And the government has been building up a monster debt because of it, always kicking the can down the road. But there's a fiscal disaster projected to come in our near future, and we had better trim the deficit if we want to weather the storm.
You're right, and while the OP would be true IF the debt interest rate remained less than the rate which the dollar is devaluing, government has had to create TIPS (Treasury Inflation-Protected Securities) to assuage investing in our debt. From the ordinary 'tax-paying' citizen point of view, a house purchased in 1952 for $13,000 is now valued at over $550,000 taxed annually more than the original purchase price. While government does benefit in many ways from inflation, does the ordinary working citizen see the same benefit? From an earlier post I saw this: While that is true, it in no way reflects our situation, in which government has allowed our debt to grow greater than the economy and is using inflation as the means of reducing the ratio. Of course, if the Apple IPad 7 comes out with the same price as the IPad 6, government will be able to claim there is no inflation. We have many "cons" in our government, but we need to recognize there is a great difference between a 'con-artist' and a 'con-servative'.
Yet we have over 200 yrs of history. You have no clue what you speak about. - - - Updated - - - If one thinks there is a difference in our gov't, they are ignorant.
This is the problem. The government is so big and wasteful it has to punish one generation for another generations excesses. If it stayed out of individuals food, clothing, shelter, healthcare, education and incomes we would not have these massive debts and deficits. As usual, your only solution is more of the same, tax and spend. The only true solution is downsizing government back to its original purpose.
No, if one makes it to national politics, they are mostly all con artists. At least the ones who get leadership positions. Dog and Pony. Talk and no action. When it comes to the meat and bones of what gets passed, it benefits both parties. The american people are conned, but it is their fault for buying the lies.
I don't in great detail. But we've rarely had a balance budget, which you seem to be wanting. We've been a country for over 200 yrs and it hasn't hurt us. In fact is has helped us in times of crises to get money the country wouldn't otherwise have. Why don't you educate yourself on the history of budgets and spending vs GDP instead of believing el rushbo? - - - Updated - - - What proof do you have that going back to the 1800s is the best solution? Or at least your opinion?
Simple math. Eliminating numerous unconstitutional agencies(DOE's,DHS,HUD, others) and programs(SS/Medicare,obamacare,welfare,unemployment,dissabilty,) lowers dramatically its expenses. These are state and local issues where balanced budgets exist.
From the Editor By: David Deschesne Editor/Publisher, Fort Fairfield Journal You know, I really dont make a lot of money publishing this newspaper. I make enough to keep it going and have to supplement my income with sound system rentals (which is what I started out doing twenty-five years ago). I keep publishing not because I count my wealth in dollars, but because I count my wealth, in part, in your increased knowledge of the world around you. After all, if youre not free, Im not free. Since my wife and I dont make a lot of money, weve had to learn how to scale back our lifestyle and live within our means. Balancing the needs of running our respective businesses and keeping the necessary equipment current and maintained with the limited income we have is no easy feat, but it is doable. Given our current United States government is nearing $16 trillion in debt, and is going into debt at an average of $2 million per minute(!) I think it would behoove us to look into their current expenses to see what they could try to do without. The following list is a partial compilation of various federal government agencies that have developed over the past 200 years and continue to stay with us. Since Im not running for public office, I can advocate for the elimination of these offices and agencies. When reading down through the list, think of all the heads and sub-heads of each earning hundreds of thousands of dollars per year plus a lucrative benefits package, plus all the staff that has to be paid as wellall out of taxes that are collected at the barrel of a police officers gun. Then, think of all the people in the U.S. who have become accustomed to receiving some form of benefit or another from these agencies and you will soon see why it is political suicide for any politician to ever advocate for scaling down or cutting back any, or all, of these expenses. The only criteria I have used to compile this list (which is from the U.S. Government Manual) is if the agency, corporation or administration is not specifically authorized to exist by the U.S. Constitutionwhich is still the Supreme Law of the Land. Now, considering the debt load of the following agencies and administrations, is it any wonder we are $16 trillion in debt? Absent a U.S. Congress who is willing to eliminate these untenable costs, is there any hope of us reigning in uncontrollable spending? No. Unconstitutional Federal Government Agencies (partial listing) Advanced Research Projects Agency Advisory Commission on Intergovernmental Relations