Deficit Reduction Commission

by on February 16th, 2011
Share Button

When a ship is sinking, increasing the rate of bailing out will not stop the ship from finally sinking, without plugging the holes that caused the ship to take on so much water in the first place. So, I find the Debt Commission Report apropos of increasing the rate of bailing, but not plugging the holes. The goal is not just reducing the deficit, it should be eliminating the deficit and creating a long term surplus each and every year to pay down the debt already incurred. Just as a household or business finds it necessary make a “profit” to allow for saving and investment, so must our government. The process of creating surpluses and paying down debt helps keep interest rates low, thereby freeing funds in the private sector for borrowing and investment, for infrastructure building and jobs creation, for expansion. When the government “crowds out” the private sector by competing for funds, the economy’s growth potential is reduced, international competitiveness is weakened, and new business startups and expansion are proven to be less likely. U.S. government fiscal policies of the last generation, no matter the provocation, have only weakened the free enterprise system, perhaps to the point where our shortsightedness has led to the problems we face today. And, there are many. Among others: *Educational systems that now rank the U.S. 10th to 14th in the world (OECD), in spite of spending much more per pupil than ANY OTHER COUNTRY. Yet the U.S. ranks much lower than most developed countries in school achievement. Competitive achievement, even leadership in education is a must if the U.S. is to restore it’s economic leadership, or even to compete in world marketplaces that are being developed by our economic and political competitors. It isn’t just the cost of T-shirts which are at stake; economic leadership begets political leadership-The Golden Rule-“them that has the Gold makes the rules. * Health Care- The U.S. spends sixty percent more per capita on health care than ANY OTHER COUNTRY, AND THE SAME PERCENT MORE AS A PERCENTAGE OF GDP-over 16%, yet enjoys (poor choice of words) a ranking of Number 72 on the World Health Organization’s Performance Rankings – 72! and only ranked Number 15 on overall goal attainment. Our lack of management and support of free market solutions in Health Care robs the system of hundreds of Billions of dollars that could be invested in building jobs through technology and energy investments, improving health care through advanced technology and business practices, even improving educational outcomes through technology. Nobody in their right mind would design a health care system that underachieves as significantly as what we have today. And, there are free-market solutions. There can be no excuse for any rationalization of continuing to grow debt through deficit spending, mainly by supporting or encouraging programs that contribute to deficits. The problem may be in insisting on rescuing nations through fighting “nation building” wars, or in entitlements for poor and minority groups that satisfy ideologies, but not the values of a free enterprise, personal-responsibility-based society envisioned by our Founders, and don’t adopt solutions, both political and personal, that address the issues. Or, in the combination of poor political judgements through successive government administrations and congresses, co-opted and corrupted by special interest groups on both sides of the aisle, whether farm subsidies, immigration largesse, business tax breaks and incentives, or other manifestations of less-than-practical ideology. Solutions which do not further free enterprise and personal responsibility can only contribute to further decay, and frustrate efforts to restore the productivity and growth leadership that America had established, but which now seems an afterthought rather than a driving motivation. The Presidential Debt Commission’s efforts fall far short of what is needed, and “political reality” is a poor substitute for sound fiscal responsibility and judgement. Now comes he Presidential Bi-Partisan Deficit Reduction Commssion (remember that oxymoron!) Please develop a trtuly common sense plan which eliminates the deficit in favor of restoring growth and productivity, opportunity and free markets, through an un-balanced budgets that creates surpluses rather than deficits, pays down debt, frees capital for the private sector, eliminates subsidies and waste, and embraces transparency in government and regulation. Free enterprise is the solution to big government if harnessed together in common effort. As a Citizen I would welcome the opportunity to support such an approach. There can be no resolution of America’s problems, no path to future growth and opportunity for everyone without solving the crisis of deficit spending, and paying off our national debt. America’s future is at stake, and half-hearted solutions are NOT AN ANSWER. I know how positive I feel when I’ve paid a debt; can we make government feel that way on behalf of it’s Citizens? Americans will pay any price, undertake the most difficult missions IF, and ONLY if they are assured that everybody participates whole-heartedly. No exceptions, no slacking, no “not us, them” posturing; EVERYBODY. Mutual effort by the American “community” can get this huge job done. America has proved it’s willingness to lead, to sacrifice, if assured that all are together in spirit, and in action. Are we?

Prev Article: »
Next Article: «

Related Articles