Monday, July 04, 2011

What must be done to solve the debt problem

I'm going to make this as plain and simple as possible so that anyone in Washington can understand.  If you want to solve the debt problem then this is what must happen:

1) Pass a Constitutional amendment mandating a balanced budget
2) Pass a Constitutional amendment that mandates Congressional oversight of the Fed, including regular audits, and guarantees the right of all citizens to a sound and stable currency based on tangible value

3) Re-establish the gold standard as the basis of value for the US dollar
4) Cut spending across the board - leave no federal program or cabinet department untouched
5) Pass a Constitutional amendment that protects the people from excessive taxation, guaranteeing that no citizen shall be deprived of more than 30% of their income in total goverment taxation.

Do these things and then Congress should move forward to raise the debt ceiling to solve whatever short-term problems may arise.  But, if these things aren't done then the vote must be no,  we must not raise the debt limit without properly controlling the government excess that brought us to this point. 

Any Congressman who fails to abide by this will likely face fierce opposition from Tea Party supporters.

And, to clear things up, there is nothing about the debt limit that is connected to our ability to pay off our loans.  The fear-mongerers will tell us that if we don't raise the debt limit we will default on our bond payments.


The US Treasury brings in more than enough money to pay our debts.  Yes, they'll have to divert from bloated government programs to pay the bill but they can pay it nonetheless.  If the US defaults it is by choice, and the lack of courage to cut when cuts are called for. 

The alternative is to raise the debt limit without introducing the above measures, and Washington will continue to operate unchecked - devaluing our currency, cheapening our labor, raising our cost of living, eroding our economy - all in the name of political gains and government handouts.  That would be disastrous and is unacceptable. 

So I'm hoping that our Congessional leaders show courage, show guts.  Hopefully these things will happen and the US can finally get on the road to recovery.  But, to be honest, I don't think I have that much faith in those people.  Except for a small handful, most of them are gutless and uninformed.  Most of them lack the courage to choose paper or plastic at the grocery store, much less make a meaningful decision for their constituents.

So my guess is that some deal will be struck, both sides will save face, the issue will be postponed to another day and no actual solution will be implemented, the issue will be kicked down the road for someone else (namely our children) to deal with....and America will continue to plummet into economic despair.

All because no one has the guts to do what must be done.

We need courage in the debt and deficit discussion

It's the 4th of July and no better day to talk about courage.  Recently, the Texas Legislature dodged an important political issue because they lacked the courage to address it.  Governor Perry asked them to take up the illegal federal airport pat-downs and vote on a bill that would ban such pat-downs in the State of Texas without proper cause.  There were some Senators and House members who did take up the cause and pledged their vote, but most of them fell short.  Even to the point where many House members simply refused to show up for a vote, thus guaranteeing no vote would be taken. 

The Justice Dept had threatened Texas with legal action if the bill passed, and instead of standing with the Constitutional rights of Texans, our legislature simply chose not to vote.  Is there a better example of cowardice in current political debate?

Well, maybe soon there will be.  Congress is discussing the debt ceiling.  President Obama and the Dems want to raise the debt ceiling and eliminate the tax break that corporations get for having private jets.  The GOP wants something closer to austerity measures before they agree to a new debt limit.   However, many Republicans have hinted that they would strike a deal to delay true substantive action until after the next election.  Cowards.

No one in Congress has the guts to do what must be done.  So, chances are, nothing will be done.  Imagine if this was the prevailing mindset in the pre-Revolutionary English colonies.  I doubt the 4th of July would have any meaning today.