Some more insights from Rep. Ralph Norman about the debt problem that America has. We must stop this asinine spending beyond our means. If we don’t, the economy will collapse at some point. And that point is not just on the horizon. It is a lot closer than that.
Over the last fiscal year, your federal government BORROWED over $53,000 every second. Just think about that. We cannot possibly tax enough to cover all the spending coming out of Washington, so every second of every day, we’re borrowing more than $53,000 to make up the difference.
And yet Democrats are still telling me we don’t have a spending problem.
Our total borrowing last fiscal year is still being added up, but is probably going to land north of $1.7 trillion. And our total national debt – the number that’s growing by $53,000 per second – is almost $34 trillion.
Let’ that sink in. America is adding $53,000 to our national debt per second! That is insanity plain and simple.
A little over 20 years ago, the national debt was at $4 trillion. Then, during the Bush administration, continuing resolutions (CR) became the order of the day. Essentially this was providing a blank check to the government to spend without having to find a funding source. It has been more than 15 years since regular order appropriations bills were passed in Congress.
Our debt is the direct result of this irresponsible approach to government financing.
The CRs allowed Congressional members (House and Senate) to deflect concerns about items being hustled through this process. The infamous (“We have to pass the bill to see what’s in it”) became the mantra for escaping accountability with the voters.
The Federal Reserve aided and abetted this ridiculous approach to deficit financing by lowering the cost of such borrowing to just above zero. This did not reflect a true cost of money.
Now that the Fed is allowing interest rates to float toward their true levels, our interest cost on this debt has exceeded $1 trillion dollars per year this year. Significant spending cuts are a must or our economy will collapse.
Norman goes on:
And yet I’m treated like a piranha by Democrat colleagues and the media for promoting safe spending reductions.
You probably saw the news several days ago. Moody’s slashed its credit outlook on the U.S. government from “stable” down to “negative.” This is another blow to our financial situation, as the experts at Moody’s are looking at the stupidity of our government and finally deciding we cannot afford all this debt we’re taking on.
No kidding. You might wonder why Moody’s was so slow to realize the obvious. Fitch Ratings already downgraded the U.S. government over the summer, while Standard & Poor’s was sounding the alarm bells back in 2011.
The one fatal flaw in the U.S. Constitution might just be its failure to require a balanced budget (except during times of declared war). The overwhelming majority of those who have been elected to Congress, including Republicans, have no desire to address this crisis. And no desire to initiate a balanced budget amendment to the Constitution.
I understand the concerns about a Convention of States; I’ve heard them all. But we’re looking at the very real possibility of a financial collapse unless we can reduce spending and balance the budget. All that before we even think about paying down this mountain of debt.
If there’s one thing that’s clear to me after serving in Washington for a few years, it’s that Congress is not going to do this on our own; we must be forced. That’s why a Convention of States to start pushing through a balanced budget amendment may be our only hope.
Thank you, Ralph Norman for standing up for everyday Americans.