House Democrats have put forth legislation today to completely abolish the federal debt ceiling. They want no restrictions on borrowing, which would give President Obama a blank check.
Our debt is now over $16.4 trillion and Obama wants another $4 trillion. The House, not the Executive, is responsible for borrowing. This legislation might be unconstitutional.
The legislation won’t pass the Republican-controlled House but if Republicans lose the House in 2014, we could face financial disaster.
The debts we are running up will be paid by our children and our grandchildren. We are The Worst Generation.
If Obama won’t cut spending, he must tax us and there aren’t enough rich people to cover the government bills. He will be forced to tax the middle class.
A much-promoted tax probably heading our way is the VAT tax. The VAT (Value Added Tax) would tax every item we buy every step of the way. It is a tax on spending. It is a consumption tax which requires everyone to pay an additional tax on everything they buy. In some European countries it is now up to 20%. This administration has talked about it being added to our current taxes as in Europe. The 16th Amendment might preclude this.
Other taxes being talked about are carbon taxes, energy taxes, and taxes on gasoline by the miles a person drives.
All of these taxes would affect the middle class.
Obama’s spending must be stopped.
President Obama wants the right to spend without limit and he wants to raise revenue solely from taxation.
He has continually demonized Republicans in the House who are trying to push back on his addictive spending habit.
Obama will not cut spending and the economy is heading for a complete collapse at some point. Obama ignored his own debt and deficit commission, Simpson-Bowles.
His alleged spending cuts were to spending that doesn’t even exist yet.
Fitch warned that if an agreement on the debt ceiling is not reached, they will likely lower the US credit rating, causing our interest rates to rise. That is all that is being reported by outlets such as CBS News Radio and Newsday. The media is blatantly lying by omission. They are only reporting part of Fitch’s statement.
What they don’t tell you is that Fitch also said that a downgrade is likely no matter what unless we get our spending under control.
It needs to be noted that the credit rating agencies which downgraded the US were investigated by the DOJ immediately after doing so and the one that didn’t downgrade was not investigated. [Check here and here and here and here]
President Obama is using the usual threats to blackmail Republicans into raising the debt ceiling so he can spend freely without a budget. We have not had a budget in 1358 days, in complete violation of the law, which is why we need these spending bills. and why we have a debt ceiling problem in the first place.
Instead of cutting aid to terrorist nations, Planned Parenthood (which can support itself), PBS (which can support itself), aid to Hollywood (which can easily support itself), Obama plans to withhold checks for the elderly and the troops. This is his decision to make, not Congress’ decision.
Charles Krauthammer on the debt ceiling: