives a damn about fixing these entitlement programs – or who thinks Congress will ever fix them – needs to pay attention – they don’t, and they won’t.
- Congress doesn’t play in Social Security – they have a real pension they ensure is funded. They don’t care if Social Security gets fixed.
- The largest financial donors to the Democrats, the large Teacher Unions (AFT, UTLA, etc.), don’t participate in Social Security – they neither contribute nor withdraw. They, too, have a real pension plan. Fixing Social Security would take money from their priorities, so they fight against fixing Social Security. (You don’t really think that if fixing SS were a priority of the largest donors to Congressional Democrats it would NOT get fixed, do you?)
- The Trial Lawyers, second-largest donors to the Democrats, also don’t want it fixed as it’d take money from their priorities – and they don’t need Social Security because they are too busy taking advantage of stupid juries (educated by unionized teachers) that they have plenty for their retirement.
Add to this the fact that Democrats don’t have children (see Blue state demographics; all Blue states are in net population decline), and you have a recipe for a future bankruptcy about which the government doesn’t care a whit.
Think about that for a second: The government of the United States of America is on a path to bankruptcy… and the government of the United States of America doesn’t give a damn.
In fact, our very own Vice President yesterday told us the only way out is to spend MORE money.
A dumber man, truly, has never held office.
Think about the ramifications of those numbers. From 2008 to 2010 – 2 years, less than one-one-hundredth of our history as a nation, our budget deficit will go from 41% of GDP to 60% of GDP – and the $1.5T (minimum) cost of socialized healthcare isn’t even factored into the above.
In 1972 our debt was $450B, 11% of GDP. For that we had fought all our wars, rescued Europe and Japan from post-war poverty, made it through the Great Depression, settled a continent, invented the transistor, computer, commercial airline travel, space flight, medical vaccines, the MRI and robotic surgery, and put men on the moon. Since 1972, since the advent of Baby Boomers in office, our debt has gone from 11% to 40% now – $10.6T – and, according to the CBO, will rise to 60% of GDP in less than two years.
What will we have to show for this massive accumulation of debt? Failed social programs. Nothing more.
- Men on Mars? Nope.
- Fighting and winning a major war? Nope.
- Global peace and freedom for all humans? Nope.
- New revolutions in medicine, communications or computers? Nope.
We will have spent this money – money we don’t have, money our children and grandchildren won’t have – for nothing. We will have printed and thrown away trillions and trillions of dollars? Why? To elect politicians, primarily – but not solely – Democrat politicians.
This is insanity. It must be stopped.