US Action News

[Obama] means to keep the spending pedal headed straight for the bankruptcy metal in flat-out pursuit of his social-redistributionist agenda.

Now the battle looms to raise the debt limit. This is an inside-the-belt-way shell game wherein the parties of power each beat their chests and growl at each other about who is the most responsible before they both vote to increase the limit on their collective credit card.

There is a long-term inevitability to this economic crisis. It will end in financial collapse. Short-term ebb and flows in economic reports will continue. The media and ruling class will attempt to spin what they can as signs of a recovery. Others not advancing the meme will be ignored and disappear quickly.

The lack of a Historical perspective may well prove to be the undoing of our nation. Once a people are divorced from their past they live in the Eternal Now and those who set the agenda can always change now.

If interest rates were modified to reflect the average rates in the 1980s, in 2021, our interest payments would nearly triple from CBO’s projection of $749 billion to $2.0 trillion. Accumulated interest payments over this period would double from their current projected level of $5.7 trillion dollars to $11.0 trillion dollars.

We can’t spend our way to prosperity. We can’t borrow our way to solvency, and we shouldn’t condemn our descendants to a life of limited opportunity crushed under the debt for the entitlements we wanted but couldn’t afford.

CBO budget estimates show that debt will soar to 800% of GDP and “crashes in 2037. Which means the CBO can’t concieve of any way in which the American economy continues past 2037 because of the dire debt.” – Rep. Paul Ryan

If current policies continue, debt held by the public will nearly double in the next ten years.

The American family has more common sense on debt management than the Treasury department. Veronique de Rugy debunks the myths surrounding the debt ceiling on a Reality Check on Bloomberg Television.

The United States government will not default on its debt. Federal taxes will still be collected by the Treasury, and the United States Constitution requires the government to pay interest and principal on the debt first. The creditworthiness of the U.S. is not in danger.