Advisory Council on Historic Preservation African Development Foundation Agency for International Development Agricultural Marketing Service Agricultural Research Service Agriculture, Department of Economic Research Service Energy, Office of Environmental Quality, Office of Federal Acquisition Regulation Federal Crop Insurance Corp. Food and Nutrition Service Foreign Agricultural Service Forest Service Grain Inspection, Packers and Stockyards Administration Information Resources Management Inspector General, Office of National Agricultural Library National Agricultural Statistics Service National Resources Conservation Service Operations, Office of Procurement and Property Management Rural Business - Cooperative Service Rural Development Administration Rural Housing Service Rural Telephone Bank Rural Utilities Service Secretary of Agriculture, Office of Transportation, Office of World Outlook Board AMTRAK American Battle Monuments Commission American Indians, Office of Trustee Animal and Plant Health Inspection Service Appalachian Regional Commission Architectural/Transportation Barriers Compliance Board Arctic Research Commission Assassination Records Review Board Benefits Review Board Bilingual Education and Minority Languages Affairs, Office of Blind or Severely Disabled, Committee for Purchase from People who are Board for International Broadcasting Broadcasting Board of Governors Federal Acquisition Regulation Central Intelligence Agency Child Support Enforcement Children and Families Administration Civil Rights, Commission on Civil Rights, Office for Commerce Department Economic Analysis, Bureau of Economic Development Administrations Emergency Management Assistance Fishery Conservation and Management International Trade Administration National Marine Fisheries Service National Oceanic and Atmospheric Administration National Telecommunications and Information Administration National Weather Service Productivity, Technology and Innovation, Assistant Secretary Technology, Undersecretary for Commercial Space Transportation Commodity Credit Corporation Commodity Futures Trading Commission Community Development Financial Institutions Fund Community Planning and Development Community Service, Office of Construction Industry Collective Bargaining Commission Consumer Product Safety Commission Cooperative State Research, Education, and Extension Service Corporation for National and Community Service Cost Accounting Standards Board Council on Environmental Quality Delaware River Basin Commission Drug Enforcement Administration Economic Affairs, Undersecretary of Economic Analysis, Bureau of Economic Development Administration Economic Research Service Education, Department of Bilingual Education and Minority Languages Affairs, Office of Civil Rights, Office of Educational Research and Improvement Elementary and Secondary Education Federal Acquisition Regulation Postsecondary Education Secretary of Educations Special Education and Rehabilitative Services, Office of Vocational and Adult Education Emergency Oil and Gas Guaranteed Loan Board Emergency Steel Guarantee Loan Board Employees' Compensation Appeals Board Employees Loyalty Board Employment and Training Administration Employment Standards Administration Endangered Species Committee Energy, Department of Energy, Office of Engineers, Corps of Environmental Protection Agency Environmental Quality, Office of Equal Employment Opportunity Commission Equal Opportunity, Office of Assistant Secretary Export Administration, Bureau of Export-Import Bank of the United States Family Assistance, Office of Farm Service Agency Farm Credit Administration Farm Credit System Insurance Corp. Federal Acquisition Regulation Federal Aviation Administration Federal Claims Collections Standards Federal Communications Commission Federal Contract Compliance Programs Federal Deposit Insurance Corporation Federal Election Commission Federal Emergency Management Agency Federal Employees Life Insurance Federal Employees Health Benefits Federal Energy Regulatory Commission Federal Financial Institutions Examination Council Federal Financing Bank Federal Highway Administration Federal Home Loan Mortgage Corp. Federal Housing Enterprise Oversight Office Federal Labor Relations Authority Federal Law Enforcement Training Center Federal Management Regulation Federal Maritime Administration Federal Mediation and Conciliation Service Federal Mine Safety and Health Review Federal Motor Carrier Safety Administration Federal Prison Industries, Inc. Federal Procurement Policy, Office of Federal Property Management Regulations Federal Property Management Regulations System Federal Railroad Administration Federal Retirement Thrift Investment Board Federal Service Impasse Panel Federal Trade Commission Federal Transit Administration Federal Travel Regulation System Financial Crimes Enforcement Network Fine Arts, Commission on Fiscal Service Fish and Wildlife Service, U.S. Fishery Conservation and Management Food and Drug Administration Food and Nutrition Service Foreign Agricultural Service Foreign Assets Control, Office of Foreign Claims Settlement Commission Foreign Service Grievance Board Foreign Service Impasse Disputes Board Foreign Service Labor Relations Board Foreign Trade Zones Board Forest Service Geological Survey Government Ethics, Office of Government National Mortgage Association Harry S. Truman