Jul 22

For goodness sakes, it’s a debt limit, not a default…

It seems like every day I turn on the TV and some other talking head from Washington is talking about the impending “default” by not raising the debt ceiling.

To you and me, the debt ceiling is the credit limit on our credit cards.  Once we reach our limit, we have to stop borrowing – we can’t just go like the idiots in Washington and grant ourselves an increase and keep on borrowing.  But those politicians inside the Capitol and White House know what they’re doing, and know when to stop, right?

I don’t think so.  It’s not just the men and women who hold power today, but men and women who’ve served in those offices since World War II.  They see “Uncle Sam’s Credit Card” as their playground, appropriating money for pet projects.

Hitting the debt ceiling is not the end of the world, they know it, but they’re trying to drive fear mongering into the mix to keep those opposed to raising it at bay.

First, the Government has to cut spending from the current $3.5 Trillion a year to an estimated $2.2 Trillion.  That is what it brings in Tax Revenue.  Interest Payments obviously come first, just like making the minimum payment on your credit cards.

Next, Social Security, Medicaid and Medicare checks are paid – unlike what President Obama would have you believe – since they are separate trust funds, and should not be affected by the default.  This is true in spite of the fact that politicians have routinely borrowed from the trust funds, leaving it full of I.O.U.s

Third, the military payroll is distributed.  Stop paying them, and there’s a high probability they won’t be there when we need them.

Once the critical spending is dealt with, its time to keep the lights on, pay the utility bills, and other non-controllable expenses.

Fourth, pay essential workers – this would include Air Traffic Controllers, Federal Law Enforcement, (as much as I hate to say it) TSA agents, National Park Service employees. (Note, I didn’t say politicians and their staffs).

Then it’s time to figure out what to do with what’s left.  There’s a lot of non-essential items that have been earmarked funds that could stop right away.  Departments could go into reduced operations, stopping work in areas not deemed “mission-critical”.

By this time, most of the $184 Billion monthly income would be gone (if not depleted already).  With no more money, the political élite in D.C., can then argue over the mess they’ve created, while earning no money for their inaction since this Congress was seated in January.  This should also be their punishment for not producing a budget in over two years.

I think it’s time to cut up “Uncle Sam’s Credit Card”.  Then if the politicians can’t manage the people’s money, then they should be replaced.

Permanent link to this article: http://onthespotblog.com/for-goodness-sakes-its-a-debt-limit-not-a-default/

Bad Behavior has blocked 770 access attempts in the last 7 days.