In February, the Congressional Budget Office projected that the U.S. will have to borrow an additional $10.5 trillion over the next 10 years just to pay interest on the national debt. For perspective, it took our nation from 1790 until 2008 to become $10 trillion in debt. Yes, you read that correctly; over the next 10 years, the US will have to borrow more money just to pay interest on the debt than all of the debt combined from 1790 to 2008.
America is facing a catastrophic economic crisis: government spending is burying the country in debt, which endangers the future of Social Security, Medicare, and the economy we will leave our children. This excessive spending and massive debt is also driving runaway inflation that has cut the buying power of paychecks and retirement savings by 15% since President Joe Biden took office. This week, House Republicans outlined a plan to lift the debt ceiling into next year, combined with reforms that will save taxpayers over $1 trillion in the first year and over $4.5 trillion over the next 10 years. This three-pronged plan will slow the growth of federal spending to protect Social Security and Medicare, lower inflation, save taxpayer dollars, and promote financial stability.
The plan will…
-
Limit federal spending by establishing spending levels for Fiscal Year 2024 at Fiscal Year 2022 levels–under which the government was operating just four short months ago–and allow for 1% annual growth over the next 10 years.
-
Save taxpayer dollars by reclaiming unspent COVID funds, defunding President Biden’s IRS army, repealing Green New Deal tax credits, and prohibiting the student loan giveaway to the wealthy.
-
Grow the economy by strengthening the workforce, preventing executive overreach, and lowering energy and utility costs.
Reckless spending has caused record inflation, rising interest rates, supply chain shortages, and instability in the banking system. There are currently more job openings than people looking for work, and part of that is attributed to the Biden Administration weakening work requirements. In states with work requirements, adults had their incomes more than double after leaving welfare. By restoring these provisions, new employees would be added to the workforce who would pay taxes that support Social Security and Medicare, preserving those programs for future generations. This would help more Americans earn a paycheck, learn new skills, and reduce childhood poverty by ending the cycle of dependency for children growing up in families on assistance programs.
Late this week, one notable Democrat, West Virginia Senator Joe Machin, called on President Biden to come to the negotiating table to “address our exploding national debt” as part of a debt ceiling deal. The West Virginia Democrat said, “While it is reasonable to sincerely disagree with any specific debt ceiling approach, we will achieve a historic default, and the economic whirlwind which follows, if President Biden continues to refuse to even negotiate a reasonable commonsense compromise. To that end, I applaud Speaker McCarthy for putting forward a proposal that would prevent default and rein in federal spending.”
While I often disagree with Senator Manchin, I think he has hit the nail squarely on the head in this case. It is time for President Biden to come to the table to negotiate spending reductions in good faith.