Interest. Or to be more precise, interest payments. That, Heritage Senior Fellow J.D. Foster explains, is the biggest reason why Americans should be very concerned with the trillions of dollars in debt our federal government is piling up in Washington. Watch:
And the situation is only going to get worse under President Barack Obama’s budget. Heritage Foundation fellow Brian Riedl reports:
Federal spending (which has remained around 20 percent of economy since the 1950s) would surpass 28 percent of economy by 2019. Federal spending per household would rise from $25,000 per household in 2008 to more than $37,000 per household by 2019.
This spending would drive a permanent, unprecedented increase in the national debt. After borrowing just under $6 trillion from 1789 through 2008 (plus nearly $2 trillion in 2009), Washington would borrow $13 trillion over the next decade–nearly $100,000 for every household. By 2019, annual budget deficits would approach $2 trillion and push the public debt to nearly 100 percent of the economy. Merely paying the interest on this debt would soon cost taxpayers $1 trillion annually, and spending and deficits would continue to rise.
For more charts see Heritage’s National Debt Charts Facebook photo album.
Spending is now so reckless the only way you can defend it is to say its purposeful so as to bankrupt America.
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Before we would allow ANYONE to "bankrupt America" financially, we must first have bought into the groundwork-lies of liberals which infiltrated our churches, the school systems and the media which infiltrated every American home; effectively "bankrupting America morally".
No taxes should be put on the people before government sacrifices! Imagine, without government perks and amenities and a reduction of pay to make more adequate, how more efficient this country would run.
The economy will move forward, when government is removed everywhere it's unconstitutional.
Paul Rinderle, you hit the nail on the head; it is purposeful. The Cloward-Piven Strategy in action as it has been by the left in the US for decades. This is just the latest version.
http://www.americanthinker.com/2008/09/barack_oba…
Dave Ramsey for Secretary of the Treasury!
Clark Howard for Comptroller of the Currency!
Not sure it's purposeful. The D (and many R's) strategy is to give people "stuff" for their vote. That strategy only contemplates 2 year election cycles. They're caught up in a death spiral now and there's no way out.
As sad as this picture is to freedom-loving people, it doesn't even address the looming SS, Medicare & Medicaid obligations and debt being imposed on current and future workers. (The proposed health care bill already has a hike in the Medicare tax.) How would this chart look with those programs in the mix?
I believe candidates in the next few election cycles must also address these programs.
I propose a SS opt-out program for workers under 45, or eliminate it entirely, while supplementing the plans of those older than 45 with general revenue, royalties from increased federal oil & gas production, etc.
Slowly increase Medicare-recipient's share of costs until it becomes self-sufficient or until private plans look more attractive.
Slowly transfer Medicaid costs back to the states for their experimentation.
I know…easier said than done, but it must at least be said.
I don't think there will be enough wealth in the world to cover the spending of this evil administration if we do not stop it now. The election year has begun it may not be as hard as we think to stop it now. Those up for re-election must make public appearances. All that is needed is a replay of the town hall meetings every time they show themselves in public. You don't have to say a word just hold up signs for them to read.
If Obama can suceed in bankrupting America, it would create chaos and anarchy, reason to declare martial law and install a marxist government.
Not only must the reckless spending stop, a new Congress must strive to undo much of what has been done by this Congress. Unspent TARP and Stimulus money needs to be used to pay down the national debt. Taxes on businesses and on capital gains must be lowered, not increased, in order to stimulate job growth.
There must be no new social welfare programs established and/or funded until the national debt is brought down to 2007 levels. There needs to be a Constitutional amendment passed limiting government spending to budgeted amounts, except in time of war which is declared by both Houses of Congress. We also need to set term limits for members of Congress; no more than three terms in the House and no more than two terms in the Senate for any individual. A seat in the Senate or the House of Representatives should not be a career position. Salaries and insurance benefits should be provided for these positions, but not pensions. Representatives and Senators should be covered under Social Security and Medicare, just like the rest of us. If they were, I guarantee both systems would be fixed in short order.
You don't need a high I.Q> nor a PHD., to know that if your debt exceeds your income, no one, no business, no nation, will sell, lend, or buy anything connected to you.
Just look at Ford. They've had a great yar! People trust a company that did not take handouts, that stood its own ground and made it on its own. Meanwhile, no one is buying GM or Chrysler products, because they don't know if the companies will be around long enouph to honor their warrenties, also that every time they see an advertisement, its our Tax dollars, and if a Citizen were to buy one its like paying your own money, for your own money!
Credit given to Obama for bailing out the top two or three largest Banks, doesn't mean anything either, even done twice! Check back in our own History and find that J.P. Morgan did the same thing, Twice, to forstall the Great Depression, but said 'No' to the third time, because it was inevitable, the system had to fail to rebuild.
I was stunned by the national debt that Obama has put america into! With the Iraq war costing only $709 billion instead of the $3 trillion price tag that the Democrats lied about, this $2.3 trillion dollar mistake changes the whole outlook of our debt picture. Obama not Bush, will have double our national debt in approx. 2 years. Yes, I have confirmed these figures as reported by the CBO and other government agencies aswell!…unbelievable…