Scholarship Program Health and Human Services, Dept. of Health Care Financing Administration Housing and Urban Development Federal Housing Commissioner Human Development Services Independent Counsel, Office of Indian Affairs, Bureau of Indian Arts and Crafts Board Indian Health Service Information Resources Management Information Security Oversight Office Inspector General Institute of Peace, U.S. Inter-American Foundation Intergovernmental Relations, Advisory Commission Interior Department Internal Revenue Service International Boundary and Water Commission International Development, U.S. Agency on International Development Cooperation Agency International Fishing and Related Activities International Investment International Joint Commission, U.S. and Canada International Organizations Employees Loyalty Board International Trade Administration International Trade Commission James Madison Memorial Fellowship Foundation Japan-U.S. Friendship Commission Joint Board for the Enrollment of Actuaries Labor Department Labor-Management Standards, Office of Land Management, Bureau of Legal Services Corporation Management and Budget, Office of Marine Mammal Commission Maritime Administration Micronesian Status Negotiations Mine Safety and Health Administration Minerals Management Service Mines, Bureau of Minority Business Development Agency Monetary Offices Multifamily Housing Assistance Restructuring, Office of National Aeronautics and Space Administration National and Community Service Corp. National Capital Planning Commission National Commission for Employment Policy National Commission on Libraries and Information Science National Council on Disability National Counterintelligence Center National Credit Union Administration National Drug Control Policy, Office of National Foundation on the Arts and Humanities National Highway Traffic and Safety Administration National Imagery and Mapping Agency National Indian Gaming Commission National Institute for Literacy National Institute for Standards and Technology National Labor Relations Board National Mediation Board National Park Service National Railroad Adjustment Board National Science Foundation National Telecommunications and Information Administration Natural Resources Conservation Service Neighborhood Reinvestment Corp. Northeast Dairy Compact Commission Occupational Safety and Health Administration Occupational Safety and Health Review Board Oklahoma City National Memorial Trust Operations Office Overseas Private Investment Corp. Payment from a non-Federal Source for Travel Expenses Payment of Expenses Connected With the Death of Certain Employees Peace Corps Pennsylvania Avenue Development Commission Pension and Welfare Benefits Administration Pension Benefit Guaranty Corporation Presidential Commission on the Assignment of Women in Armed Forces Presidential Documents Presidio Trust Prisons, Bureau of Procurement and Property Management Productivity, Technology and Innovation, Assistant Secretary Public Contracts, Dept. of Labor Public and Indian Housing Public Health Service Railroad Retirement Board Reclamation, Bureau of Refugee Resettlement, Office of Regional Action Planning Commissions Relocation Allowances Research and Special Programs Administration Rural Business-Cooperative Service Rural Development Administration Rural Housing Service Rural Telephone Bank Rural Utilities Service Saint Lawrence Seaway Development Corporation Science and Technology Policy, Office of Secret Service Securities and Exchange Commission Selective Service System Small Business Administration Smithsonian Institution Social Security Administration Soldiers' and Airmens' Home Special Counsel, Office of Surface Mining and Reclamation Appeals, Office of Surface Mining Reclamation and Enforcement, Office of Surface Transportation Board Susquehanna River Basin Commission Technology Administration Technology Policy, Assistant Secretary of Technology, Undersecretary for Tennessee Valley Authority Thrift Supervision Office Trade Representative, U.S. Transportation Dept. Transportation, Office of Transportation Safety Administration Transportation Statistics Bureau Utah Reclamation Mitigation and Conservation Commission Veterans Affairs Dept. Veterans Employment and Training Wage and Hour Division Worker's Compensation Programs
That does not make things better. And not all those reside within a state, they cross state lines. We are far better off as a nation having those income crutches, welfare, etc than without. Look at how we've expanded in the 1900s vs the 1800s. So I don't buy it, that going back to the 1800s is better.
Then you assume 535 men/women form a God. It is ridiculous to believe that the federal government is better at solving state and local issues. As we can see with welfare, many have become obese dependents. It has done a great job at creating housing, education and healthcare bubbles.
No, I don't think the federal gov't is better at solving local and state issues. But what the fed gov't can do is even out the differences between states that pay a lot vs very little in welfare cases or unemployment cases. And as I said, not all things reside within state lines. Energy, air, land, water, quality. I don't think you can convince me going back to the 1800s benefits the nation.
At least not until we have to reconcile our bloated debt. People would not die in streets without federal programs.
