The eye-popping excess spending/annual budget deficits and US public debt are staggering. That is bad enough but the politicians in Washington continue to double down on stupid (more).
This is how bad is it?:
- $1.5 trillion deficit for fiscal year 2023. Yes, that is only for one year and it will increase for FY 2024
- Federal Debt has ballooned since 2008, growing in turbo mode since the pandemic in 2020. Now greater than $33 trillion.
Action Item: Look up and contact your US legislator. This has to stop, for our kids and grandkids sake.
We have to be better voters. For decades the politicians in Washington have been making a farce out of the budget process. They are supposed to create and vote on 12 separate budgets per the Congressional Budget Act of 1974. They knew/know this, but play the same game annually.
The continuing spending resolutions (CSRs) that they have passed over and over again are filled with all the pork-belly fat that these political pigs at the trough love. It helps keep them in office/power. Enough! What we are doing to our kids and grandkids is criminal (we have ourselves to blame, we vote these people in again and again). We need to be the adults in the room and demand fiscal responsibility from our legislators/government..
We have gotten away with this because interest rates were lower. In addition, the US is the cleanest dirty shirt globally. What happens if we don’t get this under control? The music stops. Investors will not continue to fund this level of irresponsible spending and debt. Bond investors will demand a higher interest rate on US debt. As it stands now the interest payments on US public debt are now approaching our very high national defense budget, over $700 billion! If interest rates continue to rise as well as the level of debt, game over. Obviously, the longer we wait, the more painful it gets.
Taxes have to increase and government spending has to decrease. Both of these things lower economic growth, which then lowers the increased tax revenues. A very vicious negative feedback loop. We are already in a low growth environment with an aging population and lower productivity. Our kids and grandkids will be the first generations to NOT do better than their parents. Sorry kids, we were fiscally irresponsible. What we taught you not to be.
Please join me and contact your legislators. Let them know that if they do not take this seriously and give it the serious attention it deserves, they will no longer have your vote.
Look up and contact your US legislator. This has to stop, for our kids and grandkids sake.
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