Carthage Must Be Destroyed!

     The federal taxes we pay as a nation this year will cover less than 60% of the bills we are racking up.  Every penny that we raise from taxes will be spent on Medicaid, Medicare, and Social Security. Everything else the Federal Government does, from the military to the national parks, will be paid for with borrowed money.

     And really, we are not even borrowing that money anymore.  We are just making it up. The largest purchaser of US bonds today is the US Treasury.  We are printing paper money to buy our paper bonds, and paying 40% of all our bills with that pretend money. That can't last forever.

     The Democrats want to solve this problem by raising taxes on "the rich." But every federal tax (from the gas tax to income taxes to the federal tax on airline tickets) would have to be raised by 2/3 to close the gap. This would devastate the economy.

     The Republicans want to solve this problem by cutting taxes and growing jobs. But we would have to create 2/3 more jobs than we have now - an impossible task.

     The only other way to solve the problem is to cut federal benefits -- Medicaid, Medicare, and Social Security, etc. -- by 2/3. Not only would that cut hurt the people who depend on benefits, but it would suck $1.5 trillion out of the cash drawers of the pharmacies and grocery stores where those people shop.

     We are like a couple making $60,000 a year and spending $100,000 a year. Living within their means means changing their entire lifestyle.  And so it is with us, taking in $3 trillion a year and spending $4.5 trillion.

     The nation is in peril.

     During the 2d century BC, Cato the Elder ended every presentation to the Roman Senate with the words, "Carthage must be destroyed!" It was his way of reminding the senators that no matter what the subject of the day, the greatest single threat to Rome was the existence of their rival city, Carthage.

     For the same reason, I have decided to open all my presentations with the words "The debt crisis must be solved."
     The greatest single threat to the US continues to be the national debt. Which we are increasing every single day.
      "The debt crisis must be solved."