We don't have the means like the 1800s when everyone provided their own food. There were no food being bought in stores. Just stuff to grow food. Well very very little food.
What does that have to do with 535 people in Washington? States, local governments, charities, churches and family can deal with the truly needy. It is ridiculous that we 48million people on food stamps. Hand out beans and rice and we would see just how hungry these people were.
Apply the governments figures shown below in a spreadsheet and you will see that all we're accomplishing is a slightly lower interest rate over time without reducing the value of the debt relative to the future value of our currency. Based on the below a $1,000,000 Federal debt acquired in year 2000 would have accumulated a total interest payment of $352,834.99 adjusting the value of the dollar downward each year, with the principal amount now worth only $777,046.32 relative to its original value. Combining the current value of the principle and the interest paid, we would spend $1,129,881.31 to pay off the loan entirely immediately and that would result in it having only cost us .0117% interest. While a very low debt interest rate relative to inflation does reduce the overall average interest cost of the governments debt, it does not eliminate it and the negative consequences are borne by non-government entities and ordinary citizens, both taxpaying and non-taxpaying, making them more dependent upon government. Note also that the figures provided by the government exclude TIPS which do not suffer from inflation. Comparing the Federal debt to the GDP oversimplifies the situation which as someone previously claimed "is simply kicking the can down the road" without resolving anything at all. Over my working lifetime my income doubled 5 times. That would have been great had not my cost of living also done the same. Now retired, I can only watch my life savings dwindle as my income has ceased while my cost of living continues to grow each and every year. The I rates below do NOT include TIPS Year......inflation rate.....Debt I rate 1999........2.2 2000........3.4...................6.639 2001........2.8...................5.971 2002........1.6...................5.225 2003........2.3...................4.615 2004........2.7...................4.552 2005........3.4...................4.738 2006........2.5...................5.029 2007........4.1...................4.975 2008........0.1...................4.009 2009........2.7...................3.362 2010........1.5...................3.047 2011........3.0...................2.859 2012........1.7...................2.560 2013........1.5...................2.420 2014........0.8...................2.401 2015........0.0...................2.350 *Through Sept, NOT Oct.
The US Govt spends less percentage wise than it did every year Reagan and Bush1 were president. If the Govt collected the same percentage of revenue as it did in 2000 we would not have these debts and deficits. As usual, your only solution is more of the same, cut spending. The only true solution is having revenues greater than spending.
I didn't realize that Reagan initiated SS/Medicare, Medicaid and welfare. He did expand the EITC, which was stupid.
Where and how much? Such a claim has not been made. Do you not understand there is a difference between "can not" and "will not"?
That used to be called living within your means. That is quite correct, and budgeting based on projected revenue, reducing spending to equal or less than the expected revenue collection rather than raising taxes would produce a balanced budget each year. Returning to the original intent of our Constitution, repealing the 16th amendment, and taxing each State based on their portion of the total population would be the best solution as that would make the representatives much more accountable to their constituents back home who would be more directly burdened by the spending increases their representatives made them responsible for. A perpetually weakening dollar does not help the poor or the middle class, and benefits more than harms the wealthiest. It also allows the government to make increasing debt appear more acceptable as shown by this thread title, which ignores the fact that it also creates a need for government to subsidize the poor and some of the middle class much more leaving each generation with a larger debt to pay interest on.
Year - Outlays 2009 3,517.7 2010 3,457.1 2011 3,603.1 2012 3,537.1 2013 3,454.6 2014 3,504.2 As a percentage, the cuts have been more dramatic: Year - % GDP 2009 24.4% 2010 23.1% 2011 23.2% 2012 21.9% 2013 20.7% 2014 20.1% We are now spending, percentage wise, less than every year Reagan and Bush1 were presidents. "And I might add that it will require getting Federal spending under control to do so, and the GDP should be looked at for what it really is, spending." It doesn't "require" "getting Federal spending under control" as it could be done with revenue increases. Sure.
Used to be. Now for conservatives it seems to mean cutting tax revenues. So will increasing projected revenues by increasing taxes. Take it up with your con law professor. We had a weakening dollar for decades before 1981 and that didn't hurt the middle class. Something else happened that year.
Year - Outlays - % GDP 2005 $2.470T 19.2% 2006 $2.407T 19.4% 2007 $2.568T 19.1% 2008 $2.524T 20.2% And dollar wise? Revenue increases should be a result of more people becoming employed and paying taxes, not simply raising taxes on those who remain employed to support a growing number who are not. We'll see.
